In a significant development for Islamic finance, Ayan Capital has acquired £25 million in Sharia-compliant funding from Partners for Growth (PFG). This investment underscores the increasing demand for halal financial solutions within the UK. Ayan Capital specializes in providing Sharia-compliant vehicle financing and recently launched Ayan Pay, offering interest-free installment plans for various consumer needs. Operating in the vast used car finance market, the company employs a tech-driven model that bypasses traditional lending practices. With its robust growth trajectory and zero non-performing loan rate, Ayan Capital aims to expand its offerings and secure a larger share of the halal finance sector, potentially applying for a UK banking license in the future.

Revolutionizing Islamic Finance Through Technology

In the heart of a rapidly evolving financial landscape, Ayan Capital is making strides to redefine halal financing in the UK. Established as a leader in Sharia-compliant vehicle loans, this innovative fintech company has secured £25 million through an agreement with Partners for Growth, a renowned global private credit firm. The deal, structured under Ijara wa Iqtina principles, highlights the growing importance of Islamic finance in the region. Ayan's primary clientele includes drivers using platforms like Uber and Bolt, who require Sharia-compliant options for purchasing low-emission vehicles. By leveraging cutting-edge technology, Ayan Capital provides direct financing to customers regardless of where they buy their vehicles, setting it apart from conventional lenders.

Beyond automotive financing, Ayan introduced Ayan Pay, an initiative designed to cater to broader consumer needs such as home repairs, renovations, and furniture purchases. These services are offered on a 0% interest, 12-month installment plan, showcasing the company's commitment to inclusivity and accessibility. In just one quarter, Ayan more than doubled its financing issuance while maintaining an impressive 0% non-performing loan rate, underscoring the strength of its underwriting technologies.

With ambitions extending beyond current achievements, Ayan Capital is targeting £25 million in financing this year, scaling up to £100 million by 2026. Long-term goals include acquiring a UK banking license, positioning the company at the forefront of Islamic banking innovation. Backed by PFG’s confidence and support, Ayan Capital is set to revolutionize the financial ecosystem for UK Muslims, ensuring competitive, convenient, and innovative alternatives to conventional banking.

Islamic finance remains largely untapped in the UK despite projections indicating a Muslim population reaching 10 million by 2050. Currently representing only 0.1% of total banking assets, the sector witnessed a remarkable 26% surge in assets last year, amounting to $8.2 billion. This upward trend positions Ayan Capital favorably for sustained growth and influence.

From a journalist's perspective, Ayan Capital's success story exemplifies how technology can bridge gaps in underserved markets. By addressing both the ethical and practical needs of consumers, the company demonstrates that halal finance does not equate to higher costs or fewer options. Instead, it champions a system that is not only compliant with religious principles but also highly competitive and customer-centric. As Ayan continues its expansion, it sets a benchmark for other fintech companies seeking to integrate ethical considerations into their business models.