The United Arab Emirates Ministry of Finance has entered into a new partnership with Middle East fintech Tabby to modernize how government fees and fines are paid. Through this collaboration, individuals and businesses can now settle federal government charges in monthly installments instead of in a single upfront payment. The initiative reflects the country’s broader push to expand digital payment options and embed flexible financing tools into public services.
Expanding Digital Payment Choices
The new service uses a Buy Now, Pay Later model that has been widely adopted in retail and e commerce, now adapted for federal government transactions. Customers paying service fees or fines through authorized channels will be able to choose Tabby as a payment option and break their obligations into scheduled installments. This responds to growing demand for more convenient payment methods while keeping the federal collection process secure and systematized.
How the Tabby Installment Model Works
Under the structure of the partnership, Tabby settles the full amount of the fee or fine directly with the relevant federal entity at the time of the transaction. The customer then repays Tabby over an agreed timeline in monthly installments, according to predefined terms and conditions. This approach allows government entities to receive their revenues upfront while users gain breathing room to manage their cash flow.
Commission Structure and Customer Choice
The Ministry of Finance has negotiated what it describes as the most competitive commission framework available for this type of service. Any commission associated with the installment plan is borne only by customers who actively choose to use Tabby for their federal payments. This preserves the traditional payment routes for those who prefer to pay in full, while adding a clearly structured optional financing layer.
Enhancing Revenue Management and Collection Efficiency
According to the Ministry, the Tabby collaboration is part of a broader effort to adopt modern financial technologies across the federal system. The goal is to strengthen revenue management, streamline inflows, and reduce friction in how federal entities collect and reconcile payments. By improving the predictability and timeliness of collections, the government aims to raise overall efficiency without compromising financial controls.
Focus on Customer Experience and Financial Inclusion
Saeed Rashid Al Yateem, Assistant Undersecretary for the Government Budget and Revenue Sector at the Ministry of Finance, highlighted that the initiative is designed around customer needs. He emphasized that giving residents and businesses more flexible payment options should help them meet obligations to government entities in a secure and manageable way. This aligns with national priorities to enhance financial inclusion, expand access to digital services, and support a more resilient household and business financial environment.
Tabby’s Strategic Expansion into the Public Sector
For Tabby, the partnership marks a strategic milestone as the company extends beyond private sector merchants into the federal government space. Co founder and CEO Hosam Arab noted that the move is consistent with Tabby’s mission to provide greater financial flexibility to customers across the Middle East and North Africa region. By powering installment payments for federal services throughout the UAE, Tabby strengthens its position as a regional BNPL leader and demonstrates how fintech solutions can operate at national scale.
Building an Integrated Digital Finance Infrastructure
The collaboration covers all federal entities and sits within the Ministry’s wider program to introduce pioneering digital initiatives across the public finance system. It supports efforts to connect federal entities through a unified, advanced platform that simplifies procedures, enhances transparency, and integrates electronic financial services. Over time, this model is expected to contribute to a more cohesive digital infrastructure in which government revenues are managed more effectively and citizens interact with public services through seamless, technology driven experiences.
The Ministry of Finance’s partnership with Tabby represents a notable shift in how government fees and fines can be paid in the UAE. By blending BNPL technology with federal payment systems, the initiative delivers upfront revenue certainty for the state while offering customers new flexibility in managing their obligations. As digital transformation accelerates across the country, this collaboration illustrates how fintech and government can work together to modernize public finance and elevate service delivery.