The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.

Financial centre faces setback as regulators depart

Dubai is fighting to preserve the reputation of its embryonic international financial centre following the shock decision to dismiss the two men in charge of setting up its regulatory system.

Representatives of the developer, the Dubai International Financial Centre (DIFC), and of the two sacked executives, Ian Hay Davison and Phillip Thorpe ? respectively the former chairman and chief executives of the regulator, the Dubai Financial Services Authority (DFSA) ? are now embroiled in an increasingly acerbic dispute over the reasons for the dismissals.

The DIFC moved quickly to minimize disruption by appointing Habib Al-Mulla, a member of the DFSA board, as its new chairman, and David King, the managing director of supervision and a former chief executive of the London Metal Exchange, as Thorpe?s successor.

Reaction in Dubai is divided about the impact of the decisions, which could cast a shadow over the future of the multi-billion dollar financial centre.

One senior western banker describes it as a ?massive own goal?. But another says that the decision would accelerate the success of the DIFC.

But there is no doubt that Bahrain and Saudi Arabia, which also have ambitions to become the region?s leading international financial centre, will see it as an opportunity to court the banks that were considering taking out licences in the region.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree