Summary
Checkout.com's provisional UAE stored value facilities licence — following Revolut's full licence and Remitly's recent approval — reveals a deliberate strategy by the Central Bank of the UAE to build out a comprehensive licensing framework for non-bank payment firms. The UAE is positioning itself as a global hub for payments innovation, attracting major international players while maintaining regulatory rigor through a two-step licensing process.
Key Points
- Licensing framework: The CBUAE's stored value facilities regime (dating to 2016, recently rewritten) licenses non-banks to hold customer funds and issue wallets or cards
- Two-step process: In-principle approval is stage one; full licence requires additional review. Revolut took ~9 months to convert; Remitly received full licence July 9
- Checkout.com's position: Already an acquirer in UAE; issuing licence adds product line, not new market entry
- Commercial pitch: Merchants using both acquiring and issuing could fund cards from acquired balances, removing pre-funding requirement
- Growth metrics: MENA processing volume grew 62% YoY (2024-2025); underlying volume not disclosed
- Competitive landscape: Revolut, Remitly, and now Checkout.com all pursuing UAE licences; FXTM gave up UK licence to focus on UAE
- Broader trend: UAE is emerging as a global payments hub, attracting firms from Europe, US, and Asia
- Regulatory sophistication: CBUAE is building a multi-tier licensing system that could serve as a model for other MENA regulators