In a recent meeting, Khalid Mohammed Balama, Governor of the Central Bank of the UAE, gathered with the CEOs of the banks operating in the country, alongside the Deputy Governors and senior officials. The discussions focused on key initiatives and projects undertaken by the Central Bank, as well as updates on the implementation of its proactive support measures.
These initiatives, announced on March 17, 2026, aim to improve the resilience of financial institutions. The meeting addressed various quality initiatives introduced by the Central Bank as part of the financial infrastructure transformation program, which seeks to enhance the operational readiness of financial institutions and the efficiency of digital payment systems.
The Central Bank reiterated its commitment to advancing financial infrastructure projects according to established timelines, including the anticipated launch of the local payment card system “GioN.”
Additionally, the meeting reviewed the progress made in expanding the services of the open financing platform “Al-Tariq” and the instant payment platform “Anni,” which contribute significantly to establishing the UAE as a global financial hub and a center of excellence in innovation and digital transformation.
Reaffirming its dedication to financial stability and the resilience of the banking sector, the Central Bank urged banks to adhere to regulations and guidelines related to customer identity verification, including the use of one-time passwords (OTP) through digital applications, which have effectively reduced instances of electronic fraud and bolstered consumer protection.
The participants also discussed operational mechanisms and the achievement rates within the core pillars of the proactive support package, underscoring their effectiveness in addressing potential impacts on the national economy and the banking sector due to the unique circumstances currently faced.
This was demonstrated by the optimal utilization of banks’ mandatory reserve balances and the effective deployment of loan facilitation measures. Strengthening the sector’s solid reserves, the banks’ deposits with the Central Bank reached a record high in the first quarter of 2026, amounting to 439 billion dirhams, which includes 271 billion dirhams in mandatory reserves and 168 billion dirhams in surplus liquidity.
Supported by a portfolio of securities issued by the Central Bank worth 263 billion dirhams (comprising cash bills and Islamic deposit certificates), this enhances the sector’s preparedness and provides full flexibility for liquidity management. Furthermore, total banking sector assets rose to 5.5 trillion dirhams.
Stability of the Financial System
Khalid Mohammed Balama stated: “In line with the vision and directives of the prudent leadership, and under the supervision of His Highness Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister, Minister of the Presidential Court, and Chairman of the Central Bank, we at the Central Bank are committed to protecting and stabilizing the state’s financial system while enhancing its resilience, competitiveness, and global leadership.”
“Our strategic partnerships and ongoing meetings with bank CEOs and financial sector leaders form a solid foundation for building a more sustainable, resilient, and innovative financial and banking sector that supports the economic aspirations of the nation, positioning the UAE as an international hub for financial excellence grounded in sound governance and proactive risk management.”
Commitment to regulations and verification of customer identity through digital applications.
Discussion of the financial infrastructure transformation program and upgrading operational readiness of institutions.
4.3 Trillion Dirhams in Banking Transfers Over Two Months
Bank transfers via the UAE Money Transfer System, operated by the Central Bank, approached 4.3 trillion dirhams during January and February 2026. According to transfer data, interbank transfers accounted for the largest share of total transfers in January, at 60%, amounting to approximately 2.6 trillion dirhams.
Conversely, individual transfers represented 40% of total transfers in the first two months of the current year, totaling around 1.7 trillion dirhams. Additionally, the Central Bank indicators revealed that the banking sector recorded around 3.8 million settlements during these two months, with a total value exceeding 244 billion dirhams.