Botim users to be offered savings options through National Bonds

The Astra Tech-owned platform will offer users access to microfinance options to improve their financial well-being

Botim customers will be able to invest and save through Al Manassah, a digital investment tool owned by National Bonds. Antonie Robertson / The National

Astra Tech, the Dubai-based technology-focused investment firm backed by Abu Dhabi’s G42, has teamed up with Sharia-compliant savings and investment company National Bonds to provide savings and investment opportunities for UAE users of its internet calling platform Botim.

A memorandum of understanding signed by the two companies aims to give low and medium-income Botim customers access to microfinance options through National Bonds to improve their financial well-being and boost their savings, Astra Tech said on Thursday.

Botim customers will be able to invest and save through Al Manassah, a digital investment tool owned by National Bonds, which will provide them with Sharia-compliant asset-backed financial solutions with end-to-end automation.

“Through the power of Botim, individuals can now effortlessly access and explore a wide range of investment opportunities, paving the way for a more secure and prosperous financial future,” said Abdallah Abu Sheikh, chief executive of Astra Tech and Botim.

“Through this partnership, we are expanding our range of services and enabling our users to conveniently invest and save – these are two elements of finance which have always had high barriers of entry in the region, but we are slowly changing this for the better.”

The world’s digital revolution, which accelerated during the Covid-19 pandemic, has transformed the financial services sector and spurred wider financial inclusion, leading to more people than ever before having access to bank accounts and investment platforms to save for their futures, according to the World Bank’s Global Findex 2021 report released last year.

The pandemic also raised widespread concern over personal financial issues, highlighting the importance of saving, having an emergency fund for short-term cash needs and having enough money for retirement.

Forty-five per cent of UAE residents still need to start saving for their retirement, a 2022 survey by insurance company Friends Provident International found.

About 44 per cent of people in the UAE expect to retire by 55, while 63 per cent hope to before they turn 60, according to the FPI survey.

Botim customers will also be able to invest in National Bonds savings certificates, which offer yearly profits and includes a rewards programme.

“This strategic approach not only enables us to actively contribute to the financial prosperity and secure future of UAE citizens and residents but also empowers us to reach out to a wider audience,” said Mohammed Qasim Al Ali, group chief executive of National Bonds, which is owned by the Investment Corporation of Dubai.

“Through our various programmes and solutions, we aim to extend our impact and benefit an even broader range of individuals.”

In March, Astra Tech, which secured $500 million in a funding round led by G42 in December, said it had obtained a Mastercard principal membership licence, which allows it to issue Mastercard-branded physical and digital cards through its PayBy and Botim platforms.

Astra Tech's partnership with Mastercard “will provide users with even greater financial flexibility and convenience through Botim's ultra app, which is due for launch in the second quarter”, Mr Abu Sheikh told The National at the time.

Astra Tech acquired PayBy last August and VoIP platform Botim in December.