The limitations apply to a variety of financial services operations, such as custody-related services, investment transaction structuring, credit arrangement or advice, and financial product advice.
On Friday, HDFC Bank Limited said that the Dubai Financial Services Authority (DFSA) had formally instructed its Dubai International Financial Centre (DIFC) office to limit the onboarding of new customers.
The DIFC branch is prohibited from approaching or doing business with new customers who have not completed the onboarding procedure by that date, according to the Decision Notice of September 25, 2025. The limitations apply to a variety of financial services operations, such as custody-related services, investment transaction structuring, credit arrangement or advice, and financial product advice.
The branch is also not allowed to onboard new customers or conduct financial incentives. Customers who have previously received financial services but were not properly onboarded may still be served, and current customers may continue to receive services.
Until the DFSA publishes a written revision or repeal, the directive, which went into force on September 26, 2025, will stay in effect. The DFSA raised concerns about poorly onboarded financial services and problems with the branch’s onboarding procedures.
According to HDFC Bank, there will not be any major financial effects from the activities of the DIFC branch, and they are not important to the bank’s overall financial status.
Joint holders were among the 1,489 onboarded clients at the branch as of September 23, 2025. The bank said that it is working with the regulator to immediately resolve issues and has already started putting the DFSA’s directions into practice.