UAE Buy Now Pay Later Business and Investment Opportunities Report 2024: BNPL payments expected to grow 16.6% to reach .04 billion in 2024

UAE Buy Now Pay Later Business and Investment Opportunities Report 2024: BNPL payments expected to grow 16.6% to reach $3.04 billion in 2024

Company logo

Company logo

United Arab Emirates Buy Now Pay Later Marketplace

United Arab Emirates Buy Now Pay Later MarketplaceUnited Arab Emirates Buy Now Pay Later Marketplace

United Arab Emirates Buy Now Pay Later Marketplace

Dublin, Feb. 09, 2024 (GLOBE NEWSWIRE) — Buy Now Pay Later Business & Investment Opportunities Databook – 75+ KPIs on BNPL Market Size, End-Use Sectors, Market Segmentation, Product Analysis, business model, demographics – Q1 2024 update” has been added to the report ResearchAndMarkets.com’s The offer of

BNPL payments in the country are expected to grow by 16.6% on an annual basis to reach $3.04 billion in 2024.

The medium to long term growth story of the BNPL industry in the country remains strong. BNPL payments adoption is expected to grow steadily over the forecast period, registering a CAGR of 10.8% during 2024-2029. The gross value of BNPL goods in the country will increase from $2.60 billion in 2023 to reach $5.07 billion by 2029.

This report provides a detailed data-centric analysis of the Buy Now Pay Later (BNPL) industry, covering market opportunities and risks across a range of retail categories. With over 75 country-level KPIs, this report provides a comprehensive understanding of BNPL market dynamics, market size and forecast, and market share statistics.

The buy-now-pay-later market is expected to grow at a steady pace in the medium term in the UAE. Increasing adoption of the payment method by buyers, along with new entrants into the sector, will support the market’s growth trajectory in 2024. Existing BNPL providers are also raising funding rounds from venture capital and private equity firms.

With the market poised for growth over the next three to four years, the authorities have sought to regulate the unregulated sector. In the Emirates, the central bank has issued new guidelines for BNPL firms, requiring them to be licensed to operate in the market. The guidelines, along with increasing adoption, are anticipated to support steady industry growth over the next three to four years.

Firms are raising debt and equity rounds to further scale their product offering in the region

Demand for payment solutions like BNPL is expected to grow further in 2024. Consequently, to better serve consumer demand, firms are raising capital through debt and equity rounds in the Emirates.

Tabby, one of the leading BNPL firms based in the United Arab Emirates, announced that the firm had secured $700 million in debt financing from JPMorgan, while expanding its Series D round to $250 million in November 2023. The equity round strengthens the beyond Tabby’s position in domestic and regional markets, where it manages more than $6 billion in annual transaction volume. Tabby, in particular, serves more than 10 million users and has partnered with over 30,000 brands.

The firm has been innovating with its product line as it seeks to better meet the evolving needs of its users. Tabby, in 2023, launched the Tabby Shop offering more than 500,000 products from thousands of brands. Tabby Card is also growing, with transactions reaching more than 20% of total volumes. To expand the distribution of its BNPL product, the firm is also forging strategic alliances in the Emirates. Tabby, in September 2023, entered into a partnership with Arabian Automobiles to offer increased convenience and flexibility for vehicle maintenance and repair.

In addition, firms are also expected to raise venture capital and private equity funding, thereby driving innovation and a competitive landscape in the sector.

Global firms are entering the fast-growing buy-now-pay-later industry in the UAE

The BNPL industry is projected to grow steadily over the next three to four years amid increasing adoption of the payment method. To tap into the growing market, global firms are entering the industry with their own solutions.

Alif, one of the leading global fintech firms, launched its suite of financial services in the UAE market in September 2023. The suite of financial services includes products such as send now pay later, buy now pay later and fly now pay later late, among other things. The firm also launched global expatriate remittance services for residents in the United Arab Emirates.

As the market continues to grow and more global players launch their products in the UAE, the competitive landscape is poised to grow even further in the short to medium term.

The Central Bank issued new guidelines for buy-now-pay-later firms in the United Arab Emirates

The Central Bank, in December 2023, announced new regulations to oversee BNPL services. According to the Central Bank of the United Arab Emirates, businesses providing BNPL services must operate as agents of licensed banks or financial institutions, with approval from the central bank.

Fintech companies in the BNPL sector can also provide short-term lending services after obtaining a license as a limited license finance company. Unlicensed entities offering short-term loans must either apply for a license or cooperate with licensed banks to continue their services.

The central bank has defined short-term credit as credit granted up to 12 months for the purchase of goods or services without interest, collateral or deposit with guarantee. This regulation is in line with the growing global trend of BNPL services, driven by increasing consumer demand for flexible payment options and the expansion of e-commerce. These guidelines will serve as a basis for further regulatory activities for the BNPL sector in the Emirates.

Main attributes:

The report attribute

The details

number of pages

88

Forecast period

2024 – 2029

Estimated market value (USD) in 2024

3 billion dollars

Estimated market value (USD) by 2029

5.1 billion dollars

Compound Annual Growth Rate

10.8%

Regions covered

United Arab Emirates

Scope

UAE BNPL Market Size and Spending Pattern, 2020-2029

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

United Arab Emirates Buy Now Pay Later Revenue Analysis, 2020-2029

  • Buy now Pay income later

  • Buy now Pay later Divide by revenue segments

  • Buy Now Pay Later Earnings from Trading Commission

  • Buy Now Pay the subsequent income according to the missed payment fee income

  • Buy now Pay income later by paying now and other income

United Arab Emirates Buy Now Pay Later KPIs and Operational Statistics, 2020-2029

UAE BNPL by target, 2020-2029

UAE BNPL by Business Model, 2020-2029

UAE BNPL by Trade Ecosystem, 2020-2029

  • Open the cycle system

  • Closed loop system

UAE BNPL by Distribution Pattern Analysis, 2020-2029

UAE BNPL Analysis by Channel, 2020-2029

  • Online channel

  • POS channel

UAE Buy Now Pay Later in Retail Shopping: Market Size and Forecast, 2020-2029

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

UAE Buy Now Pay Later Home Improvement: Market Size and Forecast, 2020-2029

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

United Arab Emirates Buy Now Pay Later Travel: Market Size and Forecast, 2020-2029

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

United Arab Emirates Buy Now Pay Later Media & Entertainment: Market Size and Forecast, 2020-2029

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

UAE Buy Now Pay Later Services: Market Size and Forecast, 2020-2029

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

UAE Buy Now Pay Later Automotive: Market Size and Forecast, 2020-2029

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

UAE Buy Now Pay Later in Health Care and Wellness: Market Size and Forecast, 2020-2029

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

United Arab Emirates Buy Now Pay Later in Others: Market Size and Forecast

  • Gross merchandise value trend analysis

  • Average value per transaction trend analysis

  • Transaction volume trend analysis

United Arab Emirates Buy Now Pay Later Analysis by Consumer Attitude and Behavior

For more information about this report, visit https://www.researchandmarkets.com/r/yj0ekq

About ResearchAndMarkets.com
ResearchAndMarkets.com is the world’s leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, top industries, top companies, new products and the latest trends.

Attachment

CONTACT: CONTACT: ResearchAndMarkets.com Laura Wood,Senior Press Manager [email protected] For E.S.T Office Hours Call 1-917-300-0470 For U.S./ CAN Toll Free Call 1-800-526-8630 For GMT Office Hours Call +353-1-416-8900

Leave a Comment

Your email address will not be published. Required fields are marked *