The UAE has, over the past five years, fundamentally and robustly reshaped its regulatory landscape, particularly in the financial services sector. That is according to a new report by AJMS Global.
The study by the international consulting firm reviewed the UAE's development. It enhanced its regulatory policies and frameworks across sectors, aiming to boost transparency, create a fairer playing field, strengthen consumer protection, and balance market dynamics.
The analysis paints a picture of rapid professionalisation, far beyond the banking sector. “The period from 2020 to 2025 marks one of the most defining phases in the UAE’s regulatory and enforcement history. Key developments undertaken have positioned the UAE as a regional leader in financial integrity, setting a benchmark for other jurisdictions,” states the report.
Financial services
Yet, much of the credit goes to efforts made in the financial services sector. These efforts have been set under a concerted national strategy, resulting in the strengthening of the framework for anti-money laundering and terrorist financing, and enhanced combating of other types of financial crime, such as fraud and embezzlement.
Regulations have been backed by rigorous law enforcement, often with zero tolerance. Financial penalties handed out was led by the Central Bank of the UAE, which imposed over AED 630 million in fines, but also included a host of other regulators, including Dubai’s Virtual Assets Regulatory Authority (AED 48 million), the Ministry of Economy (>AED 45 million), and the Abu Dhabi Global Market authorities (>AED 45 million).
“This multi-front campaign was the deliberate execution of a national strategy guided by the 2024 National Risk Assessment, which identified key high-risk sectors for intense supervision,” highlight the authors.
Other sectors as well
Exchange Houses have faced a shock-and-awe campaign of penalties and sanctions, culminating in a single landmark fine of AED 200 million against one house in May 2025 for major AML failures. The Central Bank of the UAE has also used its ultimate sanction, revoking the licenses of multiple firms, including Al Nahdi Exchange and Gomti Exchange.
The real estate sector is under intense scrutiny, with analysis by the UAE’s Financial Intelligence Unit revealing that 99% of suspicious property transactions involved cash. The Ministry of Economy has already imposed fines of AED 22.7 million for 228 violations in the sector.
In the metals sector, meanwhile, 32 gold refineries were suspended for anti-money laundering-related failures. Virtual Assets are being aggressively policed, with Dubai’s Virtual Assets Regulatory Authority (VARA) issuing 41 fines totalling over AED 48 million since the start of 2024 to sanitise the market.
Individual accountability
The report further highlights the steps authorities have taken to bring individuals to justice, enforce individual accountability for financial crimes, and hold executives personally liable. Precedent-setting cases include:
The CBUAE imposed a personal fine of AED 500,000 and a professional ban on the Branch Manager of an exchange house.
The DFSA fined a former private banker approximately $1 million and banned him from the industry for circumventing anti-money laundering controls.
ADGM authorities imposed multi-million dollar personal fines, an indefinite industry ban, and a 15-year director disqualification on a CEO.
Conclusion
Reflecting on the five-year period, the authors highlight how the UAE has shifted from an era of reactive, rule-based compliance to one that is proactive, strategic, and intelligence-driven risk management. At the same time, the move has been accompanied by a high-intensity enforcement approach and real action.
Abhishek Jajoo, Founder and Group CEO of AJMS Global, commented: “Our report quantifies a historic and permanent shift in the UAE, marking a sustained shift to a trusted global business and financial services hub.”
Sourced from Consultancy-me.com