Mashreq commits up to $10mln investment in ‘Cashew’

Mashreq Bank is one of the most prominent financial institutions in the Middle East. It has committed up to $10 Million to Cashew, an innovative fintech leader that provides buy now, pay later (BNPL), services to consumers in the UAE, and KSA.

Mashreq will support the launch of Cashew Egypt as part of its strategic investment by integrating Cashew Payment into the acquiring network at NEOPAY.

The deal with Mashreq is unique in the region’s fintech space because it goes beyond just a processing relationship between two financial institutions. Cashew will work with Mashreq to offer new products, including BNPL options that are longer-term and larger ticket sizes for customers. In addition, Mashreq plans to introduce the region’s first Point of Sales lending option later in the year. Mashreq will offer Cashew products and services to its merchants as well as business banking customers.

Options for payment

Segments like healthcare, education, and travel are not yet tapped. As a result, they will quickly expand to them and provide consumers with multiple payment options. This will dramatically change the BNPL landscape.

“Our partnership with Cashew will lead the way for the future of financial services in the region. We will leverage the full network of Mashreq merchants and consumers to provide our ecosystem with the most ubiquitous and flexible BNPL options in the market,” said Mashreq Bank Group CEO Ahmed Abdelaal.

“Mashreq is one of the most respected banking brands in the region, so they will bring our customers many benefits as we continue to grow our service offerings. This partnership will give consumers the largest merchant network to shop at, larger ticket size and the ability to pay over longer terms,” said Cashew Co-Founder and CEO Ammar Afif. “We can only accomplish these goals for our customers by partnering with respected financial institutions like Mashreq that understand and want to be a part of the growing BNPL segment.”

More flexibility

“BNPL as a payment option is gaining prominence globally, with UAE BNPL volumes slated to grow by 71% in 2022 versus last year. Cashew has partnered with us to offer customers greater flexibility in meeting their payments. We eagerly await the roll-out of further services as we continue to empower our customers with more choice and convenience in the UAE and in the future, across Egypt,” said Mashreq Bank’s Senior Executive Vice President and Group Head of Retail Banking Group Fernando Morillo.

“This is yet another prime example of the partnerships we can forge with innovative fintech operators, who share our mission to deliver a safe and seamless payment experience for our customers,” added Morillo.

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