UAE launches new digital KYC platform to verify customer identity

Companies in the UAE are required to implement customer verification (KYC) procedures to prevent illegal financial activities in accordance with Federal Decree Law No. 20 of 2018 on Anti-Money Laundering and Combating the Financing of Illegal Organizations. 

The KYC (Know Your Customer) platform will enable users to conduct due diligence related to customer data and will provide the following benefits:

- legally regulated collection and usage of customer data;
- accurate and transparent information;
- simplified data sharing between authorities;
- secured digital infrastructure. 

Violation of KYC data privacy rules, for example, unauthorised disclosure of customer data or attempts to obtain KYC reports through illegal means, will result in criminal liability, including imprisonment of 2 years or more and a fine of at least AED 50,000.

UAE - 28 November 2024
Original article: Wam