Dubai And Egypt Sign Regulatory Agreement

by Lorys Charalambous, Tax-News.com, Cyprus

08 September 2006

The Capital Market Authority of Egypt (CMA) and the Dubai Financial Services Authority (DFSA) have signed an important memorandum of understanding (MoU), designed to enhance bilateral cooperation between the two regulators.

The MoU was signed in Cairo on Wednesday by DFSA Chairman, Dr. Habib Al Mulla, and by the Chairman of the CMA, Dr. Hani Sarie-Eldin, at a ceremony hosted by the Minister of Investment, H. E. Dr. Mahmoud Mohieldin.

The agreement is designed to enhance information sharing and cooperation between the two authorities, particularly in their common roles as securities regulators, and will assist both the CMA and DFSA in important aspects of their particular regulatory roles.

In particular the MoU covers the gathering and sharing of information to enable each authority to assess the suitability of its authorized firms, to work with its exchange in the supervision of trading, and to ensure compliance with its laws.

“We are delighted that the DFSA’s relationship with a regional regulator like the Capital Markets Authority of Egypt has been formalised in this manner," stated Dr Habib.

"This is a timely initiative as one of Egypt’s largest firms is already authorised and active in the DIFC (Dubai International Financial Centre), and other Egyptian firms are expressing interest in offering financial services from the DIFC. It is also significant because this is the DFSA’s first MoU with another securities regulator in the Middle East, outside the UAE," he observed.

Dr Habib added that the DFSA is also pursuing "further cooperative arrangements" with neighbouring regulators.

Recommended