Dubai banks will abolish the OTP system to be sent through SMS or email. Instead, people have to use their bank’s mobile app to approve or reject digital transactions. All banks of the United Arab Emirates (UAE) are gradually adopting this change and its time limit is 31 March 2026, that is, by this time all banks will have to stop using SMS and email for transaction authentication. This instruction has been given by the central bank of UAE.
Why is this change being brought?
In view of the increasing cases of cyber attacks in the banking system, this change is being brought to strengthen security and reduce the risk of fraud. Cyber thugs use this OTP for everything, from fishing and sim-swapping to ransomware.
According to the local news outlet building al-uom, based on the instructions of the central bank of the UAE, the central bank has told banks that the facility of sending passwords via text messages or emails will be gradually discontinued. Customers will now be able to make electronic transactions easily through smart applications by selecting the facility of ‘certification’ through ‘mobile application’.
According to the UAE Cyber Security Council, there are more than 50,000 cyber attacks per day by public sector organizations. According to UAE cyber security officials, ransomware attacks are expected to increase by 32 percent in 2024. Rainmware incidents also increased from 27 in 2023 to 34 in January-November 2024.
These two things are necessary for customers
Overall, now that you do digital transactions, a notice will appear on your bank app. In this, you will be asked to approve or reject the transaction, so the bank app should be installed in the phone and information should be started. Cyber criminals adopt various tactics such as fishing, sim-swapping or malware to hijack the OTP. Many times users know the code to the scammers inadvertently, due to which the account is immediately emptied or the money is transferred abroad.
