Abu Dhabi Free Zone: Digital Bank Licensing Gains International Interest

Abu Dhabi Free Zone: Digital Bank Licensing Gains International Interest

Several firms from the United Arab Emirates (UAE), the broader Middle Eastern region, and Asia-Pacific, are looking to establish digital banks in Abu Dhabi's financial free zone, said Richard Teng, chief executive of the Financial Services Regulatory Authority (FSRA), the Abu Dhabi Global Market (ADGM)'s financial regulator.

"We have several more interested parties that are applying both from the region as well as [from] international [markets],“ Teng told The National. "Once those approvals are given and players are ready, they will make their announcements to the market.“

Applicants for a digital banking license include existing conventional banks looking to set up digital arms, as well as companies wanting to expanding virtually, Teng said. He added that COVID-19 has put a sense of urgency to financial institutions' digital transformation plans.

"What we thought would