UAE to Waive AED834 Million in Bank Loan Interest Fees for Retired Emiratis
UAE government waives AED834 million interest payments, uplifting 2,339 retired Emiratis facing economic challenges.
- Publish date: Tuesday، 26 May 2026 Reading time: two min read
In a landmark initiative to uplift low-income Emirati retirees, the UAE government has announced the waiver of AED834 million ($227 million) in interest payments on loans owed by 2,339 retired citizens. The decision, directed by President Sheikh Mohamed bin Zayed Al Nahyan and overseen by Sheikh Mansour bin Zayed, Vice President and Deputy Prime Minister, underscores the nation’s commitment to enhancing living standards, financial stability, and family welfare.
The Defaulted Debts Settlement Fund, in collaboration with leading UAE banks, will absorb the interest payments, providing much-needed relief to retired Emiratis aged 50 and above who face economic challenges. Beneficiaries will continue repaying the principal amounts under structured schedules, easing their financial burden while ensuring long-term sustainability.
A Lifeline for Retired Emiratis
The initiative targets low-income retirees who have struggled with loan repayments, aligning with the UAE leadership’s vision to prioritize citizen well-being. Banks will waive future interest and profit payments, while beneficiaries maintain responsibility for the original loan amounts. Financial institutions will proactively contact eligible Emiratis enrolled in social welfare programs to facilitate the process.
“This relief package reflects our leadership’s dedication to supporting citizens and strengthening family stability,” a spokesperson for the Presidential Court stated.
Banks Step Up to Support the Initiative
The UAE’s leading banks have joined forces to contribute to the fund, waiving a combined AED834 million in interest. Major contributors include:
- ADCB: AED655 million
- First Abu Dhabi Bank (FAB): AED150 million
- Abu Dhabi Islamic Bank (ADIB): AED18.5 million
- Emirates NBD Group & Emirates Islamic: AED6.7 million each
- Dubai Islamic Bank: AED2.3 million
- Commercial Bank of Dubai: AED792,000
- Sharjah Islamic Bank: AED716,000
- National Bank of Ras Al Khaimah: AED566,000
The Defaulted Debts Settlement Fund expressed gratitude to the banks for their collaborative efforts in promoting social and financial stability across the Emirates.
Housing Support for Emiratis in Abu Dhabi
The announcement follows a Dh1.54 billion housing support package approved by Sheikh Khaled bin Mohamed bin Zayed, Crown Prince of Abu Dhabi, to further assist Emiratis in the capital. The initiative will benefit 1,074 citizens, including:
- Dh1.41 billion in housing loans for 929 citizens
- Dh123 million in exemptions from housing loan repayments for 145 senior citizens, low-income retirees, and families of deceased citizens
This dual approach—waiving loan interest and expanding housing support—demonstrates the UAE’s holistic commitment to improving the quality of life for its citizens.
A Vision of Compassion and Progress
The UAE’s leadership has consistently prioritized citizen welfare, ensuring that economic challenges do not hinder the well-being of its people. By waiving AED834 million in interest fees, the government reaffirms its role as a caring and supportive entity, fostering financial security and social cohesion.
As the nation continues to implement proactive welfare measures, retired Emiratis and low-income families can look forward to a more stable and prosperous future.