Revolut Gains Initial Approval to Enter UAE Payments Market

Revolut, the London-based fintech company, has cleared its first regulatory hurdle in the United Arab Emirates after securing in-principle approval from the country's central bank. The decision opens the door for the firm to introduce digital wallet and payment services in the Gulf state.

The approvals cover two separate licenses: a Stored Value Facilities (SVF) license and a Retail Payment Services Category II license. Together, they would allow Revolut to issue and manage digital wallets, store balances for customers, and process payments for merchants. The company also expects to connect to the UAE's emerging real-time payments infrastructure once its licenses are finalized.

The central bank emphasized that in-principle approval is not equivalent to full authorization. Revolut will need to meet additional regulatory requirements before officially launching operations.

The UAE has become a competitive payments market in recent years, with the central bank pushing reforms under its Financial Infrastructure Transformation program. The rollout of Aani, a 24/7 instant payments platform, and Jaywan, a domestic card scheme developed with India's NPCI International, has reshaped the expectations for new entrants. Any provider entering the market must integrate with these systems.

Revolut has appointed Ambareen Musa, a fintech entrepreneur and founder of Souqalmal, as regional chief executive to lead its expansion. Musa described the regulatory milestone as "a pivotal step" and said the company looks forward to bringing Revolut's services to the UAE.

The fintech has already begun local hiring across compliance, product, and marketing, with new roles advertised in Dubai. Its strategy reflects the broader ambition of embedding itself in one of the Middle East's most dynamic financial ecosystems.

Founded in 2015, Revolut has grown into one of Europe's largest fintech firms, with more than 40 million customers. It holds a Lithuanian banking license in the EU and obtained restricted banking authorization in the UK last year. The firm has also expanded into markets such as the United States, Australia, Brazil, Singapore, and India.

Despite its rapid growth, Revolut has faced challenges in maintaining regulatory confidence. Earlier this year, Lithuania's central bank fined the company €3.5 million for shortcomings in its anti-money laundering controls, though no illicit activity was detected. The incident highlighted the scrutiny Revolut faces as it seeks to scale into new jurisdictions while convincing regulators its compliance systems are robust enough to support its ambitions.