Revolut has received two licenses from the Central Bank of the UAE in order to offer its current account and broader payment services across the region.
The UK fintech was approved, in-principle, for a Stored Value Facility (SVF) and Retail Payment Services (RPS) Category II license from the central bank. Both licenses are needed for digital payment providers to operate in the United Arab Emirates.
The SVF provides a framework for licensing and overseeing providers of digital payments, while the RPS and card schemes licences govern retail payments, such as account issuance, bank transfers and merchant acquiring.
Both are pivotal in Revolut being able to offer its current accounts across UAE Emiratis such as Dubai and Abu Dhabi.
Revolut intends to offer a “comprehensive product experience” to retail customers in the country, the fintech said in a statement. It already has a presence in the UAE by offering its multi-currency card for ATM withdrawals in Dubai and its competitive foreign exchange rates.
Currently, Revolut users in Dubai are able to perform automatic conversions to Emirati Dirhams and fee-free cash withdrawals.
Securing the SVF and RPS licences will mean Revolut can expand its offerings across the Middle Eastern region and is one step closer from becoming a fully licensed digital bank.
“Receiving these in-principle approvals from the Central Bank of the UAE is a pivotal step for Revolut in the region,” said Ambareen Musa, CEO of GCC at Revolut.
“Our goal is to empower individuals here with cutting-edge financial tools that offer transparency, flexibility, and control, addressing key pain points in the current financial landscape. We are committed to setting a new standard for financial services worldwide, and eagerly anticipate bringing Revolut to the dynamic UAE market.”
Building the infrastructure
Revolut has viewed the UAE as one of its key growth markets within its international expansion plans, which has seen the fintech firm receive banking licences in New Zealand, Brazil, India and other countries over the past year.
The company opened an office in Dubai in 2022 and currently employs around 140 employees. Musa is one of those employees, who before joining Revolut had experience in working with several fintech companies within the UAE, including Souqalmal.com.
Revolut has been actively seeking an Electronic Money Institute (EMI) licence from the Central Bank of the UAE since 2022, but has yet to be granted approval.
The UAE, in particular Dubai, is home to an estimated 240,000 British expats. In the capital alone, 92% of the population is made up of expats, providing an opportunity for Revolut to help workers send money back home with its competitive FX rates.
