THE DUBAI FINANCIAL CENTER (DIFC), Memoranda

New bilateral MoU partners include the Qatar Financial Centre Regulatory Authority, Autorité des Marchés Financiers (France), the New York State Banking Department and The Office of the Superintendent of Financial Institutions, Canada. At the same time, the DFSA signed multilateral MoUs with the Asian-Oceanian Standard-Setters Group and International Association of Insurance Supervisors. Meanwhile, the DIFC Courts signed its first international MoU with Jordan in Q2 2010. Adding to its existing MoUs with judicial counterparties from Dubai, Abu Dhabi, and Ras Al Khaima.

Last year the DFSA, after consultation with a panel of market practitioners and experts, made a series of regulatory changes to the DIFC’s Collective Investment Funds regime in order to make the Centre a more attractive investment centre for both international and domestic fund managers. In the third quarter the Carlyle Group became the first company to establish and manage an investment vehicle under the new funds regime.

2010 also saw continued DIFC Authority efforts aimed at supporting dialogue and international co-operation between counterparties, as well as creating strategic partnerships with international jurisdictions thus strengthening the DIFC’s offering to clients.

Six Memoranda of Understating (MoUs) were signed in 2010 to bring the total up to 11 MoUs with various jurisdictions. The MoUs signed in 2010 were with Luxembourg, Madrid Centro Financiero, the UAE Ministry of Finance, the Economic Zones World, the Dubai Department of Economic Development and the Dubai Department of Tourism & Commerce Marketing. Meanwhile, the other independent entities under the DIFC umbrella, the DFSA and DIFC Courts, have also both signed a number of different cooperation agreements during 2010.

Over the course of 2010, the DFSA entered into eight new bilateral MoUs and two new multilateral MoUs, bringing the total MoUs signed to date to 56.

Governor of DIFC Ahmed Humaid Al Tayer, said: “The solid growth witnessed by DIFC in 2010 reflects the importance of the Centre to financial and business institutions seeking to take advantage of opportunities present in the UAE and the wider region. With its continuous efforts to develop further its modern infrastructure, free zone offering and self-governing laws and courts, DIFC has consolidated its position as the pre-eminent and favoured financial centre in the region."

“We have already started reaping the rewards of our new business strategy and we are confident that DIFC will continue to play an important role in providing market participants vital support in the rapidly changing business environment in the region” He added.

CEO of DIFC Authority Abdulla Mohammed Al Awar, said: “We are very proud of the growth and success we have achieved on different levels in 2010. There is no doubt that the road ahead remains challenging. Although, we believe that there are still many untapped opportunities that our new strategy will position us to take advantage of.

We are committed to growing our existing client partnerships and we look forward to the continued support and guidance of our clients in our journey together to achieving greater success.”