Banks get better terms when they negotiate together.

ArabPay Limited is the regional program manager for the Arab region within the Digital Local Currency group. We govern the Digital Local Currency Programme across the region, which lets a syndicate of banks pool their collective demand for a currency, contract directly with a single sponsor bank in the destination market, and reach that market’s retail payment infrastructure.

Today: correspondent banking Bank Origin country Correspondent Intermediary Correspondent Intermediary Bank Destination country One to one, through intermediaries, wholesale only, terms set bank by bank The Programme: syndicated and direct Member bank Member bank Member bank Member bank Syndicate in the origin country, pooling collective demand One agreement Negotiated as a syndicate Sponsor bank Destination country Shares its retail infrastructure No intermediary, retail reach included
Correspondent banking connects one bank to one bank through intermediaries, and reaches wholesale flows only. The Programme lets a syndicate of banks pool their collective demand for a currency, contract directly with a single sponsor bank in the destination market, and gain access to that bank’s retail payment infrastructure, on terms negotiated by the group rather than bank by bank.

Three things change

Many to one, not one to one. Banks in a market assess their collective demand for a currency and approach the destination as a syndicate. Volume that would be marginal for any single bank becomes worth negotiating over, and the terms are set once for the group.

Direct, not intermediated. The syndicate contracts with the sponsor bank itself. No correspondent chain, and none of the compliance cost each additional hop carries.

Retail, not wholesale. Correspondent relationships move institutional flows. A sponsor bank shares its retail payment infrastructure, so member banks reach domestic QR schemes and instant payment rails on the same terms as a resident.

ArabPay does not contract with banks. The Programme is delivered in each country by a local program provider, established with a qualified local partner. Membership agreements are signed there. Regulated activity, custody of funds and settlement sit with the licensed banks that participate.

Why the Arab region

No region in the world carries more cross-border retail payment volume, or more of it through channels that sit outside the regulated perimeter.

See the regional case in full, including national programme envelopes and the fiscal return on digital compliance.

The world’s largest remittance source

Workers in the Gulf Cooperation Council states sent an estimated $131.5 billion in 2023 , more than any other bloc, including the United States.

Expatriate majorities

In several GCC states more than 85% of residents are expatriate workers, a population served largely by cash and by informal transfer channels.

Deep regional corridors

The GCC accounts for roughly 42% of remittances into the Middle East and North Africa, and around 48% of those reaching South Asia.

Integration already under way

The Arab Monetary Fund’s work to link Arab payment systems establishes the regional appetite. The Programme addresses the compliance layer that sits above the rails.

Where ArabPay sits

A governance company, not an operator

ArabPay holds regional governance and licenses know-how downward to country program managers. It has no external clients and does not enter the funds flow.

Anchored in sovereign currency

The Programme is settled in local currency. It introduces no parallel instrument and no claim outside the domestic monetary system of any member state.

Built on existing licences

Every leg of every transaction is performed by a licensed bank under its own permissions and its own supervisor.