RIYADH: Bank transfers from Saudi Arabia to the UAE have faced unusual delays in recent weeks, raising concerns among companies and individuals operating between the two largest Arab economies.
According to people familiar with the matter, who requested anonymity due to the sensitivity of the information, the delays have affected various sectors, though the causes and full extent remain unclear, Asharq Bloomberg has reported.
Some people reported that funds left accounts in Saudi Arabia without reaching beneficiaries in the UAE, or were returned to senders, alongside disruptions in electronic payments between the two markets. This has prompted some to reroute transfers through other countries seemingly unaffected by the issue.
The Saudi Central Bank said in a statement to Bloomberg News that the Kingdom’s financial sector operates within a robust regulatory framework, without clarifying whether new regulations or increased transfer times had been introduced.
“There are no direct restrictions on any countries, as banks apply procedures based on a consistent risk assessment on all transactions, in order to maintain the safety of the financial system,” it added.
