July 20, 2016: The Ministry of Finance (MoF) and Abu Dhabi Global Market (ADGM) signed a Memorandum of Understanding (MoU) on 11 July 2016, to establish a framework for Automatic Exchange of Information (AEoI).
This agreement requires all financial institutions operating under ADGM’s license to report information on annual basis through the agreed upon automated system (we can expect a portal similar to DIFC’s portal).
The agreement also requires implementation of Foreign Account Tax Compliance Act (FATCA) and any other up to date automatic exchange of information agreements (which hints to the common reporting standard).
The agreement also specifies maintaining quality and pertinence of the information exchange, communication with competent authority and financial institutions, confidentiality and security of AEoI, and carrying security checks on people and contracts.
The MoF requires regulatory bodies like the UAE Central Bank, the Securities and Commodities Authority, Insurance Authority, the Dubai International Financial Centre and the more recent Abu Dhabi Global Market to collect information from financial institutions licensed with them and report for FATCA purposes.
We shall continue to keep you informed of the latest developments. If you have any questions, please do not hesitate to contact us.