In a significant move for the UAE's B2B payments landscape, Spare, an open finance infrastructure provider, has teamed up with Xsquare, a local payments company, to integrate account-to-account payment capabilities into business workflows. This collaboration presents an alternative to traditional card payment methods, which often incur transaction costs ranging from 2% to 3%. By leveraging Spare’s unified API, Xsquare's clients can now utilize Pay by Bank functionalities for various payment scenarios, including payables, receivables, and cross-border transactions.
The integration seeks to alleviate the fragmentation and complexity that currently characterize B2B payments in the region. According to Dalal AlRayes, Co-founder and CEO of Spare, the partnership is designed to incorporate Open Finance capabilities into practical business payment processes, thereby enhancing operational efficiency and reducing friction across markets. Ashwin Shenoy, Chief Product Officer and Co-founder of Xsquare, emphasized that their collaboration combines regulated account-to-account payment infrastructure with a robust B2B payment orchestration layer, further streamlining the payment experience for businesses.
This initiative is built upon the Central Bank of the UAE’s Open Finance Framework, which Spare recently utilized to launch its International Open Finance Payments solution in the UAE. The partnership not only aims to simplify payment workflows but also aligns with a broader strategy to expand Open Finance infrastructure across various business applications in the region. As the UAE continues to position itself as a fintech hub, such innovations are critical in enhancing the competitiveness and efficiency of its financial ecosystem.
The integration seeks to alleviate the fragmentation and complexity that currently characterize B2B payments in the region. According to Dalal AlRayes, Co-founder and CEO of Spare, the partnership is designed to incorporate Open Finance capabilities into practical business payment processes, thereby enhancing operational efficiency and reducing friction across markets. Ashwin Shenoy, Chief Product Officer and Co-founder of Xsquare, emphasized that their collaboration combines regulated account-to-account payment infrastructure with a robust B2B payment orchestration layer, further streamlining the payment experience for businesses.
This initiative is built upon the Central Bank of the UAE’s Open Finance Framework, which Spare recently utilized to launch its International Open Finance Payments solution in the UAE. The partnership not only aims to simplify payment workflows but also aligns with a broader strategy to expand Open Finance infrastructure across various business applications in the region. As the UAE continues to position itself as a fintech hub, such innovations are critical in enhancing the competitiveness and efficiency of its financial ecosystem.
Source: Fintech News ME
