Central Bank of the UAE creates new regulation for lower-risk lenders

Central Bank of the UAE creates new regulation for lower-risk lenders

A new Central Bank of the UAE regulation covering specialised institutions – lower-risk lenders that only carry out businesses in UAE dirhams – came into force on Friday.

The regulation sets a minimum paid-up capital requirement of Dh300 million that specialised banks must maintain and a risk-based capital adequacy requirement that they should continuously adhere to, the banking regulator said in a statement on Saturday. It also sets the total consolidated assets of specialised banks at a maximum of Dh25 billion.