Dubai – UAE-based expatriates are finding it easier on their wallets this month as banks, exchange houses, and digital remittance platforms reduce or waive transfer fees amid a surge in the U.S. dollar.
As the dirham strengthens against major currencies, including the Indian rupee, which hit 23.56 to the dirham this weekend, many platforms are offering more competitive exchange rates and discounted transfer fees. While online services matched the rate at 23.54/23.56, some banks lagged slightly behind with 23.36–23.40, prompting expats to compare offers before transferring.
“Expats are no longer loyal to one provider,” said an industry insider. “Most now keep two or three remittance apps on their phones, much like food delivery or streaming platforms, and go with whoever offers the best deal that day.”
Transfer fees currently range as follows:
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UAE banks: Dh17–Dh25
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Exchange houses: Dh15–Dh20
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Digital remittance platforms: Dh5–Dh10
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Promotional zero-fee transfers: limited-time offers only
With more platforms entering the market, these promotions are becoming frequent, especially near month-end when transfer volumes surge.
RAKBank CEO Raheel Ahmed said the bank remains competitive both on transfer fees and currency conversion. “A zero-fee deal may hide a 5% margin on FX,” he cautioned. “We aim to deliver value across all remittance corridors, especially for customers with salary accounts.”
For now, expats are leveraging the dollar’s momentum to maximize overseas transfers. But experts advise watching both fee structures and conversion margins closely to ensure they get the best deal, not just the cheapest one.
