Hong Kong and Dubai set up strategic working group to boost financial market links

Hong Kong Exchanges & Clearing, the Hong Kong Monetary Authority, the Dubai Financial Services Authority and Nasdaq Dubai have formed a strategic working group to deepen financial connectivity between the two regions. The group will focus on sustainable finance, Islamic finance, innovation, capital

Hong Kong Exchanges & Clearing (HKEX) said on 10 Sept it has established a strategic working group with the Hong Kong Monetary Authority (HKMA), the Dubai Financial Services Authority (DFSA) and Nasdaq Dubai to boost financial market connectivity between Hong Kong and the Dubai International Financial Centre.

The group will focus on sustainable finance, Islamic finance, innovation, capital markets development and market connectivity, HKEX said in a statement. Hamed Ali, chief executive officer of Nasdaq Dubai and Dubai Financial Market, said Nasdaq Dubai's position provides a strong platform to connect issuers and investors across the Middle East and Asia, particularly in sukuk and sustainable finance. Sukuk are Sharia-compliant instruments similar to bonds but differ by providing ownership of an asset instead of a debt obligation.

In October of last year, HKEX launched a new unit in Dubai to advance its commodities business. HKEX chief executive officer Bonnie Y Chan said the bourse operator's growing commodities presence in Dubai, together with its engagement with exchanges across the UAE, reflects its long-term commitment to this dynamic corridor. The four organisations will maintain regular engagement and explore opportunities to support the development of the financial corridor between Asia and the Middle East, HKEX added.