The UAE’s Ministry of Finance (MoF) has announced a landmark partnership with leading regional fintech startup Tabby, allowing customers to pay for federal government services and fines using a Buy Now, Pay Later (BNPL) model. The first-of-its-kind collaboration for the Ministry marks a significant step in integrating modern financial technology into public sector services.
A Public Sector First
This strategic alliance aims to simplify the payment process for residents by offering flexible monthly installments. Under the agreement, Tabby will settle the full amount of fees or fines with the respective government entity upfront. The customer will then repay the amount to Tabby over a pre-agreed installment plan.
The partnership covers all federal entities, providing greater flexibility for individuals and businesses in managing their financial obligations. It also represents a major milestone for Tabby as it expands its services from the private retail sector into government payments.
Streamlining Government Payments
The initiative is part of the Ministry’s broader efforts to improve the customer experience and enhance the efficiency of the federal financial collection system. By adopting a popular digital payment solution, the MoF is expanding its electronic payment options, promoting financial inclusion, and supporting the UAE’s national digital transformation agenda.
The Ministry has secured a competitive commission rate for the service, which will be borne by the customer only if they opt to use the installment payment feature.
A Paradigm Shift In Public Finance
His Excellency Saeed Rashid Al Yateem, Assistant Undersecretary for Government Budget and Revenue Sector at the Ministry of Finance, highlighted the partnership’s importance in modernizing federal revenue management.
“This collaboration represents a paradigm shift in the ongoing modernisation of payment systems across federal entities,” Al Yateem stated. “We are committed to adopting innovative solutions and strategic partnerships that contribute to building an integrated and sustainable financial infrastructure.”
Expanding Financial Flexibility
For Tabby, the move signifies a strategic expansion into a new and crucial vertical. The partnership aligns with the company’s core mission to provide consumers with more accessible and flexible payment options.
Hosam Arab, Co-founder and CEO of Tabby, commented, “This partnership marks a significant step forward for Tabby as we continue expanding our services to include the federal government sector. Our mission has always been to provide customers with greater financial flexibility, and we are proud to support the Ministry of Finance in making federal services more accessible across the UAE.”
About Tabby
Tabby is a leading shopping and financial services app in the MENA region. It empowers millions of people with the freedom to shop, pay, and save responsibly by offering flexible payment solutions. The company allows customers to split their purchases into four interest-free payments at thousands of brands, both online and in-store.
Source: Zawya
