- The UAE Central Bank Unveils a New Dirham Symbol
- New Dirham Symbol to Enhance the UAE’s Global Financial Standing
- UAE Announces Expansion of Financial Infrastructure Transformation Program to Provide Innovative Solutions
The UAE Central Bank has unveiled a new symbol for the nation’s currency, the Emirati Dirham, which will be used in both physical and digital forms.
This announcement comes as part of the UAE’s ongoing efforts to enhance the position of the Dirham in international financial settlements and cross-border transactions, aligning with the country’s digital transformation goals.
Strengthening the Dirham’s Global Standing
The introduction of the new symbol is in line with the visionary leadership of the UAE and the directives of Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister, Deputy President of the Council of Ministers, Head of the Presidential Court, and Chairman of the Central Bank.
This move aims to further establish the UAE as a leading global financial hub.
Additionally, the Central Bank revealed significant progress in its “Digital Dirham” project, one of the key initiatives under its 2023 financial infrastructure transformation program.
This program is designed to bolster the UAE’s leadership in financial infrastructure and provide innovative solutions in the digital transition.
Digital Dirham: Legal Framework and Technological Security Benefits
The Digital Dirham is backed by a legal framework as per Federal Decree-Law No. 54 of 2023, which amends certain provisions of Federal Law No. 14 of 2018 concerning the Central Bank and financial activities.
This legislation enables the Digital Dirham to be recognized as a comprehensive payment tool across all payment channels in the country, alongside traditional paper and coin currency.
The Digital Dirham offers a range of technological and security advantages that help reduce costs, improve efficiency in payment operations, and enhance transaction security and privacy.
It facilitates faster transactions and is available to individuals and businesses through authorized financial institutions, such as banks, exchange houses, and fintech companies.
The digital currency is expected to be available for retail transactions by the last quarter of 2025.
New Dirham Symbol: A Step Toward Global Recognition
As part of the ongoing development of the Digital Dirham, the Central Bank also revealed the new symbol for the national currency.
The symbol features two horizontal lines inspired by the UAE national flag, representing the Dirham as a global currency and reflecting the financial and monetary stability of the UAE.
For the Digital Dirham, a circle has been added around the traditional currency symbol, using the national flag’s colors to emphasize national pride and the vision for a prosperous financial future.
Integrated Digital Platform and Wallet
The Central Bank has developed a secure and integrated platform for the issuance, circulation, and use of the Digital Dirham.
This includes the “Digital Dirham Wallet,” designed to be user-friendly for both individuals and businesses.
The wallet allows users to carry out various financial transactions, including payments in both retail and wholesale sectors, cross-border transfers, money transfers, withdrawals, top-ups, and exchanges.
The platform also enables the inclusion of innovative financial solutions, enhancing the flexibility of the UAE’s financial system and establishing the country as a leading global hub for digital payments.
Official Statements
Khaled Mohamed Balama, Governor of the Central Bank, commented:
“We are proud of the significant progress made in implementing the Digital Dirham program, reflected in the launch of the new symbol for our national currency and the development of the Digital Dirham Wallet. This marks a major leap towards achieving the Central Bank’s vision.”
He added, “The Digital Dirham, supported by blockchain technology, is expected to contribute to financial stability, financial inclusion, and the flexibility of the financial system, while ensuring compliance with the highest standards in combating financial crimes.”
