13 April 2016 — The DFSA and Society of Lloyd's establish a Framework for Co-operation
Dubai, UAE, 13 April 2016: The Dubai Financial Services Authority (DFSA) entered into an arrangement today with the Society of Lloyd's to establish a Framework for co-operation.
The Framework was signed by the Chief Executive of the DFSA, Mr Ian Johnston, and the Chairman of Lloyd's, Mr John Nelson. The Framework promotes an efficient and effective flow of information between the DFSA and the Society of Lloyd's in relation to Lloyd's syndicate service companies and other coverholders who operate in the Dubai International Financial Centre.
This Framework for co-operation recognises the mutual benefit of sharing information to promote effective supervision of Lloyd's coverholders. While the DFSA has the responsibility for the licensing and supervision of Lloyd's coverholders in the DIFC, the Society of Lloyd's has statutory and supervisory powers relating to Lloyd's market participants who appoint the coverholders. Through a DIFC subsidiary, Lloyd's Ltd, it will provide a number of services to those coverholders. This creates a common interest between the DFSA and Lloyd's in seeking to ensure that these entities conduct their business properly and effectively.
Mr Ian Johnston, Chief Executive of the DFSA, said: "The establishment of the Framework marks a significant step in the evolution of Lloyd's presence in the DIFC. While several Lloyd's participants have been licensed to conduct insurance activities in the DIFC for over a decade, Lloyd's Ltd's' presence in the DIFC, began in 2015. Its presence adds depth to the DIFC insurance market. We welcome them and look forward to strengthening our relationship with the Society of Lloyd's."
Lloyd's Chairman John Nelson said: "This Framework for co-operation recognises the responsibilities and common interests between Lloyd's and the DFSA in ensuring the activities of Lloyd's coverholders in the DIFC are appropriately conducted and supervised.
The Lloyd's market has evolved over 328 years and, in doing so, we have developed a robust and tested framework for monitoring the syndicates and business within the market and sharing our intelligence and insights with regulatory bodies.
We are delighted to mark the first anniversary of the Lloyd's Dubai platform. The presence of the Lloyd's underwriting community in the DIFC allows us to build stronger relationships and deeper risk insights across the region and we are seeing promising business growth as a result of this investment."
— Ends —
For further information please contact:
Dubai Financial Services Authority
Level 13, The Gate, West Wing
Tel: +971 (0)4 362 1662
The Dubai Financial Services Authority (DFSA) is the independent regulator of financial services conducted in or from the Dubai International Financial Centre (DIFC), a purpose-built financial free-zone in Dubai. The DFSA's regulatory mandate covers asset management, banking and credit services, securities, collective investment funds, custody and trust services, commodities futures trading, Islamic finance, insurance, an international equities exchange and an international commodities derivatives exchange. In addition to regulating financial and ancillary services, the DFSA is responsible for supervising and enforcing Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) requirements applicable in the DIFC. The DFSA has also accepted a delegation of powers from the DIFC Registrar of Companies (RoC) to investigate the affairs of DIFC companies and partnerships.
Ian Johnston was appointed as Chief Executive of the DFSA in June 2012. Ian joined the DFSA in November 2006, as a Managing Director, to head-up the Policy and Legal Services Division.
Ian was admitted to practice Law in Australia in the early 1980's and spent most of his career in the private sector. He held a number of senior positions within the financial sector and was CEO of one of Australia's major Trustee Companies. During that time, Ian played a leading role in the Trustee industry and served on the National Council of the Trustee Corporations Association.
In 1999, Ian joined the Australian Securities and Investments Commission where he held the position of Executive Director, Financial Services regulation, and spent several terms as an acting Commissioner. In 2005, Ian took up a position with the Hong Kong Securities and Futures Commission as a Special Advisor.
Ian is a past Chairman of the Joint Forum, which comprise representatives of the major international regulatory standard-setters (IOSCO, IAIS and the Basel Committee). In November 2013, he was elected to the Steering Group of IOSCO's Growth and Emerging Markets Committee. He is also a member of the Financial Stability and Technical Committee (FSTC) of the IAIS, the global standard-setting body for insurance regulation, and was a member of the Board of Directors of the Financial Planning Standards Board (from Jan 2011 – Mar 2016).