Misuse of Precious Metals and Stones in Financial Crime

The UAE Financial Intelligence Unit (UAEFIU) has released an updated analysis in its latest report, Misuse of Precious Metals and Stones in Financial Crime, examining the evolving risks and criminal typologies impacting the precious metals and stones (PMS) sector. As a critical driver of the UAE’s economic diversification and global trade position, the sector’s foreign trade nearly doubled—from AED 497 billion in 2021 to over AED 959 billion in 2024—accompanied by an 81% increase in registered dealers.

This updated report builds on the findings issued in 2022, using fresh data from July 2021 to June 2025, including over 1.4 million dealer reports and hundreds of suspicious transaction and activity reports. It highlights the sector’s medium to high risk of money laundering, as identified in the UAE’s 2024 National Risk Assessment, and reveals persistent vulnerabilities such as gold smuggling, shell companies, trade-based money laundering, and terrorist financing.

While significant progress has been made—such as improved responsible sourcing and increased regulatory measures—the analysis underscores ongoing challenges in due diligence, low levels of suspicious activity reporting, and the need for more active participation among dealers.

To support enhanced oversight, the UAEFIU has developed 60 targeted risk indicators and issued key recommendations for authorities and reporting entities to better detect and prevent financial crime within the sector.

Click here to view the full report