Regulator
Central Bank of the UAE (CBUAE)
The Central Bank is the federal licensing authority for banks, insurers, finance companies, payment service providers and other financial institutions operating onshore in the UAE. This page sets out how a firm gets licensed by it.
| Jurisdiction | Federal. Financial institutions and activities onshore in the UAE. The decree-law does not apply to the financial free zones or to the firms their authorities regulate. Rule Federal Decree-Law No. (6) of 2025, Art. 2 |
|---|---|
| Governing law | Federal Decree-Law No. (6) of 2025 Regarding the Central Bank, Regulation of Financial Institutions and Activities, and Insurance Business, in force from 16 September 2025. Article 61 lists the financial activities that need a Central Bank licence. Rule Federal Decree-Law No. (6) of 2025, Art. 61 |
| Licensed activities | Article 61 includes taking deposits, providing credit and funding facilities, open finance, currency exchange and money transfer, payment services using virtual assets, and stored value, retail payment and digital money services. Licensed financial institutions are banks, (re)insurance companies and other financial institutions. Rule Federal Decree-Law No. (6) of 2025, Art. 1 and Art. 61; CBUAE FAQs on the Decree-Law |
| Payments | Retail payment services are licensed under the Retail Payment Services and Card Schemes Regulation (Circular No. 15/2021). It defines nine retail payment services and four licence categories, Category I to IV, that cover them. Rule Circular No. 15/2021, Art. 3 and Annex I |
| Check a firm | Licensed payment service providers are entered in the CBUAE register of Licensed Financial Institutions. Rule Circular No. 15/2021, Art. 1 (Payment Service Provider) |
Rules as at 3 November 2026. Each statement carries its label and the section it comes from.
A finance company that intends to provide retail payment services needs a prior licence from the Central Bank for them, with the exception the regulation sets out for issuing credit cards. Rule CBUAE Rulebook, Retail Payment Services and Card Schemes Regulation
The Central Bank also licenses insurers and reinsurers, including branches of foreign insurers, under its insurance regulations, and finance companies under the finance-companies regulation. Guidance CBUAE: Licensing
Who it licenses
Onshore banks, payment service providers, stored value facilities, finance companies, exchange houses, loan-based crowdfunding platforms, dirham payment token issuers and insurers. Rule Decree-Law 6/2025 Art 61; RPSCS Art 1, 2; SVF Regulation; Exchange Business Regulation 2025; Finance Companies Regulation C 3/2023; Loan-Based Crowdfunding Regulation; PTSR 2024 Security and commodity tokens are for the UAE Capital Market Authority (UAE CMA), not the Central Bank. Rule Decree-Law 6/2025 Art 61; UAE CMA VASP General Module Art 2(1)
Licence categories and capital
| Category | Activities | Base capital | Source |
|---|---|---|---|
| Retail Payment Services, Category I | All nine payment services, including cross-border transfers and payment token services | AED 1.5m below AED 10m monthly average value; AED 3m at or above | Rule RPSCS Art 3, 6(1) |
| Retail Payment Services, Category II | Account and instrument issuance, acquiring, aggregation, domestic and cross-border transfers | AED 1m; AED 2m | Rule RPSCS Art 3, 6(1) |
| Retail Payment Services, Category III | As Category II without cross-border transfers | AED 500,000; AED 1m | Rule RPSCS Art 3(4), 6(1) |
| Retail Payment Services, Category IV | Payment initiation and account information only | AED 100,000 | Rule RPSCS Art 4(3), 6(1) |
| Stored Value Facility | Any facility that stores customer value | AED 15m paid-up; capital funds of at least 5% of the float; bank guarantee for the full capital at application | Rule SVF Regulation Art 7(1), 7(4), 7(10) |
| Open Finance Provider | Data sharing; service initiation | AED 1m; capital funds the higher of AED 1m or wind-down cost | Rule Open Finance Regulation Art 6, 7, 9 |
| Exchange House, Categories I to III | Foreign exchange and remittances | AED 2m to AED 10m for a sole establishment or partnership; AED 25m for an LLC, with guarantees | Rule Exchange Business Regulation Art 3, 8, 9 |
| Exchange House, Category IV | Digital remittances only | AED 25m paid-up and AED 25m guarantee | Rule Exchange Business Regulation Art 3.5, 3.6, 8.2, 9.2 |
| Finance Company | Consumer and SME credit, including Islamic | AED 150m paid-up | Rule Finance Companies Regulation Art 6.2, 7.1, 7.2, 11.3 |
| Restricted Licence Finance Company | Short-term credit only | Capital funds the higher of AED 20m or 5% of outstanding lending | Rule Finance Companies Regulation Art 21, 23, 24, 25.2 |
| Dirham Payment Token Issuer | Issuing payment tokens referenced to the UAE dirham | AED 15m plus 0.5% of tokens outstanding | Rule PTSR Art 2(8), 6, 7, 13 |
| Loan-based crowdfunding, Categories 1 and 2 | Loan-based crowdfunding platform | AED 1m or AED 300,000, or 5% of outstanding lending if higher, with an equal bank guarantee | Rule Loan-Based Crowdfunding Regulation Art 1(14), 2, 3, 4 |
| Insurance broker | Insurance brokerage | AED 3m for a UAE company; AED 10m for a foreign or financial free-zone branch | Rule Insurance Brokers' Regulation C 1/2024 Art 2.9 to 2.11 |
| Health insurance third-party administrator | Administering health insurance for insurers | AED 5m paid-up; bank guarantee of AED 1m for the head office and AED 250,000 for each branch | Rule Health Insurance TPA Instructions, IA Board Resolution 9/2011 Art 5(3), 5(7) |
| Bank | Taking deposits | AED 2bn paid-up | Rule Minimum Capital for Banks Regulation C 12/2021, 3.1 |
The Central Bank can require aggregate capital above the payment services floors. Rule RPSCS Art 7(2) Minimum subscribed and paid-up capital for insurance and reinsurance companies, takaful and retakaful included, is set by Article 3 of Cabinet Resolution No. 42 of 2009, as amended by Cabinet Resolution No. 16 of 2017, and Article 4 sets a UAE or GCC ownership condition. Rule Cabinet Resolution 42/2009 Art 1, 3, 4 We name the text rather than quote the figure; read the current version on the Central Bank rulebook before relying on it.
Fees
The payment services and stored value regulations and the restricted licence finance company rules publish no application or annual fee. Rule RPSCS; SVF Regulation; Finance Companies Regulation Part II
People, premises and records
A payment service provider's chief executive must be ordinarily resident, its management must be based in the State, and it must have compliance, risk and internal audit functions. Rule RPSCS Art 1, 10(6) It must audit its accounts and its payment systems every year, keep records for five years and store data in the State. Rule RPSCS Art 10(7), 14(22) A Category IV provider must hold professional indemnity insurance. Rule RPSCS Art 4(3), 10(14)
Documents
Every application pack, whichever the regulator, contains the same core documents. Rule CBUAE licensing requirements by licence type
- Regulatory business plan: the activities applied for, clients, products, three-year financial projections, and the capital plan showing the base capital and how it is funded.
- Corporate documents: constitution or articles, an ownership chart to the ultimate beneficial owners, the group structure, and for a branch the home regulator's consent or no-objection.
- Fit-and-proper files for every controller, director and senior manager: CVs, declarations, criminal and credit checks, and the regulator's own individual forms.
- Compliance and AML framework: compliance manual, AML and CFT policy and risk assessment, and the MLRO arrangements.
- Risk management framework and internal controls, including outsourcing and IT and cyber policies.
- Financial resources: capital adequacy workings and, for existing groups, audited accounts.
- Evidence of premises and of professional indemnity insurance where the category requires it.
Applications go to the Central Bank's Licensing Division by licence type, and incorporation as a UAE onshore company is a precondition for most types. The pack is heavier on governance, including board composition and nationality rules where they apply, bank guarantees where the regulation requires them, and for payment and stored value firms the independent assessment report and safeguarding arrangements. Rule CBUAE licensing requirements by licence type; RPSCS; SVF Regulation A pre-application meeting is usual. Practice Candovio's applications
How to apply, and published timelines
- Confirm the activity and the licence category. Clara, our AI assistant, maps your business to the Central Bank's regulations.
- Prepare and file the application with the Central Bank.
- The Central Bank gives in-principle approval, which is not the final licence. Guidance CBUAE: Licensing
- Meet the conditions; the Central Bank then issues the licence.
Published decision periods: 90 calendar days from a complete file for a card scheme Rule RPSCS Art 18(3); 60 working days for an open finance provider Rule Open Finance Regulation Art 12; about 60 days for insurance licensing Guidance CBUAE: Licensing. The stored value regulation sets no decision deadline Rule SVF Regulation Art 8(9), and none is published for payment services or finance companies. Guidance CBUAE: Licensing We do not promise timelines.
Check a firm
The CBUAE publishes the list of all licensed financial institutions in its rulebook. Guidance CBUAE Rulebook: All licensed financial institutions
Questions
Which payment services category do I need?
It depends on the services. Category I covers all nine services, Category II excludes some, Category III excludes cross-border transfers, and Category IV covers payment initiation and account information only. Rule RPSCS Art 3, 4(3)
What is the capital for a stored value facility?
AED 15m paid-up, aggregate capital funds of at least 5% of the float, and a bank guarantee for the full capital at application. Rule SVF Regulation Art 7(1), 7(4), 7(10)
Does the Central Bank charge an application fee for payment services?
The payment services regulation publishes no fee. Rule RPSCS
Does a payment service provider's chief executive have to live in the UAE?
Yes. The chief executive must be ordinarily resident and management must be based in the State. Rule RPSCS Art 1, 10(6)
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