The UAE Ministry of Finance and Dubai's Department of Finance, in collaboration with the Central Bank of the United Arab Emirates, have executed the first government financial transaction in the country using the digital dirham. This experimental step marks a significant milestone in the history of the UAE's governmental financial transformation and paves the way for expanding the use of the national digital currency in both government and private transactions.
State Minister for Financial Affairs, Mohammed bin Hadi Al Hussaini, confirmed that utilizing the digital dirham for government transactions represents a qualitative shift in leveraging financial technology, opening wide avenues for developing both government and private payments. He stated that conducting the first government transaction with the digital dirham, in partnership with the Central Bank of the UAE, serves as a pioneering model for governmental institutional integration and contributes to enhancing the global financial community's trust in our economic system.
In turn, the Governor of the Central Bank of the UAE, Khaled Mohamed Balama, affirmed that the launch of the pilot phase for the digital dirham is a qualitative achievement in the nation's digital transformation journey. It embodies the leadership's vision and the UAE's commitment to developing national payment systems, enhancing financial stability, and elevating the nation's global standing as a leader in financial innovation.
The Director General of Dubai's Finance, Deputy Chairman of the Central Bank of the UAE's Board, Abdulrahman Saleh Al Saleh, expressed his gratitude and appreciation to the wise leadership, emphasizing that the UAE has always been at the forefront of adopting the latest financial technologies in business, finance, and the digital economy. He added that the achievement of the first government transaction using the digital dirham reflects the high level of integration of financial systems across the nation, the continuous coordination with the Central Bank, and the maturity of the institutional and digital infrastructure that supports everyone's efforts in continuing to build a comprehensive national economy.
The experimental transaction was conducted using the digital dirham via the government payment platform 'Al Jisr' (The Bridge), as part of a pilot model that tests operational readiness and technical integration with the Central Bank's systems, as explained by the Executive Director of the Central Accounts Sector at Dubai's Finance, Ahmed Ali Miftah.
This initiative confirms that the UAE is confidently moving towards a comprehensive digital economy, solidifying its regional and global standing as a leader in adopting modern technological solutions in governmental, financial, and business sectors, thereby promoting transparency, efficiency, integration, and sustainability across various governmental financial systems.
