Abu Dhabi Global Market officially opens for business
After its initial announcement of its plans to open a financial free zone area in 2013, Abu Dhabi’s international financial centre (IFC) officially opened for business on October 21st, 2015. The centre is known as the Abu Dhabi Global Market (ADGM) and will initiate its operations by beginning to accept and approve licence applications for the financial services they will be offering to companies. Abu Dhabi, with the help of the IFC, aims to diversify its economy away from just oil and gas and also be able to compete with other financial services industries.
In order to persuade banks and companies from around the world to list with the ADGM, Abu Dhabi has designed a free zone that has its own regulator, court system and tax incentives. Abu Dhabi intends to create a stronger banking and security market ties with Dubai, the new financial free zone will base its rules on the English common law to help the emirate cut costs and attract more business.
ADGM will be closely working with financial institutions for the next few weeks and months in order to help them understand the regulations and support them through the application process the best they can.
The operations at the ADGM will initially focus on wealth management, asset management and private banking. However the chairman of ADGM, Ahmed Ali al-Sayegh says that the due to centre’s flexibility to grow, it will be able to attract a wide variety of financial institutions from all around the world which will allow the IFC to potentially turn into a broad-based global financial market.
Peninsula Business Solutions (PBS) offers business consultancy services that can help firms and individuals interested in listing with the Abu Dhabi free zone. At this stage, PBS can assist companies in registering and applying for the ADMG’s financial services licence that will be reviewed for approval by the IFC in Abu Dhabi.