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Welcome to Xchange by Money20/20 Middle East – where money meets ideas 

Bold thought:

What if the real financial challenge for Gen Z in the Middle East is affording the first steps of adulthood: a place to live, stable income, and basic financial security.

Snapshot

In 2023, one in four economically active young people in MENA was unemployed (24.4%), almost double the global average, and almost one in three youth (31.5%) was NEET (not in employment, education or training).

For many, that means even after securing work, paying a lump-sum deposit on rent (or several months of rent upfront) can stall the transition to independent living. Early-career salaries often lag behind housing and living costs, especially in cities where demand pushes up deposits and upfront payments.

This creates a generation caught between two extremes: too old to rely on family support, too young (or economically unstable) to access traditional credit or financing – and often without a safety net.

If we want financial inclusion to mean more than just access to bank accounts or BNPL at checkout, the focus needs to shift towards tools that bridge the challenges that come after someone gets their first job: smoothing rent, spreading essential bills, or offering micro-credit tied to earnings.

Voices

Educator: “Money shouldn't be lonely and sad and anxiety-inducing. We know that money is behind every decision that you make in life, and it doesn’t have to be scary.” – Katrin Kaurov (CEO and Co-founder at Frich), in Business Insider.

Founder: “Gen Z didn’t grow up with the luxury of financial naivety… they watched the consequences of debt and instability and are determined not to repeat those mistakes.” – Nick Molnar, (Co-founder of Afterpay), in Fortune. 

What to watch and do

• Watch: Rent-linked financing pilots that offer rent installments and deposit financing.
• Watch: The emergence of salary-based micro-credit or ‘first loan’ products that allow workers to tap a portion of earned wages before payday.
• Do: Expect more employers to offer access to salary advances, savings tools, or education support as part of compensation packages. 

Further reading…

• Global Employment Trends for Youth, Middle East and North Africa brief – International Labour Organisation, 2024
• Youth unemployment and transition challenges – UNICEF, multi-year
• Middle East Youth Outlook – PwC, 2024 

What do you think? 

For many Gen Z across the Middle East, the leap from student or dependant to salaried adult comes without cushioning. 

We want your perspective – how could fintech and embedded finance make life easier for the region’s young people? 

Open this newsletter on LinkedIn and tell us in the comments section. And join us at Money20/20 Middle East 2026 to meet the innovators who are creating new opportunities. 

Catch you next week,

The Money20/20 Middle East Team