Middle Eastern banks accelerated digital transformation, AI adoption and sustainable finance to deepen customer engagement.
Global Finance’s regional and country winners across the Middle East are implementing comprehensive growth strategies emphasizing digital transformation to increase client engagement.
Accordingly, institutions are modernizing core systems and expanding mobile capabilities to deliver integrated financial solutions for their retail, wealth, and corporate segments, as well as small and midsize enterprises (SMEs). Innovation is increasingly driven through generative AI (Gen AI) technology, fintech partnerships, and open-finance frameworks, enabling more-rapid implementation of new solutions. These banks are boosting cross-border connectivity and payments infrastructure to capture new regional and global opportunities. Additionally, they continue to advance their ESG initiatives by embedding sustainable-finance principles throughout their organization.
Middle East, Jordan, Lebanon & Yemen
Arab Bank
Remaining at the forefront of banking in the Middle East requires the cultivation of new customers and deepening client relationships through a franchise that attracts clients by providing cutting-edge services.
To increase client engagement and further strengthen its franchise, Arab Bank launched a new branding campaign in 2025 to convey a refreshed and modernized corporate identity representing the bank’s commitment to connect with individuals, communities, and businesses by providing the most powerful banking services.
In addition to winning our regional award as Best Bank in the Middle East, Arab Bank is recognized as our country winner in Jordan, Lebanon, and Yemen. With its new brand identity, Arab Bank continues to drive growth in service offerings through innovation, by accelerating the adoption of AI and digital technologies, to expand the bank’s regional and global reach. With its opening of branches in Iraq, the bank now serves 27 countries on five continents.
For consumer clients, the bank rolled out new payments services with national payment-network integration and improved government digital-payments capabilities. An expanded credit card portfolio includes American Express, cards tailored for use by SMEs, cards-as-a-service, and enhancements to the bank’s e-wallet. The bank’s wealth management platform expanded with the launch of private-banking services in Jordan. New services benefit corporate clients through upgraded digital platforms that include the launch of a new mobile app using biometric authentication and also the rollout of a supply chain platform in the UAE.
Arab Bank continues to emphasize its services to the SME sector by providing tailored financing solutions improving access to capital for SME clients in Egypt, Jordan, and Palestine. Additional service enhancements across the bank’s footprint include an expanded SME rewards program and strengthened cybersecurity standards in Bahrain, a modernized mobile-banking interface in Jordan, new e-trading services in Palestine, and upgraded payments services in the UAE through integration with the Aani instant payments platform. The bank is leveraging AI to drive improvements in customer service with the launch of the Frontline Assistant, a Gen AI tool trained on bank policies and procedures, product and service information, and relevant regulations, representing a powerful resource for client-facing representatives.
With the expansion of the bank’s Arabi Access cross-border digital-banking solution to subsidiary Islamic International Arab Bank, joint customers can now view and manage accounts held in multiple countries and make instant funds transfers through a single unified interface on the Arabi Mobile app. Robust payments solutions helped the bank win a key mandate from the Jordanian government to provide the gateway supporting online payments for consular services across 57 Jordanian embassies, enabling customers to pay using cards and digital-wallet platforms like Apple Pay. Additionally, the country selected Arab Bank to facilitate point-of-sale and e-commerce transactions for a number of government agencies serving the public, including the Ministry of Health and the passport and vehicle-licensing departments.
These innovative new products are conceptualized and launched through two main channels. The bank’s Acabes lab is an in-house technology-development arm to build digital-banking products and support enterprisewide advancements in technology infrastructure. AB Xelerate is Arab Bank’s fintech accelerator and corporate venture capital platform focused on innovation through investment in early stage companies and strategic partnerships, with new developments integrated into banking solutions. During 2025, proof-of-concept projects rose 50% piloting advanced fintech, AI, and digital-identity solutions. Many reached full-scale implementation. AB Xelerate also hosted 17 technology seminars and supported fintech growth through training programs in Egypt, Iraq, and Jordan.
The bank is committed to strengthening its social impact in the communities it serves through its “Together” corporate social responsibility program, which focuses on health, poverty alleviation, environmental protection, education, orphan support, and women’s empowerment. During 2025, this program supported almost 2 million beneficiaries in Jordan.
Bahrain
KFH Bahrain
Following parent Kuwait Finance House’s integration, completed in 2024, of Ahli United Bank, and its conversion to a fully sharia-compliant bank, the bank’s subsidiary in Bahrain was rebranded in 2025 as KFH Bahrain. Also included were technology upgrades for all digital platforms, with new KFH Bahrain branding to provide customers with a consistent experience across the entire Kuwait Finance House franchise. This included over 90 digital releases across its retail, corporate-banking, treasury, and private-banking business lines. Now the focus is on franchise expansion in Bahrain and throughout the region. New services launched include the KFH Gold Account, enabling customers to buy and sell gold easily and securely through the digital app. This is the first such account in the kingdom. It has enjoyed early success with existing clients and has captured new customers.
Following the conversion to Islamic finance, the bank relaunched MyHassad—a sharia-compliant, prize-linked account that includes cash-prize and savings incentives. MyHassad has been an attractive product for the bank’s consumer clients and successful as a low-cost funding source for the bank. With the introduction of the Speed Remit international funds-transfer service, clients have nearly instant cross-border funds-transfer capabilities with convenience and security in seven global markets. In2025, KFH Bahrain became the first Islamic bank to offer its corporate clients a fully digital liquidity-management solution. This platform enables morenefficient management of cash and liquidity, minimizing liquidity requirements, enhancing operational performance, and contributing to a reduction in financing costs. Responding to corporate-client feedback for KFH’s expanded physical locations, the bank converted eight branches to dedicated corporate-banking centers.
KFH Bahrain is also at the forefront of governmental initiatives as the first bank to go live with the Wage Protection Service platform, an electronic payroll system used by employers to make salary payments through KFH accounts.
Iraq
National Bank of Iraq
As the largest private bank in the country, majority owned by Jordan-based Capital Bank Group, the National Bank of Iraq (NBI) is positioning itself for growth through technology enhancements, acquisitions, and partnerships. The bank is looking to expand its banking capabilities and increase its presence in Iraq and the Middle East. Notably, the bank is modernizing core platforms and digital infrastructure for improved service quality and security. This has included enhancements to the bank’s payments platform and the integration of Salesforce’s MuleSoft to boost its technology infrastructure. Tibco Spotfire boosts data capabilities to deliver real-time dashboards and AI-driven analytics across the bank. The bank has also strengthened its cybersecurity with upgrades.
Iraq became a shareholder in the European Bank for Reconstruction and Development (EBRD) in 2023, and this has provided the catalyst for broader initiatives in the sector, including with NBI. In late 2025, NBI signed a $100 million trade finance agreement with the EBRD, mainly to support trade finance and access to credit and international markets for micro, small, and midsize enterprises. As part of NBI’s expansion strategy, in 2025 it bought a commercial insurance company to diversify revenue and support activity in trade and infrastructure development. The bank also owns a brokerage and a finance company serving retail clients. NBI offers brokerage through its parent, Capital Bank Group, for asset management and corporate advisory.
Kuwait
National Bank of Kuwait
To expand its leading conventional banking franchise, National Bank of Kuwait (NBK) is increasing client engagement and service quality by leveraging technological upgrades and launching new digital products. The bank continues to invest in a scalable technology infrastructure to enhance core systems and digital platforms with a goal of bringing new products that integrate with its product lineup to market more rapidly, providing a uniform service model across the bank’s international franchise.
Notable 2025 initiatives include upgrades to the bank’s TCS BaNCS system, which now offers mortgage lending products, digital-deposit features, and a new e-Saver account. NBK has enhanced its digital channels with the rollout of 100 new features and boosted efficiency and scalability with technology-infrastructure enhancements. Digital onboarding has been streamlined with the addition of facial-recognition technology for automated identity verification.
For NBK’s retail customers, the bank strives for service excellence through personalized solutions that complement its clients’ evolving lifestyle needs. This includes providing premium shopping experiences through the Bicester Collection for luxury retailers in nine international locations, a Visa card co-branded with Harrods, and a prepaid card co-branded with retailer Alshaya Group. For SME clients, the bank launched Kuwait’s first point-of-sale financing solution tailored to this segment. These initiatives are aligned with Kuwait’s Vision 2035 and the government’s Master Plan 2040 to promote financial inclusion through improved access to banking services and a continued transition to a digital economy.
The bank’s progress was recognized by the Central Bank of Kuwait for NBK’s leading role in promoting financial education and inclusion. NBK continues to advance ESG finance, with a 57% increase in its sustainable-asset portfolio since 2023; the bank has reached 60% of its 2030 target of $10 billion.
Oman
Bank Muscat
Bank Muscat’s strategy to serve its clients more effectively is increasingly focused on a unified approach to align solutions with client needs to provide consistent and robust banking services. Its “Voice of the Customer” program captures evolving client needs through direct feedback from survey responses across a range of metrics. This has helped the bank, which is the winner in Oman, to be more responsive when prioritizing enhancements to its service offerings, resulting in a strong improvement in the quality of customer service as reflected in the bank’s Net Promoter Score measurement. To better deepen its corporate relationships, Bank Muscat has enacted a “One Bank” strategy for greater efficiency, with cross-functional teams unified to deliver comprehensive solutions involving a full suite of services including lending, transaction banking, treasury, trade finance, and working capital.
As the largest bank in Oman, with over 30% of banking system assets and deposits, Bank Muscat is a trusted partner with the sultanate in its economic growth objectives, playing a prominent role in key financing mandates for critical infrastructure, power, and water distribution projects.
While primarily a conventional bank, Muscat offers leading Islamic banking services in Oman through its Meethaq Islamic Banking division, which has introduced innovative solutions as part of the central bank’s digitalization agenda and Oman Vision 2040. The launch of the Speed Transfer platform provides instant international-remittance services to six countries in the Middle East and Asia, highlighting the bank’s commitment to provide efficient and secure sharia-compliant, cross-border banking services for its retail clients. This unit also updated its mobile app to enable direct tax and charity payments to government agencies, allowing clients to securely fulfill religious and social obligations. The unit also launched a unique medical-finance product to meet medical emergency needs in any hospital in Oman. The bank strives to be a strong corporate citizen throughout its franchise and has partnered with the Royal Oman Police on a unique community campaign to advise the public on cyberfraud risks. The bank also offers financial coaching and education clinics to increase financial literacy.
Palestine
Bank of Palestine
Bank of Palestine (BOP) continues to navigate a complex and uncertain geopolitical environment, as the conflicts in Gaza and the West Bank continue. To expand its dominant franchise as the largest bank in the country, BOP is collaborating with international financial centers to better support its clients by strengthening the resilience of its operating model. Following the bank’s partnering with the United Nations to boost digital financial services in Gaza, the bank received a full banking license from the Abu Dhabi Global Market international financial center.
When operational later in the year, BOP’s presence in the UAE will serve as its regional and global headquarters. Leveraging this financial ecosystem is expected to open up new opportunities in private banking and wealth management, global trade finance, and cross-border payment transactions. Importantly, this hub will aid in Palestine’s reconstruction and recovery by facilitating investment there. Moreover, the bank is positioned to access Palestinian wealth that is estimated to be in excess of $500 billion globally. The bank is taking a similar approach in Saudi Arabia by exploring strategic partnerships and investment through its presence via offshore banking at the King Abdullah Financial District. To bolster support for BOP’s SME and commercial clients, the bank entered into partnerships with development-finance institutions including the International Finance Corporation and the EBRD, which will contribute to added resilience with long-term access to capital, sustaining financing for key clients and aiding in Palestine’s recovery.
Qatar
Qatar Islamic Bank
Qatar Islamic Bank (QIB) focuses on service efficiency and continues to broaden its digital offerings with the launch of new sharia-compliant banking products to boost engagement with its retail, SME, and corporate clients. Access to credit has accelerated with instant approvals for personal and auto loans, as well as credit cards, via the QIB mobile app, which has become the main engagement point for the bank’s customers. The bank encourages long-term savings through its prize-linked MISK account. Recognizing the need for tailored services, the bank operates branches for women only and has specialized locations for high-net-worth clients. For the youth segment, the QIB Junior app is Qatar’s first dedicated digital-banking platform for teenagers and helps promote financial literacy among this demographic. To reach low-income and underbanked customers, the QIB Lite app has simplified and accessible functionality.
The bank has expanded its cross-border services with new capabilities for the expatriate community to facilitate funds transfers for international remittances in the Middle East and Asia. QIB is also the country’s first bank to launch Visa+, a service allowing customers to transfer funds to Visa cardholders in the countries of the Gulf Cooperation Council by using a mobile number in lieu of sensitive credit card information. As a leading sharia-compliant institution, the bank plays a key role in supporting Qatar’s National Vision 2030 by financing projects that diversify the economy, supporting infrastructure initiatives, advancing Islamic finance, and contributing to the development of the country’s financial sector.
Saudi Arabia
Saudi Awwal Bank
Saudi Awwal Bank (SAB), one of the largest banks in Saudi Arabia and an affiliate of HSBC Group, continues to refine its service offerings for for clients of its corporate and institutional banking and wealth and personal banking services. The bank’s growth strategy is focused on providing the most innovative solutions, with an emphasis on digital enhancements, expansion in SME banking, and leadership in sustainable finance. A core priority for SAB is to position itself as a leading digital bank in the kingdom. This includes deepening customer engagement through technology upgrades and expanding service offerings to enhance the overall banking experience.
One of the bank’s digital solutions is SAB 360°, an AI-enabled personal financial-management platform embedded within digital channels. Available through the mobile app, SAB 360° provides customers with a single dashboard offering real-time financial insights, spending analysis, and personalized recommendations. The platform is integrated with a range of banking services, including payments and lending products, creating a seamless user experience. Overall, the bank’s digital initiatives have driven strong customer adoption, with digital usage among wealth and personal banking clients reaching 73%. Meanwhile, the bank’s digital business account onboarding platform has seen a 700% increase in volume. Notably, 90% of SME clients now utilize this digital-onboarding capability. Supporting its growth strategy, SAB continues to enhance its SME solutions with instant account opening capabilities via the SAB iCorp app, enabling faster and more efficient onboarding.
SAB has also established a strong position in sustainable finance. As a key partner in delivering Saudi Arabia’s Vision 2030 initiatives, the bank’s sustainable-finance portfolio reached approximately 45 billion Saudi Arabian riyals ($12 billion) in 2025, exceeding its original 34 billion-riyal target. Additionally, SAB has differentiated itself in Islamic finance by offering sharia-compliant supply chain finance solutions through a dedicated digital platform that enables efficient processing of payments between buyers and suppliers.
United Arab Emirates
Abu Dhabi Islamic Bank
Abu Dhabi Islamic Bank (ADIB) continues to transform its operating model, creating new and more-powerful banking solutions to increase client engagement by delivering seamless, personalized digital experiences. After a successful 2025 that produced record profitability and strong client acquisition, with over 283,000 new customers, ADIB is positioning itself for growth by accelerating the development of new products. During 2025, the bank launched over 30 new enhancements across its retail banking segment. These are related to mobile account management, payments, advanced analytics, and customer support. With the launch of the bank’s “Remit!” solution, retail clients now have access to a digital cross-border payments platform designed to simplify international money transfers. In partnership with Visa, this service enables global funds transfer through an integrated digital interface.
The bank’s growth is underpinned by its commitment to national development initiatives in ADIB’s Vision 2035, a 10-year road map focused on strengthening and expanding the bank’s full suite of sharia-compliant offerings across retail, corporate, wealth, treasury, and SME segments. This involves leveraging advance technologies with Gen AI, a cloud-based infrastructure, and integrated services through an open-finance ecosystem to advance the bank’s digital- and sustainable-finance agenda. This strategy aligns with the UAE’s AlTareq Open Finance initiative, which allows banks to “open up” customer data to approved financial institutions and fintechs for an integrated banking experience. These initiatives also rely on the bank’s innovation hub, ADIB Ventures, through collaboration with the fintech sector to develop new and more-robust service offerings.
