Update on UAE Central Bank regulation
Updated : 08:35
Network International Holdings Plc
Update on UAE Central Bank regulation of merchant fees
7 September 2020
Network International Holdings Plc (LSE: NETW), the leading enabler of digital commerce across the Middle East and Africa, provides an update on the regulation of fees incurred by merchants who accept digital and card transactions in the United Arab Emirates (UAE).
The UAE Central Bank has completed its consultation and confirmed that interchange fees charged to merchants on debit card transactions will be reduced, in line with our expectations. This will be introduced in a phased manner, with the effective date of the changes yet to be confirmed.
Interchange fees are those which are charged by the card issuing banks. There is no proposed regulation of the fees charged by acquirers, such as Network International. The reduction in interchange is a pass-through cost from Network International to merchant customers, and therefore we expect no adverse impact to our financials as a result of this change.
In the medium to longer term, we expect this will further accelerate the adoption of card and digital payment acceptance by merchants and will therefore be beneficial to our business.
Investor Relations enquiries
Network International InvestorRelations@Network.Global
Amie Gramlick, Head of Investor Relations
Media enquiries
Finsbury Network-Lon@Finsbury.com
James Leviton, Rob Allen
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.