The IMF Board commended Georgieva’s “strong and agile leadership during her term, navigating a series of major global shocks.”
The Executive Board of the International Monetary Fund (IMF) on Friday selected Kristalina Georgieva to serve as IMF Managing Director for a second five-year term starting on October 1, 2024.
The board’s decision was taken by consensus, according to a statement by the coordinators of the Executive Board, Afonso S. Bevilaqua and Abdullah F. BinZarah.
The decision was made nearly a week after the coordinators announced that Georgieva, the IMF’s current Managing Director, is the only candidate for the position, Xinhua news agency reported.
“In taking this decision, the Board commended Georgieva’s strong and agile leadership during her term, navigating a series of major global shocks,” the statement said.
Georgieva led the IMF’s unprecedented response to these shocks, including the approval of more than $360 billion in new financing since the start of the pandemic for 97 countries, debt service relief to the Fund’s poorest, most vulnerable members, and a historic Special Drawing Rights (SDR) allocation equivalent to $650 billion, the statement noted.
Under her leadership, the Fund introduced innovative new financing facilities, including the Resilience and Sustainability Facility and the Food Shock Window.
It also secured a 50 per cent quota increase to bolster the Fund’s permanent resources and agreed to add a third Sub-Saharan African chair to the IMF Board.
“Looking ahead, the Board welcomes Georgieva’s ongoing emphasis on issues of macroeconomic and financial stability, while also ensuring that the Fund continues to adapt and evolve to meet the needs of its entire membership,” the statement said.
Georgieva, a national of Bulgaria, has been the IMF’s Managing Director since October 1, 2019.
Before joining the Fund, Georgieva was Chief Executive Officer of the World Bank from January 2017 to September 2019, during which time she also served as interim President of the World Bank Group for three months.
She previously served at the European Commission as Commissioner for International Cooperation, Humanitarian Aid and Crisis Response, and as Vice-President for Budget and Human Resources.
The percentage of companies reporting on their climate-related targets increased by 24 percentage points between 2020 and 2022, according to the report…reports Asian Lite News
A new report from a G20 advisory body highlights significant growth in companies’ disclosure of climate-related risks and opportunities between 2020 and 2022.
The report, based on Task Force on Climate-related Financial Disclosures (TCFD) recommendations, reveals a 26 per cent increase in companies disclosing their climate-related risks and opportunities, while oversight by company boards in this regard rose by 25 per cent.
The Task Force assessed the current state and evolution of climate-related financial disclosures using artificial intelligence technology. It reviewed reports of more than 1,350 public companies over a three-year period fiscal years 2020, 2021 and 2022.
Climate-related metrics disclosure led the way with over 70 per cent of companies disclosing the metrics they use. Reporting on greenhouse gas emissions and climate-related targets also showed considerable progress (both at 66 per cent), with a 24 per cent increase in companies reporting on their climate-related targets.
The percentage of companies reporting on their climate-related targets increased by 24 percentage points between 2020 and 2022, according to the report.
The TCFD provides information to investors about what companies are doing to mitigate the risks of climate change, as well as being transparent about the way in which they are governed.
Adequate funding can enhance access to quality mental healthcare, reducing the burden on individuals and families. In India, while public healthcare is improving with different government schemes, there is still a need to implement the same for mental healthcare…writes Aniruddha Sen
Mental illness is a prevalent and significant health issue affecting millions of people worldwide. It encompasses a wide range of conditions, such as depression, anxiety disorders, bipolar disorder, schizophrenia, and more. The impact of mental illness extends far beyond the individual, affecting families, communities, and societies as a whole.
While the human cost of mental illness is well-recognized, its economic burden is often overlooked or underestimated. The economic costs associated with mental health conditions are multifaceted, ranging from direct healthcare expenses to indirect costs resulting from productivity losses and reduced quality of life. Understanding this is crucial for policymakers, healthcare providers, and society at large, as it provides insights into the financial implications and highlights the importance of effective health financing mechanisms. The financial impact of mental illness can be categorised in three ways:
Direct Costs: Direct costs refer to the expenses directly incurred due to the treatment and management of mental illness. These costs include healthcare services, medication, hospitalization, outpatient care, therapy sessions, and specialized services such as rehabilitation and recovery programs. Mental health treatments often require long-term care and medication, resulting in substantial financial commitments.
Additionally, mental health services are not always readily accessible or affordable, exacerbating the economic burden for individuals and families. The direct costs of mental illness strain healthcare budgets and necessitate effective health financing strategies to ensure adequate funding for mental healthcare.
Indirect Costs of Mental Illness: Apart from direct costs, mental illness imposes significant indirect costs on individuals and the economy. Indirect costs arise from productivity losses, reduced educational attainment, unemployment, and increased disability claims. Productivity losses due to absenteeism, presenteeism (being present but not fully functioning), and reduced work performance contribute to economic burdens. People living with mental health conditions often face challenges in maintaining employment or pursuing educational opportunities due to the debilitating nature of their illnesses.
This places a strain on family members and caregivers, leading to lost income as they prioritize caregiving responsibilities. The emotional and psychological toll on caregivers can further impact their own mental well-being. Consequently, this leads to lower incomes, decreased tax revenues, and increased dependence on healthcare programs, which can create a burden on the government.
The Societal Costs of Mental Illness: Mental illness has far-reaching societal costs that extend into various sectors, including the criminal justice system and social welfare programs. Social welfare expenditures include disability benefits, social assistance programs, and more for individuals experiencing homelessness as a result of mental health challenges. This directly puts a cost on the healthcare system.
The broader societal and economic impacts directly emphasize the urgency of investing in mental health support systems.
How Adequate Health Financing Can Make a Difference?
Finances for healthcare are significantly impacted by the cost of mental illness. In order to fulfil the rising demand for mental health treatments, public healthcare systems must provide enough resources and money. However, there is frequently a mismatch between the demand for and supply of mental health care due to scarce resources and financial restraints. This necessitates thoughtful acts that can genuinely change things.
Public Health Funding: Mental health services must be adequately funded and integrated into mainstream healthcare systems. This requires policymakers to prioritize mental health in resource allocation decisions, ensuring sufficient budgetary allocations for mental health programs, infrastructure, and human resources.
Art and Design can encourage well-being and mental health of adults(IANSLIFE)
Adequate funding can enhance access to quality mental healthcare, reducing the burden on individuals and families. In India, while public healthcare is improving with different government schemes, there is still a need to implement the same for mental healthcare.
Access to Health Financing: Given the substantial economic burden of mental illness, there is a pressing need for comprehensive mental health policies that prioritize prevention, early intervention, and integrated care. This involves implementing policies that reduce financial barriers, such as providing insurance coverage for mental health treatments and medications. For this, HealthTech platforms should be encouraged to drive innovations and offer affordable health financing solutions.
Expanding mental health coverage within public and private insurance schemes can make a significant impact on improving accessibility and early detection of mental health conditions as well as increasing affordability and reducing the financial strain on individuals seeking mental healthcare.
Focus on Preventive Healthcare: While preventive measures have traditionally focused on physical health, there is increasing recognition of the importance of preventive strategies for mental health. One key aspect of this is to raise public awareness and reduce stigma. Education campaigns that emphasize mental health literacy and challenge misconceptions can help individuals recognize the importance of mental well-being and seek help when needed.
Implementing mental health promotion initiatives in educational or work settings, such as providing training for recognising signs of distress and offering support services can contribute to the overall well-being of individuals of all ages. Governments should also promote this initiative. For example, in Germany, paid leaves for health traumas associated with mental illness such as depression are quite common. It is important to treat Individuals going through rough patches with respect and compassion to help them heal. This helps prevent exacerbation and reduce associated costs of mental illness, thereby alleviating the economic burden on individuals and families.
The economic burden of mental illness is a significant concern that necessitates attention from policymakers, healthcare providers, and society. By acknowledging and addressing the economic implications of mental illness, a robust mental healthcare system can be built that supports the well-being of individuals and helps them live happy and healthy lives.
أبوظبي في 25 فبراير / وام/ شاركت دولة الإمارات العربية المتحدة بوفد برئاسة معالي محمد بن هادي الحسيني وزير دولة للشؤون المالية .. في الاجتماع الأول لوزراء المالية ومحافظي البنوك المركزية لدول مجموعة العشرين (G20) للعام 2023، والذي يعقد للمرة الأولى تحت رئاسة جمهورية الهند لمجموعة العشرين في مدينة بنغالورو . وناقش الاجتماع الأولويات التي حددتها رئاسة الهند لمجموعة العشرين في ظل التحديات العالمية الحالية، وسبل المضي قدماً في بناء حوار يعزز أواصر التعاون الدولي لضمان تحقيق أولويات وأهداف المجموعة. وضم وفد الدولة كلا من سعادة يونس حاجي الخوري وكيل وزارة المالية، وسعادة إبراهيم الزعابي مساعد محافظ مصرف الإمارات المركزي للسياسة النقدية والاستقرار المالي، وحمد عيسى الزعابي مدير مكتب معالي وزير دولة للشؤون المالية، وثريا حامد الهاشمي مدير إدارة الضرائب الدولية في وزارة المالية، وفارس الكعبي مدير أول في دائرة البحوث والإحصاء. وعقد الاجتماع بحضور وزراء المالية ومحافظي البنوك المركزية، ووكلاء المالية ونواب البنوك المركزية من دول أعضاء مجموعة العشرين والدول المدعوة وأعضاء المنظمات الدولية مثل منظمة التعاون الاقتصادي والتنمية.
التركيز على أربع قضايا رئيسية.
وفي مداخلته خلال الاجتماع، توجه معالي محمد بن هادي الحسيني بالشكر والتقدير لرئاسة الهند على حسن الاستقبال وكرم الضيافة. وشدد معاليه على ضرورة التعاون والتنسيق الدولي لتعزيز التمويل الخاص بالمناخ، مشيراً إلى أهمية تعزيز العمل الدولي المشترك لوضع الأهداف وتطوير الاستراتيجيات التي من شأنها تحقيق أفضل سبل التمويل والاستثمارات اللازمة لمواجهة التغير المناخي والحد من تداعياته.
وحول أولويات الرئاسة في مجال البنية التحتية، أوضح معاليه أن دولة الإمارات قامت ببناء مدن المستقبل عن طريق استخدام تقنيات الجيل الخامس (5G) والذكاء الاصطناعي لتعزيز الأمن والسلامة والتماسك الاجتماعي، فضلاً عن تمكن دولة الإمارات من خفض انبعاثات الكربون، بما يتماشى مع التزامات الدولة المتعلقة بالمناخ. وقال معاليه: "استفادت دولة الإمارات العربية المتحدة من مشاركة القطاع الخاص في تطوير المدن الذكية، حيث حرصت على تعزيز أطر التعاون المشترك من خلال إطلاق برامج مختلفة لتحفيزهم على المشاركة في تمويل مشاريع في مختلف المجالات منها الطاقة النظيفة والمباني الخضراء وتطوير البنية التحتية لتكنولوجيا المعلومات والاتصالات والتي تعد من العوامل الرئيسية لبناء مدن المستقبل." وحول التحديات الاقتصادية العالمية، أشار معاليه إلى استمرار نمو اقتصاد دولة الإمارات العربية المتحدة بالرغم من التحديات التي يشهدها العالم، حيث من المتوقع نمو الناتج المحلي الإجمالي غير النفطي بنسبة 4.2% بنهاية العام الجاري. وأوضح معاليه إلى أن هناك حاجة ضرورية لتنسيق السياسات العالمية لمواجهة مختلف التحديات العالمية وتعزيز الأمن الغذائي والطاقة. وفيما يتعلق بموضوع الضرائب الدولية، رحب معاليه بالتقدم المحرز بمشروع تآكل الوعاء الضريبي ونقل الأرباح المشترك بين مجموعة العشرين ومنظمة التعاون الاقتصادي والتنمية على نطاق الركيزة الأولى والركيزة الثانية، وشدد على أهمية مراعاة اختلاف النظام الضريبي في كل دولة على حدة. وفيما يتعلق بخطة فريق العمل المشترك المعني بالتمويل والصحة، رحب معاليه بالأولويات المقترحة الهادفة لدراسة مواطن الضعف والمخاطر الاقتصادية، والتي ستكون خطوة مهمة لتعزيز التوافق بين استراتيجية التمويل وتوجيه الموارد بما يتماشى مع أهداف صندوق الجوائح التابع لمجموعة البنك الدولي. اجتماع وزراء المالية ومحافظي البنوك المركزية .
وناقش الاجتماع عدداً من القضايا المتعلقة بالتحديات الاقتصادية العالمية، والاستقرار المالي العالمي، وأولويات البنية التحتية للمدن المستقبلية والصحة العالمية، والضرائب الدولية، وسبل تعزيز التمويل المستدام، والشمول المالي الرقمي، والمدفوعات عبر الحدود وتعزيز المرونة الإلكترونية للقطاع المالي، والأمن الغذائي وأمن الطاقة، وتغير المناخ في الأسواق الناشئة والاقتصادات النامية والاستعداد لمواجهة التحديات الصحية. واستعرض الاجتماع الآثار المحتملة للعملات الرقمية للبنك المركزي وسبل تعزيز الشفافية في النظام الضريبي، مع التشديد على ضرورة مواصلة الجهود المبذولة لتسريع عملية التعافي والانتعاش الاقتصادي، وتعزيز دور بنوك التنمية متعددة الأطراف وقدراتها التمويلية. ووافق الوزراء على خطط عمل مجموعات العمل للمسار المالي، على أن تتم مراجعة التقدم المحرز خلال الاجتماع القادم في 12 و13 أبريل القادم والمزمع عقده في واشنطن، على هامش اجتماعات الربيع لصندوق النقد الدولي ومجموعة البنك الدولي.
مدن المستقبل.
وشارك معاليه على هامش اجتماع وزراء المالية ومحافظي البنوك المركزية لمجموعة العشرين في ندوة حول البنية التحتية الرقمية العامة، تحدث خلالها كل من معالي وزيرة مالية الهند نيرمالا سيترامان، وكريستالينا غورغييفا، المدير العام لصندوق النقد الدولي وعدد من وزراء ومحافظي البنوك المركزية لمجموعة العشرين.
نقاشات وكلاء المالية ونواب البنوك المركزية .
وشارك سعادة يونس حاجي الخوري وكيل وزارة المالية على هامش الاجتماعات في مجموعة من الفعاليات التي تناولت السياسات الخاصة بالأصول المشفرة وآفاقها إلى جانب وزراء المالية ومحافظي البنوك المركزية ونواب من دول مجموعة العشرين الأخرى. وحضر الاجتماع إلى جانب سعادته كل من سعادة إبراهيم الزعابي مساعد محافظ مصرف الإمارات المركزي للسياسة النقدية والاستقرار المالي، وثريا حامد الهاشمي مدير إدارة الضرائب الدولية في وزارة المالية وفارس الكعبي مدير أول في دائرة البحوث والإحصاء.
اجتماعات ثنائية.
وعقد معالي محمد بن هادي الحسيني اجتماعاً مع رئيس مجموعة البنك الدولي ديفيد مالباس تناول التطورات في مجال الأمن الغذائي وأمن الطاقة، واستعدادات دولة الإمارات العربية المتحدة لمؤتمر الأطراف 28 فيما يتعلق بتمويل المناخ. والتقى معاليه مع كريستالينا غورغييفا، المدير العام لصندوق النقد الدولي لمناقشة آخر التطورات الاقتصادية العالمية وأولويات مجموعة العشرين لعام 2023، ومجالات التعاون الإقليمي مع برامج صندوق النقد الدولي في منطقة الشرق الأوسط وشمال إفريقيا. وفي اجتماع معاليه مع معالي الدكتور رينجانادن باداياشي، وزير المالية والتخطيط الاقتصادي والتنمية في موريشيوس، تم استعراض العلاقات الثنائية بين الدولتين وسبل تنميتها بالاستفادة من العلاقات الاقتصادية القائمة بين البلدين.
كما عقد سعادة يونس حاجي الخوري اجتماعاً ثنائياً مع غريس بيريز نافارو، مدير مركز السياسة الضريبية والإدارة في منظمة التعاون والتنمية الاقتصادية، لاستعراض تجربة دولة الإمارات في مجال الإصلاحات الضريبية ومناقشة مستجدات أجندة الضرائب الدولية. والتقى سعادته مع ماري لام فريندو، الرئيس التنفيذي للمركز العالمي للبنية التحتية لاستعراض أهداف المركز في تعزيز استدامة البنية التحتية ومناقشة أولويات مجموعة العشرين المتعلقة بالبنية التحتية لعام 2023. وناقش سعادته في اجتماعه مع أنطونيو فريتاس، نائب مساعد وزير المالية في البرازيل مجالات التعاون تحت رئاسة البرازيل لمجموعة العشرين للعام المقبل 2024 بالإضافة الى استعراض التقدم الذي أحرزته دولة الإمارات العربية المتحدة في التحضير لمؤتمر الأطراف 28. وتباحث سعادته في اجتماعه مع إيمانويل مولان، المدير العام للخزينة الفرنسية حول التحديات الاقتصادية العالمية وتعزيز أطر التعاون الثنائي في سياق المبادرة الثلاثية بين الإمارات وفرنسا والهند التي تم الإعلان عنها مؤخراً.
During his intervention, Al Hussaini thanked the Indian presidency for the warm welcome and the hospitality…reports Asian Lite News
Mohamed Hadi Al Hussaini, Minister of State for Financial Affairs, headed the UAE delegation participating in the first G20 Finance Ministers and Central Bank Governors (FMCBG) meeting in 2023.
Held for the first time under the Indian presidency in Bengaluru, the meeting discussed the progress under the G20 priorities set by the Indian presidency for the year 2023 in light of the current global challenges, and means of bolstering international cooperation to advance the G20 priorities and goals.
The UAE delegation included Younis Haji Al Khoori, Under-Secretary of Ministry of Finance; Ebrahim Al Zaabi, Assistant Governor for Monetary Policy and Financial Stability at the Central Bank of the UAE; Hamad Al Zaabi, Director of the Office of Minister of State for Financial Affairs; Thuraiya Al Hashmi, Director of International Tax Department at the Ministry of Finance; and Fares Al Kaabi, Senior Analyst, Research and Statistics Department. The meeting was held in the presence of Ministers of Finance, Central Bank Governors, Finance and Central Bank Deputies from G20 members, invited countries and members of international organisations, including the Organisation for Economic Co-operation and Development (OECD).
During his intervention, Al Hussaini thanked the Indian presidency for the warm welcome and the hospitality. He reiterated the importance of a globally coordinated multilateral action to promote climate finance, as well as strengthening joint international action to set goals and draw strategies that would best facilitate financing and investments needed to combat climate change and mitigate its repercussions.
With regard to infrastructure priorities, Al Hussaini noted that the UAE has focused on building cities that bridged digital gaps by leveraging 5G and AI to provide safety and enhance social cohesion; and enable the UAE to reduce emissions in line with its global climate change commitments. “We have leveraged private sector participation in the development of smart cities through collaborative models that incentivise private sector involvement in areas such as clean energy, green buildings and ICT infrastructure development, which we believe to be all critical enablers for the future cities of tomorrow,” he said.
Talking about global economic challenges, Al Hussaini explained that “the UAE’s economy continues to withstand global effects, where we expect to achieve 4.2 percent of non-oil economic growth by the end of this year. On a global scale, there remains an immediate need for policy coordination to minimise vulnerabilities and promote food and energy security.”
On the international tax agenda, he lauded the progress made on OECD/G20 Inclusive Framework on Base Erosion and Profit Shifting (BEPS), welcomed the work produced under the Two-Pillar Solution. He also noted the significance of considering the different levels of tax systems maturities across countries.
In regard to the Joint Finance and Health Taskforce multi-year plan, Al Hussaini welcomed the proposed priorities including the direction to develop the Economic Vulnerabilities and Risks Framework, which will be key to informing resource mobilisation in line with the objectives of the Pandemic Fund. During the FMCBG meeting, the members discussed several areas of importance such as global economic challenges, global financial stability, infrastructure priorities for future-ready cities, sustainable finance, digital financial inclusion, global health priorities and international taxation.
The upcoming meeting of G20 Finance and Central Bank Deputies will be co-chaired by Ajay Seth, Secretary, Department of Economic Affairs and Dr Michael D. Patra, Deputy Governor of RBI…reports Asian Lite News
The first Finance and Central Bank Deputies (FCBD) meeting under India’s G20 Presidency is scheduled to be held in Bengaluru during December 13-15.
According to the official statement, this meeting, which will mark the start of discussions on the ‘Finance Track’ agenda under the Indian G20 Presidency, will be hosted jointly by the Ministry of Finance and the Reserve Bank of India. The G20 Finance Track, led by Finance Ministers and Central Bank Governors of G20 countries, focuses on economic and financial issues, the official release said.
“It provides an effective forum for global economic discourse and policy coordination, it said, the first Finance Ministers and Central Bank Governors meeting will be held during February 23-25, 2023 in Bengaluru,” the statement stated.
The upcoming meeting of G20 Finance and Central Bank Deputies will be co-chaired by Ajay Seth, Secretary, Department of Economic Affairs and Dr Michael D. Patra, Deputy Governor of RBI.
Their counterparts from G20 member countries, and several other countries and international organisations invited by India, will participate in the two-day meeting.
“The G20 Finance Track discusses key issues of relevance for the global economy, encompassing the global economic outlook, the international financial architecture, infrastructure development and financing, sustainable finance, global health, international taxation and financial sector issues, including financial inclusion,” it further said.
In the Bengaluru meeting, discussions will focus on the agenda for the Finance Track under the Indian G20 Presidency.
This includes reorienting international financial institutions to meet the shared global challenges of the 21st century, financing cities of tomorrow, managing global debt vulnerabilities, advancing financial inclusion and productivity gains, financing for climate action and SDGs, a globally coordinated approach to unbacked crypto assets and advancing the international taxation agenda.
1st Finance & Central Bank Deputies Meeting in Bengaluru.
Meeting to mark start of discussions on the Finance Track Agenda under #G20India presidency.
On the sidelines of the meeting, a panel discussion will be held on ‘Strengthening Multilateral Development Banks to Address Shared Global Challenges of the 21st Century’. A seminar on the ‘Role of Central Banks in Green Financing’ will also be held.
The Indian G20 Presidency’s theme of ‘One Earth One Family, One Future’ will guide the G0 Finance Track discussions. Approximately 40 meetings of the Finance Track will be held in several locations in India, which include meetings of G20 Finance Ministers and Central Bank Governors. The discussions in the G20 Finance Track will ultimately be reflected in the G20 Leaders’ Declaration. (ANI)
The survey examined responses of 800 online interviews with mid-to-senior level ethnic minority (600) and white (200) employees across financial services….reports Asian Lite News
Seven in 10, or 68 per cent of ethnic minority employees including Indians, experienced discrimination in the UK’s financial services industry, which contributes enormously to the country’s GDP, a new report has found.
The financial services sector brought in 173.6 billion pounds to the UK economy in 2021, which equates to 8.3 per cent of the country’s total economic output.
A shocking 82 per cent faced unwelcome comments or conduct at their organisation based on their background in the last 12 months, according to the 2022 Race to Equality in UK Financial Services’ report by Reboot and Coleman Parkes.
Around 47 per cent of ethnic minority respondents raised issues with their HR on racism and discrimination, and three-quarters felt the HR was not very effective at dealing with their issues.
Some 52 per cent employees who reported discrimination felt they came under greater scrutiny by managers and 48 per cent reported being treated differently by colleagues for speaking up.
While 49 per cent of the ‘discriminated’ respondents said they had to take time off work, 56 per cent said they had to seek counselling to help recover from negativity at their workplaces.
Around 22 per cent of white peers felt ‘uncomfortable’ talking about race in the workplace and 60 per cent stated that they want to be advocates for their ethnic minority colleagues.
“Given my professional background, there is a call to action for all HR professionals to come together, educate themselves and create safe channels for staff to approach them, and for matters to be taken seriously when raised,” said Dimple Mistry, co-lead of the Race & Ethnicity at Diversity Project.
The survey examined responses of 800 online interviews with mid-to-senior level ethnic minority (600) and white (200) employees across financial services.
Providing a three-point plan to organisations in support of ethnic minority employees, the report said that negative office cultures must be challenged; leaders must take charge and “champion the cause from the top”.
It suggested that ethnicity data reporting should be more transparent, allowing for the ethnicity pay gap to be closed.
The report comes in the backdrop of the recently-released 2021 census in which Indians became the largest non-white ethnic group in the UK with the number of Persons of Indian Origin rising to 3.1 per cent of the total population from 2.5 per cent (14.12 lakh) recorded in the 2011 census.
CBUAE conference stresses on digitisation, cross-border cooperation
The ‘Future of Finance’ conference began on Wednesday at the Expo 2020 Exhibition Centre in Dubai…reports Asian Lite News
The event, being organised by the CBUAE over two days, aims to shape the future of the financial sector with the participation of leading policy and decision makers figures from local and global supervisory authorities, financial institutions, government agencies and central bank governors from GCC countries and around the world.
“The Future of Finance Conference stresses the importance of digitisation, cross-border co-operation and the exchange of knowledge and experience with our local and global partners to achieve our goal of a sustainable financial future,” said Khaled Mohamed Balama, Governor of the CBUAE, in his opening remarks.
UAE flag
“We want to make a qualitative leap in the financial system during the next fifty years, especially after COVID-19, which had a profound impact on all financial systems in the world.”
“The UAE, represented by the Central Bank and its regulatory and government agencies, is committed to achieving sustainable economic growth by engendering qualitative change and innovation in the financial sector, boosting financial inclusion, and adopting strategies, regulations and policies that mitigate the effects of climate change,” he added.
Balama also spoke about the opportunities and challenges, pointing out the critical supervisory issues of the rapid digital transformation process taking place, and the importance of choosing the right digital solutions to meet the aspirations of the UAE and its financial industry.
In his speech, Ahmed Ali Al Sayegh, Minister of State and Chairman of Abu Dhabi Global Market (ADGM), confirmed the importance of taking a forward-looking approach during the digital transformation process in the financial sector.
One of the most highly-anticipated panels focused on digital transformation, and featured Dr. Andreas Dombret; Majed Sultan Al Mesmar, Director-General of the UAE Telecommunications and Digital Government Regulatory Authority wtc.
They addressed the financial sector’s opportunities and challenges, including regulatory concerns about the rapid pace of digitalisation, stressing the importance of selecting prudent digital solutions, to reach a sustainable financial system, study the risks of these solutions, and setting relevant strategic regulations and frameworks for the coming years.
The conference also highlighted the importance of co-operation between central banks, notably on central bank digital currencies (CBDCs) and cross-border payments.
In a group discussion on greening the financial system, Aisha Al Abdooli, Acting Assistant Undersecretary for the Green Development and Climate Change Sector at the Ministry of Climate Change, addressed the association between environmental, social and financial costs of climate-related risks.
This panel included contributions from Dr. Mohammed Omran, Executive Chairman of the Financial Regulatory Authority in Egypt; as well as Tobias Adrian, Financial Counsellor and Director of the Monetary and Capital Markets Department at the International Monetary Fund.
CBUAE conference stresses on digitisation, cross-border cooperation
The panelists explored the implications of the accelerating pace of regulatory change, and the need to design policies and legislation promoting the transition to a green economy. They also discussed strategies to develop sustainable finance products and regulatory actions to manage and mitigate climate-related risks in the financial sector.
Abdul-Aziz Al Ghurair, Chairman of UAE Bank Federation, concluded the first day with an invitation to re-imagine the world of finance, including game-changing payment innovations and cross-industry value platforms, linking traders and financiers in one portal. Data and A.I. would govern this cashless new world, in which consumers would demand speedy, safe transactions and sustainable financial solutions.
Day two of the Future of Finance conference promises an engaging agenda of keynote addresses and panel discussions on Islamic finance and the UAE’s National Payment System.
CBAEU and ADGM joins for the growth of UAE’s FinTech sector
Central Bank, ADGM to cooperate on the development of UAE FinTech sector…..reports Asian Lite News
The Central Bank of the UAE (CBUAE) and Abu Dhabi Global Market (ADGM) signed today a Memorandum of Understanding (MoU) to collaborate on the development and growth of the UAE’s FinTech ecosystem through joint initiatives and activities.
CBAEU and ADGM joins for the growth of UAE’s FinTech sector
The MoU was signed by Ahmed Ali Al Sayegh, Minister of State and Chairman of ADGM, and Khaled Mohamed Balama, Governor of CBUAE, as part of CBUAE’s inaugural Future of Finance conference, held during Expo 2020 on 13-14 October 2021.
Under the agreement, CBUAE and ADGM will further enhance the collaboration under their co-sandbox programme that will enable FinTech companies to test their innovative solutions under the existing digital sandbox programme. The agreement also stipulates collaboration on FinTech initiatives and activities between the parties, including accelerator programmes, competitions, workshops, seminars, conferences and projects.
AHMED ALI AL SAYEGH, MINISTER OF STATE AND CHAIRMAN, ADGM: “The Fintech sector is fast shaping the face of the global financial system, requiring coordinated attention by regulators to ensure its robust development and integration. ADGM has, since its inception, striven to introduce regulatory frameworks and solutions, as well as partner with leading regulators locally and globally, to create an environment that enables innovation and progressive technology adoption. Our agreement with the Central Bank of the UAE further reinforces this joint commitment to bolstering the UAE’s thriving Fintech sector. We are confident our continued relations with the CBUAE will result in greater regulatory excellence and further opportunities in the Fintech field for international and local talent alike.”
For his part, Khaled Balama said, “The UAE’s ability to develop a regulatory environment conducive to innovation and digitisation is amongst the foremost determinants of the future of its financial system. Our signing of this agreement with ADGM plays an important role in CBUAE’s commitment to enabling greater proliferation of FinTech solutions across the UAE. We are confident that this agreement will attract key FinTech players to the country and result in an enhanced environment that enables innovation to thrive, in alignment with the nation’s ambitious economic growth plans and digitisation aspirations.”
The UAE was also ranked second globally in the areas of corporate tax collection, real increase in government expenditures, and collection of capital and real estate taxes…reports Asian Lite News
Five major global organisations specialising in assessing competitiveness have ranked the UAE among the top ten countries in the world in 28 competitiveness indexes related to finance and taxes.
This was highlighted by a report by the Federal Competitiveness and Statistics Centre (FCSC), which documented the rankings of the IMD World Competitiveness Yearbook, the Legatum Prosperity Index, the World Economic Forum’s Travel and Tourism Competitiveness Report, the Global Talent Competitiveness Index (GTCI) and the Global Competitiveness Index 4.0.
According to the report, the UAE was ranked first in the Real Personal Taxes Index, the Collected Personal Income Taxes Index, the Low Tax Evasion Rate Index, the Collected Indirect Tax Revenues Index, the Lack of Wastefulness in Government Spending Index and the Best Time to File Tax Returns Index.
The UAE was also ranked second globally in the areas of corporate tax collection, real increase in government expenditures, and collection of capital and real estate taxes, while it was ranked third in the areas of intergovernmental transfers, local central governmental debt and rate of low consumption taxes.
In January 2018, the UAE adopted the value added tax (VAT), which is an indirect tax of 5 percent on most products and services supplied at every phase of the supply chain.
In the fourth quarter of 2017, the country also adopted an excise tax to discourage the consumption of products that adversely affect health, including tobacco, energy drinks and soft drinks.
Moreover, the UAE joined the top ten countries in business competitiveness in finance and tax, thanks to its policy to not apply any income taxes and focus only on indirect taxes, such as the VAT and excise tax.
While many countries are planning to increase taxes on personal profits and corporations, the UAE ranked first globally in terms of the lack of real personal taxes and low rates of tax evasion, which enhanced its attractiveness to foreign direct investments.
In its 2020 report, the World Economic Forum (WEF) ranked the UAE third globally due to its low rates on consumption taxes, and fifth globally in terms of the low impact of taxes on employment incentives. Furthermore, the country was ranked eighth globally for the impact of taxes on investments, and seventh globally in investment capital availability, according to the Legatum Prosperity Index.
