The Financial Action Task Force has dropped the United Arab Emirates from its “grey list”, making it a win for the country looking to bolster its international status.
Following its delisting, UAE which is home to a dazzling financial hub Dubai is now among the countries that are no longer on the global watchdog’s list of countries at risk of illicit money flows.
The FATF’s grey list comprises around two dozen countries which are currently considered risky in terms of their lack of tackling financial crime. The Gulf nation — that remains a millionaire, bankers and hedge funds’ magnet — was listed under strict scrutiny in 2022. The country’s delisting is a coup for the one-time regional pearl and fish trading hub which is now one of the world’s wealthiest nations after the discovery of oil in Abu Dhabi in the late 1950s. It had made getting off the list a priority, bolstering its anti-money-laundering efforts in a drive spearheaded by the minister of foreign affairs and brother of President Mohamed bin Zayed Al Nahyan. John Kartonchik, a director at UAE think tank Re/think, said the move could boost confidence in the country and attract more money from overseas. “Investors … may feel more secure,” he said. Banks would also be able to cut the cost of dealing with wealthy clients in the country, said a senior banker, who asked not to be named. Despite being grey-listed, the UAE continued to attract the globe’s wealthy and it is an increasingly popular destination for cryptocurrency firms and Russians in the wake of war with Ukraine.— Agencies
