Economic activity is heating up as eid al adha is nearing which sees millions of expatriates sending money home for celebrations, sacrificing animals, shopping and travelling. Remittances flow every year on the eve of Eid but this year, finance experts are urging people to refrain from holding back their remittances.
All banks in the UAE, Saudi Arabia, Qatar and elsewhere in the Gulf are readying themselves for long public holidays during Eid in readiness for these long holidays. Any transfers that occur late could remain unresolved and in a “processing queue” until after the end of the holiday period.
Why GCC Bank Closures Could Delay Your Eid Transfers?
The UAE Central Bank hopes to halt operations for the UAE’s key clearing banks Monday, May 25 to Friday, May 29. In addition, weekend schedule break may mean that some of the banking operations could continue to be affected until Monday, June 1.
Saudi Arabia is also imposing a temporary halt over important interbank systems that are used for transactions during Eid week. Other GCC countries will see comparable shutdowns, particularly at financial institutions during public holidays, when people may be on break.
This consequently presents a significant problem for people who are expatriates or send remittances to India, Pakistan, Bangladesh, Nepal, Egypt, Sri Lanka and the Philippines. While the transfers are set up on the internet, there may be a delay in processing the settlement systems in the backend even with banking operations being suspended.
Why Digital Remittance Apps May Slow Down During Eid?
So many users think that digital remittance apps function normally throughout the holidays. Although some apps such as Careem Pay, STC Pay, Botim, and e& money are still operating, the actual settlement of the transfer will be based on the infrastructure of the banking sector and the liquefaction of money networks.
When those systems as above stop functioning, many of the instant transfers move to pending. This means that the beneficiaries may not receive money till banking avenues will be back in action after Eid.
Guaranteedly, financial advisors are recommending that citizens in the Gulf Cooperation Council (GCC) nations finalise all major transfers before the upcoming weekend to avoid long delays and processes being overloaded.
Exchange Rate Volatility Is Rising Before Eid Al Adha
There are also concerns on the rise of exchange rate volatility ahead of the holiday season. South Asia’s usual currency swap corridors are experiencing a strain due to heavy remittance orders.
As the volume of transfers increases some currency exchange houses raise their currency charges surreptitiously. Even when the fee is exactly the same on the surface, the actual amount received home is fewer than would be if not for the fund being set aside for the future.
You can avoid peak transfer surge, occurring nearer to Eid vacation, by sending money sooner in the week so that you can land a better offer as tariffs.
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Cash Pickup Services Could Become the Fastest Option
Financial advisors recommend residents opt for instant cash payout in lieu of normal banking transfers because of the early transfer window that they cannot access.
Western Union, Al Ansari Exchange and GCC Exchange provide “cash pickup” services that go around the delayed interbank clearing system. Recipients may be able to pick up money at the local branch in just minutes.
One way to stay safer in the midst of lengthy bank holidays is by using these services, which are usually costlier but still one of the best choices.
Plan Early to Avoid Eid Transfer Stress
The 2026 Eid Al Adha Islamic Calendar has resulted in one of the longest banking holidays in recent years in the GCC. Leaving it to the very last minute may result in families not having money available during the holidays.
With banking systems set to close next week it is strongly recommended for the expat community to double-check exchange rates, track transfer times and make all critical transfers before that point.
FAQs
What is the optimum time to send money home before Eid Al Adha 2026 for the residents of GCC countries?
Ideally all the transfers to/from residents will be made by Thursday 21st May 2026, as that is the last day before bank and clearing house closures bring down the transfers.
Are digital remittance apps going to continue during Eid holidays?
The applications will continue to be active, but the settlement times may experience considerable delays as banks and liquidity systems will have restricted settlements.
Which countries are likely to suffer payment delays on remittances?
Remit inflows have been high in the past in countries like India, Pakistan, Bangladesh, Nepal, Egypt, Sri Lanka, etc. may require longer bank credit timelines during Eid week.
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