HSBC launches service for the wealthy in UAE

For its most affluent clients in the United Arab Emirates, the British bank HSBC today announced an extension of its private banking services.

To use HSBC’s Middle East Global Private Banking, clients must have investable assets valued at $2 million or higher. According to a press release, the bank seeks to serve a “rapidly expanding high net worth investor base that wants to hold assets inside the country, while maintaining the flexibility to structure portfolios across key international financial hubs.”

The United States, United Kingdom, Switzerland, Singapore, Hong Kong, and other countries all have HSBC private wealth centres. HSBC currently operates ten of these centres globally. According to the press release, the Middle East Global Private Banking will be present at both the Dubai International Financial Centre and the Abu Dhabi Global Market.

The United Arab Emirates is evolving into a sanctuary for the affluent. Earlier this year, real estate transactions in opulent Dubai reached a 13-year high. High-net-worth individuals have also sold off assets on UAE-based cryptocurrency exchanges as a result of the UAE’s efforts to promote cryptocurrency activity.

The UAE has come under attack in recent times for its lack of financial openness as it draws more wealthy visitors. Due to worries about money laundering, the Gulf state was added to the Financial Action Task Force’s “grey list” earlier this year in Paris.

In response, Emirati authorities are attempting to increase financial openness. In the first half of 2022, tax inspections more than doubled. Recently, numerous banks were sanctioned by the UAE Central Bank for allegedly breaking reporting rules.