Ris­ing UAE-China trade spurs growth in DIFC

The Pak Banker - - MARKETS/SPORTS -

Dubai In­ter­na­tional Fi­nan­cial Cen­tre, or DIFC said to­day that it has seen ex­po­nen­tial growth in the pres­ence of Chi­nese fi­nan­cial firms and state-owned banks in re­cent years. The global fi­nan­cial ser­vices hub, reaf­firmed its com­mit­ment to sup­port­ing China's ' One Belt, One Road', pointed out that Chi­nese banks in DIFC have dou­bled their bal­ance sheet in the last 18 months.

Ac­cord­ing to the Cen­tre's 2015 full year Op­er­at­ing Re­view re­sults, China's top four state-owned banks - Bank of China, Agri­cul­tural Bank of China, ICBC and China Con­struc­tion Bank - have com­bined to­tal as­sets of $21.5 bil­lion. The four banks, rep­re­sent­ing 26 per cent of the to­tal as­sets booked in DIFC, have ad­di­tion­ally up­graded their li­cences at DIFC to Cat­e­gory 1, ex­pand­ing their pres­ence from sub­sidiary to branch sta­tus.

DIFC, which wel­comed 309 new com­pa­nies in 2015, up al­most 28 per cent from the year be­fore, with growth among fi­nan­cial ser­vices firms surg­ing by 13 per cent, said the fi­nan­cial hub is con­tin­u­ing dis­cus­sions with two Chi­nese banks to set up op­er­a­tions at DIFC. In 2015, Chi­nese fi­nan­cial firms were in­creas­ingly ac­tive on DIFC's global fi­nan­cial ex­change. Bank of China (BOC) listed a two bil­lion yuan bond (Dh1.18 bil­lion) on Nas­daq Dubai in July 2015 to sup­port cross-bor­der trade and in­fra­struc­ture ac­tiv­i­ties, while Agri­cul­tural Bank of China, listed a 1 bil­lion yuan bond (Dh590 mil­lion) in 2014.

Arif Amiri, chief ex­ec­u­tive of­fi­cer of DIFC Au­thor­ity, said the fi­nan­cial hub is com­mit­ted to build­ing long-last­ing part­ner­ships with the emerg­ing Chi­nese mar­ket. "Con­tribut­ing to a large por­tion of our busi­ness ac­tiv­ity, we en­vis­age an in­creas­ingly sig­nif­i­cant role for Chi­nese firms as we seek to be­come a lead­ing global fi­nan­cial hub."

Newspapers in English

Newspapers from Pakistan

© PressReader. All rights reserved.