Banks in UAE likely to get 5 years to conform to Central Bank’s new large-exposure rules
The new central bank rules will be issued by the end of this year
Abu Dhabi: Banks in the UAE will likely be given about five years to conform to new large-exposure rules which the central bank is going to impose, according to Abdul Aziz Al Ghurair, chairman of the UAE Banks Federation.
Speaking to reporters on the sidelines of a GCC Banking Conference in the capital yesterday, Al Ghurair said the new central bank rules will be issued by the end of this year.
The UAE central bank aims to restrict the amount of exposure banks can have to the debt of government-related entities.
The UAE central bank, in cooperation with the GCC General Secretariat, is currently hosting the two-day GCC Banking Conference on the “Role of the GCC Banking Sector in Supporting GCC Economies.” The conference is held every two years and is attended by Governors of Central Banks and Monetary Authorities of the GCC member countries, senior officials of the GCC General Secretariat, CEOs of banks operating in the region as well as renowned academics and representatives of concerned ministries and economic and finance departments.
The main issues of the conference pertain to the Role of the Banking Sector in Financing SMEs, Empowering Women through Small and Medium Enterprises (SMEs), Financial Inclusion and the Provision of Modern Financial Services in GCC Countries, Future Prospects of Banking Business in GCC Countries, Consumer Protection, and Development of Payment and Settlement Systems in GCC member countries.
Opening the conference, the UAE Central Bank Governor Sultan Bin Nasser Al Suwaidi expressed hope that attendees will “benefit from the debate that will focus on successful experiments in the GCC member countries and elsewhere, on subjects of common interest, like the incentives for banks to provide financing to SMEs, offering affordable financial services in the GCC member countries, taking initiatives aimed at empowering women to establish and manage small and medium enterprises.
The Gulf Cooperation Council Secretary General was represented by the Assistant Secretary General for Economic Affairs.
