The Central Bank of the United Arab Emirates (CBUAE) has announced the imposition of penalties totaling Dh2,621,000 on five banks and two insurance companies for non-compliance with tax regulations.

This action was taken in response to the institutions' failure to adhere to the reporting procedures mandated by the Common Reporting Standard (CRS) and the Foreign Account Tax Compliance Act (FATCA).

The penalties highlight shortcomings in compliance standards, due diligence, and the accuracy of financial reporting.

Despite the CBUAE having provided ample time for these licensed financial institutions to rectify their compliance issues, the breaches persisted.

The CBUAE asserts that this enforcement action is a significant step toward enhancing the quality of the UAE’s financial system.

This aligns with the country's commitment to global initiatives aimed at promoting the integrity and transparency of tax systems while combating tax evasion.

The measures are designed to preserve the UAE's reputation as a financial hub that upholds global best practices.

In separate developments, the UAE has been ranked the second safest country in the world, achieving a safety index score of 84.5 as per the recent 2025 Safety Index conducted by Numbeo.

Andorra secured the top position with a score of 84.7, while Qatar followed in third place.

This safety ranking underscores the UAE’s strong security framework, complemented by its position as the country with the second-lowest crime rate in the same year's Crime Index.

Concurrently, the Cybersecurity Council of the UAE Government reported the successful mitigation of 634 cyberattacks targeting both government and private entities in the country.

These attacks were directed at leaking sensitive data from vital national sectors.

Dr. Mohamed Al Kuwaiti, the head of cybersecurity for the UAE Government, noted that a threat actor, identified as 'rose87168,' claimed responsibility for breaches and data leaks from Oracle Cloud, affecting approximately six million customer records globally, including those from UAE entities.

The Cybersecurity Council activated emergency systems across the UAE to safeguard its cyberspace and bolster defenses against such cyber threats.

Institutions were urged to enhance their cybersecurity measures, improve readiness, and promptly report any suspicious cyber activity.

In light of these developments, Oracle Cloud stated that it had not experienced any breach of its infrastructure, asserting that no customer data was compromised.

Previous incidents of cyber threats in the UAE have led to calls from law enforcement for stricter penalties and enhanced legislative measures to combat the evolving landscape of cybercrime.