The UAE government has unveiled the "Know Your Customer" (KYC) digital platform, a groundbreaking initiative aimed at modernizing the country's financial infrastructure and fostering economic sustainability.
The platform, established under Federal Decree-Law No. 30 of 2024, ensures secure, accurate, and confidential customer data for financial transactions.
Aimed at enhancing transparency and combating financial crime, the platform strengthens compliance with regulations and boosts trust in the UAE’s banking, financial, and insurance sectors. By leveraging advanced digital technologies, it solidifies the nation’s global standing as a fintech leader, contributing to a stable economic environment.
The KYC platform introduces a secure framework for verifying customer identities while safeguarding data privacy. It promotes seamless collaboration between authorities and stakeholders by streamlining information exchange. To oversee this initiative, a new UAE-based company will be established to manage data collection, storage, analysis, and sharing in line with cybersecurity standards.
Strict data protection measures are enshrined in the Decree-Law, ensuring customer data is disclosed only with explicit consent or legal approval. Violations, including unauthorized disclosure or misuse of data, carry hefty penalties, with offenders facing at least two years in prison and fines exceeding AED 50,000.
The Central Bank of the UAE will regulate the platform’s operations, set data standards, and enforce compliance through a stringent code of conduct. This ensures that the KYC platform not only elevates the UAE’s banking sector but also strengthens its global competitiveness in financial security and innovation.
News Source: Emirates News Agency
