Meet the Islamic digital bank plotting a global expansion drive with new $230m raise

A new Islamic digital bank, Mal, has secured $230 million in fresh funding as it prepares to launch a mobile banking app from Abu Dhabi later this year.

The bank will use the funding to complete its platform, obtain regulatory approvals, and launch in multiple markets, beginning with the UAE in early 2026.

Mal is positioning itself as a faith-based digital bank for people who struggle to access financial services, using artificial intelligence to power everyday tools like payments, savings, and transfers through a mobile-first experience.

The Islamic digital bank built around values, not branches

Mal is creating a new type of financial service that differs from traditional banks. Instead of using physical branches and paper documents, the digital bank focuses on providing services through mobile phones, automated systems, and financial practices that follow Islamic guidelines. The goal is to offer simpler financial solutions to communities that have not been well served by traditional banking.

Founder Abdallah Abu-Sheikh said the idea behind the bank comes from lived experience.

“We’re building Mal to bridge the gap between ethical finance and modern financial tools, and to serve more than 2 billion people. For me, this isn’t just a business. It’s solving challenges that communities like mine have lived with for years. This raise is a vote of confidence in our mission, to deliver a next-generation digital experience that puts intelligence, values, and accessibility at its core.”

BlueFive Capital, an investment firm in Abu Dhabi, led the funding round with the bank stating that the new funding will allow them to accelerate product development and enter the market more quickly as they get ready to launch.

Also read: Ghana’s Affinity Africa secures $8m seed fund to expand its digital banking offerings

The Islamic digital bank plans to expand its values-driven financial services beyond the UAE into other regions with growing demand, tailoring products to local laws and financial systems.

It also revealed that its leadership team includes former executives from Revolut and Nubank. These are two of the world’s biggest online banks. This shows it plans to compete worldwide and not just be a small, specialised platform.

As digital banking continues to grow across emerging markets, Mal’s challenge will be proving that ethical finance can scale without losing speed, convenience, or regulatory trust. Its success will depend not just on technology, but on whether underserved communities actually adopt and stick with the platform once it goes live.

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