24 September 2007 — DFSA enters into Memorandum of Understanding with China’s Banking Regulator
Beijing, China, 24 September, 2007: The Dubai Financial Services Authority (DFSA) today entered into a Memorandum of Understanding (MoU) with the China Banking Regulatory Commission (CBRC).
The signing took place between Mr. David Knott, Chief Executive of the DFSA, and Mr. Liu Mingkang, Chairman of the CBRC, at the offices of the Commission in Beijing.
The CBRC supervises all banking institutions including banks, non-bank financial institutions and foreign banks with the aim of promoting the safety and soundness of the banking industry. This is to maintain public confidence in the banking industry, encourage fair competition in the banking industry and to improve its competitiveness in the People’s Republic of China.
The Chief Executive of the DFSA, Mr. David Knott said: “I am honoured to be meeting Chairman Liu Mingkang and am pleased that the China Banking Regulatory Commission and the Dubai Financial Services Authority have now put in place these arrangements for co-operation and information sharing between banking supervisors.”
The visit to Dalian earlier this month of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, and His Highness’s meeting with Prime Minister Wen Jiabao, underscore the importance that Dubai and the UAE place on our relationship with the People’s Republic of China. Today’s initiative between two of their regulators reflects, in a practical sense, the development of this relationship.”
This MoU follows the model for information sharing developed by the Basel Committee on Banking Supervision. It reflects each agency’s commitment to co-operation in relation to prudential oversight and inspections and thereby, facilitates the expansion of a number of significant banks from the People’s Republic of China into the DIFC.