The UAE was removed from the Financial Action Task Force (FATF) Grey List on 23 February 2024. FATF, the global anti-money laundering watchdog, had added the UAE to the list in 2022 but has now confirmed that the jurisdiction will no longer be under extra scrutiny as it has demonstrated significant improvement in its anti-money laundering and counter-terrorist financing compliance frameworks. This move reflects the UAE’s dedication to aligning itself with international best practices.
Several strategic changes have been implemented, including:
- Establishing an Executive Office to combat money laundering and terrorist financing
- Establishing of a specialist court to combat financial crime
- Adopting new anti-money laundering guidelines for financial institutions and relevant non-financial businesses
- Adopting a new Penal Code to strengthen the country’s existing anti-money laundering, bribery, and corruption regulations
The FATF decision is an acknowledgement of the considerable steps the UAE has taken to strengthen its anti-money laundering and counter-terrorist financing regime. This is an extremely positive development that underlines the jurisdiction’s commitment to upholding the highest standards of financial integrity in order to maintain its reputation as a major international finance centre.
