PhonePe moves closer to UAE launch after Central Bank approval

India payments giant secures in-principle approval for two UAE licences

Last updated: September 22, 2026 | 11:13

Nivetha Dayanand, Assistant Business Editor

2 MIN READ

From UPI pioneer to public markets: The growth of PhonePe’s consumer ecosystem

Dubai: PhonePe has moved a step closer to launching payment services in the UAE after securing in-principle approval from the Central Bank of the UAE for two licences, marking the Indian company’s first international regulatory footprint.

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The approvals cover Retail Payment Services and Card Schemes and Stored Value Facilities, and follow the completion of the initial regulatory due diligence process.

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PhonePe still needs final regulatory approval before it can begin commercial operations in the UAE.

The company said it plans to work with regional banks, licensed payment service providers and local technology vendors once final approval is secured, with a focus on integrating into the UAE’s existing payments ecosystem.

Plans to work with UAE payment rails

PhonePe also intends to explore opportunities to support Aani and Jaywan, the UAE’s domestic payment rails, using its full-stack technology platform.

The company said its technology architecture currently handles large transaction volumes in India, where it serves more than 700 million registered users and 50 million merchants.

Its proposed UAE deployment is intended to work alongside existing financial infrastructure and support payments for residents and businesses.

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.

Ritesh Pai, CEO and Executive Director, International Payments at PhonePe

Indian travellers can already use PhonePe in UAE

PhonePe already has a presence in the UAE through its partnership with NPCI International Payments Limited.

Indian travellers can currently use PhonePe to scan local QR codes and make payments across NEOPAY and Network International terminals through existing cross-border payment arrangements.

The latest approval takes PhonePe closer to establishing a broader regulated presence in the UAE, although the company said it is still working with authorities to complete the requirements needed for final approval.

PhonePe said its proposed expansion is linked to the UAE’s Financial Infrastructure Transformation programme and the country’s wider push towards digital payments.

The UAE would become PhonePe’s first international market once the company receives final approval and begins commercial operations

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Nivetha DayanandAssistant Business Editor

Nivetha Dayanand is Assistant Business Editor at Gulf News, where she spends her days unpacking money, markets, aviation, and the big shifts shaping life in the Gulf. Before returning to Gulf News, she launched Finance Middle East, complete with a podcast and video series. Her reporting has taken her from breaking spot news to long-form features and high-profile interviews. Nivetha has interviewed Prince Khaled bin Alwaleed Al Saud, Indian ministers Hardeep Singh Puri and N. Chandrababu Naidu, IMF’s Jihad Azour, and a long list of CEOs, regulators, and founders who are reshaping the region’s economy. An Erasmus Mundus journalism alum, Nivetha has shared classrooms and newsrooms with journalists from more than 40 countries, which probably explains her weakness for data, context, and a good follow-up question. When she is away from her keyboard (AFK), you are most likely to find her at the gym with an Eminem playlist, bingeing One Piece, or exploring games on her PS5.

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