Possible merger of UAE regulators
Tuesday, 02 25 2020, Category: Insurance and Reinsurance, Country: U.A.E
The UAE has a complicated financial regulatory system.
There are two financial free zones; the Dubai International Financial Centre (DIFC) and the Abu Dhabi Global Market (ADGM), each with its own regulator.
Depending on the nature of their activities, persons and companies conducting financial services either onshore or in one of the (roughly 30) non-financial free zones, are regulated either by:
The UAE Central Bank;
The Securities and Commodities Authority (SCA); or
The Insurance Authority (IA).
However, the UAE government is exploring the possibility of a merger between the IA and the SCA in a bid to improve communication between the regulatory authorities.
The Ministry of Justice has established a 10-member committee; which includes members of the SCA, the IA, and other bodies such as the Ministry of Finance, to prepare the necessary legislation.
The committee is also tasked with examining the implications of the proposed merger.
It has until the end of March 2020 to complete its work.
Source: International Adviser