Egyptian Central Bank: Monitoring Status of Bank Misr in the UAE
The Egyptian Central Bank confirms that US sanctions on Bank Misr's UAE branch do not extend to other Egyptian banks.
Translated by Qiyas from النهار — Original source
The Central Bank of Egypt announced that, “In reference to news reports regarding the placement of Bank Misr’s branch in the United Arab Emirates under certain U.S. measures issued as part of economic sanctions against Iran, the Central Bank of Egypt and the Ministry of Foreign Affairs are in contact with the U.S. side concerning these measures.” In a statement, it affirmed that “this measure is limited to transactions of Bank Misr’s branch in the UAE conducted in U.S. dollars, and the impact of any such measures does not extend to any banks in the Egyptian banking sector, including Bank Misr in Egypt or any of its other foreign branches,” emphasizing “the strength and resilience of all banks operating in Egypt.”
The U.S. Department of the Treasury had previously announced new sanctions against Iran, including the revocation of access for Bank Misr’s branches in the United Arab Emirates to the U.S. financial system due to their dealings with Iran.
In response, Bank Misr stated that, referring to the U.S. Department of the Treasury’s announcement of a regulatory action restricting U.S. dollar correspondent banking services for Bank Misr’s branch in the United Arab Emirates, the bank fully respects the relevant regulatory and legal frameworks and is committed to all applicable laws, regulations, instructions, and supervisory controls, as well as full and constructive cooperation with the relevant authorities.
In line with its full respect for the established regulatory process, the bank clarified that the announced regulatory measures are subject to an official period for receiving comments and studying them before a final decision is made. The bank treats the measures and the data and assessments they contain with the utmost seriousness and attention, is conducting a precise study of them, and will communicate with the U.S. Treasury for further information and ongoing cooperation, paving the way for taking the necessary legal and regulatory steps and submitting its response to the relevant authorities within the specified timeframe.
The bank affirmed that, according to the announcement, the regulatory measure is limited to Bank Misr’s branch in the United Arab Emirates and does not extend to Bank Misr’s operations in the Arab Republic of Egypt or any other country where it has a presence. Bank Misr’s branch in the United Arab Emirates continues to provide its banking services to clients in accordance with prevailing rules and procedures. The bank reaffirms the strength and resilience of its financial position and its branch’s full commitment in the United Arab Emirates to honoring all client rights and those of all related parties.
