Emirates Bank Ends Foreign Currency Drafts

Emirates NBD: Termination of Foreign Currency Demand Drafts from October – What Does This Mean for Customers?

One of the largest financial institutions in the United Arab Emirates, Emirates NBD, announced that effective October 18, 2025, it will discontinue the issuance of demand drafts (payment orders) in certain foreign currencies. The announcement affects all bank customers and could bring significant changes for those who have been conducting their international finances in this way.

What is a demand draft?

A demand draft is a financial instrument issued by a bank, which the recipient can either cash or deposit into a bank account in another country or city. These orders are generally considered a secure, guaranteed method of transfer, as the bank guarantees the payment to the recipient. They have been particularly popular among customers who did not trust online transfers or were sending money to countries where the banking system is less developed.

Which currencies are affected?

According to the statement from Emirates NBD, demand drafts issued in the following currencies will no longer be available after October 18, 2025:

USD (U.S. Dollar), GBP (British Pound), CAD (Canadian Dollar), EUR (Euro), AUD (Australian Dollar), SEK (Swedish Krona), NOK (Norwegian Krone), DKK (Danish Krone), HKD (Hong Kong Dollar), SGD (Singapore Dollar), CHF (Swiss Franc), JPY (Japanese Yen)

This means that October 17 will be the last day these types of orders can be requested in these currencies. The already issued documents will remain valid until their expiration, and the bank guarantees that they will be honored until then.

Why is this happening?

The bank's official reasoning for this step is that it is part of a strategic move towards a comprehensive digital transition. In recent years, the demand for demand draft services has decreased worldwide as people increasingly shift to instant, online transfers. Emirates NBD has previously indicated that it aims to focus more strongly on digital channels and mobile banking solutions in the future.

Alternative solutions for customers

The bank suggests that affected customers start planning their finances in advance and if they regularly used the discontinued service, they should transition to another method. Such options include:

Online bank transfers (international SWIFT transfers)

DirectRemit – Emirates NBD's own fast transfer service

Transfers initiated from a mobile application

Using money transfer services (e.g., Western Union, MoneyGram)

It's important to note that the fee for online or mobile application-initiated international transfers is 26.25 dirhams (including VAT), except for a few highlighted countries. For India, Pakistan, Egypt, Sri Lanka, the Philippines, and the United Kingdom, the DirectRemit service remains free if the transfer meets the 100 dirham minimum.

What impact might this have on the population?

The change primarily affects those who:

Send money to countries where the recipient does not have a bank account or use digital services

Businesses or individuals who have preferred paper-based money sending

Older generations who are less familiar with online transactions

They may need a transition period to learn and master the new methods.

Digitalization in the financial sector

The decision aligns with the UAE's digitalization efforts, aiming to make more services accessible online or through mobile platforms. Emirates NBD has already played a pioneering role in this process, having:

Implemented numerous developments in its mobile banking application

Introduced facial recognition identification

Accelerated transaction processing with automated processing

Thus, this step is not an isolated measure but part of a broader digitalization strategy that other financial institutions may follow in the near future.

Summary

The termination of the demand draft service in multiple currencies is an important turning point for Emirates NBD customers. The bank seeks to facilitate the transition to digital channels, while affected customers are advised to seek alternative solutions in time. The step towards a digital financial world could mean progress in terms of convenience, speed, and security—provided that customers are ready to adapt.

(The source of the article is the announcement from Emirates NBD.)