SCA UAE Launches Risk-Assessment Methodology for Licensed Companies

News Details

SCA Charts the Future of the Financial Sector with Innovative Risk-Assessment Methodology

Friday, 05 December 2025

The Securities and Commodities Authority (SCA) has entered a new phase of smart regulatory oversight with an extensive workshop introducing licensed companies to its updated risk-assessment methodology, developed in line with international best practices and supervisory requirements. The workshop saw wide participation, with over 587 representatives from more than 215 companies, demonstrating the sector’s commitment to keeping pace with regulatory developments and maintaining the highest standards of transparency and accountability.

SCA representatives delivered a thorough presentation on the enhanced annual risk-assessment methodology, which will serve as a central framework informing supervisory and oversight efforts in the period ahead. The updated methodology focuses on key risk areas that affect market stability, including money laundering and terrorism financing risks, solvency and financial risks, market conduct and investor protection, operational and governance risks, and cybersecurity and technology-related threats.

During the session, SCA officials introduced a new electronic system for receiving corporate responses and explained how to complete digital forms and submit data securely and seamlessly. They emphasized that this digital transition goes well beyond data standardization and improved reporting. It supports regulated entities in meeting compliance obligations, promotes supervisory efficiency, and enhances the SCA’s ability to anticipate risks and act proactively. The new methodology eases the administrative burden on companies by minimizing redundant reporting requirements and streamlining data collection, which highlights the value it delivers and its positive impact on supervisory effectiveness and the business environment.

Commenting on this initiative, H.E. Waleed Saeed Al Awadhi, CEO of the SCA, said: “This day marks a turning point in the evolution of the UAE’s financial sector. The launch of the updated risk-assessment methodology is more than an enhanced supervisory approach; it is a comprehensive strategy to build a sustainable and resilient financial sector capable of navigating emerging challenges. It helps strengthen risk-based oversight, foster compliance, and reinforce investor confidence in the UAE’s markets, ultimately enhancing the competitiveness and attractiveness of the national economy.”

The SCA noted that the strong engagement of licensed companies throughout the workshop demonstrates a genuine commitment to modern regulatory practices and to fostering a solid risk-management culture. It underscored the importance of sustained communication and collaboration with the sector to ensure smooth and effective implementation, support sustainable growth, and enhance market resilience and ability to address future challenges with confidence.

With this initiative, the SCA reaffirms its leading position as a regulator committed to innovation and to strengthening transparency, efficiency, and stability across the financial sector in line with international best practices, thereby solidifying the UAE’s standing among the region’s and the world’s most advanced and mature financial markets.

-

Recent News

Monday, 20 April 2026

CMA Drives Responsible Financial Communication During International Week of Action in Collaboration with Finfluencers

Monday, 13 April 2026

The CMA Issues the Virtual Assets Framework, Establishing an Integrated Regulatory Regime Comprising Five Core Modules and Eight Regulated Activities

Monday, 06 April 2026

UAE’s Global Regulatory Leadership Affirmed by CMA CEO Waleed Al Awadhi Reappointment as Chair of IOSCO’s Africa and Middle East Regional Committee

Do you think this content is helpful? Yes No

Have you used our services at our service center or digitally recently?

Give us your feedback