EMI Calculator UAE
Enter the loan amount in AED, the rate and the term to get the monthly instalment (EMI), total interest and total cost of a personal, car or other loan. Works for loans from banks in Dubai, Abu Dhabi and every other emirate, flat or reducing rate.
- Number of payments
- 36
- Total interest
- AED 7,895.23
- Total you repay
- AED 107,895.23
Estimate only. Excludes fees, insurance and early settlement charges. Your lender's figures apply.
How to calculate EMI in the UAE
Example: AED 100,000 at 6% a year, reducing balance, over 48 months.
- Monthly rate r = 6 ÷ 12 ÷ 100 = 0.005
- (1 + r)48 = 1.27049
- EMI = 100,000 × 0.005 × 1.27049 ÷ (1.27049 − 1) = AED 2,348.50
- Total interest = EMI × 48 − 100,000 = AED 12,728.14
- Reducing balance: EMI = P × r × (1 + r)n ÷ ((1 + r)n − 1), where P is the loan, r the monthly rate (annual rate ÷ 12 ÷ 100) and n the number of months.
- Flat rate: EMI = (P + P × annual rate × years) ÷ n. Interest is always charged on the full amount.
- Total interest = EMI × n − P.
Examples
EMI table at 6% reducing
Monthly instalment in AED by loan amount and term. 6% is an example rate, not an offer.
| Loan (AED) | 12 months | 24 months | 36 months | 48 months |
|---|---|---|---|---|
| 50,000 | 4,303.32 | 2,216.03 | 1,521.10 | 1,174.25 |
| 100,000 | 8,606.64 | 4,432.06 | 3,042.19 | 2,348.50 |
| 200,000 | 17,213.29 | 8,864.12 | 6,084.39 | 4,697.01 |
UAE loan limits (Central Bank)
From Central Bank Regulation No. 29/2011 on bank loans to individuals. Banks may lend less.
| Limit | Maximum | Article |
|---|---|---|
| All monthly loan and card payments | 50% of gross salary and regular income | 7(a) |
| If repayment runs into retirement | 30% of income or pension | 7(b) |
| Personal loan amount | 20 times salary or total income | 2(b) |
| Personal loan term | 48 months | 2(c) |
| Car loan amount | 80% of the car's value | 3(b) |
| Car loan term | 60 months | 3(c) |
| Fee to move a loan to another UAE bank | 1% of the balance or AED 10,000, whichever is less | 20(b) |
The regulation says "20 times the salary"; it does not say monthly, but it is read that way.
Frequently asked questions
What is an EMI?expand_more
EMI stands for equated monthly instalment: the fixed amount you pay each month until the loan is repaid. It covers interest and part of the amount you borrowed.
What is the difference between a flat rate and a reducing rate?expand_more
With a reducing (declining) balance rate, interest is charged each month on what you still owe, so it falls as you repay. With a flat rate, interest is charged on the original amount for the whole term, so it costs more. A 5% flat rate is much more expensive than a 5% reducing rate.
Which one does my bank quote?expand_more
Offers may show a flat rate, but Central Bank rules require banks to declare the rate on a reducing balance, annual basis and to state the effective annual rate in your loan documents (Regulation 29/2011, Article 6). Ask for that rate and enter it with Reducing balance.
Does this include fees?expand_more
No. It covers interest and principal only. Processing fees, insurance and early settlement charges are extra. Ask your lender for the full cost of the loan.
What is the maximum personal loan in the UAE?expand_more
20 times your salary or total income, repaid over 48 months at most (Central Bank Regulation 29/2011, Article 2). The regulation does not say monthly salary; it is read that way. Banks may lend less.
What is the maximum car loan in the UAE?expand_more
80% of the car's value, repaid over 60 months at most, within the same 50% limit on all your repayments (Regulation 29/2011, Article 3). So expect to pay at least 20% yourself.
What is the debt burden ratio (DBR)?expand_more
All your monthly loan, car loan, home loan, overdraft and card payments together, as a share of your gross salary and regular income. The maximum is 50% (Regulation 29/2011, Article 7(a)), or 30% of income or pension if repayment runs into retirement (Article 7(b)).
Can I move my loan to another bank?expand_more
Yes. The early payment fee for moving a loan to another bank or finance company in the UAE is at most 1% of the outstanding balance or AED 10,000, whichever is less (Regulation 29/2011, Article 20(b)).
How do I pay less interest?expand_more
Borrow for a shorter term, pay a larger down payment or borrow less, and compare lenders on the reducing-rate equivalent. A shorter term raises the monthly payment but lowers the total interest.
Source
Standard loan amortisation formulas. The loan limits, the 50% debt burden ratio (Article 7(a), restated in Mortgage Loans, Article 3.1) and the reducing-rate rule (Article 6) are from Central Bank Regulation No. 29/2011, consolidated as of 24 June 2022. Interest rates, fees and eligibility are set by your lender, so read your loan offer and ask for the full cost of borrowing. Checked 24 October 2026.
Read the official text:Central Bank of the UAE, Regulation No. 29/2011 (Bank Loans to Individuals) · Central Bank of the UAE Rulebook, Article 3 (Important Ratios)