UAE Central Bank: Digital Dirham to be Launched Soon

The Central Bank of the UAE (CBUAE) has announced that the country’s new central-bank digital currency — the Digital Dirham — will be rolled out “very soon,” marking a major step in the UAE’s evolving financial landscape. 

Initiated under the broader Financial Infrastructure Transformation Programme (FIT Programme), the Digital Dirham was first unveiled in 2023 as part of the UAE’s strategy to modernize its payment and monetary systems. Since then, infrastructure and wallet-platform development have been underway, building toward a retail-sector launch expected in the final quarter of 2025. 

According to the CBUAE’s Chief FinTech Officer, the initial phase will roll out a set of use cases tailored to the digital economy. The Digital Dirham will be offered free of charge to both consumers and small and medium enterprises (SMEs), a move expected to encourage widespread adoption.

The first official government transaction using the Digital Dirham has already been completed — carried out jointly by the Ministry of Finance and the Dubai Department of Finance. The transaction was settled in under two minutes, underscoring the platform’s speed and technical readiness. 

Beyond convenience and speed, the Digital Dirham is designed to support a wide range of financial functions, including retail payments, wholesale settlements, cross-border transfers, top-ups, withdrawals, and programmable smart–contract–based transactions. 

With this digital currency set to operate alongside physical cash, the UAE aims to position itself as a global hub for financial innovation, promoting financial inclusion, enhancing monetary stability, and streamlining payment infrastructure for a rapidly digitizing economy.