MoF discusses updates on the international requirements for transparency and the exchange of information to prepare for the second phase of the Global Forum’s assessment

In line with the Ministerial Council for Services’ decision to implement the G20 resolutions for the exchange of information for tax purposes, and to coordinate with government bodies to collect financial information on foreign companies operating in the UAE; the Ministry of Finance (MoF) recently organised a meeting with local and federal ministries and entities, in Dubai.

The meeting was held to review the latest developments on international requirements for the transparency and exchange of information for tax purposes, to prepare for the second phase of assessment by the Global Forum.

The event, which was organised by the Regional and International Financial Relations Department at MoF, was attended by representatives from the Ministry of Presidential Affairs (MOPA), the General Secretariat of the Supreme Council for National Security, the UAE Central Bank, the Ministry of Economy (MoE), the Ministry of Justice, the Security and Commodities Authority and Insurance Commission, as well as federal executive boards and finance departments, the Department of Economic Development (DED), Dubai International Financial Centre (DIFC) and Ras Al Khaimah Investment and Development Office.

MoF briefed the participants about the exchange of information for tax purposes and stressed its importance in terms of the global economy. The meeting’s agenda also included a discussion on the standards adopted by G20 on assessing countries in terms of principles on transparency and the exchange of information, as well as evaluation procedures implemented by the Global Forum committees. 

HE Khalid Ali Al Bustani, Assistant Undersecretary of International Financial Relations Sector at MoF, said: “The UAE’s commitment to meet the requirements for the exchange of information for tax purposes, based on the country’s belief in liaising with international partners, to enhance transparency and in turn restore confidence in the global economy and reform the international financial system. This is reflected through the UAE’s position as a regional hub for the exchange of information for tax purposes in the MENA region for 2007 to 2015, as part of an agreement signed with the Organisation for Economic Co-operation and Development (OECD).” 

HE added: “MoF is committed to working alongside various local and federal government bodies to enhance its position for the second phase of assessment by the Global Forum. The Ministry considers joint work relationships on a national level as a starting point in meeting requirements for the second phase of assessment.”

During the meeting, participants discussed the Ministry’s efforts to meet international requirements of transparency and the exchange of information in order to move forward to the second phase of evaluation by adopting the necessary procedures. Participants also reviewed the future directions of the Global Forum on transparency and the exchange of information. At the end of the meeting, participants emphasised the importance of exchanging information and its positive impact on the local and global economy, and of the government’s role in enacting laws and regulations that support the process of exchanging information and the necessary procedures. 

The Ministry previously signed a Memorandum of Understanding (MoU) with the Secretariat of the Global Forum on the Transparency and Exchange of information, which led to the UAE becoming the first Arab country to win a seat on the International Steering Committee. The Ministry also signed five MoUs for the transparency and exchange of information with the UAE Central Bank, DIFC, Jebel Ali Free Zone, Fujairah Free Zone Authority and Dubai Multi Commodities Centre. 

The UAE Cabinet previously issued resolution No. (142/7F/4) for 2012, delegating MoF to collect and exchange information on individuals and companies, including free zones licensed by the UAE through signing MoUs.