The Central Bank of the UAE has announced its partnership with Vermeg, a global provider of technological solutions for capital market infrastructure, designating them as the primary technical partner for the development of a technological framework supporting the Central Securities Depository (CSD) specific to public debt and sukuk. This move aligns with the bank’s strategy to strengthen the capital market infrastructure in the UAE.
The initiative aims to enhance the efficiency of post-trade operations and reinforce the international competitiveness of financial markets within the country.
It is part of the Central Bank’s vision to cultivate an all-encompassing operational environment for liquidity management and settlement processes through both traditional and digital asset custody activities, adhering to the highest global standards. This will attract investments and bolster market readiness for future developments, particularly in the realm of digital assets, including digitally created sukuk and bonds, as well as financial innovations.
Saeed Hamad Al-Dhaheri, Assistant Governor for Banking Operations and Support Services at the Central Bank, stated, “Developing the Central Securities Depository (CSD) represents a fundamental pillar in creating a more efficient and resilient financial infrastructure, directly contributing to the growth of capital markets and instilling confidence among international investors in the UAE.”
He added that the bank’s goal through this partnership is to adopt proactive technological solutions that align with the rapid global transformations, establishing a financial system poised to anticipate and create the future of digital services.
Badr Al-Din Wali, Chairman of Vermeg, expressed gratitude for being selected by the Central Bank as the technology partner for this vital project, which embodies the Central Bank’s vision for developing the capital market infrastructure in the UAE. This partnership reflects Vermeg’s extensive experience in supporting central banks and capital market infrastructures with advanced solutions in post-trade services, collateral management, and asset custody.
Additionally, the Central Bank of the UAE announced that it received the global standard certificate for effective governance systems (BS 13500) from the British Standards Institute, marking an institutional achievement that underscores its commitment to implementing the highest international governance standards. This milestone reflects the maturity of its institutional framework and solidifies its position as a leading regulatory authority.
His Excellency Khaled Mohammed Balama, Governor of the Central Bank, remarked, “Receiving the global certification for effective governance systems (BS 13500) from the British Standards Institute reaffirms our commitment to applying the highest standards of corporate governance and enhances our position as a regulatory body founded on trust and transparency.”
Abdullah Al-Hashimi, Assistant Governor of the Central Bank for the Executive Office Sector and Secretary General of the Board, accepted the certificate from representatives of the British Standards Institute, highlighting the significance of this institutional achievement.
In this context, Al-Hashimi noted, “The enhancement of the corporate governance system is no longer an organizational choice; it has become a fundamental pillar to ensure the effectiveness of institutional work, elevate the efficiency of regulatory frameworks, and foster an institutional culture based on commitment and accountability, which positively impacts financial system stability and public and banking sector confidence.”
This prestigious international accreditation is a confirmation of the Central Bank’s adoption of an integrated framework for corporate governance based on fairness, equality, transparency, and accountability, thereby enhancing institutional performance, supporting decision-making quality, and strengthening trust among various key partners.