Abu Dhabi: The Central Bank of the UAE has imposed more than Dh370 million ($101 million) in fines since the start of 2025, targeting banks, money exchange firms, insurers, and a finance company in one of its largest enforcement drives in years.
The penalties, which also included license cancellations, suspensions, and operational restrictions, followed inspections that revealed violations in three key areas: weak anti-money laundering (AML) and counter-terrorism financing (CFT) measures, breaches of consumer protection rules, and non-compliance with federal laws governing licensed financial institutions.
Among the most severe sanctions was a Dh200 million fine against a money exchange company in May, along with a Dh500,000 personal penalty against its branch manager. Several exchange houses, including Gomti Exchange and Al Hindi Exchange, saw their licenses revoked, while some foreign insurers had local branches shut down. One domestic bank was barred from onboarding new Islamic banking clients for six months due to compliance lapses.
Analysts say the crackdown reflects the UAE’s push to strengthen its standing as a global financial hub and reinforce its regulatory credibility. Ahmed Youssef, a banking analyst in Dubai, said the move highlights a commitment to transparency and international compliance, particularly following the EU’s recent decision to remove the UAE from its “high-risk” money-laundering list.
“The Central Bank will not tolerate violations that undermine transparency, consumer protection, or the integrity of the financial system,” the regulator said in a statement, underlining its efforts to safeguard financial stability and bolster investor confidence.
