Banks in the country have contacted business owners with "trader" accounts, stating that they plan to change the rates for electronic point of sale (POS) services beginning tomorrow (October 3).

According to letters received by "Emirates Today" and a copy of which was obtained, these banks claimed that it was determined to cut the discount rate applied to each transaction value in accordance with the Central Bank's plan.

To become 0.10%, with a single fee of one dirham imposed on each transaction, stating that the dirham fee applies to local transactions, distinguished local transactions, and international transactions, regardless of whether the card used is Visa or MasterCard.

These changes are incorporated into the merchant agreement signed by the bank and the merchant who uses the bank's payment system services, which often includes a particular discount rate.

It is levied on each card-based payment transaction processed by the bank's POS, and this percentage benefits the latter.

The modification falls under the Central Bank's initiative to provide electronic services at reasonable pricing to both individuals and company owners.

The bank has set a maximum discount rate of 99 dirhams for all local transactions, regardless of value.

It is worth noting that the UAE Central Bank recently raised its forecast for economic growth in the country from 3.9% to 4% over the last year, citing improved performance in the country's oil sector, according to the official Emirates News Agency (WAM).

According to the Central Bank's economic report for the second quarter of this year, the UAE economy is predicted to increase by 6% in 2025, with the non-hydrocarbon sector growing by 5.2% in 2024 and rising to 5.3% in 2025, and the hydrocarbon economy growing by approximately 0.7%, rising to 7.7% the following year.