PhonePe has received in-principle approval from the Central Bank of the UAE (CBUAE) for two payment licences, marking its first international market entry. The approvals cover Retail Payment Services and Card Schemes (RPSCS), and Stored Value Facilities (SVF).
The approval follows the completion of the initial regulatory due diligence. PhonePe will need to secure final approval before starting commercial operations in the UAE, the company said in a statement on Tuesday.
PhonePe plans to work with regional banks, licensed payment service providers and local technology companies after receiving the final regulatory clearance. The company said its UAE expansion is aligned with the country’s Financial Infrastructure Transformation programme and its plans to develop a cashless economy.
PhonePe plans to explore Aani, Jaywan integration
PhonePe also plans to explore opportunities to support Aani and Jaywan, the UAE’s domestic payment rails, through its technology platform.
The company said its platform serves more than 700 million registered users and 50 million merchants in India. It added that its proposed UAE operations would complement the country’s existing financial infrastructure and support payments for residents and businesses.
“We are honoured to receive In-Principle Approval from the CBUAE. The country’s vision and regulatory environment make it an ideal setting for our international journey. As the UAE advances toward an interconnected, digital-first economy, PhonePe aims to be a committed, long-term partner supporting its evolving ecosystem,” said Ritesh Pai, CEO and executive director, International Payments at PhonePe.
“By combining world-class technology with local partnerships, PhonePe intends to support the strong economic and trade corridors connecting the UAE, India, and global markets, while striving to deliver elevated everyday payment experiences across the Emirates,” he added.
PhonePe already works with NPCI International Payments Limited to enable Indian travellers in the UAE to scan local QR codes and make payments through NEOPAY and Network International terminals under existing cross-border arrangements.
The company said it is working with the UAE authorities to complete the requirements for final approval before launching its commercial operations.
