The UAE has reached an agreement with the United Kingdom to set up a mandatory qualification and licensing regime for the local brokerage community.
A memorandum of understanding was signed yesterday by the Emirates Securities and Commodities Authority (Esca) and Britain’s Securities and Investment Institute (SII) in the presence of Minister of Economy Sheikha Lubna bint Khalid Al Qasimi. “It is a groundbreaking step towards a new dawn in the Arab financial market,” Sheikha Lubna said. “The UAE is committed to maintaining integrity and fairness and adding greater international confidence.”
Under the regime the SCA will establish criteria for entry onto the register of brokers. There will be exemptions in some cases for senior brokers. From April the SII’s globally recognised qualification will be required by brokers in certain jobs.
Sheikha Lubna said the rules would enable the UAE to adhere to the same high standards as leading financial centres such as London, Hong Kong and New York. “All these centres have these mandatory certification and licensing regimes. I am delighted that the UAE will adopt these same standards.”
Regime change for brokerages