Wahda Bank Partners with Backbase to Launch AI-Native Banking OS Across Libya

Wahda Bank, one of Libya’s largest financial institutions, has partnered with Backbase to overhaul its digital infrastructure for business and retail customers. The move aligns with the Central Bank of Libya’s push for financial inclusion and digital-first services, aiming to replace traditional branch-based processes with a modern, Arabic-first mobile and web experience.

What was announced

Wahda Bank has selected Backbase to deploy its Engagement Banking Platform, targeting a phased rollout that begins with business banking in 2027. This initial phase will introduce digital onboarding via electronic identity verification, allowing Libyan businesses to open accounts online—a significant shift from the current requirement for physical branch visits. The platform will also support daily banking operations, payroll, bill payments, and invoice management within a single application.

Following the business launch, the bank will migrate its retail operations to the same platform, serving more than half a million customers with features including card management and personal financial tools. The digital experience is being built with an Arabic-first design philosophy, while maintaining full English language support. Internally, Wahda Bank’s branch and contact center employees will transition to the Banking OS servicing workspace, providing staff with a unified view of customer data.

Technically, the platform will integrate with the bank’s existing Oracle FLEXCUBE core and connect to Libya’s instant-payment rails, LYPay and OnePay. To ensure long-term autonomy, Wahda’s engineers will work in joint squads with Backbase and undergo training through the Backbase Academy. This collaborative approach is intended to build in-house expertise for future extensions of the platform, with corporate banking and conversational banking planned for later stages of the project.

"Libya is building a modern digital economy in a matter of years, and the banks that shape it will be the ones that start from the right foundation. Wahda Bank is bringing business and retail banking together on one AI-native platform from the start. Every service that follows, from corporate banking to conversational AI, will land on that same base, which puts Wahda in a position to set the pace for the whole market."

Jouk Pleiter, Founder & CEO at Backbase

The companies involved

Wahda Bank is a major player in the Libyan financial sector and has historically been a significant contributor to the country’s economic growth. As one of the nation's largest banks, it is currently navigating a broader national shift toward digital transformation, supported by shareholders such as Alushibe Holding Group. The bank’s move to modernize its infrastructure is part of a wider alignment with the Central Bank of Libya’s National Financial Inclusion Strategy, which prioritizes electronic payments and support for small and medium-sized enterprises.

Backbase is a global fintech provider specializing in engagement banking. The company’s platform is designed to sit on top of traditional core banking systems, such as Oracle FLEXCUBE, to provide a seamless user interface for both customers and bank employees. By utilizing a "headless" architecture, Backbase allows financial institutions to deploy ready-made banking journeys while retaining the flexibility to customize and build their own features. The company has established a significant presence in the market by helping traditional banks transition away from siloed legacy systems toward unified, customer-centric digital platforms.

What FF News has reported before

FF News has followed Backbase’s expansion and product evolution closely, recently reporting on the company’s efforts to streamline software deployment. In October 2026, the firm introduced its Backbase Launches AI-Powered Delivery Factory to Double Banking Software Implementation Speed, aimed at halving the time required for banks to go live. The company has also been recognized for its specialized tools, such as when Backbase Wins 2026 Wealth Management Impact Award for Advisor Desktop Innovation.

Further developments include the launch of Backbase Launches Conversational Banking: Agentic AI with a Governance Audit Trail, which provides a framework for secure AI interactions. On the leadership front, the company has focused on regional growth, as seen when Backbase Appoints Nikhil Gujral to Accelerate APAC Growth Strategy to strengthen its position in Asian markets.

What this means

This partnership signals a critical turning point for the Libyan banking sector, which has historically lagged behind regional neighbors in digital adoption. By committing to a 2027 launch for business banking, Wahda Bank is putting immense pressure on other domestic incumbents to move beyond physical branch models. The focus on SMEs and digital onboarding reflects a broader trend where emerging markets leapfrog traditional banking phases to adopt mobile-first ecosystems. However, the success of this initiative will depend heavily on the underlying stability of Libya’s national payment rails and the ability of local engineers to manage a sophisticated "headless" platform. It raises the question of whether the rest of the Libyan market can modernize fast enough to remain competitive as digital-first expectations become the new standard.