China tie-up step for Abu Dhabi Global Market’s hub ambitions | daily-sun.com

China tie-up step for Abu Dhabi Global Market’s hub ambitions

    20th July, 2016 12:06:47 printer

Abu Dhabi: Abu Dhabi Global Market (ADGM), the capital’s financial free zone, has clinched an agreement with the Chinese market regulator to boost links between the UAE and the world’s second-biggest economic power.
Richard Teng, the chief executive of ADGM’s financial services regulatory authority, signed a memorandum of understanding with Liu Shiyu, the chairman of the Chinese Securities Regulatory Commission (CSRC), the country’s main financial watchdog, in Beijing last week while on an official ADGM visit to China, reports the Media.
The agreement is the second to emerge from the China trip, following an earlier deal with the Shanghai free zone authority. It complements an agreement reached earlier in the year with the Chinese banking regulator.
Mr Teng said: “We are very pleased to cooperate with CSRC and believe the concerted efforts from both authorities will serve the long-term interests of our respective stakeholders and markets.

The growing economies of both China and the UAE have offered, and will continue to offer investment opportunities for investors worldwide.
“As an international financial centre based in the heart of the Middle East, ADGM is committed to provide a well-regulated and strategic platform for companies and investors to access the UAE’s growth and advance their business aspirations in this region. With the MoU, we will strengthen regulatory cooperation between both markets to support increasing cross-border activities,” he added.
ADGM said the deals with Chinese regulators “reconfirm ADGM’s commitment to support China’s ‘one belt, one road’ initiative”, the country’s strategy for future trade and economic development in Asia and the Middle East.
“The MoU provides a framework to provide assistance, exchange regulatory information and cooperate in the supervision of financial institutions with respective securities and derivatives markets laws and regulations to uphold high standards. It enables both regulators to work on initiatives such as joint training and technical assistance to strengthen high regulatory standards and practices in both markets,” ADGM said.
The CSRC has steered China through a challenging time in financial markets, with large levels of debt hanging over the public and private sectors as the country has sought to move from an export-orientated manufacturing economy to a consumer-based model. Despite a slowdown in Chinese growth rates from the explosive rates in the decades before the global financial crisis, the country has maintained a fast pace of economic expansion.


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