Legal framework at centre of discussions at first meeting of DIFC governors

The Dubai International Financial Centre (DIFC) held its first bi-annual meeting of the DIFC Governors yesterday, with a strong endorsement for the draft legal and regulatory framework that will govern all its activities when launched later this year.

The full day meeting, held on Saturday 11^th May 2002 in Dubai, was headed by DIFC Chairman, Anis Al Jallaf and brought together the DIFC Board of Directors, the newly appointed members of the Regulatory Council and the International Advisory Board.

Confirming the strong interest in the DIFC by international financial institutions, the governors discussed key trends in financial services worldwide and identified opportunities for the initiative. They endorsed the growth strategy of the DIFC and were briefed on the strong interest expressed so far by over 65 Fortune 500 global financial institutions to set up operations in the DIFC.The governors were pleased to learn of the interest in and the progress made in discussions with the landmark clients who aim to be the first institutions to set up in the DIFC.

Advisory board member Dr Kenneth Courtis, Vice Chairman – Asia of Goldman Sachs said: “The DIFC has put in place a well thought-out regulatory and legal framework and has attracted some of the best talent to run it. There is no doubt that global fund managers will find DIFC as the only market in the entire region with internationally accepted characteristics.” He also added that there is huge interest from the global fund management industry to set up operations in the DIFC.

The governors were briefed on the regulatory design, legal framework and draft laws. Ian Hay Davison, Chairman of the Regulatory Council, commented: “The governors expressed their satisfaction with the rigorous international best practices incorporated in the design principles for the regulatory structure and processes and the draft legal framework to enforce it.” He also briefed them on the new members of the regulatory council and also announced the Chief Commissioner of the Regulatory Agency will be appointed by end May.

Commissioned in February by HH General Sheikh Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and the UAE’s Minister of Defence, the DIFC will enable world-class financial and professional service companies and corporations to operate regionally and globally from Dubai within a transparent business environment, governed by an independent regulatory agency.