UAE launches Jaywan domestic card scheme to reduce merchant transaction fees

The UAE officially launched Jaywan on Tuesday, 21 July, as its first domestic debit card scheme, designed to reduce transaction costs for retailers and improve financial inclusion across the Emirates. Developed by Al Etihad Payments, a subsidiary of the Central Bank of the UAE (CBUAE), the card operates on local infrastructure, bypassing international networks for domestic purchases. Lower transaction fees for retailers The Jaywan scheme primarily targets the reduction of interchange fees paid by merchants. Licensed financial institutions in the UAE will begin issuing Jaywan-branded debit cards to customers, which will be accepted at all local Point of Sale (POS) terminals and ATMs. The Central Bank confirmed that the card is intended to co-exist with international schemes such as Visa and Mastercard, rather than replace them entirely for overseas travel. The timing of this rollout follows the 2023 partnership between Al Etihad Payments and India’s National Payments Corporation of India (NPCI). By leveraging the technology behind India's RuPay, Jaywan facilitates cross-border functionality specifically between the UAE and India. This link allows UAE residents using Jaywan cards to make payments at merchant locations in India, and vice versa for RuPay cardholders in the Emirates. Integration with international networks While the card functions locally via the UAE's national switch, Al Etihad Payments has secured agreements to extend its reach globally. Jaywan cards may be…