Bhutan-based DK Bank has received in-principle approval from the Financial Services Regulatory Authority (FSRA) of ADGM, Abu Dhabi’s international financial centre.

The bank intends to establish a subsidiary in ADGM to provide brokerage, custody, payments and advisory services.

However, the subsidiary cannot begin operations until DK meets the conditions of the approval.

The bank must also obtain a final Financial Services Permission (FSP), which firms must hold to conduct regulated activities in ADGM.

According to DK, it is the first Bhutanese bank to receive in-principle approval for a financial services presence outside Bhutan.

Once the subsidiary is licensed, DK expects it to serve as a base linking Gelephu Mindfulness City (GMC), and Bhutan more broadly, with global investors and financial institutions.

In addition, the bank regards Abu Dhabi as a gateway between the Middle East, Asia and other markets.

Meanwhile, ties between financial regulators in Abu Dhabi and Gelephu have deepened.

In April 2025, GMC authorities and the ADGM FSRA signed a memorandum of understanding covering regulatory cooperation and information exchange.

“The In-Principle Approval gives us a clear path towards establishing DK’s presence in one of the world’s leading international financial centres,”

said Zheng Yudong, Group Chief Executive Officer of DK, who previously led MariBank Singapore.

“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,”

said David Peters, Managing Director of the Gelephu Financial Services Office.

Also known as Digital Kidu, DK Bank is a Bhutanese digital bank and the official bank of GMC, a special administrative region in southern Bhutan.

Featured image: Edited by Fintech News UAE, based on image by Phonlamaistudio via Magnific.