Page 160 - AAE PR REPORT - SEPTEMBER 2025

9/15/25, 3:45 PM UAE Expats Increasingly Drive Shift To Digital Remittances
critical role in enabling these flows, and Visa is partnering with financial

institutions to deliver simpler, faster and more secure ways to transfer money

internationally.”

Visa's innovations include Visa Direct, which allows real-time money transfers to

billions of cards, bank accounts, and wallets worldwide. In the UAE, Visa has also

rolled out Visa+, enabling users to send international transfers using just a mobile

number.

The broader remittance market in the UAE is also undergoing transformation.

According to the Central Bank of the UAE, outward personal remittances reached

Dh183 billion in 2024, up from Dh169.2 billion the previous year, with India,

Pakistan, the Philippines, Egypt, and Bangladesh among the top recipient

countries. Traditionally dominated by physical exchange houses, this sector is

increasingly being contested by digital-first players such as Wise, Revolut,

PayPal, and UAE-based start-ups like Al Ansari Exchange's digital arm and LuLu

Money, which have been aggressively expanding their app-based offerings.

Industry analysts note that the pandemic accelerated digital adoption, as mobility

restrictions forced consumers to experiment with online transfers. Once tested,

many users discovered digital channels to be faster, safer, and often cheaper.

However, high transaction fees remain a persistent barrier. Visa's survey found

that 32 per cent of respondents in the UAE cited high costs as the main pain point

when sending money, while 27 per cent pointed to fees on the receiving end.

“The remittance market is highly price-sensitive, especially in the UAE where

millions of blue-collar workers send small sums home each month,” said a Dubai-

based payments consultant.“Digital platforms have improved transparency and

speed, but unless fees are reduced further, many still prefer traditional exchange

houses for certain corridors.”

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