Leading bank in the Middle East strengthens financial ties between China and the GCC

The opening of the FAB pavilion was attended by dignitaries, including UAE Ambassador to China, Hussain Ibrahim Al Hammadi; Director General of the UAE Banking Federation (UBF), Jamal Saleh; Deputy Managing Director of CIPS, Wu Xiangyang; Commercial Counselor of UAE Embassy, Abdulla Alnoaimi；Head of Global Fund of Ant Group, Kelvin LI and the senior management team of FAB.

FAB began its presence in China as a representative office in 2012. In 2022, FAB established its first mainland China branch in Shanghai, facilitating cross-border trade and investment between China and GCC markets, including RMB business. 

This year marks the 40th anniversary of the establishment of diplomatic relations between China and the UAE. UAE Ambassador Al Hammadi highlighted that, over the past 40 years, bilateral trade between the two countries has grown 800-fold. In 2023, bilateral trade reached $95 billion and continues to grow at a double-digit rate.

A key highlight of the cooperation between the two countries is the use of the RMB in cross-border transactions, with the UAE consistently being the largest RMB trading center in the Middle East for years. In November 2023, the People's Bank of China (PBOC) and the Central Bank of the UAE renewed a currency swap agreement worth RMB 35 billion ($4.9 billion). Wu Xiangyang believes that this move will further facilitate cross-border transactions between the two countries. Jamal highlighted that cooperation between the two sides in Central Bank Digital Currencies (CBDCs) is advancing, with the digital currency platform (mBridge), jointly developed by both countries, successfully launched in the UAE last year.

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