Dubai has unveiled ambitious plans to eventually become a fully cashless city.
According to TimeOut Dubai, the emirate’s cashless strategy will see all payments across both government and private sectors go digital.
First announced in October 2024, the initiative seeks to phase out notes and coins in favour of digital payments throughout the city.
Dubai expects cashless transactions to account for around 90% of all payments by 2026, potentially boosting economic growth by over AED 8 billion annually.
Moving towards a cashless system does not mean abandoning money entirely. Instead, payments will be made digitally.
Banking apps and credit cards currently serve as the primary means of conducting transactions without physical cash.
The strategy also places strong emphasis on innovation in digital payments.
This includes AI-driven solutions and contactless technologies, which offer a broader range of payment options for residents and visitors.
Dubai Finance has launched a wide-ranging awareness and promotional campaign to drive adoption.
The aim is to achieve 90% cashless transactions in both government and private sectors by the end of 2026.
Earlier initiatives include a Memorandum of Understanding (MOU) between the Dubai Finance Department and the General Directorate of Identity and Foreigners Affairs (GDRFA).
Under the agreement, the GDRFA will explore further digital payment initiatives. It will also facilitate secure and efficient transactions and expand digital payment channels in line with the Cashless Dubai strategy.
The latest collaboration between Dubai Finance and Network International aims to introduce innovative fintech solutions to the public. These initiatives are designed to make payments more seamless for all users.
Additionally, in early 2025, DIFC and Dubai Finance agreed to lead specialised workshops to support businesses in adopting digital payments.
These workshops will also bring AI-driven initiatives to benefit workers, tourists, and the wider community.
Dubai plans for all stores to eventually accept digital payments, enabling everyone living in the city to pay digitally.
In other words, bartering at the souq with notes could soon be a thing of the past. Rummaging for coins may also become unnecessary.
The Cashless Dubai Strategy was first unveiled on 1 October 2024 during a meeting of The Executive Council of Dubai. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, chaired the meeting.
The city aims to become one of the top five cashless cities in the world.
It also intends to provide a range of financial technology services to residents and visitors alike.
Consumers, payment service providers, and merchants drive Dubai’s move towards a cashless city.
The initiative promises greater convenience and faster payments across the emirate.
At the same meeting, discussions also covered Dubai’s broader strategies for real estate, education, and transport.
Featured image credit: Edited by Fintech News Middle East, based on image by freepik
