Abu Dhabi: Dubai Multi Commodities Centre (DMCC), the government authority on trade, enterprise and commodities in Dubai, announced it has signed a memorandum of understanding with Borsa Istanbul, the Turkish capital market.
The purpose of the memorandum is to extend the current scope of collaboration, and explore how DMCC can offer insight as the two entities work towards establishing a universal Sharia-compliant gold exchange for Islamic markets.
Establishing such an exchange has been a topic of debate following a recent initiative by the World Gold Council and the Accounting and Auditing Organisation for Islamic Financial Institutions that allows gold to be used as a commodity to back Sharia-based financial products.
“This MoU also strengthens the trading relations between Turkey and the UAE while reflecting DMCC’s commitment to developing Sharia-compliant market infrastructure to support the future growth of the Islamic economy,” said Ahmad Bin Sulayem, DMCC’s Executive Chairman.
At the signing ceremony, Bin Sulayem also discussed with Borsa Istanbul officials ongoing cooperation in creating delivery centres for precious metals in Istanbul and Dubai.
The MoU builds upon DMCC’s current scope of collaboration with Borsa Istanbul, and will seek to draw upon the capabilities of DMCC’s Free Zone, its DMCC Tradeflow platform and Dubai Gold and Commodities Exchange.
