Banking

Banks and their activities, such as offering loans, credit and monetary policies etc. are regulated by the UAE Central Bank. The local currency of the UAE, the Arab Emirate Dirham is pegged to the US Dollar at a rate of AED 3.673: US$ 1. Visit the following currency converter for the current conversion rate with NOK:  http://www.visitnorway.com/no/om-norge/reisefakta/before-you-go/currency-and-prices/valutakalkulator/

Banks in the UAE offer similar services as in the western world. The familiar current and savings accounts may be opened in addition to term deposit accounts which offer higher interest rates than a savings account with the difference that they do not allow instant access to savings.

Debit and credit cards are widely used as well as cheques. The latter is used frequently for paying bills and for making large payments. It should be noted however that bouncing a cheque is a criminal offence in the UAE and can result in fines and criminal prosecution. Most banks also offer internet banking with secure online access to accounts and easy money transfers abroad. All UAE banks offer ATM machines and the machine of any bank can be used for banking transactions. If an ATM of another bank is used a small fee may be charged.

Apart from conventional banking, a type of banking that is particular to the region is Islamic banking. As the term implies, this type of activity is in accordance with the principles of Sharia, the moral code of Islam, and applying it practically through the development of Islamic economics. Therefore, investment in businesses that provide goods or services that are contrary to Islam’s religious law is prohibited.

To open an individual account, proof of UAE residency and a copy of the passport is required. Some banks may require a letter from the employer confirming employment and the salary.

Opening a UAE bank account for a company is linked to opening the company itself so the two usually happen at the same time and depend on each other.