FEDERAL LAW NO. 26 OF 2021 ON
ANTI-MONEY LAUNDERING &
COMBATING THE FINANCING OF
TERRORISM & ILLEGAL ORGANISATIONS

HIGHLIGHTS OF LAW NO. 26 OF 2021 ON ANTI-MONEY LAUNDERING & COMBATING THE FINANCING OF TERRORISM & ILLEGAL ORGANISATIONS LAW

This federal decree law is an important pillar in combatting money laundering and terrorism funding, as well as improving the efficiency of the UAE’s legal and institutional structures.

The Anti-Money Laundering and Combating Terrorist Financing Supervision Department (AMLD) has three main goals:

• Conducting examinations of Licensed Financial Institutions (LFIs).
• Ensuring compliance with the AML/CFT legislative and regulatory framework in the UAE.
• Recognising pertinent threats, weaknesses, and developing risks in the UAE’s financial industry.

ISSUER OF LAW NO. 26 OF 2021 ON ANTI-MONEY LAUNDERING & COMBATING THE FINANCING OF TERRORISM & ILLEGAL ORGANISATIONS LAW

The law on Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) and Illegal Organisations was issued by the UAE federal government. The UAE has taken proactive measures to address financial crimes, including money laundering and the financing of terrorism, and has implemented a legal framework that aligns with international standards and regulations.

WHO IS SUBJECT TO THE ‘ANTI-MONEY LAUNDERING & COMBATING THE FINANCING OF TERRORISM & ILLEGAL ORGANISATIONS LAW’?

The Federal Decree Law No 26 of 2021 in the UAE applies to a range of individuals, entities, and institutions involved in financial and commercial activities within the country. Here are the main groups subject to this law:

• Banks, financial institutions, and other entities operating in the financial sector in the UAE.
• Designated Non-Financial Businesses and Professions (DNFBPs) which may include real estate agents, lawyers, accountants, and dealers in precious metals and stones.
• Anyone involved in financial transactions, including buying or selling assets, properties, or businesses.
• Government agencies, including law enforcement and regulatory bodies in the UAE.
• Lawyers, legal advisors, and consultants.