BDO International Establishes Corporate Finance Office At The Dubai International Financial Centre

BDO International, the 5th largest global accountancy network, today announced the opening of a new corporate finance office in the Dubai International Financial Centre (DIFC).

The new office – BDO Corporate Finance (Middle East) LLP – will act as a hub for corporate finance and restructuring advisory work in the Middle East.

It will focus on building relationships with and working alongside regional family offices, institutional investors and businesses as well as helping multinational businesses who want to break into the Middle East.

Dr. Omar Bin Sulaiman, Governor of the DIFC, welcomed BDO International to the DIFC. "The world’s fifth most important accountancy consultancy joins a growing list of top global firms at the DIFC, the world’s fastest growing international financial hub. We have 20 of the world’s top 25 banks and 6 of the world’s 10 largest asset managers”.

"The Gulf has always been regarded as a cash-rich region and, I am sure, that with expanding opportunities as the centre of gravity of world commerce shifts East, coupled with growing sophistication and increasing depth of our markets, BDO International will have a highly successful operation in the region," added the Governor of the DIFC.

BDO Corporate Finance has received Category 4 Authorised Firm status from the Dubai Financial Services Authority (DFSA). Jon Breach, Corporate Finance Partner, who has relocated from the London office of BDO, heads up the office and has brought with him a team of corporate finance specialists from the UK.

Jon Breach, Lead Partner of BDO Corporate Finance (Middle East) LLP, said: “Over the last few years, we have witnessed the rising influence of Middle Eastern investors in the global corporate finance arena. By having a team of corporate finance and restructuring experts based in the region we are bringing additional specialist advisory services to the strong relationships established by the local BDO member firms. This will result in our clients being able to access a broader range of services, which is why we have opened the dedicated regional office. This market will continue to grow in importance as an international source of capital and the opportunity for us is very exciting. I look forward to working alongside the local BDO member firms in this dynamic region.”

Jawad Habib Jawad, Head of Middle East Region at BDO, said: “The Middle East is strategically important to BDO at an international level. Our strong member firms in the region will benefit from specialist corporate finance and restructuring advisory knowledge, skills and expertise on the ground. Our experience shows that Middle East investors prefer to work with local experts and this is what we will provide through this new venture. Jon brings with him a wealth of experience and he and his team will be able to draw on our regional and international BDO member firms for support where necessary.”

Dubai International Financial Centre Gets Full-Service Immigration Office for Convenience of Member Firms

A VIP delegation from the Dubai Naturalization and Residency Administration (DNRA), paid an official visit to the full-service immigration office at the Dubai International Financial Centre (DIFC), which caters to the needs of the growing DIFC community.Marwan Lootah, Chief Corporate Affairs Officer at the DIFC Authority, welcomed the top-level delegation, which was led by Lt. Col. Awad Alowaim, Assitant Director for Management and Finance.

Members of the high-ranking DNRA delegation included Lt. Col. Khalifa Matar Mubarak, Assistant Director for External Centres Sector, as well as Khalid Adullkarim, Director of Finance and Investment; and 1st. Lieutenant Salem Bin Ali Head of Naturalization & Residency – DIFC.

Marwan Lootah, DIFC Authority Chief Corporate Affairs Officer, said: “We have created a lifestyle option at the DIFC, making it a preferred destination to live and work in for the global financial industry.

“Today, the DIFC is ranked the world’s fastest growing international financial hub. We have 20 of the world’s top 25 banks and 6 of the world’s 10 largest asset managers. Attracting top institutions from across the world has been helped in a major way by the ease of doing business from the DIFC. The partnership with the DRNA has brought another added convenience to the DIFC Community,” Lootah added.

LT. Col. Awadh Al Owaim Director of General Dep. Of Human Resourses & Finance at Department of Naturalization & Residency– Dubai (DNRD) said, "This visit comes in line with strengthening the strategic partnership and finding ways for collaboration with DIFC. He stressed the Department’s efforts to expand its corporate and community relations to execute one of the strategic plan goals that the Department pursues and to reinforce the integral and strong role between DNRD and its major strategic partners so they can achieve security system for the community in the Emirate of Dubai.

Lt. Col. Khalifa Matar Mubarak Asst Manager of External Centres Sections praised the efforts of staff in specialised areas at DIFC and pledged to overcome any obstacles facing them. He asserted his endeavour to enhance DNRD work at DIFC through creating a distinguished work environment to raise the performance level and support the sense of professional dedication of staff.This strengthens DNRD role, according to Balqoubaa, and its responsibilities in community through its contribution to the development of its political systems and internal communications and sustainability of the high quality and excellence in achievement.

The Indian Business Community in the UAE Is an Important Partner in the Nation’s Development, Says HE Dr Omar Bin Sulaiman

The Indian business community in the UAE has been an integral partner in the growth story of the nation, HE Dr Omar Bin Sulaiman, Governor of the Dubai International Financial Centre, told members of the Indian Business & Professional Council on Sunday."The development and success of the UAE and Dubai wouldn’t be what it is without the committed, dynamic and entrepreneurial contribution of the Indian community," Dr Omar told the lunch meeting.Not only is the Indian community in the UAE a significant partner in growth, but so too does trade between the UAE and India engage a significant share of the UAE economy, he said. UAE exports to India have grown at a faster pace than overall growth in UAE exports, while imports from India have increased by a factor of 30 between 1990 and 2008, reaching US$13.7 billion by the third quarter of that year."The potential of both the Middle East and India has yet to be reached in full, but I believe that the Indian community here in Dubai and the UAE can be a catalyst to help our regions realise their full possibilities," Dr Omar said."The infrastructure and business environment in Dubai and the UAE offers a fertile trade and financial hub from which Indian businesses have flourished and expanded into the entire region, while the entrepreneurial spirit of the Indian expatriate community, as well as its links with the Indian economy, offer multiple opportunities for both sides to work together toward the betterment of all," Dr Omar said."In fact, some of Dubai’s biggest brands and commercial enterprises were founded by members of the Indian community in Dubai and have played an important role in contributing to the rise of Dubai as not just a regional, but also a global centre of trade, commerce, finance, education, healthcare, transportation and tourism," he added.Bilateral investment also is substantial, with India courting GCC capital and Indians representing the third largest source of investment into the Middle East, after the United States and the United Kingdom.Commenting on the enduring strength of Dubai’s economy, Dr Omar pointed to a new study of Indian and Pakistani schools by the Dubai Knowledge and Human Development Authority that showed a 2% increase in enrolment numbers for the 2009 academic year, which began in April."Given that these communities represent a large portion of the Dubai expatriate population, this is another sign that, despite the empty talk of sceptics, there is a continuing flow of real data showing the stability of the expatriate population," Dr Omar said. "We are confident that similar results will be found in other expatriate schools with the start of their new academic year in the fall."

UOWD To Conduct Kaplan Schweser CFA (Chartered Financial Analyst) Crash Course From May 22

University of Wollongong in Dubai (UOWD), the sole agent for Kaplan Schweser financial education programs in the UAE, will be conducting an intensive, five-day Chartered Financial Analyst (CFA) course for the June examination at its Knowledge Village campus and Abu Dhabi from May 22 to 30, 2009.

The program, which comprises 45 hours of live instruction by expert tutors, is targeted at professional investment analysts, financial analysts, financial regulators, auditors, bankers and investment advisors. The course will cover Ethical and Professional Standards, Investment Tools, Asset Valuation and Portfolio Management.

Kaplan Schweser is the leading global provider of financial education solutions. UOWD has been appointed as the sole agent for conducting Kaplan Schweser courses in CFA, ACCA (Association of Chartered Certified Accountants) and US CPA (Certified Public Accountants).

“There is huge prestige attached to a Kaplan Schweser course worldwide. UOWD is proud to bring these programs to financial professionals keen to hone their skills that will enable them to serve their organizations or business more competently,” said Dr. Munir Lutfi, Director of Centre for Management Excellence, UOWD. “We anticipate a growing demand for these programs, as the UAE continues to gain reputation as a top-class financial hub.”

UOWD recently signed an agreement with Sherwood Consultants India Pvt. Ltd., authorized distributor and reseller of Kaplan Schweser programs in the Middle East, to offer the much sought-after programs, to financial professionals in the UAE.
 

DIFC Calls For Uniform Legal And Financial Frameworks And Common Payment Systems In Light Of Imminent GCC Common Currency

A stirring call for deeper integration among GCC states – and particularly between the UAE and Saudi Arabia, the two largest economies of the Gulf – was today jointly issued by the Dubai International Financial Centre (DIFC) and the Riyadh Chamber of Commerce and Industry (RCCI).

A consolidated approach between the nations of the Gulf will allow them to maximize emerging opportunities around the world and in the region, said a top official of the DIFC.

Nasser Al Shaali, Chief Executive Officer of DIFC Authority, was speaking at a jointly-organised conference entitled ’Rising Giants: Opportunities in KSA’ at the RCCI. The DIFC delegation was welcomed by Eng. Sa’ad bin Ibrahim bin Abdul Aziz Al Moajil, Vice-Chairman of the Board of the Riyadh Chamber of Commerce and Industry.

Al Moajil pointed out that the GCC has enormous resources. “GCC economies are emerging as an economic and financial hub for the wider region and have achieved average real GDP growth of 6.9% over 2004-2008.

“Saudi Arabia is the wealthiest economy in the GCC and plays a pivotal role in the wider region. It has the mass and volume to move things and take the rest of the GCC forward,” he said.

The Riyadh Chamber Vice-Chairman agreed that to move the GCC forward, there is need to revisit plans in light of the changed global scenario. “The financial geography of the region and the world has changed and steps are needed to support regional economic and financial integration”, Al Moajil added.

In his opening address, the DIFC Authority CEO issued a call for action. “You, who are here today to represent policy makers, business leaders and some of the biggest names in the regional investment community. You have the ability and the authority to strengthen ties at an institutional level between the Kingdom of Saudi Arabia and the UAE, promote greater links between our banking and financial services industry, and facilitate greater investment ties and capital flows.

“In Abu Dhabi and in Riyadh, 28 years ago, our leaders dreamed of formulating common regulations in various fields such as economy, finance, trade, customs, tourism, legislation and administration. They envisioned joint ventures, increasing cooperation among the public and private sector, strengthening of ties between their peoples; and establishing a common currency,” Al Shaali said.

He pointed out that the results have not been as satisfactory as had been envisioned. “Our brotherly nations have not integrated their administration, their services, their systems, and their financial and legal frameworks. Money, goods and services and human capital does not flow smoothly across the GCC wherever there is need and opportunity for it. As members of the same family we have not combined our comparative advantages to tap into opportunities that seem impossible to individual states, but easy when approached as a bloc.”

He referred to the estimated more than $1 trillion in Arab funds parked overseas and the fact that the GCC accounts for marginal inflows of global FDI as prime examples of delay in creating opportunities.

The DIFC Authority CEO said the current global crisis is an opportunity that the GCC can utilise to create integrated systems and frameworks and common, unified and standard platforms – a true economic and financial bloc that can navigate with strength in the global economy and financial flows.

Al Shaali offered to share the expertise that the DIFC has acquired – such as world-class legal frameworks, best-of-breed regulatory models for both Islamic and conventional banking, and Best Practices in Environmental, Social and Corporate Governance norms — to assist and facilitate the realisation of the GCC objectives.

Dr. Nasser Saidi, DIFC Authority Chief Economist, speaking about Opportunities for Economic & Financial Integration between KSA & UAE, pointed out that the imminent launch of the Gulf Common Currency reinforces the need for investments in financial infrastructure — both legal and regulatory. “We need to rapidly move towards an integration of the financial markets and payment systems in KSA and the GCC, which are the core economies of the GCC. Financial markets in GCC can become an “engine of growth”, by financing and supporting the massive investment required in networks (power, transport, telecommunications, oil& gas), by developing the capacity to invest, manage & control region’s financial wealth of more than $2 trillion invested abroad, and by enabling & supporting economic and financial reforms. The Kingdom of Saudi Arabia and the UAE are natural allies and partners in moving to greater financial market integration to support regional economic integration, the GCC Common Market and Gulf Monetary Union,” Dr. Saidi added.

Other subjects covered at the conference included Banking Services and Capital Markets for GCC, Local and International Regulatory Developments, Linkages Between UAE and KSA Capital Markets, Development of Financial Markets in KSA and Opportunities in Foreign Investments, and Providing a Transparent Platform for Crude Pricing in Middle East and Asi Howard Handy, Chief Economist of Saudi American Bank (Samba), stated: “Saudi Arabia’s economy has not escaped the ongoing global financial crisis and severe recession, given its openness to world trade and financial flows and its pivotal importance as the world’s leading oil exporter. Oil production has been cut back sharply in an effort to stabilize global prices, and access to global capital markets for project financing has been abruptly curtailed as a result of the de-leveraging by financial institutions in major capital markets. However, Saudi Arabia is exceptionally well positioned to withstand these shocks. This follows first, from its impressive progress on structural reform, which has propelled the Kingdom to being designated by the World Bank as one of the world’s best countries in which to do business; and second, from its solid financial balances — large stock of foreign assets and strong fiscal position, which are enabling the government to play a powerful anti-cyclical role during the current downturn.”

Other speakers included Iain Morrison, Head of Corporate and Institutional Banking at The Saudi British Bank (SABB); Roberta Julfar, Director, Policy and Legal Services of Dubai Financial Services Authority; Jeff Singer, Chief Executive of NASDAQ Dubai; and Thomas Leaver, Chief Executive Officer of Dubai Mercantile Exchange.

The conference was also briefed on the opportunities at the DIFC, whose members firms can meet all financial and banking needs including arranging Venture Capital, Project Financing, Private Equity injections, Trade Finance, Lease Finance as well as traditional banking services such as Investment Banking, Corporate Banking and Private Banking.

Insurance, Re-insurance and Captives, Islamic Finance, Family Business and Trust services, Cash and Asset Management, assistance with Equity, Debt Instruments, Derivatives, Commodity Trading and Fund Registration, access to global trading through NASDAQ Dubai as well as services for Mediation and Arbitration, are also available from DIFC-based entities.

DIFC’s Leading Role In The Regional Financial Industry Highlighted To A Top-Level Delegation Of Swiss Bankers

The Dubai International Financial Centre (DIFC) received a top-level delegation of bankers from Switzerland.

DIFC Authority Chief Executive Officer Nasser Al Shaali, Managing Director Abdulla Al Awar, Executive Director of Corporate Affairs Marwan Lootah, Chief Economist DIFC Authority Dr. Nasser Saidi, Chief Legal Officer Dean Ferris and all the heads of Business Development, were present to welcome the Swiss bankers.

The nine-member Swiss delegation was led by Pierre G. Mirabaud, Chairman of Swiss Bankers Association (SBA) and Senior Partner with Mirabaud & Cie, Geneva. Other members included Dr. Urs P. Roth, SBA Chief Executive Officer and Delegate of its Board of Directors, Jean-Marc Felix, SBA Head of Communication and Member of the Executive Committee, Wafa Y. Hijjawi, Commercial Counsellor, Swiss Business Hub GCC, Claude-Alain Margelisch of SBA, Professor Jordan of Swiss National (Central) Bank, H.E. Wolfgang Amadeus Bruelhart, Ambassador of Switzerland, Gerhard Brügger, Consul General and Christian D. Watts – Regional Director Swiss Business Hub IMEA.

Dr. Nasser Saidi, Chief Economist DIFC Authority, referred to the close and long history of banking relationship between Switzerland and the Gulf. "We have attracted some ten major Swiss banks and financial institutions as members of the DIFC and they are involved in a wide array of activities ranging from private banking and capital markets to wealth and asset management.

“Swiss banking is famous across the world and we, as the fastest emerging global financial hub, can benefit from the knowledge and experience of the Swiss banking industry.”

„« He pointed out that the DIFC is centrally located to serve the GCC bloc which is emerging as the economic and financial hub for the MENASA region, which accounts for a quarter of the world’s population, with a GDP of more than US $2 trillion and some US $1.9 trillion invested abroad. The GCC achieved average real GDP growth of 6.9%e over 2004-2008 vs. 4.6% in 1998-2003, with increased diversification of economic activity and increased links with Asia and other emerging markets. “As the centre of world’s economic geography moves East, the DIFC will be the hub of MENASA financial flows and capital markets” he said.

„« During a presentation, Dr. Saidi highlighted DIFC’s crucial role in the growth and innovations in Islamic Finance in a region where Islamic Finance is an integral part of banking infrastructure. “We have a model regulatory framework that makes us the international financial centre of choice for financial institutions offering Islamic products.”.

He pointed out that the DIFC has created an international base for providers of Islamic financial products, including Sukuk, that meet the needs of both institutional and individual investors, whose appetite for such products is increasing both in the Muslim World and across the globe.

The DIFC also offers a new domicile for the registration of Islamic collective investment schemes, reflecting an increasing investor preference for Shariah-compliant investment products originating and managed in the region.

The DIFC, through Nasdaq Dubai, offers a pool of liquidity for the primary listing and secondary trading of sophisticated Islamic financial instruments, such as Sukuk. Nasdaq Dubai is the largest exchange with listed value of Sukuk.

Dr. Saidi went on to explain about the trends and development of Dubai as a Financial Centre : “the UAE and GCC banking and financial sector has proved resilient to the global financial crisis”, with a multitude of factors contributing: limited direct exposure to ‘toxic assets’ and the small stock of outstanding domestic securitised/structured products; regulatory and prudential requirements that limited exposure to sub-investment grade investments & instruments; the growing importance of Islamic banking & compliance with Shari’a principles; ample liquidity from accumulation of current account surpluses and international reserves; and the sound mix of monetary, fiscal & financial policy measures taken by the authorities that strengthened the soundness of the banking systems. “The financial crisis and the policy response is leading to a stronger and sounder banking and financial sector in the UAE and the GCC , with higher capital adequacy ratios, better risk management and greater transparency and disclosure standards. We are well poised to enter a period of greater economic & financial integration in the GCC, with the impending Gulf Monetary Union and eventually a Gulf Common Currency. The new emerging opportunities create potential synergies between Dubai and the Swiss banking & financial sectors.” Dr. Saidi also discussed the role of the DIFC in lowering access barriers to financial services by providing quality retail services, building linkages between the region’s financial markets, striving for a greater harmonization of laws & regulations in the region, and developing a Regional Bond Market.

Ian Johnston, Deputy CEO of Dubai Financial Services Authority (DFSA) and Mark McGuiness, Director International Relations, spoke about the unique regulatory structure of the DFSA regime and how effective it has been to cope with the current economic scenario and issues such as combating money laundering.

In his speech the President of Swiss Bankers Association, thanked the hosts and said there were several areas where the DIFC and Swiss banking industry could complement and benefit from each other.