In a significant policy reversal, the Central Bank of the UAE has directed all banks in the country to halt the planned increase to the minimum balance requirement for personal account holders. The decision, issued via a circular on Tuesday, comes amid growing concerns about the impact of the policy on individual consumers.
Previously, several banks had announced intentions to raise the minimum monthly balance from AED 3,000 to AED 5,000, starting June 1, 2025. Customers failing to meet the new threshold would have faced monthly fees of up to AED 105, although the standard fee reported by most banks was AED 25. At least one major bank had already implemented the new requirement ahead of schedule.
However, the Central Bank has now stepped in, instructing banks to suspend these changes until further notice, pending a formal review. The directive specifically references recent reports and public feedback on the planned hike:
“With reference to what has been circulated in the media and social platforms about some banks’ intention to raise the minimum balance to AED 5,000, the Central Bank has decided to study the impact of this increase on customers,” the circular stated. “Accordingly, banks are instructed to suspend the increase and refrain from applying it until further notice.”
What This Decision of UAE Central Bank Means for Account Holders
- No change to current rules: The existing AED 3,000 minimum balance remains in place.
- No new monthly charges: Banks may not charge the AED 25 fee related to the proposed AED 5,000 threshold.
- Policy under review: The Central Bank will study the broader consumer impact before making a final decision.
This update is especially relevant for customers who do not have salary transfers, loans, or credit cards linked to their bank accounts—groups that would have been most affected by the increase. For now, no action is required by account holders, and existing account structures remain unchanged.
