UAE Central Bank orders urgent Banque Misr review after US proposal

The Central Bank of the UAE has instructed a thorough review of Banque Misr's UAE branches following a U.S. proposal for special measures concerning the financial institution's operations outside of the United States, which identified potential money laundering concerns. The Central Bank stressed that the branches operating in the UAE must adhere to UAE laws and regulations, respect the financial systems of the countries involved, and not misuse the UAE's advanced financial infrastructure.

The Central Bank performs regular assessments of the Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) procedures for UAE-based banks, ensuring the effectiveness of sanctions screening and other security measures. In this case, the Central Bank has decided to conduct an urgent and specialized examination of Banque Misr's UAE branches, which includes an in-depth review of their banking transactions related to the mentioned companies.

The review will focus on the period specified in the U.S. authorities' statement, with the aim of identifying any potential money laundering activities. The Central Bank is currently evaluating the available options regarding Banque Misr's status should the special measures be imposed after completing the procedures in accordance with U.S. laws. The ultimate decision will be made in due course, taking into account the bank's obligations towards its customers in the UAE.

Apart from this matter, the UAE Central Bank has also imposed a fine of Dh20 million on Revolut's branch, granted it a license ahead of its full launch, and awarded a crypto firm, Crypto.com, its license as the first crypto firm in the UAE.