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Ministry, Central Bank to discuss liberalising of the banking sector
ABU DHABI - The Ministry of Economy and Commerce will be soon holding a round of negotiations with the UAE Central Bank to liberalise the banking sector in the country in line with the World Trade Organisation (WTO) agreements.
Sources in the Ministry stated that the UAE was expected to come up with a comprehensive stance by the end of March 2005 along those lines. The UAE which joined the WTO in 1996 had been exempted from liberalising its financial services for 10 years that will expire at the beginning of next year.
The international requirements for opening up the UAE Banking and Financial sectors will permit foreign banks and financial institutions to operate in UAE and to strike off special benefits allowed to national firms, equating them with foreign firms, especially in the context of income tax levied from foreign banks and from which national banks are exempted.
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