The fintech major has received in-principle approval for two UAE payments licences and plans to support domestic payment rails Aani and Jaywan ahead of its commercial launch.
Fintech major PhonePe has secured in-principle approval for two payment licences in the United Arab Emirates (UAE) and plans to support Aani and Jaywan, the West Asian nation’s equivalents of Unified Payments Interface (UPI) and RuPay.
PhonePe received an in-principle nod for Retail Payment Services and Card Schemes (RPSCS) and Stored Value Facilities (SVF) licenses from the Central Bank of UAE.
“PhonePe intends to explore opportunities to support ‘Aani’ and ‘Jaywan’, the UAE’s domestic payment rails, by leveraging its full-stack technology platform,” the Bengaluru-based company said in a statement.
The company is awaiting regulatory approvals ahead of its commercial launch in the UAE.
The focus on the UAE comes at a time when the company temporarily paused its initial public offering (IPO) plans in March amid a war in the West Asian region and heightened market volatility.
In India, the company is the largest UPI app. It has over 700 million registered users and 50 million merchants.
“As part of its market strategy, PhonePe aims to focus on deep ecosystem integration. Upon receiving final regulatory approval, the company looks forward to collaborating with regional banks, licensed payment service providers, and local technology vendors to actively advance the cashless economy vision established by the UAE leadership,” PhonePe’s statement added.
Earlier this month, PhonePe cofounder and chief executive officer (CEO) Sameer Nigam had said that the licences will allow the company to offer consumer payment instruments, such as wallets and gift cards, and also offer e-payment acceptance infrastructure to merchants.
This marks the first international market for the Bengaluru-based firm.
In partnership with NPCI International Payments Limited (NIPL), PhonePe currently enables Indian travellers in the UAE to scan local QR codes and pay instantly across NEOPAY and Network International terminals.