UAE: DFSA joins the network for a greener financial set-up

The Dubai Financial Services Authority (DFSA) proclaimed yesterday that it’s currently a member of the Central Banks and Supervisors Network for Greening the financial set-up (NGFS), thus, becoming one among the primary regulative authorities within the Middle East and North African (MENA) region to join the NGFS.

The NGFS may be a cluster of central banks and supervisors willing, on a voluntary basis, to exchange experiences, share their best practices, contribute to the event of setting environmental development and climate risk management within the money sector, and to mobilise thought focussed finance system to support the transitioning towards a sustainable economy.

The network’s purpose is to assist in strengthening the world wide response needed to fulfil the goals of the Paris agreement (an agreement at intervals the United Nations Framework Convention on Climate Change), and to reinforce the role of the financial set-up to manage risks and to mobilise capital for the greener and low-carbon investments within the broader context of environmentally sustainable development.

The NGFS was established in December 2017 by eight central banks and supervisors at the Paris One Planet Summit. Since then, the NGFS has grown full-fledged to 42 members and eight observers, representing five continents.

Mr Bryan Stirewalt, DFSA chief executive, stated that the “regulator appearance forward to operating with different members of the NGFS in order to further develop setting and climate risk management standards for the money sector and to support international sustainable economic development goals.”

He conjointly added to the point that, “In August 2018, the DFSA had issued its tips on greener bonds that aim to facilitate the issue and listing of environmentally friendly mounted financial gain securities, as well as greener sukuk on NASDAQ Dubai, the most important listing exchange of issued sukuk within the world.“ Mr Frank Elderson, chairman of the NGFS, stated that, “It is very important for the NGFS to possess member authorities from the GCC and also the MENA regions to make sure that their environmental and climate challenges are well understood and thought of by the international community and to learn from their expertise coping with these risks.”