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PayPal Links With NEO PAY To Power UAE E-Commerce
New integration lets UAE merchants accept PayPal at checkout, cutting friction for SMEs selling to customers abroad.
PayPal has struck a partnership with UAE acquirer NEO PAY to let local merchants accept PayPal payments, giving businesses a faster route to overseas customers and cross-border sales.
The deal connects PayPal directly to NEO PAY’s acquiring infrastructure, allowing online sellers to switch on PayPal at checkout without separate integrations or complex onboarding. For smaller merchants, that removes a common barrier to selling internationally: access to a payment method foreign shoppers already recognize.
The timing is deliberate. The UAE’s e-commerce market is projected to reach $21.18 billion by 2030, according to Mordor Intelligence, as online retail and digital services continue to outpace traditional channels. SMEs — about 94% of all businesses in the country and more than half of GDP — account for much of that activity, yet often lack the tools to handle cross-border payments at scale.
For PayPal, the agreement extends its footprint in the Middle East and Africa through a local partner rather than a standalone build-out. “Deepening our presence through this partnership with NEO PAY is a critical step in our regional growth strategy,” said Otto Williams, Senior Vice President, Regional Head and General Manager, Middle East and Africa, at PayPal. “By integrating PayPal, merchants, especially SMEs, can better serve today’s digital-first consumers and scale with confidence”.
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NEO PAY, which focuses on digital acquiring for e-commerce merchants, is positioning the tie-up as a way to broaden payment choice while keeping operations simple. “This partnership allows us to provide secure, trusted, and globally recognized payment options — enhancing the checkout experience and supporting our merchants’ growth across borders,” said Vibhor Mundhada, CEO of NEO PAY.
The move reflects a wider shift in the Gulf’s payments stack. Local processors are increasingly acting as gateways to global wallets and networks, a model that fits the UAE’s push to grow exports, support SMEs and cement its role as a regional digital commerce hub. For merchants, it’s straightforward: fewer hoops at checkout, more reach beyond the country’s borders.
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For etisalat, More Bandwidth Is A Matter Of Digital Sovereignty
The etisalat group plans to expand its international capacity from 20 Tbps to more than 500 Tbps by 2030, with new routes designed for speed and resilience.
By 2030, etisalat group plans to lift its international connectivity capacity to more than 500 terabits per second (Tbps), more than 25 times the 20 Tbps it has today. The group presented the expansion as preparation for rising AI demand and an important move for the UAE’s digital sovereignty.
His Highness Sheikh Mansour bin Zayed Al Nahyan, Vice President, Deputy Prime Minister and Chairman of the Presidential Court, witnessed the launch of the project, which covers the UAE and international markets. Sheikh Mansour is also Chairman of the Emirates Investment Authority, etisalat group’s main shareholder.
He emphasized the role of coordinated national efforts in advancing the UAE’s AI and digital economy ambitions. “AI is a central pillar in our development journey moving forward,” he said, adding that developing the country’s digital capabilities would empower every institution, public and private, to build and innovate with AI “at the scale the coming decade will demand”.
“This project reflects our conviction that the UAE should not simply adopt AI, but govern it and build with it,” said H.E Jassem Mohamed Bu Ataba Alzaabi, Chairman of etisalat group. “That requires digital infrastructure at a scale that would prepare us for the future”. He cast greater international connectivity as a strategic answer to the challenges of processing and moving data globally.
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Beyond raw bandwidth, the expansion will introduce new connectivity routes intended to improve reliability and efficiency, and Alzaabi tied them directly to the sovereignty goal. “Delivered through diversified routes and low-latency design, the project is set to keep the country’s connection to the global digital economy fast, direct and resilient, while ensuring the UAE’s digital sovereignty,” he said.
He also linked the plan to the group’s 50-year commitment to building infrastructure for the nation. The announcement didn’t mention what the expansion will cost. Nor did it name the new routes or say who will build them, the details that would show what digital sovereignty means in practice.
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