The Central Bank of the United Arab Emirates (CBUAE) has released a guidance note to ensure consumer protection and promote the responsible use of artificial intelligence (AI) and machine learning (ML) by licensed financial institutions in the UAE.
This move reflects CBUAE’s proactive supervisory approach and its commitment to keeping pace with rapid digital transformation in the financial sector. The guidance provides a clear framework for the safe and responsible deployment of AI and ML, safeguarding consumer rights, strengthening governance and transparency, and encouraging fair and sustainable practices.
The note outlines core principles for financial institutions, including governance and accountability, fairness and non-discrimination, transparency and explainability, effective human oversight, and robust data management and privacy practices.
By issuing this guidance, the CBUAE aims to build trust in financial innovation while balancing technological advancement with consumer protection and financial stability. The framework aligns with the UAE’s national AI strategy and applies to all licensed financial institutions under the CBUAE’s supervision, supporting resilience and sustainability in the financial sector.
Khaled Mohamed Balama, Governor of the CBUAE, stated, “The guidance note establishes a clear framework for the responsible use of AI and ML in the financial sector, enhancing consumer protection, reinforcing governance and transparency, and emphasizing human oversight and data protection requirements.”
