DIFC strengthens commitment to Belt and Road with China Everbright Group collaborationPress Release 21 Jul 2018 11:15 am
- DIFC chosen as China Everbright Group’s platform for growth during successful UAE-China Week
- Chinese state-owned enterprise operates across banking, securities, insurance, funds, asset management, futures and investment management
- In 2017, CEG achieved full-year operating income of USD 19.93bn (RMB 134.8bn) and net profit of USD 6.16bn (RMB 41.7bn), with total assets amounting to USD 660bn (RMB 4.47trn)
Dubai, UAE: 21 July 2018 – Dubai International Financial Centre (DIFC), the leading international financial hub in the Middle East, Africa and South Asia (MEASA) region, has signed a Memorandum of Understanding (MoU) with China Everbright Group (CEG). The Chinese state-owned enterprise that operates across banking, securities, insurance, funds, asset management, futures, and investment management, is exploring collaboration opportunities relating to China’s Belt and Road Initiative (BRI). In addition, the agreement will support the Group’s business development across the MEASA region.
The MoU was signed by Arif Amiri, Chief Executive Officer of DIFC Authority and Ge Haijiao, Deputy General Manager of CEG, following a meeting between His Excellency Essa Kazim, Governor of DIFC and Li Xiaopeng, Chairman of CEG. The partnership will enable CEG to benefit from the Centre’s strategic location and world-class platform to manage its investments and access growth opportunities in the MEASA region.
Commenting on the partnership, HE Essa Kazim said: “Dubai and China’s continued collaboration is driving economic growth and social impact in the region. Through our collaboration with China Everbright Group, we believe that DIFC is perfectly positioned to facilitate significant opportunities as part of the Belt and Road Initiative. We are proud of the record growth that Chinese institutions have achieved through the Centre, and are looking forward to supporting the Group as it expands its global footprint.”
On this occasion, Li Xiaopeng said: “The synergies between China and the UAE continue to go from strength to strength. Dubai, in particular, has proven to be the ideal location from which we can access the potential of the fast-growing emerging markets in the MEASA region. Our agreement with DIFC is the natural next step in our global expansion strategy, and we are confident that the Centre’s credible and enabling infrastructure will help us to build our business by tapping into vast regional opportunities.”
DIFC is already home to China’s four largest banks, which have successfully upgraded their banking licences from subsidiaries to fully-fledged branches. In addition, the regional headquarters of large Chinese corporations, including PetroChina, Shanghai Electric Investment, ZTE Corporation, New Silk Road Company and CMEC Thar Mining Investments, are currently based in the Centre.
DIFC has continued to see growth from the registered Chinese financial institutions, which accounted for 22% of total assets booked in the Centre as at the end of the third quarter of 2017. The total value of these assets reached USD 33.4 billion, a 30.5% increase from USD 25.6 billion reported in year-end 2016. This reflects the strength of cooperation and understanding that exists between the regulators in China and the DIFC, as well as the business opportunities in MEASA that they access from the Centre.