DIFC Strengthens Role as Gateway for Chinese Firms in MEASA Region

UAE, 12 December, 2024 : Dubai International Financial Centre (DIFC) continues to solidify its role as a gateway for Chinese financial institutions and multinationals into the Middle East, Africa, and South Asia (MEASA) region. The Centre has seen increased interest in 2024, driven by 40 years of UAE-China diplomatic ties and growing economic collaboration.

Prominent Chinese financial entities, including 30% of Global Fortune 500 companies, now operate from DIFC. Recent additions include the regional headquarters of Bank of Communications, joining major players like Agricultural Bank of China, Bank of China, and Industrial and Commercial Bank of China. Multinationals such as CNPC, Sinopec, and ZTE have also established operations in the Centre’s ecosystem.

Chinese financial firms in DIFC account for over 30% of the Centre’s Banking and Capital Markets Assets. These banks actively issue bonds on Nasdaq Dubai, with proceeds funding renewable energy and infrastructure projects. Since 2023, Chinese issuers have listed over USD 22 billion in debt on Nasdaq Dubai, including USD 2 billion bonds by China’s Ministry of Finance in November.

Arif Amiri, CEO of DIFC Authority, highlighted the Centre’s pivotal role for Chinese businesses, offering a robust platform for growth and expansion within the region. The Centre’s regulatory framework and infrastructure are aligned with its vision to drive economic growth and advance finance.

China remains a top investor in Dubai, with 25 FDI projects worth USD 122 million announced in H1 2024. Between 2003 and 2023, Chinese investments in the UAE totaled USD 7.7 billion, reflecting the UAE’s status as China’s second-largest trading partner and a re-export hub for Chinese goods to over 400 cities. Trade between the two nations reached USD 81 billion in 2023, with projections to grow to USD 200 billion by 2030.