Ayan Capital Secures £2.8M to Drive Growth in UK Islamic Fintech Solutions

The UK Islamic Fintech Solutions are witnessing a remarkable shift as Ayan Capital, a London-based fintech firm, has secured £2.8 million ($3.6 million) in equity funding. This move is set to revolutionize Sharia-compliant financial services and offer UK-based Muslims ethical alternatives to conventional financial products.

As the Islamic fintech industry in the UK continues to grow, Ayan Capital’s expansion is expected to set new benchmarks for ethical financial solutions. Led by Cur8 Capital, a renowned ethical investment platform, the funding aims to expand Ayan’s offerings and cater to the growing demand for Islamic finance solutions in the UK. With this development, the Islamic fintech industry in the UK is poised to attract further investment and strengthen its position as a hub for Sharia-compliant financial innovation.

Halal Car Financing

In early 2024, Ayan Capital launched a breakthrough product tailored to meet the needs of the growing ride-hailing economy. The company introduced an Islamic car financing solution for private hire drivers operating on platforms like Uber, Bolt, and Wheely. Unlike traditional car loans that involve interest (riba), Ayan’s financing model is fully Sharia-compliant.

The product allows drivers to finance electric vehicles (EVs) and low-emission plug-in hybrid cars, supporting the UK’s shift towards sustainable transportation. This initiative aligns with the UK’s environmental goals while offering Muslims a halal, interest-free method to acquire vehicles.

To date, Ayan has financed over £3.4 million in car loans, achieving a stellar 0% non-performing loan (NPL) rate. This remarkable achievement can be attributed to Ayan’s data-driven underwriting technology, which uses advanced algorithms to assess the creditworthiness of applicants. The precision and efficiency of this system ensure that Ayan’s clients have a smooth financing process while mitigating the risk of defaults. This success reflects Ayan’s pivotal role in advancing UK Islamic Fintech Solutions and reinforcing the growing demand for ethical financial alternatives in the region.

Introducing AyanPay

In a bid to diversify its offerings, Ayan Capital introduced AyanPay, a 0% finance service aimed at helping customers fund essential expenses. Through AyanPay, customers can finance car repairs and home improvement projects with loans of up to £20,000, repayable over 12 months.

Unlike conventional financing options, AyanPay’s model eliminates interest, making it a preferred option for those seeking Sharia-compliant solutions. The service is also designed to improve accessibility for customers facing cash flow issues, enabling them to meet urgent financial needs without resorting to interest-based loans.

The introduction of AyanPay highlights the company’s drive to provide ethical and inclusive financial products that meet diverse consumer needs. By enabling 0% finance for both vehicle repairs and home improvements, Ayan is addressing two critical areas of consumer expenditure.

Related: Islamic Bank of Britain Shareholders Approve Change In Name To Al Rayan Bank

Ayan’s Broader Vision

Ayan Capital’s ambitions go beyond car financing and repair loans. The company’s larger mission is to establish a global Islamic neobank that addresses the unmet financial needs of both developed and emerging markets. This initiative is particularly significant, given that nearly 50% of the world’s 1.7 billion unbanked population resides in Muslim-majority countries.

Ayan’s vision is to create a technology-driven ecosystem of halal financial services that are convenient, affordable, and user-friendly. By focusing on underserved markets and using advanced financial technology (fintech), the company aims to deliver a seamless, customer-centric experience.

To realize this vision, Ayan Capital draws on the experience of its founders, who previously built Alif Bank—a leading Islamic digital bank in Central Asia—as well as Alif Academy, which offers free coding courses to empower young professionals. With over 1,300 employees and 3.8 million customers, Alif Bank’s success serves as a model for Ayan’s journey.

The successful funding round, led by Cur8 Capital, is a testament to Ayan’s strong market potential. Uzair Ali, Principal at Cur8 Capital, highlighted the strategic importance of Ayan’s mission, stating:

“With 85% of Gen Z Muslims seeking to bank in line with their values, Ayan is targeting a massive market. They have scaled impressively from car finance to broader solutions, aligning with their vision to build a digital Islamic neobank. With Abdullo’s proven track record and the team’s deep expertise, we are very excited for what comes next.”

The confidence shown by investors like Cur8 Capital illustrates Ayan’s potential to fill a critical gap in the financial services market—one that aligns with the ethical preferences of Muslim consumers.

CEO’s Perspective

Abdullo Kurbanov, the CEO and co-founder of Ayan Capital, expressed his gratitude for the support from investors and shared insights on the company’s growth strategy. In his words:

“We are humbled by and grateful for the trust our investors have put in us. This funding will help us roll out a number of new tech-driven products in the UK market, where, despite a highly competitive fintech ecosystem, we see major pockets of broken customer experiences, long waiting times, and hidden commissions. We now have an opportunity to participate in solving these challenges while remaining true to our values and principles.”

Kurbanov’s remarks underline the broader opportunity in the UK fintech market. Despite its competitive landscape, Ayan aims to carve out a niche by offering seamless, transparent, and Sharia-compliant financial products.

New Partnerships

Ayan’s future expansion includes entering new markets and forming strategic partnerships. The company plans to establish operations in Southeast Asia, the Middle East, and Africa, where demand for Islamic financial products is rapidly growing. Collaborations with local fintech companies and Islamic banking institutions in these regions will enable Ayan to scale its offerings and tap into a global customer base.

Additionally, Ayan is exploring partnerships with e-commerce platforms and service providers to integrate AyanPay as a payment option. This integration will make it easier for users to access 0% financing at checkout, providing a seamless experience for online shoppers.

UK Islamic Fintech Solutions

The rise of Islamic fintech in the UK reflects a growing demand for Sharia-compliant financial services. According to industry reports, the global Islamic fintech market is expected to reach $128 billion by 2025, driven by the increasing preference for ethical financial products among younger generations.

This trend is evident in the UK, where Muslims make up approximately 6.5% of the population. As Gen Z and millennial consumers demand more transparency, ethical banking, and non-interest-based finance, companies like Ayan are perfectly positioned to meet this growing demand.

Furthermore, halal finance has become a key consideration for ethical-conscious consumers beyond the Muslim community. Ethical fintech models like Ayan’s attract non-Muslims seeking alternatives to interest-based financial products, expanding the company’s market potential.

New Products and Market Expansion

With £2.8 million in new funding, Ayan Capital plans to introduce several new Sharia-compliant products in the coming months. The company’s product roadmap includes consumer loans, flexible payment options for home improvement, and more accessible financing options for underserved communities.

The rollout of these products is set to increase Ayan’s footprint in the UK’s fintech sector. By tapping into markets in Southeast Asia, the Middle East, and Africa—regions with high demand for halal financial services—Ayan is poised to capture a significant share of the international market.

With its innovative products, advanced technology, and ambitious vision, Ayan Capital is reshaping the landscape of UK Islamic fintech solutions. As the demand for Islamic finance rises globally, Ayan’s plans to become a global neobank are well within reach. As consumers continue to prioritize ethical financial services, Ayan’s position as a leader in the sector will only strengthen, paving the way for more comprehensive and inclusive financial solutions worldwide.