Omani fintech and crowd financing company Mamun announced that it has raised over RO 1 million in Sharia-compliant financing within a span of a year, this week.
In a press statement, the company shared the following, “This achievement underscores our commitment to providing ethical and inclusive financial solutions, fostering economic growth, and supporting the entrepreneurial spirit in Oman. Our innovative approach to crowd financing has enabled us to bridge the gap between investors and businesses, ensuring mutual growth and prosperity.” Co-Founder and CEO Saleh Al Tamami, highlighted the significance of the achievement, "Crossing 1 million OMR in less than a year is a testament to our unwavering commitment to empowering businesses across Oman with ethical, Sharia-compliant financial solutions. At Mamun, we are pioneering circular finance and investments powered by crowdfunding, fully aligning with His Majesty Sultan Haitham bin Tarik’s Vision 2040 for alternative and sustainable finance. We also appreciate the robust efforts by the Financial Services Authority, Ministry of Finance, and the Sustainable Finance Committee under Tanfidh, whose support is instrumental in fostering an environment where innovative financial models can thrive. Our proprietary technology and risk models allow us to evolve as a tech-driven financial institution, ensuring that we remain competitive and continue to drive positive economic impact for years to come." Since its launch of its crowdfunding arm in October of 2023, the company has launched 31 campaigns with investments of over RO 1 million, with an average net extended Internal Rate of Return of 20 per cent, with a 0 per cent default rate.
The company shared that it has returned over RO 290,000 in principal to investors, with RO 25,000 in profits already earned, and an additional RO 100,000 yet to be realized from active investments.
The company currently boasts a portfolio of 3,700 investors from seven countries, and has raised funds for companies in various sectors including construction and contracting, trade, manufacturing: Logistics and Transportation, Retail and Wholesale, Food and Beverage, and the services sector.
Furthermore, the company was the first crowd financing company to launch an equity crowdfunding campaign in the country earlier this year, raising an amount of $50,000 for local freelancing platform, Zameeli.
In 2021, the CMA, now rebranded as the Financial Services Authority (FSA), had issued Decision No. (153/2021) to regulate crowdfunding platforms, which it describes as “method enabling those who seek funding to obtain amounts from donors or investors for the purpose of supporting their projects via the platform for donation or in consideration of reward or equity or investment note.” Last month, FSA Executive Vice President Ahmed Ali al Maamari shared that since its official launch in 2022, crowdfunding has raised over RO 5.8 million into 100 projects by the first quarter of 2024.
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