XTB Gains Indonesian and UAE Regulatory Approval for Operations

Monday, 30/12/2024 | 09:09 GMT by Damian Chmiel

The company secures licenses in two new markets, demonstrating a major expansion into Asia and the Middle East.

It plans to launch operations in Indonesia by 2025 while strengthening its presence in the UAE with enhanced services.

Publicly listed Polish fintech XTB (WSE: XTB) has received two new regulatory approvals, in Indonesia and the United Arab Emirates (UAE), expanding its international presence beyond its European base.

XTB Secures Regulatory Approvals in Indonesia, UAE

The company's Indonesian subsidiary, XTB Indonesia Berjangka, obtained a PALN license from the country's regulatory body, Bappebti. It will enable the firm to offer stocks and ETF investment services to Indonesian residents. According to the company's statement in Polish, seen by Finance Magnates, operations in Indonesia are scheduled to commence in the first half of 2025.

Omar Arnaout, CEO of XTB, Source: LinkedIn

“This license brings us significantly closer to launching our operations in Indonesia,” commented Omar Arnaout, CEO of XTB. The official commentary was issued in Polish and auto-translated to English. “The past months have been intense, as we undertook extensive organizational, regulatory, and technological work to prepare for entering this promising market. We estimate that we will be able to start operations there in the first half of 2025.”

In March this year, XTB announced the acquisition of an Indonesian broker, Eagle Capital Futures. With a population almost as large as the entire EU, the country is set to become a “Gateway to Asia” for the fintech company.

In a separate development, XTB received a Category 5 license from the UAE Securities and Commodities Authority (SCA). Since July 2021, XTB has operated under a license granted by the Dubai Financial Services Authority (DFSA). However, the newest approval allows the company to establish operations outside Dubai's special economic zone and expand its service offerings in the region.

XTB continues to introduce new products in the region. It launched ETF Investment Plans earlier this year. Financial reports indicate that these efforts are paying off. The latest data shows the company's Middle East operations recorded a 44.7% increase in operating revenue during the third quarter of 2024 compared to the same period last year.

The company also shared plans to introduce a virtual wallet with multi-currency card functionality in its home market of Poland during the first quarter of 2025. Additional strategic initiatives are scheduled for announcement in early 2025.