Saudi fintech Tamara obtains restricted license from UAE Central Bank

Tamara has received a restricted finance license from the Central Bank of the United Arab Emirates.

The fintech platform provides payment and credit solutions in the United Arab Emirates.

According to regulatory requirements, the license enables Tamara to expand its financial services in the country.

Tamara said this license will support its expansion and product development in the United Arab Emirates.

The company plans to introduce new credit and payment products as part of its growth strategy in the market.

🔗 Source: Tamara

🧠 Food for thought

Implications, context, and why it matters.

The Finance Companies Regulation (the rulebook for non‑bank lenders in the UAE) limits Restricted Licence Finance Companies to Short‑Term Credit (credit with brief repayment periods) 1.
The AED 1 million minimum and the ban on serving natural persons (individual consumers) apply to Restricted Licence Banks (a limited‑scope bank category), not to Restricted Licence Finance Companies 2 3.
Agents (third‑party distributors that market or originate products for a licensed firm) must partner with a Finance Company or Bank to offer Short‑Term Credit, not with a Restricted Licence Finance Company 1.

CBUAE requires any person (individuals or companies) who carries on, offers, issues or facilitates Licensed Financial Activities (regulated services defined by the central bank) to hold a licence 4. This applies regardless of technology, with a one‑year grace period for newly in‑scope entities 4.
Under the Retail Payment Services and Card Schemes (RPSCS) Regulation, firms must use multi‑factor authentication (for example, a password plus a one‑time code or biometrics) and manage tech risk 5. Fraud‑detection systems are mandatory for Payment Token Services providers (regulated services involving digital payment tokens) and for Payment Service Providers (PSPs) with a monthly average transaction value of at least AED 10 million 5.
Open Finance lets customers securely share their financial data with approved firms 6. Banks alongside insurers must share customer data and enable transaction initiation with licensed third parties, with phased onboarding starting with them 6.