DFM And SZSE Sign MoU To Enhance Cross-Border Financial Collaboration

Dubai Financial Market (DFM) and Shenzhen Stock Exchange (SZSE) have formalised their collaboration through a Memorandum of Understanding (MoU). This agreement underscores their mutual dedication to enhancing cross-border trading and investment opportunities. The MoU was signed by Chen Feng, Director of International Cooperation Department at SZSE, and Afra Al Suwaidi, CEO of Dubai Central Securities Depository, a DFM subsidiary.

The MoU aims to bolster cross-border partnerships between the UAE and China, enriching the capital markets in both regions. The signing ceremony was attended by Sha Yan, Chairperson of SZSE, Ou Boqian, Consul General of China in Dubai, and Hamed Ali, CEO of DFM & Nasdaq Dubai. This collaboration will facilitate joint roadshows, seminars, research initiatives, and training programs.

Both exchanges will explore cooperation on dual-listing, ETFs, mutual display of indices and fixed-income products. These initiatives are subject to necessary regulatory approvals and aim to provide more informed access to secondary market activities in both countries. The partnership will also promote cross-border financing for listed companies.

The strategic partnership is expected to act as a catalyst for exchanging experience and insights in key areas such as market development, regulatory practices, ESG standards, and IT capacity building. This foundation is crucial for fostering deeper collaboration in the future. The representative from SZSE highlighted that SZSE has been advancing high-standard two-way opening up in recent years.

The MoU marks an opportunity for bilateral roadshows and promotional activities. It aims to enrich cross-border investment and financing products and channels while deepening practical cooperation between China and the UAE. This will enhance the capital market’s ability to serve the real economies of both nations.

Hamed Ali remarked on the significance of this agreement: "This MoU with Shenzhen Stock Exchange is a pivotal step in strengthening our cross-border ties, driving global investment opportunities, and enhancing market accessibility. By leveraging our combined strengths, we are not only reinforcing the ties between our financial ecosystems but also paving the way for new avenues of growth and innovation that will benefit investors and stakeholders in both regions."

This partnership signifies a shared vision for future growth and innovation in capital markets. It aims to create new opportunities for investors while enhancing market accessibility across borders.

With inputs from WAM