Remitly wins UAE stored value and exchange licence

Remitly has received a Stored Value Facilities and Exchange Business Category IV licence from the Central Bank of the United Arab Emirates, the company said. The approval gives the remittance group a regulated basis to develop new products for customers in the UAE, a market Remitly described as one of the world’s most important corridors for cross-border money transfers.

The company said it is among the first international remittance firms to obtain this type of authorisation from the CBUAE. Remitly did not disclose the timing of the approval beyond saying it followed several months of work in the country, including the opening of an Abu Dhabi office and engagement with regulators and local partners.

The licence covers stored value facilities and Category IV exchange business, according to Remitly. In the company’s description, the authorisation creates the regulatory foundation for products designed for customers in the UAE who send money across borders.

Remitly said its existing service will continue to support transfers from the UAE to destinations including India, the Philippines, the UK and Europe, as well as across its network of more than 175 countries. The company said more than 90% of funded transfers are completed in under one hour, with most delivered within seconds.

The group also said customers are shown the transfer fee and exchange rate before confirming a transaction. Under Remitly’s delivery promise, the company said it refunds the transfer fee if funds do not arrive by the time it specifies.

Davis Dominic Parakal, UAE chief executive at Remitly, said: “The UAE is one of the most important remittance regions in the world, and receiving our CBUAE license is a defining moment for Remitly in this region. We are grateful for the rigorous engagement with CBUAE throughout this process and are proud to operate to the high bar it has set for the industry. We are here to build something for the millions of people in the UAE who deserve fast, fair, and transparent ways to send money across countries.”

The UAE is a major base for expatriate workers and cross-border household payments, making remittance services a closely watched part of the country’s financial infrastructure. Remitly’s announcement positions the licence as part of a broader regional expansion effort, rather than a change limited to one transfer route.

Remitly said it also plans to support financial education in the region, with a focus on helping customers make more informed decisions about how, when and where they send money. The company did not provide a launch date for specific new products linked to the licence.

This story draws on original reporting from Finextra Research.