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Screenshot of a breaking news alert e-mail from Q2 2017
The Dubai Gold & Commodities Exchange (DGCX) today announced that it has inked a Memorandum of Understanding (MOU) with Industrial and Commercial Bank of China Limited (ICBC).
The agreement paves way for both institutions to co-operate in the areas of product development and on the potential provision of banking services that are vital for supporting cross-border derivatives business in the Middle East and Asia.
The MOU will also explore the possibility of ICBC becoming a settlement bank with DCCC, the clearinghouse of DGCX. Such a move would enhance the bank’s access to DGCX’s products and services, and eventually support clearing of RMB products.
Industrial and Coml Bank of China Ltd (SHA:601398) is well-known for its diversified business structure, strong innovation capabilities and market competitiveness. In December 2009, the Abu Dhabi Branch of ICBC (ICBC-AD) obtained a wholesale banking license from the Central Bank of UAE, which made it the first Chinese bank to start operations in the country.
Gaurang Desai, CEO of DGCX, said:
“The partnership with ICBC is important for DGCX as we continue to develop our product offering for Chinese products. Asia and the China in particular, is a core growth area for us, especially in the context of the acceleration of the RMB internationalization process. ICBC is strongly facilitating development of Chinese economic and trade relations globally, and we look forward to closely working with them to drive greater collaboration between our markets.”
Mr. Zhou Xiaodong, General Manager of ICBC Abu Dhabi branch, said:
“ICBC entered the Middle East market in 2008 and has five branches in the GCC. The signing of this MOU today is to seek further collaboration regionally – particularly in the area of product development. There is no doubt more opportunities and cooperation will be brought into the fruitful future of both UAE and China.”
You can view the announcement from DGCX by clicking here.