CAB Payments to expand into the EEA after securing European PSP licence
UK-based paytech CAB Payments has been granted a European payment service provider (PSP) licence from De Nederlandsche Bank (DNB) to expand its footprint into the European Economic Area (EEA).
CAB Payments set for European expansion
The firm, which provides B2B cross-border payment and FX services for emerging markets, has subsequently unveiled the formation of its European division, CAB Europe BV, operating under the name CAB Payments Europe.
With the new licence, CAB Payments Europe will be able to provide services in the Netherlands and also utilise passporting rights to expand its solutions throughout the EEA.
The Netherlands has been chosen as the hub for CAB’s newly established division due to a combination of factors, such as the country’s growing fintech community, global connectivity, robust financial infrastructure, and its active international development sector.
Kostas Konstantis, general manager at CAB Payments Europe, explains that the newly established company aims to address existing issues of slow and costly foreign exchange and cross-border payments to and from remote markets. The firm is targeting EEA governments and NGOs seeking to “transparently disburse aid during humanitarian crises”.
The news comes just weeks after CAB Payments named former Vanquis Banking Group CFO Neeraj Kapur as its incoming chief executive officer, with current CEO Bhairav Trivedi set to step down later this year.
CAB Payments is not the only global fintech to have tapped the Dutch central bank to expand into European markets. Last September, US-based finance automation platform Tipalti extended its operations into the EEA after obtaining an Electronic Money Institution (EMI) licence from DNB.
