In a major humanitarian initiative announced ahead of Eid Al Adha, the UAE has approved the cancellation of accumulated interest and profit charges on loans owed by low-income retirees across the country.
The financial relief package, launched under the directives of UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan and closely followed by Sheikh Mansour bin Zayed Al Nahyan, Vice President, Deputy Prime Minister, and Chairman of the Presidential Court, is being implemented by the Defaulted Debts Settlement Fund in partnership with several UAE banks.
Valued at more than Dh834 million, the initiative is designed to ease financial pressures on 2,339 senior citizens while strengthening social stability and supporting family wellbeing across the country.
The initiative specifically targets Emirati retirees aged 50 and above who fall within limited-income categories.
Under the mechanism announced, participating banks will waive future interest and profit charges on outstanding loans while beneficiaries continue repaying only the original loan amount through flexible payment schedules.
Among the banks contributing to the initiative, Abu Dhabi Commercial Bank Group accounted for the largest share at Dh655 million, followed by First Abu Dhabi Bank with Dh150 million. Abu Dhabi Islamic Bank contributed Dh18.5 million, while Emirates NBD Group and Emirates Islamic Bank jointly provided Dh6.7 million.
Other participating institutions included Dubai Islamic Bank with Dh2.3 million, Commercial Bank of Dubai with Dh792,000, Sharjah Islamic Bank with Dh716,000 and the National Bank of Ras Al Khaimah with Dh566,000.
Officials confirmed that beneficiaries will be contacted directly by participating banks and financial institutions regarding the implementation process and revised repayment arrangements.