Abu Dhabi Global Market, the financial free zone being set up in the capital, has taken the first step in a process that will eventually gain it international recognition as an independent, self-regulating financial and banking hub.
The Central Bank yesterday signed an initial deal with the Global Market aimed at “cooperation and the exchange of information”. The agreement is an important move towards gaining recognition from global financial regulators.
It covers “areas of co-operation between the two institutions, including regulatory and supervisory matters”, the Central Bank said.
“The memorandum of understanding commits both parties to actively strengthening cooperation between key professionals in each entity through staff training and technical assistance, and will form the basis of an active and dynamic working relationship between the Global Market and the Central Bank,” a statement said.
“The memorandum with the Central Bank of the UAE is an important milestone for the Global Market in achieving its current priority to establish the regulator, registrar and legal jurisdiction that together will provide the strong foundation for the future business of its registered companies.
“This memorandum is the first in a series of agreements with local and international regulators to ensure that the Global Market has a financial services regulator that is internationally accredited,” it added.
The Global Market will contribute to the development of Abu Dhabi’s financial services sector in line with Abu Dhabi’s strategic policy called Economic Vision 2030.
The memorandum was signed by Sultan Al Suwaidi, the Governor of the Central Bank, and Ahmed Ali Al Sayegh, chairman of the Global Market. Mr Al Sayegh declined to comment.
The Global Market is located in the capital’s central business district on Al Maryah Island.
Financial professionals believe a number of key appointments in the Global Market’s regulatory, listings and legal pillars are being prepared.
fkane@thenational.ae
Follow us on Twitter @Ind_Insights