The strategy aims to strengthen the UAE’s position as a leader in global financial compliance, particularly given its status as a major financial hub in the Middle East. The 2024-2027 framework is set to introduce stricter regulatory measures, enhanced collaboration with international organizations, and more robust enforcement of financial crime laws.
The announcement highlighted that this new strategy is built around 11 core objectives. These include reforms in legislative and regulatory frameworks, increased oversight on high-risk sectors, and heightened international cooperation. The UAE government emphasized that its focus will be on disrupting illegal financial networks and preventing the country from being used as a conduit for illicit funds.
The action plan forms part of a broader initiative aimed at reinforcing the UAE’s financial system and addressing vulnerabilities in areas such as real estate, precious metals, and digital assets. The country’s geographical location and its role as a key global trade and financial hub have made it particularly vulnerable to being exploited for money laundering and terrorism financing. This strategy seeks to mitigate these risks by introducing new regulatory mechanisms that align with international standards set by organizations such as the Financial Action Task Force (FATF).
The UAE government has been actively working to improve its standing with FATF, following increased scrutiny over its financial systems. By implementing the 2024-2027 strategy, the UAE aims to address gaps identified in previous evaluations, especially concerning money laundering and terrorism financing controls. The country’s leadership has stressed the importance of maintaining a strong reputation in global financial markets, a factor that is crucial to attracting international investment.
Part of the strategy involves tighter regulation of financial institutions, as well as businesses in high-risk sectors. This includes mandating stricter due diligence procedures for banks, insurance companies, and real estate firms, sectors which have been particularly vulnerable to exploitation by criminal networks. The UAE government has also committed to more rigorous monitoring of digital currencies, a growing area of concern as cryptocurrency transactions have been increasingly used for illicit purposes.
The initiative will also target the misuse of shell companies and complex corporate structures often used to disguise illicit financial activities. The UAE is focusing on closing these loopholes by requiring greater transparency in company ownership and enforcing stricter reporting requirements on financial institutions. This move aligns with international calls for greater oversight of financial flows and is expected to make it more difficult for bad actors to hide behind layers of corporate anonymity.
One of the key components of the strategy is enhancing cooperation with international law enforcement and financial watchdogs. The UAE has already taken steps to improve coordination with agencies such as Interpol and FATF, but the 2024-2027 plan aims to deepen these relationships. It will focus on the exchange of intelligence and joint operations to dismantle transnational criminal organizations and cut off their access to global financial markets. By working closely with international partners, the UAE aims to ensure that its financial sector is not exploited by criminal enterprises that operate across borders.
In addition to regulatory reforms, the UAE is placing a strong emphasis on capacity building within its law enforcement and regulatory agencies. Specialized training programs and the development of advanced technological tools will be a priority under the new strategy. The country’s Financial Intelligence Unit (FIU) is expected to play a central role in the implementation of the plan, coordinating efforts to track suspicious financial activity and providing critical intelligence to law enforcement agencies.
The UAE has already made notable progress in its efforts to combat financial crime in recent years. Significant strides have been made in prosecuting money laundering cases, with high-profile investigations leading to the dismantling of complex criminal networks. This momentum is expected to continue with the introduction of the new strategy, which will build on the successes of previous initiatives.
Officials have stressed that the 2024-2027 plan represents a long-term commitment to ensuring that the UAE’s financial system is both robust and transparent. The government has stated that preventing the misuse of its financial system is crucial to safeguarding its economic interests and protecting its citizens from the detrimental effects of financial crime.