Small and medium-sized enterprises (SMEs) are the backbone of the UAE economy, representing 90 percent of local businesses and a major portion of its non-oil GDP. However, these businesses have historically struggled with a significant funding gap, often receiving only a fraction of total bank financing and dealing with the friction of traditional banking processes. To address this, the UAE is accelerating its digital transformation, and Dubai-based fintech startup Pemo has just reached a major milestone in this effort. The company recently secured in-principle approval from the Central Bank of the UAE for a Stored Value Facilities (SVF) license, a move that signals a significant shift toward more agile financial management for local companies.

Once fully licensed, this development will allow Pemo to move beyond simple expense management by enabling its 6,000-plus corporate clients to hold and manage funds directly within the platform. This innovation will empower businesses to use digital wallets to load, hold, and spend capital, effectively bypassing the delays often associated with legacy banking systems. According to Pemo’s CEO, Ayham Gorani, this regulatory win is a crucial step in simplifying financial operations for SMEs, offering them greater control over cash flow and corporate card funding. As the company transitions into a more comprehensive financial provider, this regulatory backing promises to streamline everyday transactions and further solidify the UAE’s reputation as a burgeoning hub for fintech innovation.