IBAN stands for International Bank Account Number.
For UAE, it is a 23 digit new account structure that includes the existing account number with few other additional information, like the country code, the bank code for the bank account holder and check digits.
The main purpose of IBAN is to facilitate automatic processing of money transfers and to improve the speed and accuracy of your payment transactions. IBAN will be used for all inward / outward remittances to and from UAE and for salary payments through Wages Protection System (WPS).
Central Bank has mandated IBAN with effect from 19th November 2011 whereby all banks in the UAE are required to accept and process payment instructions with IBAN. Consequently, you will be required to provide an IBAN for all instructions for value date on or after 19th November 2011 when making payment from or receiving payments to your account.
When printing IBAN or writing it on paper, it should be written from left to right in groups of four (4) digits. Groups are separated by a single space as shown in the following example:
AE35 0260 1205 5017 6640 001
If you have standing orders for effecting payments from your account to beneficiary accounts held in banks within the UAE, then you will need to amend the same, by providing the IBAN equivalent for the beneficiary account. If you are receiving funds through Standing Instruction from any of the banks in UAE, please advise your IBAN to the remitter.
You will shortly receive a communication from the Bank advising you IBAN for all your accounts. Alternatively, you can check your IBAN in Banknet, smartBUSINESS or your account statement. From October onwards IBAN will be printed on your new cheque books. Personalized letter / email have been sent to you communicating IBAN for all your accounts with Emirates NBD. You can also visit any Emirates NBD Branch and we will be happy to assist you. In case you do not receive your IBAN by 1st November 2011 you may also call our Call Center at 600-540000.
In case the IBAN is not used, the processing of both Inward and Outward payment in your account IS LIKELY TO BE REJECTED OR MAY be delayed with additional processing charges as may be mandated by Central Bank from time to time.
Without IBAN no inward remittance will be allowed going forward. SWIFT will initiate a broadcast to this effect advising all financial institutions that UAE has implemented IBAN. For outward remittance the current practice follows, i.e. whichever country has implemented IBAN for remittance will require an IBAN mandatorily.