Pemo SVF licence approval in UAE clears path for digital wallets

Pemo has received in-principle approval from the Central Bank of the UAE for a Stored Value Facilities licence, a step that could allow the spend management company to hold and manage business funds digitally once the licensing process is complete. The Pemo SVF licence approval positions the company to add wallet-style services and fund-holding capabilities for small and medium-sized businesses in the UAE, according to Pemo.

The company said it expects to complete the remaining licensing process in the coming months. Until then, Pemo said there is no immediate change for customers, whose funds are currently safeguarded through licensed partners.

Pemo describes itself as an all-in-one spend management platform for SMEs. Its existing product combines corporate cards, automated expense tracking and accounting integrations. Since launching in 2022, the company said it has grown to serve more than 6,000 local businesses, including Talabat, Sodexo and Al Marwan Group Holding.

What is an SVF licence?

A Stored Value Facilities licence is a Central Bank of the UAE-regulated permission that allows a licensed entity to hold customer money in digital wallet-style accounts. Under that model, businesses can load, keep and spend funds digitally without sending every payment through a traditional bank account.

For Pemo, the approval would support a broader product set beyond expense management, including digital wallets and direct fund-holding services designed for day-to-day business spending. Pemo said stored value held on its own regulated infrastructure would allow money loaded into the platform to be moved and spent more quickly after full licensing.

Why does this matter for UAE SMEs?

Pemo cited figures showing SMEs account for about 90% of operating companies in the UAE and contribute more than 60% of non-oil GDP, while receiving about 10% of total bank funding. The company said that funding imbalance leaves many smaller firms dependent on slower banking processes to manage cash flow.

The mechanism matters because payment timing can affect how companies fund cards, reimburse expenses and make routine payments. If Pemo receives the full licence, it would be able to hold customer balances directly under Central Bank rules, rather than relying only on partner infrastructure for safeguarding and fund movement.

Ayham Gorani, Pemo’s co-founder and chief executive, said the in-principle approval reflected customer trust and thanked the Central Bank, Pemo’s team and its users. He said the milestone would allow Pemo to support SMEs with products extending beyond spend management.

Pemo said the approval also marks part of its shift from a spend management provider into a wider financial services platform for UAE SMEs. The company added that it expects to make further announcements in the coming weeks as it expands partnerships and services.

Do Pemo customers need to take action?

Pemo said customers do not need to do anything at this stage. Its existing products continue to operate on regulated infrastructure, with customer funds safeguarded through licensed partners.

The practical change would come after full licensing, when Pemo said it could hold customer funds itself in line with Central Bank requirements. The company said the intended benefits are faster access to loaded funds and a more direct link between cash balances, card funding and payments inside one platform.

This story draws on original reporting from Finextra Research.