Bhutanese lender DK Bank has received In-Principle Approval (IPA) from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM), the emirate's international financial center, clearing an early regulatory step toward establishing a regulated subsidiary in the UAE capital. The bank plans to offer custody, payments, brokerage and advisory services from Abu Dhabi.

If completed, the move would mark DK's first financial services presence outside Bhutan. According to the bank, it is also the first Bhutanese bank to receive in-principle regulatory approval for an overseas financial services presence.

The approval is not yet a final authorization. DK must satisfy the conditions set out in the IPA before receiving a Financial Services Permission and establishing its regulated operations within ADGM. The timeline for meeting those conditions will shape how soon the Abu Dhabi unit can begin operating.

Once fully approved, the Abu Dhabi operation is intended to serve as an international base connecting Gelephu Mindfulness City (GMC) — and Bhutan more broadly — with global capital, investors and financial institutions. GMC is Bhutan's planned special administrative region, centered on the southern town of Gelephu and being developed as a base for international investment and finance.

"We are building institutional-grade financial infrastructure that connects markets across Asia and the Middle East, supported by strong regulation and robust technology. ADGM will be an important part of that network and of DK's next phase of international growth," said Zheng Yudong, Group Chief Executive Officer of DK.

Closer Regulatory Ties Between Abu Dhabi and GMC

The expansion comes as financial authorities in Abu Dhabi and GMC build closer regulatory ties. In April 2025, the Gelephu Financial Services Office (GFSO), which oversees financial services for GMC, and ADGM's FSRA signed a Memorandum of Understanding establishing a framework for regulatory cooperation, information exchange and engagement between the two authorities.

DK views Abu Dhabi as a gateway connecting the Middle East, Asia and other international markets, while providing a regulated base for its broader international strategy.

"This is a milestone for DK and for Bhutan. Once final approval is received, Abu Dhabi will give DK a regulated international base connecting Gelephu Mindfulness City with global capital, investors and financial institutions," said Gelay Jamtsho, Chairperson of DK.

GFSO Managing Director David Peters said DK's progress also reflects GMC's efforts to develop connections with international financial jurisdictions.

"Our cooperation with ADGM is about building strong relationships with leading global jurisdictions. DK's progress in Abu Dhabi is a practical example of how institutions based in Bhutan and GMC can connect to international markets while operating to high regulatory standards," he said.