Al Ansari Digital Pay, a subsidiary of Al Ansari Financial Services, has obtained initial approval for a license from the Central Bank of the UAE to launch its digital wallet.

The company revealed, in a statement issued today, Monday, that its digital wallet includes conducting Stored Value Facility (SVF) and Retail Payment Services System (PRS) transactions.

The company stated that the digital wallet is scheduled to be launched in the second quarter of 2024, and the platform will provide users with a set of tools such as the balance verification and account statement feature, in addition to providing financing options through strategic partnerships with licensed financing institutions.

The Al Ansari Digital Pay platform was also designed to provide digital transfer services from one person to another, whether for individuals or institutions. Through this platform, users can transfer money inside or outside the country and pay bills.

As well as access to a range of digital services via their QR code, a dedicated application, or their phone number.

Last October, Zain Fatnik Holding Company, a subsidiary of Zain Mobile Telecommunications Group, signed a memorandum of understanding with Al Ansari Financial Services Group, one of the integrated financial groups in the region.

The signing of the memorandum comes as a preliminary step to building a partnership that will push the two parties towards a new path of technological innovations and improving the provision of digital financial services in the Middle East markets.

This partnership is consistent with Zain Group's strategy to enhance its leadership by expanding into new business opportunities. To meet the needs of its customers in the digital financial technology sector, which includes entering into strategic partnerships and investments, noting that the partnership is subject to the applicable laws and regulations.

The profits of Al Ansari Financial Services Company, listed on the Dubai Financial Market, declined in the first nine months of this year by 11 percent on an annual basis.

The company's profits for the period ending last September 30 amounted to about 387.8 million dirhams (5.2 fils/share) for the first nine months of 2023, compared to profits worth 433.7 million dirhams achieved during the same period in 2022.

The reason for the decrease in profits during the current period is due to the increase in financing costs, reaching 9.3 million dirhams compared to 1.6 million dirhams during the same period of the previous year.

Among the reasons for the decline in profits was the increase in depreciation and amortization expenses by 20 percent, reaching 61.6 million dirhams, compared to 51.2 million dirhams at the end of the first nine months of 2022.

It is noteworthy that the General Assembly of Al Ansari Financial Services Company approved, at the beginning of this November, a proposal to distribute interim cash dividends to shareholders in the amount of 300 million dirhams (equivalent to 4 fils per share) for the first half of 2023.

The General Assembly approved amending the dividend distribution policy and amending Article 14 of the company’s bylaws, so that the company may distribute quarterly or semi-annual dividends to shareholders from operating profits or accumulated profits.

The Board raised a recommendation to distribute interim cash dividends of 300 million dirhams, equivalent to 4 fils per share. To be presented to shareholders for approval.

Al Ansari Financial Services Company’s profits increased by 6 percent during the first quarter of 2023. To reach 133 million dirhams, compared to profits amounting to 125.9 million dirhams during the first quarter of 2022.