'Corporate governance is key to development of financial services'

DUBAI — Banking in the region is not achieving its real potential due to low level of corporate governance, said Dr Omar bin Sulaiman, Director General of Dubai International Financial Centre Authority, in a keynote speech delivered at the Annual Arab Banking Conference 2005 "Banking in a Risky World" in Lebanon.

By Staff Reporter

Published: Sat 26 Nov 2005, 10:15 AM

Last updated: Thu 2 Apr 2015, 5:27 PM

The conference, which was held in association with the DIFC was inaugurated by His Excellency Mr. Fuad Siniora, the Lebanese Prime Minister. The event witnessed a high level gathering of ministers, central bank governors and a number of very senior banking professionals. Those attending the conference included, Dr Mohammed Khalfan bin Kharbash, UAE Minister of State for Financial and Industrial affairs along with numerous other dignitaries.

Dr Omar bin Sulaiman, speaking about "Changing Risks into Opportunities", commented: "The latest oil boom along with capital flow into the region post 9/11 has increased liquidity. Regional banks have to take an aggressive role in channelling the money into the region and funding investments However, in order to succeed in this, it is critical to build investor confidence. Greater emphasis is needed on corporate governance, market discipline, transparency and disclosure.

"Increase transparency through development of reporting tools and investors' awareness; develop sound IT infrastructure to facilitate globalisation of regional banks; attract required skilled labour; and establish proper anti-money laundering regulations in order to compete and integrate with global banks."