BKN301 CEO: plans to launch new services in Egypt and target 10 million customers in two years and acquire AI company in UK

BY: Reham Ali 

‘Fintech Gate’ engaged with Stiven Muccioli, the Founder and CEO of BKN301, at Seamless North Africa to dive into the exciting growth of Egypt’s fintech industry. In this exclusive conversation, Muccioli shares insights into the region’s booming fintech landscape and highlights how BKN301 is poised to make a significant impact in driving innovation and financial inclusion across North Africa.

1. Why is BKN301 participating in ‘Seamless North Africa 2024’?

In the rapidly expanding Egyptian financial market, our goal is to establish a solid presence by 2025, and we see Seamless North Africa 2024 as a crucial step in achieving this. We have participated with our partner Damen e-Payment in this noteworthy event, to highlight our longstanding partnership, where we provide our platform to support their operations. We are also spotlighting our solution “Damen Cash”, which we jointly developed and launched a year ago. During the two-day event, we officially introduced a new – NFC-based gas bill payment feature in the “Damen Cash” app.

Our participation in Seamless North Africa 2024 is linked to our growth strategy, which aims to reach 10 million customers in Egypt within the next two years. The introduction of NFC payment solutions at the event, along with other remittance services we plan to roll out next year, is expected to play a significant role in achieving this target. We believe that the Egyptian market has the potential to become one of the key drivers of our overall growth, given our existing operations in the Middle East, North Africa and Europe. With a strong client base that includes some of the largest digital banks in Europe and globally, and through our strengthened ties with Damen and active engagement at the event, we are confident in our ability to capture a larger market share in North Africa.

2. Is there any governmental collaboration?

As I mentioned earlier, our primary partner in Egypt, Damen e-Payment, is a self-funded company affiliated with ‘Egypt Smart Card’. They play a crucial role in facilitating payments related to postal services within the country. However, we haven’t yet established active relationships with government clients. Though we have only one partner in the Egyptian market, we are currently engaged in discussions with other potential collaborators. Since we operate as a B2B company, our focus is on working directly with businesses rather than targeting the broader market. Additionally, we are exploring opportunities to partner with other providers to further expand our reach.

3. What is your expectation on the future market?

From the initial days of our development itself, our company has been driven by the vision of becoming a leading force in the industry, particularly in providing banking as a service in emerging markets. We are focused on building a strong presence across the Mediterranean, North Africa, the Middle East and Europe.

Our expansion into the Egyptian market is a strategic move as part of these wider efforts, especially considering Egypt’s pivotal role in North Africa. While the country has a mature population and a dynamic market, its regulatory environment is still in the early stages of development. We recognise that it may take some time for the impact of these new regulations to become fully evident. However, Egypt’s young and growing population is a significant advantage that we believe will support the growth of the fintech industry.

In Egypt, the remittance sector is particularly important, driven by the money sent by workers in Europe and the Gulf back to their home country. We aim to capitalise on this market by advancing digitalisation efforts. Although we expect to face various challenges, we are confident that the opportunities are far greater. In the long term, we believe Egypt has the potential to become a major hub for financial services, not just in Africa, but in Asia as well.

4. Will be there any collaboration in digitizing of banking in Egypt?

As digitalisation becomes increasingly crucial in the financial sector, we are positioning ourselves to capitalise on the evolving market landscape. As part of our efforts, we are collaborating with the National Bank of Egypt to integrate our systems with theirs. Our commitment to digitise banking services in Egypt aligns with our ongoing partnership with Damen. We seek to introduce a comprehensive range of services to both traditional and digital banks in Egypt, and by 2025, we plan to extend our offerings to include banking software solutions. With our strong reputation in Europe for banking solutions and payment processing, we are now focused on launching our core services in the Egyptian market. We believe that this move will significantly contribute to the advancement of the country’s financial sector.

5. How do you see the impact of new technologies like AI in the fintech sector?

In the current financial and banking sector, advanced technologies, such as artificial intelligence (AI), are becoming crucial, particularly in areas such as Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations. The capability of AI is reflected in streamlining the onboarding process and enhancing customer interactions.

Additionally, its influence extends to credit scoring, where it offers a more accurate assessment of creditworthiness. We have pinpointed multiple areas within the industry where AI integration has the potential cause transformative change. In line with AI’s growing importance, we are in the process of acquiring a UK-based company that focuses on AI. We strongly believe that actively integrating AI into the sector will be one of the most groundbreaking developments in the near future.

6. Do you think Egypt is capable to access the technologies?

As the world rapidly advances in technology, it is becoming evident that sophisticated technologies will soon be indispensable across all industries. This transformation is already underway and is unavoidable. In the near future, advanced software and technological solutions will be essential for countries around the globe, including Egypt. We expect significant changes in the financial sector driven by groundbreaking innovations. For instance, in Italy, we are working with a partner who is introducing the first point-of-sale system capable of engaging in direct communication with users by responding to their queries and interactions. This revolutionary development is set to redefine user experiences, moving away from traditional OTPs and passwords toward more direct and personalised interactions. We anticipate that this progress will soon have a significant impact on the Egyptian market as well.

7. Will there be any new services? Are you planning to expand your footprints to North Africa and the Middle East?

Our most cutting-edge projects at the moment revolve around AI. We are concentrating on developing software solutions for credit analysis, credit risk management and related fields, with a primary focus on the Middle East. At present, we are actively engaged in the markets of Qatar and Egypt, and we plan to extend our presence to Saudi Arabia, Kuwait, and the UAE by 2025. Our headquarters is located in London, and we also have offices in Italy, Egypt, Qatar, and Tbilisi, Georgia. Our office in Egypt is our second largest.

8. What sort of market do you expect to have in Egypt? Is it only the payment services?

In Egypt, we specialise in the B2B sector, delivering technology solutions tailored for the banking industry. For instance, through our collaboration with Damen, we supply the entire technological framework supporting their operations.

Our services encompass payment processing, KYC, anti-money laundering and fraud prevention, among others. Our platform integrates over 500 different services, offering a comprehensive solution for digital banks, traditional banks and fintech firms. Basically, we aggregate and provide a range of services, serving as the foundational infrastructure for fintech and digital banking operations.

9. Is there any negotiations with any sector banks here or any companies here?

Currently, in Egypt we are partnered with Damen, and are closely working with them to develop solutions and implement them. For the future, our plan is to engage with more customers. However, we cannot the disclose the names at present as discussions are still underway.

10. Is that a private bank or private company?

Bank

About BKN301

The BKN301 Group offers solutions for account management, issuing, acquiring, and cross-border, re-designing the Banking-as-a-Service and payments approach. As a regulated entity, it provides licenses and technology, with a strong focus on Europe and fast-growing markets, while also fostering connectivity between them. Based in London, and operational since 2021, BKN301 Group operates in EMEA with offices in Cairo, Tbilisi, Doha, and Milan. The global presence mirrors the commitment to revolutionizing financial landscapes worldwide. www.bkn301.com