PhonePe secures UAE central bank approval for payment licenses

PhonePe has cleared a major regulatory hurdle in its international expansion strategy, securing in-principle approval from the UAE Central Bank for two separate payment licenses. The approvals cover retail payments, card schemes, and stored-value facilities, enabling the Indian digital payments platform to operate formally in the United Arab Emirates.

The move represents PhonePe's latest push to establish operations beyond India, where it has built a dominant position in the digital payments landscape. The UAE approval provides the fintech startup with regulatory clarity to launch and scale payment services in one of the Middle East's most developed financial markets.

This development aligns with PhonePe's broader strategy to establish presence across key Asian markets. The company, which is owned by Flipkart and backed by Walmart, has been expanding its fintech offerings domestically while exploring international opportunities to diversify revenue streams and reduce reliance on the Indian market.

The in-principle approval from the UAE Central Bank represents a conditional go-ahead, with the company expected to fulfill additional regulatory requirements before commencing operations. Such approvals typically signal strong progress toward obtaining full operational licenses in the jurisdiction.