- The IMF endorsed the UAE’s Digital Dirham CBDC and its proactive regulatory stance on stablecoins.
- The UAE joined the CARF framework for automatic tax data sharing on crypto assets by 2027.
A recent International Monetary Fund mission to the United Arab Emirates resulted in positive assessments of the nation’s financial direction. IMF representatives, visiting under the leadership of Said Bakhache, specifically commended the ongoing rollout of the central bank digital currency, the Digital Dirham.
Their statement also recognized the UAE’s forward-looking approach to regulating stablecoins. Officials encouraged the country to persist with its financial modernization agenda, which includes developing local capital markets alongside diligent risk evaluation.
The UAE’s expanding position as a global center for virtual assets received acknowledgement from the IMF. The institution advised that consistent and strong collaboration between the nation’s various financial regulators is essential.
This cooperation is required to effectively oversee market developments and potential risks. The IMF also approved of the UAE’s efforts to bring its policies in line with international standards. A separate achievement involved the country’s exit from the Financial Action Task Force’s list for enhanced monitoring.
On a related front, the UAE Ministry of Finance formally joined the Crypto-Asset Reporting Framework. This international agreement, known as CARF, creates a standardized system for tax authorities to automatically share information on crypto assets. The UAE plans to implement this framework in 2027. Initial data exchanges with other nations are projected to commence the following year. Around 70 other jurisdictions have also pledged to adopt CARF.
Economically, the IMF forecasts a 4.8% growth rate for the UAE in 2025. Projections indicate a further increase to 5.0% in 2026, rates that exceed worldwide averages. This expansion is fueled by strong performance in non-oil sectors and a rebound in hydrocarbon production following OPEC+ decisions.
Key growth areas include tourism, construction, and financial services, all supported by substantial infrastructure investments. The fund estimates 2025 inflation at 1.6%, identifying housing costs as the main contributor.
