The inaugural Commonwealth of Independent States Global Business Forum (CIS GBF 2016), concluded in Dubai with the overarching recommendation of embracing the UAE model of financial diversification to prepare CIS for the post-oil age and to enhance their financial competitiveness.
Arranged under the patronage of Vice President and Prime Minister and Ruler of Dubai, His Highness Sheikh Mohammed bin Rashid Al Maktoum, on the style, ‘Ancient Routes– New Opportunities,’ the two-day occasion invited over 1,000 delegates from 50 countries. More than 100 bilateral conferences were held as part of the Forum, in addition to two days of intense conversations, to promote trade and financial links between the UAE and the CIS.
The crucial recommendations of the Forum for the CIS by experts consisted of a call to draw on and take advantage of the experience of the UAE in the areas of Smart federal government for formulating policies that will reinforce governmental quality and contribute to the joy of individuals.
The Forum likewise underlined the immediate need for diversity of the economy in addition to sources of financial investment, and to decrease the dependence on natural deposits to mitigate the unfavorable impact of rate variations.
Specialists also suggested the value of amending/formulating regulations and legislations to comply with global variables, and to supply a transparent environment that will ensure that the interests and rights of financiers are protected.
Lastly, the Forum got in touch with the need to ensure development and take advantage of advanced innovations to enhance the New Silk Road. Islamic financing is set to acquire traction in the under-served Commonwealth of Independent States with collective efforts to drive grassroots level education covering all stakeholder groups, and the governments increasingly dealing with to execute sufficient regulations and legislations, stated professionals at the first CIS Global Business Forum in Dubai.
Throughout a panel discussion on ‘Funding the Future– Islamic Finance in the CIS,’ the panelists restated the role that Islamic Banking can play in financing core facilities advancement, farming and other growth sectors in the CIS.
Behnam Gurbanzada, Chief Executive Officer, B.EST Solutions, Islamic Financing Consultant and Member of the Azerbaijan CIS Islamic Banking Advisory Council, stated strategies are afoot to introduce Islamic banking regulations in the country. He added that while the operations was “not too quickly,” in the past, in the present financial environment, there is a greater focus to bring real banking solutions with a concentrate on customers.
Prasad Abraham, Chief Executive Officer of Al Hilal Bank in Kazakhstan, highlighted the success accomplished by the bank in a span of simply 5 years in protecting strong kept clients. He stated the bank’s ‘bold and decisive’ initiative to be a very first mover in Islamic banking in the CIS area has been underpinned by collective efforts to educate all stakeholders– beginning with university students.
Mentioning the nascent to non-existent governing environment in the area, Abraham stated the growth of its Islamic banking services to other nations in the CIS is being limited since “legislation has actually not reached the level that is acceptable.
Nida Raza, Director of Advisory Services, Islamic Corporation for the Development of the Private Sector, Islamic Development Bank, Saudi Arabia, said that for any foreign banks to prosper, it takes a sufficient regulatory environment supported by the federal government and the Central Bank, and real demand. It is very crucial to educate the general public on the principle of Islamic banking, which is popularised under various names such as participatory banking and non-interest banking in various nations.
Behnam Gurbanzada said Azerbaijan is developing a brand-new model of Islamic banking, even as one business bank is all set to becoming completely Islamic. “With one head workplace just, we are looking at completely digitizing the operations.”.
Nada Raza said it is essential to embark on the digitization model so that Islamic Banking will be more appealing to the SME sector and to reach the optimum possible consumer base.
In another session on ‘Leveraging the CIS Opportunity’, Kamran Siddiqi, Group Executive CEMEA, VISA, UAE, stated: “Countries in the CIS area might have a long history and heritage but are young nations considering that till 25 years back they existed in a various geopolitical system. These nations have actually an educated labor force and have all the components for success, offering a lot of opportunities for financial investments.”.
Federal governments are pushing for electronic payments as transparency and paperwork of economy become more important. The increasing focus of governments in the location of innovation provides prospects in innovation development, said Siddiqi.
Andrey Filatov, General Manager, Russia and CIS, IBM, stated: “The CIS region has high level of education and has an enormous number of young skills. The current circumstance provides the very best chance to get the best skills at affordable rates. Education service is an essential location of focus for companies to purchase Russia. Business courses in Russian language offers appealing opportunities in Russia and Kazakhstan.”
In a professional session on transforming global value chains, Stuart Pann, Chief Supply Chain Officer of HP, highlighted the useful development of the New Silk Road, narrating the business’s technique to produce a vibrant new supply chain.
He said the shift to the brand-new supply chain with a concentrate on China and CIS makes it possible for the business to be extremely competitive, while taking advantage of scale and time. Spreading out the regional manufacturing, HP today makes nearly half of its printers and notebooks in the area therefore leveraging the value acquired from the new Silk Road.