The UAE Central Bank has slapped a Dh1.82 million ($490,000) fine for regulatory violations on the branch of a foreign bank operating in the country.
The financial sanction was imposed after the regulator found the "branch’s failure to issue a liability letter within the mandated seven-day period, thereby violating the CBUAE’s market conduct and consumer protection regulations and standards", it said in a statement.
The name of the bank was not revealed.
The UAE Central Bank, through its supervisory and regulatory mandates, aims "to ensure that all banks, their leadership, and their employees adhere to UAE laws, as well as the regulations and standards". It seeks to "safeguard transparency and integrity of the banking sector and the UAE financial system".
The regulator has been cracking down heavily on financial entities that violate UAE laws and regulations.
Last month, the branch of a foreign bank in the UAE was fined Dh20 million for breaking anti-money laundering rules – one of the biggest financial penalties imposed so far.
The Central Bank said the branch was found to have committed "significant, repeated failures" under its anti-money laundering and combating the financing of terrorism (AML/CFT) and illegal organisations and sanctions framework.
The UAE has introduced several initiatives in recent years to regulate the country’s financial sector and passed strict laws to prevent money laundering and the financing of terrorism. In 2024, the country announced a nationwide action plan aimed at boosting its fight against illicit financial activity by introducing the 2024-2027 National Strategy for Anti-Money Laundering, Countering the Financing of Terrorism and Proliferation Financing.
In May 2025, an exchange house and two foreign bank branches were fined Dh200 million and Dh18.1 million, respectively, for AML violations.
The banking regulator has also penalised entities by revoking financial institutions' licences and suspending their ability to bring in new customers.
