United Arab Emirates Prepaid Card and Digital Wallet Market Intelligence and Future Growth Dynamics Databook - Q1 2026 Update

Jaywan-enabled co-badged prepaid issuance is becoming the default scheme strategy

• The domestic scheme Jaywan (managed by Al Etihad Payments (AEP), a CBUAE subsidiary) is moving into market issuance through co-badged debit and prepaid cards, including the announced “Jaywan-Mastercard” debit and prepaid cards. AEP has also stated that UAE financial institutions are expected to start issuing co-branded cards from the second half of 2025, positioning prepaid for domestic routing via UAESWITCH while retaining global acceptance through the international network.
• The driver is a policy-led effort to scale a national scheme and domestic switching capability, which influences issuer economics and acceptance strategy (domestic routing where possible, international coverage where required). This trend links prepaid product design to the UAE’s payments infrastructure roadmap rather than only to retailer distribution.
• Expect more prepaid programs to be planned as Jaywan-compatible from day one, with issuer and processor roadmaps prioritising domestic routing readiness and scheme rule alignment. Competitive differentiation is likely to shift toward who can operationalise co-badging at scale (pricing, routing control, dispute/chargeback operations and compliance governance) rather than who can simply launch a prepaid product.

Wallet-led distribution is pulling prepaid into regulated account ecosystems and wage-adjacent use cases

• Prepaid cards are increasingly being issued as part of wallet/ money account propositions and bundled into regulated payment flows. A recent example is the MOHRE-e& money partnership to facilitate wage payments for domestic workers, which includes a digital wallet, an IBAN, and a prepaid card as part of the publicly described service construct.
• The UAE’s high smartphone usage and app-first consumer behavior support wallet-led acquisition, but the primary driver is distribution through institutional channels, where onboarding and compliance are integral to delivery (e.g., wage facilitation aligned with applicable UAE legislation and regulatory frameworks). This channel dynamic encourages prepaid as an “acceptance layer” tied to regulated stored value and account services.
• What will be the impact over the next 2-4 years?

Compliance-driven operating models are becoming a gating factor for prepaid scale-up

• UAE prepaid programs are increasingly constrained (and enabled) by the CBUAE Rulebook perimeter, particularly Stored Value Facilities (SVF) and Retail Payment Services and Card Schemes (RPSCS) licensing and operating requirements. In addition, the Federal Decree-Law No. (6) of 2025 expanded and reaffirmed the scope of licensed financial activities and CBUAE authority, increasing focus on licensing posture and compliance timelines for impacted entities.
• The driver is a regulatory push to ensure that stored value, retail payments, and related digital services are provided under CBUAE oversight, which raises expectations for governance, outsourcing controls, safeguarding arrangements, and audit readiness across the prepaid value chain. This changes partner selection dynamics: banks, fintechs, processors and program managers are evaluated more on licensing/controls than on speed-to-market.
• The market should see fewer loosely structured prepaid launches and more emphasis on regulated operators with repeatable control frameworks. Competitive advantage is likely to accrue to players that can evidence compliance execution (monitoring, reporting, third-party oversight) while still shipping integrations quickly.

Design customer onboarding and servicing without assuming unrestricted VoIP features in common apps

• Some widely used global apps remain restricted for VoIP calling in the UAE, which can affect verification help lines, dispute-resolution workflows, and customer support if firms assume “app calling” will work. The UAE telecom regulator, TDRA, publishes internet guidelines, including an approved VoIP app list; independent reporting continues to flag restrictions on certain VoIP functions (e.g., WhatsApp calling).
• This is driven by the UAE telecom policy and the requirement that VoIP services align with national regulations and licensed provision. For prepaid programs, the practical linkage is operational: servicing, collections, and customer care must be designed around compliant channels.
• This is likely to remain a constraint rather than a growth engine, but it will separate operators with robust servicing design (in-app chat, call-back, ticketing, permitted voice channels) from those with fragile support flows. It can influence customer satisfaction, dispute turnaround times, and complaint volumes, especially as prepaid scales through institutional channels.

Competitive Landscape of the UAE Prepaid Card Market

• The UAE prepaid competitive environment is tightening around scheme strategy (Jaywan + global co-badges) and regulated distribution. The announced AEP partnerships to launch co-branded Jaywan-Mastercard prepaid products, with issuance expected from the second half of 2025, is a market-structuring move that changes issuer decisioning on routing, economics, and acceptance.
• Over the next few years, the competitive map is likely to be shaped by CBUAE’s licensing perimeter for SVF and retail payment services, and by players that win repeatable distribution through government-adjacent and employer-linked flows. Firms that build defensible compliance operations and depth of integration should be better positioned than those competing primarily on front-end features.

Current Market Dynamics

• A defining feature of the current UAE prepaid market is that issuance roadmaps are increasingly linked to Jaywan and UAESWITCH operating reality, rather than only to network preference. The AEP-Mastercard collaboration explicitly includes co-branded prepaid cards, signalling a mainstream pathway for issuers to meet domestic and cross-border acceptance requirements through one product plan.
• At the same time, prepaid is increasingly distributed through wallet-led account ecosystems, where the value proposition includes transfers, IBAN-linked functionality, and servicing not just card spend. The MOHRE-e& money wage facilitation construct demonstrates how prepaid can be bundled as an enabling rail inside a regulated payment flow.

Key Players and Market Share

• Al Etihad Payments (AEP) is a key player in the UAE prepaid market because it operates the national switch and manages Jaywan, which influences how domestic routing and scheme participation evolve. Public communications from AEP indicate that UAE financial institutions are expected to begin issuing co-branded cards from the second half of 2025, which will affect issuer product sequencing and processor priorities.
• On the distribution side, ecosystem players that control onboarding and app activity are becoming central to prepaid expansion through bundled propositions. e& money is an observable example of this through its MOHRE partnership, which includes a prepaid card, suggesting that wallet-led issuance and institutional channels can generate repeatable prepaid volumes.

Recent Launches and Partnerships

• A key partnership development is the AEP-Mastercard strategic collaboration to launch “Jaywan-Mastercard” co-branded debit and prepaid cards. This is relevant to competitive intensity because it widens the practical issuance options for banks and partners seeking domestic scheme alignment without giving up international acceptance coverage.
• A second partnership signal is the MOHRE-e& money arrangement to facilitate wage payments for domestic workers, which includes a wallet, an IBAN, and a prepaid card. This shows that prepaid competition is expanding into institution-backed distribution models rather than relying only on retail acquisition.

Anticipated Market Evolution (Next 2-4 Years)

• Competitive intensity is likely to rise around two capabilities: Jaywan co-badge issuance execution and routing/economics optimisation across domestic and international acceptance. If co-badged issuance scales as indicated by AEP timelines, product differentiation will shift toward who can manage routing control, settlement operations, disputes, and partner governance efficiently.
• Wallet-led players and regulated SVF/RPSCS license holders are likely to compete through distribution partnerships that generate recurring payment activity rather than one-time card issuance. Separately, customer operations that assume unrestricted VoIP calling in common apps may face friction; designing around TDRA-permitted channels is likely to be a practical execution requirement.

Regulatory Changes

• Within the last 12 months, the UAE issued Federal Decree-Law No. (6) of 2025 regarding the Central Bank and the regulation of financial institutions and activities, which took effect in September 2025, per legal analysis. This development reinforces the CBUAE’s authority over payment services and expands the perimeter of regulated activities, underscoring the importance of licensing and compliance readiness for prepaid-linked stored-value and retail payment operations.
• In parallel, the CBUAE Rulebook continues to anchor operating expectations for SVF and RPSCS-regulated activities that underpin many prepaid-linked business models. For prepaid programs, the main regulatory implication is that sustainable scale requires alignment to licensing categories, governance controls, and ongoing supervisory expectations, which influences partner selection and time-to-market.

Overview of Prepaid Cards and Digital Wallet Market

Prepaid Card Market Analysis

• Metrics Assessed: The study examines the prepaid card market through various lenses, including transaction value, transaction volume, average transaction value, load value, and the total number of cards in circulation.
• Card Types: A distinction is made between open-loop and closed-loop prepaid cards, providing insights into their respective market shares and growth trajectories.
• Usage Categories: The report segments the prepaid card market into various categories such as general-purpose cards, business and administrative expense cards, travel forex cards, and meal cards.
• Business Segmentation: Further segmentation is provided based on business size and type, including small-scale businesses, mid-tier businesses, enterprise-level businesses, government entities, and retail consumers.
• Sector-Specific Applications: The analysis extends to specific sectors utilizing prepaid cards, including transit and toll payments, healthcare and wellness services, social security and other government benefit programs, fuel purchases, utilities, and more.

Digital Wallet Market Insights

• Key Segments: The digital wallet market is dissected across five primary spending categories: retail shopping, travel, entertainment and gaming, dining establishments, and recharge and bill payments.
• Performance Metrics: For each segment, the report evaluates transaction value, transaction volume, and average transaction value, offering a granular view of consumer spending behaviors.
• Retail Spend Breakdown: An in-depth analysis is provided for retail spending via digital wallets, covering categories such as food and grocery, health and beauty products, apparel and footwear, books, music and video, consumer electronics, pharmacy and wellness, gas stations, restaurants and bars, toys, kids and baby products, services, and other miscellaneous categories.

Virtual Prepaid Card Market Segmentation

• Categories Analyzed: The virtual prepaid card market is segmented into key categories, including general-purpose cards, gift cards, entertainment and gaming cards, teen and campus cards, business and administrative expense cards, payroll cards, meal cards, travel forex cards, transit and toll cards, social security and other government benefit program cards, fuel cards, utilities, and other miscellaneous categories.
• Performance Evaluation: For each category, the report assesses transaction value, providing insights into the adoption and usage patterns of virtual prepaid cards across different consumer segments.

Consumer Usage Trends

The report delves into consumer behavior concerning prepaid cards, segmented by:

• Age Groups: Identifying usage patterns across different age demographics.
• Income Levels: Analyzing how income brackets influence prepaid card adoption and usage.
• Gender: Examining differences in usage trends between genders.

Report Scope

United Arab Emirates Prepaid Payment Instrument Market Size and Forecast

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Prepaid Card vs. Digital Wallet

United Arab Emirates Digital Wallet Market Size and Forecast

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Key Segments

United Arab Emirates Digital Wallet Market Size and Forecast by Key Segments

• Retail Shopping (Value, Volume, Avg. Value)
• Travel (Value, Volume, Avg. Value)
• Restaurant (Value, Volume, Avg. Value)
• Entertainment and Gaming (Value, Volume, Avg. Value)
• Recharge and Bill Payment (Value, Volume, Avg. Value)

United Arab Emirates Digital Wallet Retail Spend Dynamics

• Food and Grocery - Transaction Value
• Health and Beauty Products - Transaction Value
• Apparel and Foot Wear - Transaction Value
• Books, Music and Video - Transaction Value
• Consumer Electronics - Transaction Value
• Pharmacy and Wellness - Transaction Value
• Gas Stations - Transaction Value
• Restaurants & Bars - Transaction Value
• Toys, Kids, and Baby Products - Transaction Value
• Services - Transaction Value
• Others - Transaction Value

United Arab Emirates Prepaid Card Industry Market Attractiveness

• Load Value Trend Analysis
• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards
• Market Share Analysis by Functional Attributes - Open Loop vs. Closed Loop
• Market Share Analysis by Prepaid Card Categories

United Arab Emirates Open Loop Prepaid Card Future Growth Dynamics

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards

United Arab Emirates Closed Loop Prepaid Card Future Growth Dynamics

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards

United Arab Emirates Prepaid Card Consumer Usage Trends

• By Age Group
• By Income Group
• By Gender

United Arab Emirates Prepaid Card Retail Spend Dynamics

• Food and Grocery - Transaction Value
• Health and Beauty Products - Transaction Value
• Apparel and Foot Wear - Transaction Value
• Books, Music and Video - Transaction Value
• Consumer Electronics - Transaction Value
• Pharmacy and Wellness - Transaction Value
• Gas Stations - Transaction Value
• Restaurants & Bars - Transaction Value
• Toys, Kids, and Baby Products - Transaction Value
• Services - Transaction Value
• Others - Transaction Value

United Arab Emirates General Purpose Prepaid Card Market Size and Forecast

United Arab Emirates Gift Card Market Size and Forecast

Gift Card Market Size and Forecast by Functional Attribute

• By Open Loop Gift Card
• By Closed Loop Gift Card

Gift Card Market Size and Forecast by Consumer Segments

• By Retail Consumer Segment
• By Corporate Consumer Segment

Gift Card Market Share Analysis by Retail Categories

• Gift Card Market Share Analysis by Gifting Occasion
• Gift Card Market Share Analysis by Purchase Location

United Arab Emirates Entertainment and Gaming Prepaid Card Market Size and Forecast

United Arab Emirates Teen and Campus Prepaid Card Market Size and Forecast

Teen and Campus Prepaid Card Market Size and Forecast by Functional Attribute

• By Open Loop Teen and Campus Prepaid Card
• By Closed Loop Teen and Campus Prepaid Card

United Arab Emirates Business and Administrative Expense Prepaid Card Market Size and Forecast

Business and Administrative Expense Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

United Arab Emirates Payroll Prepaid Card Market Size and Forecast

Payroll Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

United Arab Emirates Meal Prepaid Card Market Size and Forecast

Meal Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

United Arab Emirates Travel Forex Prepaid Card Market Size and Forecast

Travel Forex Prepaid Card Market Size and Forecast by Consumer Segments

• By Retail
• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

United Arab Emirates Transit and Tolls Prepaid Card Market Size and Forecast

United Arab Emirates Social Security and Other Government Benefit Programs Prepaid Card Market Size and Forecast

United Arab Emirates Fuel Prepaid Cards Market Size and Forecast

United Arab Emirates Utilities, and Other Prepaid Cards Market Size and Forecast

United Arab Emirates Virtual Prepaid Card Industry Market Attractiveness

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Key Virtual Prepaid Card Categories

United Arab Emirates Virtual Prepaid Card Market Size by Key Categories

• General Purpose Prepaid Card - Transaction Value
• Gift Card - Transaction Value
• Entertainment and Gaming Prepaid Card - Transaction Value
• Teen and Campus Prepaid Card - Transaction Value
• Business and Administrative Expense Prepaid Card - Transaction Value
• Payroll Prepaid Card - Transaction Value
• Meal Prepaid Card - Transaction Value
• Travel Forex Prepaid Card - Transaction Value
• Transit and Tolls Prepaid Card - Transaction Value
• Social Security and Other Government Benefit Programs Prepaid Card - Transaction Value
• Fuel Prepaid Cards - Transaction Value
• Utilities, and Other Prepaid Cards - Transaction Value

Reasons to Buy

• In-depth understanding of United Arab Emirates’s prepaid card and digital wallet market dynamics: Gain a structured view of market opportunity, operating models, and competitive dynamics across 80+ segments and sub-segments, spanning prepaid cards (open-loop and closed-loop), digital wallets, wallet-linked prepaid credentials, and virtual prepaid cards. Analysis focuses on how stored value is issued, funded, used, and regulated in United Arab Emirates’s payments ecosystem.
• Understand United Arab Emirates’s market opportunities and key trends with forward-looking forecasts (2021-2030): Assess historical performance and future outlook for prepaid cards and digital wallets using core KPIs such as transaction value, transaction volume, active users, and average transaction value, with clear separation between consumer and commercial use cases and wallet-based versus card-based spend.
• Develop United Arab Emirates specific prepaid and digital wallet strategies: Identify high-growth segments and structurally resilient use cases to support market-entry, expansion, or optimisation strategies. Evaluate United Arab Emirates-specific drivers, constraints, and risks, including regulation, macroeconomic conditions, and adoption patterns, to inform realistic, market-aligned strategic decisions.
• Detailed analysis of United Arab Emirates’s market share by key players across prepaid and wallet categories: Understand competitive positioning through issuer and platform-level market share analysis across major prepaid card types, digital wallets, and virtual prepaid instruments. Coverage highlights how banks, fintechs, and wallet providers compete across funding sources, acceptance reach, and use case depth.
• Insights into United Arab Emirates’s consumer attitudes and payment behaviour: Analyse how consumers use prepaid cards, virtual prepaid cards, and digital wallets for everyday spend, e-commerce, subscriptions, and controlled payments. Understand behavioural shifts, frequency of use, and value per transaction to support ROI optimisation, product design, and targeted go-to-market strategies.