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High-Level UAE-EU Engagement to Combat Financial Crime

The United Arab Emirates (UAE) is intensifying its efforts to combat financial crime by engaging in high-level discussions with the European Union (EU) and other global partners. This proactive approach is part of a broader international movement aimed at reinforcing measures against money laundering and related financial offenses. With an increasingly stringent anti-money laundering (AML) framework, the UAE seeks to fortify its financial system against illicit activities, demonstrating its commitment to global security and economic stability.

The UAE has positioned itself as a key player in the international effort to tackle money laundering, financing of terrorism, and other financial crimes. Hamid Al Zaabi, secretary general and vice chairman of the UAE National Anti-Money Laundering and Combatting Financing of Terrorism and Financing of Illegal Organisations Committee, has emphasized the importance of global collaboration in combating financial crime.

“We recognize that international cooperation is a fundamental pillar of any successful AML strategy,” Mr. Al Zaabi stated. “The UAE continues to foster a stable and secure economic environment through comprehensive preventive measures.”

The country has already initiated discussions with the United States and France to develop a comprehensive global strategy that addresses financial crime, including cases linked to drug trafficking and fraud. Now, further talks with the EU and other jurisdictions are planned to enhance cooperation and strengthen AML frameworks worldwide.

Strengthening AML Compliance and Risk Assessment

To ensure financial institutions and the private sector play an active role in mitigating financial risks, the UAE has launched several initiatives to bolster its AML framework. One of the key developments has been the distribution of over 8,000 questionnaires to businesses as part of a major risk assessment strategy.

This initiative underscores the UAE’s commitment to ensuring that financial institutions align with international AML and counter-terrorism financing (CTF) regulations. The collected data will help authorities assess vulnerabilities and implement targeted measures to enhance financial security.

As a vice chair of the Middle East and North Africa Financial Action Task Force (MENAFATF) this year, the UAE is leading the charge in training workshops, offering technical support, and sharing expertise with other regional players. This role highlights the nation’s dedication to improving financial crime detection and prevention across the region.

The UAE’s National AML Strategy: A Long-Term Vision

In September 2024, the UAE introduced a comprehensive national action plan to combat money laundering, terrorism financing, and proliferation financing. The 2024-2027 National Strategy for Anti-Money Laundering, Countering the Financing of Terrorism, and Proliferation Financing outlines ambitious goals to be achieved by 2027.

This strategy includes:

11 primary objectives focusing on regulatory enhancements, enforcement measures, and financial crime deterrence.
50 sub-goals that provide detailed action points for implementing AML initiatives.
Over 250 initiatives aimed at strengthening national AML compliance frameworks, improving law enforcement capabilities, and enhancing private sector cooperation.

Developed using World Bank Group methodologies, the strategy ensures alignment with global AML standards and best practices. “Our approach goes beyond legal aspects, incorporating economic, security, and media dimensions, along with capacity-building efforts,” Mr. Al Zaabi noted.

Legal Reforms and High-Profile Extraditions

The UAE has taken decisive steps to align its financial crime regulations with international expectations. Recently, the Federal Supreme Court approved the extradition of French citizen Mehdi Charafa to France on charges of drug trafficking and money laundering. This decision, made in response to a formal request from French authorities, signals the UAE’s commitment to legal cooperation in financial crime cases.

Beyond individual cases, the UAE has introduced significant legislative amendments to enhance its AML and CTF framework. In August 2024, the government revised key regulations governing financial crime, ensuring technical compliance with international treaties and recommendations.

These reforms led to the establishment of the National Committee for Anti-Money Laundering and Combating the Financing of Terrorism and Illegal Organizations, further strengthening oversight and regulatory enforcement.

Conclusion: A Firm Stand Against Financial Crime

The UAE’s ongoing efforts to combat money laundering and financial crime are setting a benchmark for the region. By engaging with international partners, tightening compliance requirements, and implementing robust AML strategies, the country is reinforcing its role as a responsible global financial hub.

Through its collaboration with the EU, US, and regional allies, the UAE is ensuring that its financial sector remains resilient against illicit activities. With a structured and forward-looking approach, the nation is well-positioned to achieve its AML objectives by 2027 and contribute to a more transparent global financial system.