Dubai parking payments are set to become fully cashless from June 1, with Parkin announcing that cash will no longer be accepted at parking metres across the emirate.
The move is part of Dubai’s wider Cashless Strategy and aims to encourage the use of digital payment methods for everyday services.
Motorists will still be able to pay for parking using NOL cards, which are commonly used across Dubai’s public transport network. Drivers can also pay through the Parkin app, Dubai Now app and the RTA app.
Parkin is encouraging customers to use its mobile application, which offers additional features such as extending parking sessions remotely, viewing payment history and receiving reminders before parking time expires. The company also noted that app users can avoid the extra charges associated with SMS parking payments.
What the change means for drivers
For many motorists, the biggest change will be the end of coin payments at parking machines. Drivers who regularly use public parking spaces are advised to ensure they have an active NOL card or have downloaded one of the approved mobile apps before parking.
As Dubai’s largest provider of paid public parking, Parkin manages hundreds of thousands of parking spaces across the city. The company expects the transition to digital payments to improve efficiency while reducing the costs associated with collecting and processing cash.
The change is one of the most visible examples of Dubai’s ongoing shift towards digital services, with authorities continuing efforts to reduce reliance on physical currency across government and semi-government entities.
VAT to be added to parking tariffs
In addition to the move towards cashless payments, Parkin will begin applying a 5 per cent Value Added Tax (VAT) to parking tariffs from June 1. The company said the change is being implemented in accordance with UAE tax regulations and in coordination with the relevant authorities.
The update comes alongside a similar announcement from Salik, Dubai’s toll gate operator, which will also apply a 5 per cent VAT to toll charges and tag activation fees from the same date.
With both changes taking effect from June 1, motorists may want to review their preferred payment methods and ensure they are prepared before using paid parking facilities in Dubai.
