Page 149 - AAE PR REPORT - June 2024

5/13/24, 10:28 AM UAE remittance companies still facing challenges from 'parallel market': Al Ansari | Banking – Gulf News
"The trends observed in past quarters persist," said the company, which has the biggest

share of the UAE market. "Challenges posed by the parallel market in key remittance

corridors like India, Egypt, and Pakistan led to a 3 per cent year-on-year decline in
remittance income during Q1-24."

The UAE authorities have been targeting and tamping down on unlicensed FX
operations. Penalties have been imposed on offenders, but as the Al Ansari statement

points out, there are channels that operate.

A top Al Ansari official adds that there are positives coming through. "we're encouraged

by several key developments - the parallel market conditions in critical markets have

stabilised," said Rashed A. Al Ansari, Group CEO.

Al Ansari's net profit

Al Ansari still recorded a 5.1 per cent increase in first quarter transactions. But net

profit for the DFM-listed entity was down 26 per cent. “Net profit declined to Dh98.7

million mainly driven by the expansion in the branch network and the introduction of

(UAE) corporate tax,” said the statement.

The company's stock is trading at Dh1.06 on DFM.

The increased remittance fees implemented in April

position us for significant future growth

- Rashed A. Al Ansari of Al Ansari Financial Services
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