Restoring Digital Dignity through Lebanon’s First Neobank

Founded: 2020

Headquarters: Beirut, Lebanon

Industry: Payments, Finance, Investments

A new era of financial innovation is emerging in Lebanon. Backed by one of the country’s leading financial institutions, which manages over $150 million in liquidity, trade finance, and SME support programs, this neobank is designed to restore trust, transparency, and efficiency to a financial system long burdened by fragmentation and high costs.

At its core is an advanced digital wallet that integrates international remittances, foreign exchange, and everyday consumer spending within a single secure ecosystem. By emphasizing speed, affordability, and reliability, the platform transforms how individuals, merchants, and institutions manage and access finance.

Beyond technology, it serves as a catalyst for financial empowerment, inclusion, and sustainable growth across Lebanon’s evolving digital economy, building on the institution’s long-standing mission to support local industries, foster economic resilience, and bridge domestic and international financial flows.

The challenge

Lebanon’s financial sector faces urgent and systemic challenges that demand innovative solutions.

Excessive transaction costs. The cost of sending money to Lebanon remains prohibitively high, averaging 12 to 16 percent of the transaction value. This is nearly double the global average of 6.5 percent according to the World Bank and severely undermines the financial security of residents who depend on diaspora support. The neobank’s remittance solution is specifically designed to provide a cost-effective alternative, directly addressing this barrier.

Systemic inefficiency and inconvenience. Existing financial channels, including both traditional banks and newer remittance services, are hindered by slow processing, cumbersome procedures, and poor user experiences. Transactions are rarely instantaneous, creating delays and friction for users.

Erosion of trust and legacy systems. A reliance on outdated and untrusted providers has weakened public confidence in financial transfers. The neobank seeks to counter this by delivering a secure, fully auditable, and compliant digital solution that restores trust across individual, merchant, and corporate users.

"Finpace brings unmatched expertise in Lebanon’s financial landscape, combining deep local market knowledge with strategic partnerships to deliver solutions that are not only innovative but fully aligned with the needs of citizens, merchants, and businesses. Our goal is to create a trusted digital ecosystem that empowers the economy and drives sustainable growth." — Rami Tannous, CEO

The solution

The neobank delivers a secure, instantaneous, and cost-effective digital wallet, forming the centerpiece of a comprehensive financial ecosystem. Its design is guided by approved core requirements and strategic feature enhancements that together address the critical challenges of Lebanon’s financial landscape.

Digital remittance corridor. A fully digital, cost-efficient remittance solution enables the diaspora to transfer funds directly to users’ digital wallet balances. The primary objective is commercial launch and high-volume adoption, targeting up to 200,000 users by Year 4 across mobile and web platforms. This product directly mitigates the prohibitive cost of sending money.

Robust compliance and onboarding. The platform meets all critical Know Your Customer (KYC) and Know Your Business (KYB) requirements, ensuring regulatory compliance and security. Integration with third-party verification tools such as Jumio supports seamless onboarding for both individual and corporate users, establishing a trusted financial foundation.

Foundational financial functionality. Core banking capabilities, including cash in/out at partner networks, peer-to-peer transfers, and point-of-sale payments, provide immediate utility and secure funds within the closed-loop ecosystem.

Strategic ecosystem expansion. The development roadmap extends the platform’s functionality to address broader financial needs:

Foreign Exchange Management: Enabling FX transfers and providing an Exchange House Admin Portal for rate management, directly tackling currency conversion challenges.
Corporate Tools: Payroll and sub-user management features make the platform essential for businesses and merchants.
Multiple Funding Streams: Features such as card top-ups enhance convenience, increase transaction volume, and support a transaction-based monetization model.

This integrated approach positions the neobank as a transformative force in Lebanon’s financial system, delivering efficiency, trust, and empowerment for individuals and enterprises alike.

The impact

The neobank’s solution is poised to deliver a transformative impact across Lebanon’s financial landscape.

Financial inclusion and dignity. By offering a modern, reliable, and affordable service, the platform empowers citizens and the diaspora alike, restoring confidence and dignity to everyday financial life.

Market disruption. Its competitive, cost-effective design and instantaneous transactions set a new standard, compelling traditional remittance providers to innovate or risk losing market share. Consumers benefit from greater choice, efficiency, and lower costs.

Rapid adoption and scale. The platform’s compelling value proposition is designed for rapid growth, targeting up to 200,000 users by Year 4. This reflects strong confidence in its ability to capture significant market share and drive broad adoption.

Long-term platform viability. With approved core wallet components and strategic integrations with key partners, including Paytop for remittances and Refinitiv for compliance, the platform is built on a secure, stable, and extensible foundation. This ensures long-term sustainability and the ability to expand its suite of financial products.

This approach positions the neobank not only as a financial service but as a catalyst for economic empowerment, trust, and growth across Lebanon.

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