RIYADH, 1 September — Saudi authorities have taken additional measures to monitor banking transactions between the Kingdom and the United Arab Emirates.
Informed sources told Arab News that there is coordination between the supervisory authorities in the two countries to monitor banking transactions.
“The move aims at combating money laundering operations and stop suspicious financial transactions,” the sources said.
An informed source at the UAE Central Bank confirmed that the authorities had taken additional steps to monitor transactions from the Kingdom.
The UAE Central Bank has provided commercial banks and money exchangers with a list of companies, which transfer more than one million dirhams to the emirates. The bankers are urged to provide the names of those who transfer more than 500,000 dirhams to their personal accounts within six months.
They should also report to the central bank about individuals who transfer more than 40,000 dirhams from Saudi Arabia to beneficiaries in the UAE.
Those who transfer SR100,000 or more from the Kingdom should attach a certificate of transfer from the Saudi bank. UAE banks will not entertain transfers unless accompanied by such certificates.
UAE authorities will not allow Saudis to open bank accounts if it is meant to operate by a third party, except in special cases after approval from the central bank.
Sources close to Saudi Arabian Monetary Agency also said that SAMA had informed local banks about the new measures to monitor transfers to and from the UAE.
SAMA had earlier launched a campaign to combat money laundering and suspicious transactions and urged Saudi banks to get to know their clients.
The monitoring agency had also instructed Saudi banks to keep a watch on their clients, dubious transactions without giving correct names of beneficiaries, transfer of large amounts and names of unknown business partners.
