By: Mahmoud Gamal
Dubai – Mubasher: Remittances from expats living in the UAE are expected to witness a significant increase on the back of the country’s financial situation stability, growing investments and planned development projects amid the preparations for Expo 2020 Dubai, the chairman and managing director of Al Ansari Exchange said.
There are other factors beyond the increase in the UAE’s money transfers, which positively affects the nation’s economic activity, Mohamed Ali Al Ansari told Mubasher in an exclusive.
These factors comprised the burgeoning government spending and a variety of events, synchronising with official events such as official holidays and New Year’s Eve celebrations.
Strong growth
Over the course of the previous year, the UAE’s exchange market has witnessed robust growth, buoyed by higher remittances from expatriates, which in return boosts demand for foreign currencies.
In the first nine months of 2018, remittances from expats in the GCC nation rose 7% to AED 129.4 billion, compared to AED 121 billion in the prior-year period.
Meanwhile, remittances went down to AED 41.4 billion in the third quarter of 2018, versus AED 43.3 billion in Q3-17, according to official data released by the UAE Central Bank.
The central bank noted that foreign remittances by expats hit AED 11 billion per month.
Indian expats in the UAE, which is one of the biggest Middle Eastern economies, topped the list, followed by Pakistan, Philippine, and Egypt among others.
Challenges
Al Ansari noted that the central bank has set a raft of new standards since the beginning of 2019 that will be in favour of both exchange firms and remittances.
Coping with cutting-edge technologies of money transfer and the exchange market and meeting the central bank's standards require accurate auditing.
Translated by: Kholoud Mohamed Hussein
