Egypt's Banque Misr reviews US Iran sanctions notice, UAE central bank launches urgent examination

Egypt's Banque Misr is examining a US Treasury notice to suspend its UAE branches' access to dollar transactions due to their dealings with Iran. Simultaneously, the UAE central bank has initiated an urgent investigation of the branches following the US action. The US-imposed Iran-related sanctions on Banque Misr form part of Treasury Secretary Scott Bessent's efforts to intensify economic pressure in an attempt to break the ongoing stalemate six months into the US-Iran conflict.

Despite the US sanctions, Banque Misr stated that its branch in the UAE continues to offer banking services to customers in compliance with relevant rules and procedures. The UAE central bank announced on Saturday that it would conduct a special and urgent examination of Banque Misr's branches in the country, including a forensic/in-depth review of the period mentioned in the US authorities' statement.

The Central Bank emphasized that banks licensed in the UAE should avoid putting the UAE's financial system at reputational risk, abide by the laws and regulations of the countries whose financial institutions are utilized in transactions, and refrain from misusing the advanced financial infrastructure of the UAE.