Mashreq and Cashew are expanding their strategic collaboration to develop an embedded lending framework aimed at transforming how consumers access credit for high-value purchases.

The initiative brings together Mashreq’s regulated lending capabilities with Cashew’s digital infrastructure, enabling financing to be integrated directly into customer purchase journeys.

At the core of the partnership is a model that embeds financing within digital platforms, allowing customers to access funds of up to AED 150,000 with repayment tenures of up to 48 months. Approvals are designed to be near-instant, with transparent terms and minimal friction for both consumers and merchants.

This approach eliminates many of the barriers associated with conventional lending, such as lengthy approval processes and rigid structures, while ensuring merchants receive payments directly and without delay.

Expanding the scope of buy-now-pay-later

The collaboration builds on the rapid growth of buy-now-pay-later (BNPL) services across the Middle East, where adoption has surged among both consumers and retailers.

However, the Mashreq–Cashew model extends beyond traditional BNPL, which has typically focused on smaller, short-term purchases.

Instead, the partnership introduces large-ticket “pay-later” financing, targeting sectors such as automotive services, home improvement, healthcare, education, and lifestyle spending, areas where upfront costs can often be a barrier.

By bringing BNPL-style convenience to higher-value transactions, the companies are effectively creating a new category of embedded consumer finance.

Combining regulation with platform agility

For Mashreq, the collaboration represents a strategic move to position itself as a regulated lender within third-party digital ecosystems, rather than relying solely on direct customer relationships.

“The future of finance will be defined by how seamlessly financial services integrate into everyday digital experiences. Our collaboration with Cashew reflects our commitment to shaping embedded lending models that combine strong banking foundations with platform agility,” said Fernando Morillo, Group Head of Retail Banking, Mashreq.

Cashew, on the other hand, brings the technological layer required to deliver a fully digital, user-friendly experience. Its platform is designed to integrate financing options directly into merchant systems, allowing customers to access credit at the point of transaction.

“Our partnership with Mashreq provides the institutional backing required to ensure robust risk governance, scalable funding, and the infrastructure necessary to support responsible growth,” said Ammar Afif, Founder and CEO, Cashew.

A maturing bank–fintech relationship

The expanded partnership signals a broader evolution in how banks and fintech firms collaborate in the UAE. 

Rather than operating as separate entities or engaging in limited integrations, the Mashreq–Cashew model reflects deeper, platform-level cooperation aimed at co-creating financial products.

This shift is particularly significant in a market like the UAE, where digital adoption is high and financial innovation continues to accelerate under supportive regulatory frameworks.

The companies say the model has already demonstrated success in international markets, including the United States and Europe, and is now being adapted to meet local demand.

Shaping the future of embedded finance

As embedded finance continues to gain momentum globally, the ability to combine regulatory compliance with seamless user experience is emerging as a key differentiator.

By integrating lending directly into digital platforms, Mashreq and Cashew are positioning themselves at the forefront of this trend, offering a model that balances accessibility with responsible credit practices.

The partnership also highlights the growing importance of embedded lending in expanding financial inclusion, particularly for consumers seeking flexible options for essential and high-value purchases.

As the UAE’s digital financial ecosystem evolves, such collaborations are likely to play a central role in shaping how credit is delivered, consumed, and regulated in the years ahead.

Talking Points

It is notable that Mashreq and Cashew are moving beyond traditional fintech partnerships to co-create an embedded lending model, signalling a more mature phase of collaboration between banks and digital platforms.

This approach addresses a key gap in the market by extending buy-now-pay-later beyond small, short-term purchases into higher-value financing, making it more relevant for essential expenses such as healthcare, education, and home improvement.

At Techparley, we see this as a natural evolution of embedded finance, where the focus is shifting from convenience alone to enabling meaningful, real-world financial flexibility for consumers.

The ability to access up to AED 150,000 with near-instant approvals highlights how digital lending is becoming faster and more integrated, reducing friction typically associated with traditional loans.

At the same time, Mashreq’s role as a regulated lender introduces a layer of trust, governance, and risk management that is often missing in purely fintech-driven models.

As the partnership evolves, there is a clear opportunity to deepen merchant integrations and expand into more sectors, further embedding financial services into everyday transactions.

If executed effectively, this model could redefine how consumers access credit in the UAE, positioning embedded lending as a viable alternative to traditional loans and credit cards.

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