NEOPAY has partnered with Commercial Bank of Dubai (CBD) to give small and medium-sized enterprises in the UAE a more direct path to working capital financing and banking services, using data from their own payment transactions.
Under the agreement, eligible NEOPAY merchants can use their transaction activity as the basis for exploring financing options from CBD. Rather than starting a separate loan application process from scratch, businesses that already process payments through NEOPAY can draw on that activity to support financing conversations with the bank.
What the financing covers
The offer is designed to address a range of needs, from growth and expansion plans to day-to-day working capital gaps that many SMEs face between sales and expenses. For merchants running lean operations, that kind of flexible access to funding tied to real transaction history can matter more than a traditional lending process built around static financial statements.
Why payment data matters to lenders
According to NEOPAY and CBD, using payment data gives lenders clearer visibility into how a business is actually performing. Transaction activity offers an ongoing, real-time picture of revenue flow, which can help a bank assess a merchant's financing needs more accurately than relying solely on periodic financial reporting.
Dhiraj Kunwar, General Manager, Retail & Business Banking at CBD, signed the agreement on behalf of the bank. He said: "SMEs want banking and payment solutions that work seamlessly together. By bringing these capabilities together, we are making it easier for merchants to access financing and support their growth ambitions."
Who this affects
The partnership is aimed squarely at SMEs already using NEOPAY for payment processing, giving them a route into CBD's banking and financing services without needing a separate, unconnected relationship with the bank. For merchants operating in the UAE's competitive retail and services sectors, where cash flow timing can make or break expansion plans, the tie-up between a payments platform and a bank is intended to remove some of the friction that typically separates transaction processing from financing.
The deal reflects a broader shift in how banks and payment providers are working together in the UAE, linking transaction data more closely to lending decisions for smaller businesses that might otherwise struggle to access financing through conventional channels alone.
Reported by Fintech News UAE.
