In January 2021, the Saudi Central Bank “SAMA” announced open banking policy” allowing the fintechs to serve the Financial Service Sector. The MoU signed recently in February 2021, between Central Bank of UAE and the Hong Kong Monetary Authority supports collaboration of financial institutions with Fintechs to strengthen the regulatory and financial development with the pillars of technology and innovation in the country. The open banking policy by CBB and the Bahrain Fintech Bay enable innovation and financial development with growth in Fintech ecosystem.
What is connected banking?
With technological advancement, connected banking allows a fintech and a bank or NBFC in partnership to contribute together to the SME sector, the best accounting, technological, banking, and financial practices over a utility-based system.
Benefits of connected banking
· Reduce manual work
· High security
· Competitive advantage to SME businesses
· Better cash flow
· Eliminate error
Common challenges faced by SMEs
· collecting payments on time,
· paying out on time
· chasing for invoice payments manually
· manging multiple ERPs, users, and banks accounts, and reconciliations.
Connected banking facilities on Hylobiz solving SME challenges
· Create, upload, and send out branded invoices
· Send automated reminders, attach the payment collection links, and receive payments in multiple modes within due date. Send static links for faster collection of a fixed amount from multiple clients.
· Pay out digitally
· Business health score, real time dashboard, automated reconciliations, quick settlement, and automated reports to manage audit trail
· The real time dashboard and automated reports track the accounts receivable status accurately which acts as a collateral for loans.
· Hylobiz banking partners/ financial institution partners can serve their business customer better by offering multiple financial services (loans, credit cards, insurances, and other financial services) through a single window.
Hylobiz offers lifetime free subscription with Nil set up fee, NIL integration, NIL monthly cost. The chat inbox feature ensures easy payment. Hylobiz in alliance with multiple banks and ERPs promises SMEs a financially and technologically strong.
Ask for a free demo.
Reach out to us at email@example.com
Read the blog originally published at : https://hylo.biz/what-is-connected-banking-the-future-of-smes-in-uae-lies-with-connected-banking/