The Central Bank of the UAE (CBUAE) has launched an immediate and comprehensive investigation into the local branches of Banque Misr following serious money laundering allegations leveled by US authorities. This move comes shortly after the US Treasury’s Financial Crimes Enforcement Network (FinCEN) proposed a rule to strip the Egyptian lender’s UAE operations of their access to the American financial system. Washington accuses the bank of acting as a conduit for Iran, alleging that the institution utilized shadow banking networks to help Tehran bypass sanctions, fund regional proxies, and facilitate illicit weapons procurement.

In response, the CBUAE has initiated a forensic review of the bank's transaction history to assess the validity of these claims and to determine if the local branches have inadvertently compromised the UAE’s financial infrastructure. The regulator emphasized that all licensed banks are strictly required to uphold compliance with global anti-money laundering and counter-terrorism financing standards. As the investigation unfolds, the CBUAE is evaluating the future status of Banque Misr’s license in the country, noting that any final decision will be made with careful consideration for the bank's existing local customer obligations and the integrity of the nation's broader financial system.