UAE is on European Commission blacklist

[JohnLocke]

The decision, in my opinion, has nothing to do with KYC or AML - it is all about politics and pressure, as the UAE does not participate in the sanctions against Russia. This is of course a thorn in the EU's side and a desperate attempt by the EU to achieve its goal.

I have to agree with you here. It's a shame but something that will hit all countries that don't comply to EU and the USA!

 

[Fred]

I think this will get even harder for UAE companies and UAE residents to open bank accounts

Can't confirm this - Bank Accounts are getting opened in the same speed like always.

We keep the community posted in case something dramatically changes.

The decision, in my opinion, has nothing to do with KYC or AML - it is all about politics and pressure, as the UAE does not participate in the sanctions against Russia. This is of course a thorn in the EU's side and a desperate attempt by the EU to achieve its goal.

That's the real reason - UAE can't be put anylonger on the EU Tax Haven Blacklist with 9% Corporate Tax so the EU needs to be creative and thinks about something else.

All these banks/brokerages have branches in UAE. I guess, they will still be able to serve their clients via their branches under UAE license but not from EU. And you won't be able to move funds between EU and UAE accounts anymore. The question is whether it will still be possible via Swiss or UK accounts or whether the EU will blackmail them as well.

We can confirm received yesterday EUR from EU - please don't mislead the people here in the forum with false information.

Yes - every bigger international Bank - no matter if Transactional Banks like Citibank and HSBC or Private Banks like Pictet and Julius Baer - have either a license / booking center in the DIFC/ADGM or at least a UAE Central Bank regulated Representative Office.

US and UK headquartered Banks - not to mention Asian ones - are just ignoring such EU decisions away - and EU headquartered Banks like BNP Paribas are already booking through Switzerland or Channel Islands at least in the Private Banking.

That's not a surprise as at the end of they day these banks want to make money and if they can onboard nowadays new wealthy clients then here in the UAE.

From what we see all big major banks pushing all EUR through either the UK (Lloyds Bank) or Ireland (Citibank) - for EUR you have with the UK still very well workarounds like mentioned earlier here.

@Konstanz I know you are bashing UAE here already since forever but don't you think it's unfair to tell people here Bank Accounts are getting closed when they send to the UAE - which is obviously not the truth?

If you take a German Sparkasse or a British Barclays - they were for sure already before such an announcement more reluctant with sending to UAE compared to a Revolut or Wise which does proper due dilligence or like Wise has local payout Accounts.

For everyone who actually has really so much fear about Bank Account getting blocked - get yourself local collecting Accounts for the Dubai Company which is for all major Currency available like SEPA Account for EUR Payments, Faster Account for GBP Payments and so on.

Last but not least I want to highlight that the decision was made almost 1 week ago - how many user did complaint here about stuck payments since then? None.

That everyone gets a feeling about how EU is working and why so many people (for a reason) claim that EU is coming to an end - just read this article below which is not even 2 years old - yes EU are hypocrites :

The European Union and the United Arab Emirates | EEAS Website

An overview of political and economic relations between the European Union (EU) and the United Arab Emirates (UAE).

www.eeas.europa.eu

 

[pomegranate]

...you won't be able to move funds between EU and UAE accounts anymore...

I don't think that's true. It will just be much more painful.

 

[Sols]

does it mean your bank account could get closed if you move to uae or bank would get annoying(for which you are already client) ? incl non eu ?

That's not necessarily what this means. It just means more scrutiny for transactions, applicants, and account holders related to UAE. If a bank was already debating whether to accept or keep you, moving to UAE might tip the scales. Otherwise, don't expect much difference except more frequent requests for information related to transactions.

 

[Konstanz]

That's not necessarily what this means. It just means more scrutiny for transactions, applicants, and account holders related to UAE. If a bank was already debating whether to accept or keep you, moving to UAE might tip the scales. Otherwise, don't expect much difference except more frequent requests for information related to transactions.

Exactly. I don't say it will be closed for sure. But even without these blacklists I know people who moved to UAE and their accounts got closed. Of course if you have a lot of money you can always have good account in Switzerland for deposit of 1m EUR.
Also please bear in mind you will no longer have access to Bunq or similar neo banks who only accept EU/EEA customers.
Only one week has passed after this blacklist. The real effect will be in 6 months, I think. Also, UAE will have to improve their compliance much more to be removed from the list. So we can except more compliance from UAE banks soon.

Yes, I am bashing UAE, I will bash even more, because now they are shelter for russians. I had better image of UAE before this war. Now there are too many russians there. I would not consider living around too many of these people.

 

[Fred]

Yes, I am bashing UAE, I will bash even more, because now they are shelter for russians. I had better image of UAE before this war. Now there are too many russians there. I would not consider living around too many of these people.

That's your right and that's why we are in a public forum but still keep it objective and don't ruin other people opportunity because you personal didn't like it.

Yes - you would prefer Monaco or Cayman Islands over Dubai but not everyone is there yet to live in Monaco or is a rich Banana Island lover.

Also please bear in mind you will no longer have access to Bunq or similar neo banks who only accept EU/EEA customers.

This was not possible since forever and is not even advisable - use some Barclays International in Isle of Men instead you get it all there - AMEX, SEPA, Transactional Retail Banking - no big deal.

 

[Konstanz]

That's your right and that's why we are in a public forum but still keep it objective and don't ruin other people opportunity because you personal didn't like it.

Yes - you would prefer Monaco or Cayman Islands over Dubai but not everyone is there yet to live in Monaco or is a rich Banana Island lover.

This was not possible since forever and is not even advisable - use some Barclays International in Isle of Men instead you get it all there - AMEX, SEPA, Transactional Retail Banking - no big deal.

You only praise UAE how perfect it is. So, I think other opinions are also good to hear.
UAE is far from perfect place and you are biased because your business is all about people and business moving to UAE

 

[troubled soul]

FYI
India’s Reliance Shifts Traders to Russian Commodities Hub Dubai

India’s Reliance Shifts Traders to Russian Commodities Hub Dubai

India’s Reliance Industries Ltd. has shifted most of its oil traders from Mumbai to Dubai, executing a plan announced in 2021, but which now coincides with the city’s growing stature as a commodities hub after Russia’s war in Ukraine.

www.bloomberg.com

Richest person in india. Mukesh ambani bought two villa on palm and ready to move trading operation to Dubai from Mumbai....May be you can trust him......He must done R & D before taking any steps.....I am no expert but I feel People sometimes overthink about this type of stupid list......

 

[Fred]

You only praise UAE how perfect it is. So, I think other opinions are also good to hear.
UAE is far from perfect place and you are biased because your business is all about people and business moving to UAE

Nothing is perfect anywhere in this world - everything has it upside and downside.

If everything would be perfect in the UAE - we would be jobless.

So we get your point that your prefer Monaco or Cayman Island over UAE while Monaco comes with 500.000 EUR (at least can be way more) and Cayman Islands with at least 1.000.000 USD in investment to only get a Tax Free Residence - not talking about a Tax Free Company and getting this Tax Free Company banked.

I'm really interested where you did moved after you had your 2-3 months (years back) in Dubai and I'm sure others are interested in it as well.

 

[Martin Everson]

Cayman Islands with at least 1.000.000 USD in investment to only get a Tax Free Residence - not talking about a Tax Free Company and getting this Tax Free Company banked.

Lol....come on now. It does not require 1m to operate from Cayman Islands. I covered moving their already some years ago in a thread with costings. Maybe inflation has gone out of control since....lol.

Offshore Cayman Special Economic Zone

Setup in CEC and enjoy no taxes, no visa restrictions, offshore intellectual property, and an unparalleled Caribbean lifestyle.

www.caymanenterprisecity.com

 

[curiousmarv]

Wow, now we have two blacklists. Was not aware about that.

This EU blacklist (tax haven blacklist):

EU list of non-cooperative jurisdictions for tax purposes

The EU list of non-cooperative jurisdictions includes non-EU countries or territories that didn't make sufficient commitments to EU concerns on tax purposes.

www.consilium.europa.eu

is something different than this Anti Money Laundering (AML) deficiencies black list

High risk third countries and the international context content of anti-money laundering and countering the financing of terrorism

The Commission is mandated to identify high-risk third countries having strategic deficiencies in their regime on anti-money laundering and countering the financing of terrorism.

finance.ec.europa.eu

 

[Martin Everson]

As you pointed out. One is tax related and other is AML related.

 

[turtle]

Of course if you have a lot of money you can always have good account in Switzerland for deposit of 1m EUR.

Deposit $1M to have a good account in Switzerland? No thanks. Their second biggest bank collapsed just a week ago. There are lots of safer alternatives with less fees.

Credit Suisse collapsed weeks after receiving a clean bill of health from regulators

The Swiss lender with nearly $575 billion in total assets collapsed at first slowly, then all at once.

fortune.com

 

[Fred]

Lol....come on now. It does not require 1m to operate from Cayman Islands. I covered moving their already some years ago in a thread with costings. Maybe inflation has gone out of control since....lol.

Offshore Cayman Special Economic Zone

Setup in CEC and enjoy no taxes, no visa restrictions, offshore intellectual property, and an unparalleled Caribbean lifestyle.

www.caymanenterprisecity.com

Cayman Islands Vs UAE: Choosing the Right Location for Your Business

Indeed they are trying hard to get some of the UAE traffic.

Guys don't worry we are happy to help you getting a WORKING Tax Free Company with Tax Free Residence done while you are failing with one Cayman Island Bank after another or ending up banking on EMI's.

Had the pleasure dealing several times with Cayman National Bank in the DIFC here in Dubai - well long sorty short - there rent contract expires in 2023 and they don't renew it.

 

[Sols]

Only one week has passed after this blacklist. The real effect will be in 6 months, I think.

Financial crime watchdog adds UAE to 'grey' money laundering watch list

Global financial crime watchdog the Financial Action Task Force (FATF) on Friday said Middle East business hub the United Arab Emirates had been included on a list of jurisdictions subject to increased monitoring, known as its 'grey' list.

www.reuters.com

Being on the EU list is of course a little different, but a year later being on the FATF grey list and UAE hasn't exactly crumbled into the ocean. It has led to more scrutiny, but nothing particularly outrageous.

 

[Martin Everson]

Cayman Islands Vs UAE: Choosing the Right Location for Your Business

Indeed they are trying hard to get some of the UAE traffic.

Yes they are .

Guys don't worry we are happy to help you getting a WORKING Tax Free Company with Tax Free Residence done while you are failing with one Cayman Island Bank after another or ending up banking on EMI's.

Again that's OTT...lol.

Had the pleasure dealing several times with Cayman National Bank in the DIFC here in Dubai - well long sorty short - there rent contract expires in 2023 and they don't renew it.

Many people have had problems opening accounts for their UAE businesses. It's more an industry issue. There are bad banks and banking credibility issues everywhere.

Banker steals Dh600 million in UAE, caught on plane​

Banker steals Dh600 million in UAE, caught on plane

A bank employee, who had stolen Dh600 million from his workplace after being fired, was caught on plane just as he was about to flee the country.A day befo..

www.khaleejtimes.com

The playboy who got away with $242m – using ‘black magic’​

The playboy who got away with $242m – using ‘black magic’

How Foutanga Babani Sissoko pulled off one of the most audacious confidence tricks of all time.

www.bbc.com

Anyway lets see how this UAE listing plays out. Might be a lot of fuss over nothing. The EU actions are irrelevant for peoples relationship with UAE that live outside the EU anyway.

 

[JohnnyDoe]

The playboy who got away with $242m – using ‘black magic’​

The playboy who got away with $242m – using ‘black magic’

How Foutanga Babani Sissoko pulled off one of the most audacious confidence tricks of all time.

www.bbc.com

He is the hero we need, but don’t deserve

 

[Fred]

The playboy who got away with $242m – using ‘black magic’​

The playboy who got away with $242m – using ‘black magic’

How Foutanga Babani Sissoko pulled off one of the most audacious confidence tricks of all time.

www.bbc.com

Anyway lets see how this UAE listing plays out. Might be a lot of fuss over nothing. The EU actions are irrelevant for peoples relationship with UAE that live outside the EU anyway.

@Martin Everson I love it when you quote a story from 1995 in the UAE.

Just to get a feeling about it:

A bit has changed since then

 

[JohnnyDoe]

A bit has changed since then

Beduins built a Luna park in the desert and replaced human jockeys with robots

 

[Martin Everson]

@Martin Everson I love it when you quote a story from 1995 in the UAE.

Was the other link 1995 as well?

I get that it's your business to sell UAE as a destination for business but I will not in good faith let wrong information fly if I know it to be wrong.

Look you have to accept that UAE is not for everyone. In same way Cayman is certainly not also. Some people don't like island life and some people don't like UAE life, sharia law, lack of freedom of speech, lack of free press, lack of free expression, poor human rights record, having to use a VPN to use whatsapp chat etc and living under a dictatorship that they will soon have to pay corporate taxes to with no representation...lol.

But in end people make their own choices .