Checkout.com has received in-principle approval from the Central Bank of the UAE for a Stored Value Facilities license, moving the payments company closer to launching card-issuing services alongside its existing merchant-acquiring operations in the country.
The approval remains conditional and does not constitute a final license. Checkout.com must complete the regulator’s remaining requirements before it can begin providing services covered by the proposed authorization.
Approval Advances UAE Issuing Plans
The Central Bank of the UAE granted Checkout.com in-principle approval for a Stored Value Facilities, or SVF, license. Checkout.com said the authorization would eventually allow it to introduce issuing capabilities in the UAE, subject to the completion of the licensing process.
Checkout.com already provides acquiring services, which allow merchants to accept and process customer payments. Issuing operates on the other side of a card transaction: an authorized provider creates and manages physical or virtual payment cards used by consumers, employees, suppliers or business partners. Combining the two functions could allow a merchant to receive payments and use part of those funds for card-based expenses or payouts through the same provider.
The company first disclosed its UAE issuing plans in April 2025, when it said it intended to roll out domestic card issuance in 2026, pending regulatory approval. At the time, Checkout.com said potential uses could include branded cards, employee expense programs, customer rewards and business-to-business payments.
Checkout.com said the approval marks a step toward making the issuing product operational, rather than authorization to begin offering the service immediately.
Checkout.com Targets Connected Payment Flows
Checkout.com said the planned service would connect acquiring, card issuing and business-account functions through a single platform. Under the model described by the company, eligible businesses could eventually fund issued cards using balances generated from payments they have already received.
A marketplace, travel company or digital platform, for example, may collect money from customers while also needing to pay suppliers, issue employee cards or distribute funds to third parties. Those activities are frequently handled through separate providers and accounts. Checkout.com said integrating those functions within one system could reduce the number of transfers and reconciliations required to move money between the collection and payment stages.
Any operational benefits will depend on the final scope of the license, the products approved by the regulator and the way merchants integrate the services.
Checkout.com also reported that its total processing volume across the Middle East and North Africa increased 62% between 2024 and 2025.
The latest approval builds on Checkout.com’s existing regulatory position in the UAE. The company said in its 2025 announcement that it had previously obtained a Retail Payment Services license from the central bank. Under the regulator’s framework, retail payment services can include merchant acquiring, payment-account issuance, payment-instrument issuance and domestic or cross-border fund transfers.
Microsoft Partnership Expands Enterprise Reach
Checkout.com’s regulatory progress in the UAE follows a separate expansion of its enterprise payments business. In June 2026, Microsoft selected Checkout.com to support digital payment processing across key products in Europe, the Middle East and Africa, including Xbox, Microsoft 365 and Microsoft Azure.
Under the agreement, Checkout.com provides acquiring services for Microsoft and connects directly with the technology company’s Payments API. Microsoft is also using Checkout.com’s Intelligent Acceptance system, which applies real-time network data to payment routing with the aim of reducing failed transactions and improving authorization performance across different markets.
The Microsoft arrangement highlights the scale of payment infrastructure Checkout.com is building across the wider EMEA region. While the partnership focuses on accepting and routing payments rather than card issuance, the UAE license application could eventually broaden the company’s role by allowing it to support both sides of the payment cycle: helping businesses collect funds and providing tools for issuing cards and managing stored value.
Checkout.com Moves Toward Commercial Launch
Final authorization would expand Checkout.com’s ability to participate in more parts of the payment cycle in the UAE. Instead of focusing primarily on helping merchants accept transactions, the company could also support the creation and management of payment cards and stored-value products, within the boundaries of the approved license.
The development also reflects a broader shift among international payment providers toward offering acquiring, issuing and money-management tools through integrated systems. Merchants with high transaction volumes increasingly use payment infrastructure not only to collect sales revenue but also to manage supplier payments, customer refunds, incentives and operational spending.
Regulatory approval remains central to that expansion. Products involving stored funds and card issuance introduce obligations related to customer protection, financial resources, governance, risk management and the handling of client money.
