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Today Sunday 24 of November 2019 launched The First Joint Conference of Banking Officials in Saudi Arabia and the United Arab Emirates, organized by the Saudi Arabian Monetary Authority (SAMA) in cooperation with the Central Bank of the United Arab Emirates in Riyadh.

The initiative of holding an annual conference of banks under the supervision of the supervisory bodies to identify challenges and opportunities in the banking sector is part of the initiatives emanating from the Finance and Investment Committee of the Saudi-Emirati Coordination Council, whose main objective is to promote the interests of the two countries and create new opportunities for the well-being of the two brotherly peoples.
The conference was inaugurated in the presence of SAMA’s Governor Dr. Ahmad bin Abdul Karim Al-Kholifey, UAE Central Bank Governor Mubarak Bin Rashid Al-Mansouri, and the participation of a number of experts and interested parties from both countries. Challenges and opportunities facing the banking sector in both countries in the areas of cybersecurity, financial awareness and financial technology, and support for small and medium enterprises were highlighted during the conference.

HE Dr. Kholifey, in a speech at the beginning of the conference, welcomed the Governor of the Central Bank of the United Arab Emirates (UAE) and the UAE Government at the opening of the first annual conference of Saudi and Emirati banks to identify challenges and opportunities in the banking sector. The Saudi-Emirati Coordination Council, under which all areas of cooperation and joint work between the two brotherly countries are part of an agreement aimed at creating an exceptional model for regional and Arab integration and cooperation through the implementation of strategic projects. Dr. Kholifey pointed out that the conference is an opportunity for bank officials in the two countries to discuss and identify the main challenges and opportunities in areas that have become of high importance at the international level and have an impact on the banking sector.

Al-Kholifey stressed that the banking sector in the Kingdom is characterized by a great deal of financial solvency, operational efficiency and high liquidity, and is subject to close supervision and effective control by the SAMA, pointing out that one of the vital tasks of the banking sector is the credit facilities provided by banks to the private and public sectors. Financial safety indicators are excellent compared to Basel requirements and international standards in various areas, including: capital adequacy ratio, bad or doubtful loans, and high liquidity levels compared to the minimum required by the Basel Committee standards.

The governor of Sama said that the Kingdom is the fourth largest trading partner of the UAE in the world and the first in the Gulf and Arab region. The remittances issued to the UAE during the first six months of 2019 amounted to about 71 billion riyals, While the value of remittances received during the same period amounted to 20 billion riyals.

Speaking about the areas that have become of high importance, Dr. Al-Kholifey touched on the field of financing the SMEs sector, pointing out that SAMA has enacted legislation for banks operating in the Kingdom to encourage the financing of this category. Among SAMA’s efforts to support the sector is the studying and making of recommendations that would enhance the role of financial institutions supervised by SAMA, in addition to standardizing the definition of small and medium enterprises and the development of another important sector is of great importance, indicating that the size of facilities provided to the sector during the second quarter of 2019 m amounted to about 113 billion riyals.

In the field of cybersecurity, the Governor stressed that this area is one of the most important priorities of SAMA and that SAMA’S approach in this area led to raise the degree of commitment of the Kingdom and its financial system to the requirements and standards of cybersecurity. Thus "SAMA" focused on methods of prevention and protection, in addition to Continuous screening and risk assessment procedures.

With respect to the important efforts of SAMA in promoting financial inclusion and financial education, Dr. Al-Kholifey pointed to the inauguration of a comprehensive initiative called “SAMA Cares”, which aims at three main axes: consumer protection, financial culture, transparency and disclosure. The initiative included the launch of an automated client relations management system, raising the level of financial literacy for individuals and enhancing the culture of saving and sensitizing them to their rights and responsibilities. The Agent Banking Initiative was also launched to promote services accessibility and diversify access channels to financial services. Al-Kholifey said that one of the most important objectives that SAMA seeks to achieve within the framework of the financial sector development program; is to reduce dependence on cash circulation, through the continuous development of the infrastructure of national payment systems in order to facilitate the transition to a digital environment for payments, which is pouring Directly to encourage a non-monetary society.
The Governor also pointed to the promotion of innovation in the financial sector by supporting the Saudi Fintec initiative launched by SAMA last year as a catalyst for the development of the financial technology sector and enabling it by all means to become an innovative platform and a center of financial technology around the world with a successful system led by local and international stakeholders by bringing together government and private entities that will foster a culture of innovation.

In conclusion, Dr. Al-Kholifey said: The Saudi-UAE Coordination Council was established within an agreement between the Kingdom of Saudi Arabia and the United Arab Emirates in May 2016, under the directives of the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud, and His Highness Sheikh Khalifa bin Zayed Al Nahyan. The President of the UAE, in the interest of consolidating brotherly relations between the two countries and their desire to intensify bilateral cooperation through continuous consultation and coordination in the fields of economy, human development and political, security and military integration. The vision of the Council is to create an exceptional model of integration and cooperation between the Kingdom of Saudi Arabia and the United Arab Emirates at the regional and Arab levels through the implementation of joint strategic projects for the happiness and prosperity of the peoples of both countries.
For his part, His Excellency the Governor of the Bank of the United Arab Emirates Mubarak Rashid Al-Mansouri said in the opening speech of the conference: “ The deep link between UAE and KSA will promote the development of joint strategic initiatives aimed at continuing cooperation and integration in many areas between the two countries including finance, investment, banking and other activities. His Excellency pointed out that this conference aims to consolidate cooperation between the UAE and Saudi banks, highlighting the challenges and ways of facing them in the field of cybersecurity, financial technology, support and financing of SMEs and micro-enterprises as well as taking advantage of the financing and investment opportunities in both countries as they move their economies into ‘After oil era’. The two countries share long-term visions to create a brighter future according to UAE Vision 2021 and Saudi Vision 2030.