UAE Orders Banks to Suspend Dh5k Minimum Balance Increase

The UAE Central Bank has paused banks’ planned increase to Dh5,000 minimum balance for personal accounts as it reviews potential impact on low-income customers.

Publish date: Wednesday، 28 May 2025

UAE Orders Banks to Suspend Dh5k Minimum Balance Increase

The Central Bank of the UAE has ordered all banks in the country to put on hold any plans toraise the minimum balance for personal bank accounts. The decision came after reports surfaced that some banks were preparing to increase the requirement from Dh3,000 to Dh5,000 starting June 1, 2025.

Decision Comes After Public Backlash

The Central Bank issued a circular on Tuesday, May 27, instructing banks to suspend the change until further notice. It also stated that the regulator will first study how this move could affect customers—especially low-income individuals and small businesses—before allowing any updates.

The proposed hike had triggered widespread concern on social media and in the news, with many people saying it would place added financial pressure on residents already managing tight budgets.

UAE Orders Banks to Suspend Dh5k Minimum Balance Increase

Some Banks Already Started the Changes

At least one major bank had already applied the Dh5,000 rule ahead of the Central Bank's instruction. Others were expected to follow suit from June 1.

Under the paused rule, customers who failed to maintain the Dh5,000 minimum balance in their current accounts would have faced monthly fees—reportedly up to Dh105 in some cases.

Creation, history and evolution of the UAE dirham

Exemptions Were Limited

Only a few account holders would have been exempt from the fee. These included customers who transferred at least Dh15,000 monthly into their accounts, kept a total balance of Dh20,000 or more, or had an active loan, credit card, or overdraft with the bank.

Those earning below Dh5,000 a month and without other qualifying banking products would have automatically been charged the fee.

UAE Orders Banks to Suspend Dh5k Minimum Balance Increase

Decision Comes After Public Backlash

Some Banks Already Started the Changes

Exemptions Were Limited

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UAE Orders Banks to Suspend Dh5k Minimum Balance Increase

Decision Comes After Public Backlash

Some Banks Already Started the Changes

Exemptions Were Limited

Related videos

Related articles