Briefs
Mumtalakat and ARP Group plan an AI-native bank in Bahrain
Bahrain's sovereign wealth fund Mumtalakat and ARP Group are partnering to launch an AI- and blockchain-based wholesale bank, pending final regulatory approval.
Bahrain Mumtalakat Holding Company, the kingdom’s sovereign wealth fund, announced on the sidelines of the Gateway Gulf 2026 investment forum that it is partnering with ARP Group to build a wholesale bank in Bahrain designed around artificial intelligence and blockchain technology from the outset. ARP Group is the parent of ARP Global Capital and ARP Digital, the latter co-founded by Yusuf Alireza together with Abdulla and Abdulaziz Kanoo. The venture has preliminary approval from the Central Bank of Bahrain and will only begin regulated activities once it secures final authorization.
The partnership combines Mumtalakat’s long-term investment approach with ARP’s expertise in institutional finance and digital financial infrastructure. The proposed bank is designed to serve regulated financial institutions, payment companies and businesses with cross-border operations, aiming to simplify banking for clients whose needs span multiple markets and currencies. It is being built to weave AI into every part of its operations and offer programmable services that connect directly to client systems through APIs, backed by human oversight, governance and risk controls, with products rolling out in phases based on engagement with prospective clients.
Mumtalakat CEO Sheikh Abdulla bin Khalifa Al Khalifa said the partnership pairs an experienced institutional team with Bahrain’s established regulatory and business environment, reinforcing the kingdom’s position as a regional financial hub. ARP Group chairman Yusuf Alireza said combining a regulated bank’s balance sheet and institutional relationships with blockchain and AI built into its operating model from the start would let it serve institutional clients with complex cross-border needs more efficiently than today’s fragmented banking options.
Why it matters
The project adds to a wave of Gulf institutions pairing sovereign capital with AI-native, blockchain-based finance — a bet that banks built digital-first can serve institutional clients with complex, multi-market needs better than banking infrastructure built for a pre-AI era.