New Delhi, Jan. 14 -- Serial entrepreneur Abdallah Abu-Sheikh's latest venture Mal, an artificial intelligence-powered Islamic digital bank, has raised $230 million in what is being billed as the largest seed funding round in the Middle East and North Africa region.

The round was led by global investment platform BlueFive Capital, with participation from other strategic investors and family offices. BlueFive capital, founded in 2024, is a global investment and asset management platform managing over $4.4 billion in assets from Abu Dhabi. It also has a presence in the GCC, Asia, Europe and China.

Mal is currently under development and is set for launch later this year. The Abu Dhabi-based fintech firm plans to use the fresh funds to accelerate product development, boost licensing efforts in multiple markets, and strengthen the go-to-market strategy.

Founded in 2025, Mal is a mobile-first digital bank serving the needs of global Muslim and underbanked communities. Catering to both individuals and businesses, the company will offer tools for everyday financial needs, from onboarding and account management to payments and budgeting, powered by AI and engineered for expansion across multiple markets.

"Islamic finance is a $7 trillion space with no single global banking leader. With Mal, we aim to bridge that gap and bring cutting-edge fintech solutions to every underserved community globally," said Abu-Sheikh, the founder of Mal. "This raise is a vote of confidence in our mission to deliver a next-generation digital experience that puts intelligence, values, and accessibility at its core."

Mal's rollout will take place in phases, with an initial focus on key markets in the Middle East and Asia, where there is strong demand for accessible, value-driven financial solutions, the company said in a release.

Abu-Sheikh had previously set up Astra Tech, a UAE-based technology investment and development group operating in the MENA region, which owns multiple companies, including PayBy, Rizek, Botim, and Quantix LLC. He stepped down as chief executive in November 2024 after selling his shares to existing stakeholders, including G42, a technology holding company based in Abu Dhabi.

Published by HT Digital Content Services with permission from VC Circle.