UAE’s New Anti-Money Laundering Law
- 07.11.2025
- Posted by: Uwe Hohmann
- Categories: Compliance, Dubai
The UAE has introduced Federal Decree-Law No. 10 of 2025, on AML (Anti-Money Laundering) replacing the previous 2018 framework. This comprehensive legislation aligns the UAE with international standards set by the FATF (Financial Action Task Force) and significantly impacts how businesses must approach compliance.
The penalties for non-compliance have increased substantially, and the scope of what constitutes a financial crime has expanded to include digital assets, tax evasion, and weapons proliferation financing.
Key Changes
Lower Threshold for Proving Money Laundering
Previously, prosecutors needed to demonstrate actual knowledge of criminal activity. Now, knowledge can be inferred from circumstances and evidence. Companies must actively monitor their financial activities and maintain robust systems to detect potential issues before they become legal problems.
Expanded Financial Crimes
The law now explicitly includes direct and indirect tax evasion as predicate crimes for money laundering. Weapons proliferation financing is also criminalised. Your compliance framework needs to be more comprehensive than simple transaction monitoring.
Digital Assets Now Covered
Money laundering through digital platforms, encrypted technologies, or virtual currencies now falls explicitly under the law. If your business deals with cryptocurrencies or operates any virtual asset service, you must register with the appropriate regulatory authority. Operating without proper authorisation can result in imprisonment and substantial fines.
Stronger Cross-Border Rules
The disclosure requirements for moving currency and valuables across UAE borders are now part of the main law itself, making them directly enforceable. The ICP (Federal Authority for Identity and Citizenship, Customs and Ports Security) oversees these declarations in coordination with the CBUAE (Central Bank of the UAE).
Increased Penalties
The financial penalties and prison sentences are considerably higher. For money laundering, imprisonment can now reach 10 years with fines up to AED 5,000,000, compared to the previous maximum of 7 years and AED 3,000,000. For terrorism financing, sentences can reach life imprisonment with fines up to AED 10,000,000.
Corporate and Personal Liability
Companies can now be held liable for a wider range of offences, and senior management faces personal liability for failures in oversight. If you are a director, board member, or senior manager, you cannot delegate compliance responsibilities and walk away. Boards need to review their governance structures, and senior management must be actively involved in compliance decisions.
Moving Forward
This law is part of the UAE’s effort to maintain its reputation as a transparent, well-regulated financial centre. For businesses, these changes ultimately strengthen the market by reducing risks and improving international standing.
Companies must invest time and resources into updating their compliance systems. The increased penalties and expanded enforcement powers mean that non-compliance carries genuine risk.
Comprehensive UAE Business Solutions
The new AML Law demands attention and action. Strong financial crime controls protect your business, your reputation, and your stakeholders. The key is to act now, review your systems, and ensure your business is positioned to meet these new requirements.
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