How to open a bank account in the UAE

8 min readAug 6, 2022

This article is part of the “How to open a bank account anywhere in the world” series. We explain how to open a bank account in the UAE for tourists and residents, and business bank accounts for Offshore company owners and residents.

I am not a banker. I work in corporate finance for multinationals. I lived in 9 countries, including the UAE, and visited every country in the world. As a company executive, opening a bank account in the UAE took only a few days. Now work in PE and teach a graduate finance class at New York University (NYU). Seven expatriates participated in this research to show how difficult it’s to open a bank account in the UAE.

One of the lowest ratios of bank account ownership

The UAE has the third lowest ratio of bank account ownership among 50 high-income countries. Lower-income countries like Chile have a better record.

Opening a bank account for tourists in the UAE

In the UAE, tourists are not allowed to open a bank account. The easiest country to open a bank account for a tourist is the US, followed by some European countries (see separate article).

Structural problems in the UAE for banking

The UAE has one of the best immigration processes in the world, but it’s real bad on banking for three reasons. First, banks are allowed to advertise accounts can be opened in 15 minutes, which is false, and they are not fined for it. Secondly, the industry is managed by folks who have not adapted to a changing, digital world. They’ve kept bad practices from the old days. To open online accounts, for example, they insist that documents must be stamped. Thirdly, due to a lack of customer focus, they over promise and fail to deliver. In the US market, banks deploying such practices would go out of business.

Offshore companies. Opening a business bank account in the UAE

When tested at Mashreq, RAKBANK, Citi, HSBC, and CBD, it was not possible to open a bank account without an Emirates ID and proof of residence for anyone, including owners of offshore companies. Consultants offer to facilitate the opening of such bank accounts by paying additional fees of up to $2,000. None were willing to do it on a contingency basis (fees being paid only if the account is opened). Mashreq bank wasted our time by asking us to complete forms which was not thereafter approved.

Opening a bank account. UAE Residents

We tracked five banks and found that they all made claims online which were false. Accounts were not opened in minutes or a few days as promised. They were not opened at all. Allegedly, applicants were unable to meet the proof of residency requirement by failing to either own real estate, have a lease contract in their own name, or have a bank account (how do you open the first account?). Fortunately, one bank did manage to open a bank account for us. Read on.

Proof of residence. A major impairment to open a bank account.

Banks ask for a lease, property title, or utility bill in one’s name. Nowadays, many young people live with roommates, and the lease is in the name of only one of them. This also happens to spouses or folks living with their parents, friends, or relatives. While proof of having a bank account sometimes suffices, no bank will be the first to open a bank account. Unlike the US and India, banks in the UAE will not accept mail received as proof of address.

Business bank account opening in the UAE

Commercial Bank of Dubai (CBD), Mashreq Bank, and RAKBANK would be fined in the United States for false advertising. They claim that an account will be opened in one to five business days. This is false. It takes up to a month and their requirements are impossible to meet for entrepreneurs. The good is news is that we were able to open a business account at a different bank. Read on.

CBD. Commercial Bank of Dubai. It advertises that an account will be opened in 3 minutes. This is false.

CBD sends an automated email when applying, followed by a denial email. These are their actual requirements to open a business bank account, which are not disclosed upfront.

Company stamp (CBD is the only bank to ask for it)
Bank reference letter (bank statement cannot be used as a bank reference letter)

3. Latest three-month bank statement

4. Translation of bank statement by a certified translator

5. Trade License

6. Stamp and attestation of Trade License (Cost AED 200)

7. Personal residential address proof through utility bill or lease agreement

8. Proof of income: salary receipts. If self-employed, company tax return for last 3 years.

9. Memorandum of Association (MOA).

10. MOA stamped/attested by the license issuing authority (Cost AED 200)

11. Copy of valid visa stamped on passport. In the UAE, visas are not stamped on the passport any longer, they are now on the Emirates ID but their Compliance team has not been made aware of it.

12. A recent invoice for services provided (within the past 3 months).

13. List of customers with address and website.

14. List of suppliers with address and website.

The research was conducted in July 2022. All communication was documented.

Mashreq Bank. It advertises that an account will be opened instantly and finalized in a day. This is false.

An automated email is received upon applying. A follow-up email is sent the following day.

These are their actual requirements to open a business bank account, which are not disclosed upfront.

P.O. Box
Bank reference letter (bank statement cannot be used as a bank reference letter)

3. Latest three-month bank statement

4. Translation of bank statement by a certified translator

5. Trade License

6. Stamp and attestation of Trade License (Cost AED 200)

7. Personal residential address proof through utility bill or lease agreement

8. Proof of income: salary receipts. If self-employed, company tax return for last 3 years.

9. Memorandum of Association (MOA).

10. MOA stamped/attested by the license issuing authority (Cost AED 200)

11. Copy of valid visa stamped on passport. In the UAE, visas are not stamped on the passport any longer, they are now on the Emirates ID but their Compliance team has not been made aware of it.

12. A recent invoice for services provided (within the past 3 months).

13. List of customers with address and website.

14. List of suppliers with address and website.

The research was conducted in July 2022. All communication was documented.

3. RAKBANK. Failed through them; possible through YAP.

A personal bank account through YAP (see below) was successfully opened at RAKBANK. For business accounts, RAKBANK didn’t work. RAKBANK’s process is corrupted by bankers sticking to bad-old habits.

The process to open a business account at RAKBANK: submit an application and agree to pay the expedite fee. An email will be received. The following day, the bank will reach out and request to bring the original documentation. One must go to their Oudmetha Sultan Business Center specialized office in downtown Dubai, where one is told Compliance will take 30 days to decide, not 1 to 5 days as advertised. 20 days later, the office reached out indicating that the License, Lease, and Memorandum of Association required attestation and stamp (this was not pointed out on the first visit, because they don’t have good processes).

These are their actual requirements to open a business bank account at RAKBANK, which are not disclosed upfront.

Latest 3 months bank statement
Translation of bank statement by a certified translator
Trade License
Stamp and attestation of Trade License (Cost AED 200). This was not disclosed when we met with bank executives and resulted in a delay in the process. Wio bank does not require this.
Memorandum of Association (MOA).
MOA stamped/attested by the license issuing authority (Cost AED 200)

7. Emirates ID

8. List of customers

9. List of suppliers.

The research was conducted in July 2022. All communication was documented.

How to successfully open a personal bank account in the UAE

Yap (account is held by RAKBANK).

Yes, we were able to successfully open personal bank accounts through YAP. The secret seems to be that Yap is a separate organization, not part of RAKBANK. This may be a lesson learned for other banks.

Pros: It’s possible! No fees. No minimum balance. Fully digital.

Cons: not true that it can be opened in minutes. It took a total of three weeks until the debit card was received, and their second approval was completed (Wio Bank has a better process for it). Transfers and payments can only be made to another person, not to a business. Only a few invoices can be paid with it. When we tried to withdraw cash from a RAKBANK’s ATM, it didn’t work even though it has cash. We had to use a different ATM at another bank and pay a 2 AED fee for its use.

Overall, YAP offers the best Personal bank account opening experience in the UAE, and it’s free.

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Best in class account opening in the UAE. Wio Business bank account

Yes, we were able to open a business bank account at Wio.

Pros: no fees and no minimum balance. Fully digital. Best process compared to other digital banks, it even beats Yap. Lower fees than YAP for international transactions.

Cons: the site claims that one can make cash deposits at Lulu Exchange but that is not operational yet. One business claimed that it could not send a transfer to this account because it didn’t appear on the list of the central bank (July 2022).

Wio has a better process than all other banks. Instead of asking for proof of residence, they use a tool to capture a short video of the business when they deliver the debit card.

Overall, Wio offers the best bank account experience in the UAE.

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About me. George Benaroya