Mashreq and Cashew have deepened their collaboration to co-create an embedded lending framework targeting higher-value consumer financing in the UAE.
The framework enables customers to access financing of up to roughly USD 40.840 (AED 150.000) with repayment tenures of up to 48 months. Approvals are processed near-instantly, with funds disbursed directly to merchants. The proposition targets essential and higher-value purchase categories including automotive services, home improvement, healthcare, education, and lifestyle goods, delivering a fully digital experience without requiring significant upfront payment from the consumer.
From BNPL to large-ticket financing
According to the official press release, the collaboration builds on the BNPL model, which has seen sustained growth across the MENA region among both consumers and merchants. While BNPL has typically addressed lower-value transactions, the Mashreq-Cashew framework extends the same digital experience to larger, essential purchases, a segment where traditional personal loans and credit card facilities have historically set a higher application and approval bar.
Cashew contributes the technology infrastructure and platform layer, while Mashreq provides regulated lending capabilities, credit decisioning, and risk governance. The arrangement positions Mashreq as a regulated lender embedded within third-party digital platforms, rather than operating solely through its own direct channels.
Fernando Morillo, Group Head of Retail Banking at Mashreq, noted that the collaboration reflects a shift towards financial services that integrate directly into digital ecosystems, with the bank assuming a platform-agnostic lending role. Moreover, Ammar Afif, Founder and CEO of Cashew, indicated that institutional backing from Mashreq supports responsible growth, and that the large-ticket pay-later model has already demonstrated traction in the US and European markets.
Ecosystem implications
The partnership represents a more optimised phase of bank-fintech engagement compared to conventional referral or white-label models. Rather than simply licensing infrastructure or co-branding a product, Mashreq and Cashew are working at platform level to construct a lending architecture that can scale across merchant categories and adjust to changing consumer demand.
For the UAE's digital financial ecosystem, the arrangement is consistent with the broader trajectory of regulated Embedded Finance, where licensed institutions provide the credit and compliance backbone, while fintech platforms supply distribution reach and user experience. This structure also aligns with the UAE's ongoing efforts to build a mature and responsible consumer credit environment alongside its fintech ambitions.
The collaboration forms part of a longer-standing relationship between the two organisations, with this phase described as a formalisation of deeper integration rather than a new commercial arrangement.
