Qatar Financial Centre Authority signs MoU with Labuan IBFC Inc enhancing Asia and MENA financial sector ties

Kuala Lumpur, 15 April 2021: The Qatar Financial Centre Authority (QFC Authority) has signed a Memorandum of Understanding (MoU) with Labuan IBFC Inc, to develop long term cooperation and boost economic and financial sector ties between the two financial centres.

The MoU, which Yousuf Mohamed Al-Jaida, Chief Executive Officer, QFC, and Farah Jaafar-Crossby, Chief Executive Officer, Labuan IBFC Inc, signed on 15 April 2021, entails a commitment to collaborate on certain objectives including, but not limited to, marketing, awareness activities and identification of mutually beneficial initiatives. Under the structure of the agreement, QFC and Labuan International Business and Financial Centre (Labuan IBFC) commit to exploring a mutually beneficial framework to allow relevant financial institutions in the State of Qatar to operate in Labuan IBFC and allow relevant financial institutions in Labuan IBFC to operate in the QFC, subject to the approval of all competent authorities. Both financial centres also agree to collaborate on financial sector domains, such as setting up business operations with respect to Islamic finance, digital finance, capital markets, asset and investment management, and other relevant financial institutions and financial service providers within their ecosystems.

The agreement further stipulates facilitating the recognition of banks, insurers, and other financial sector entities in their respective markets, subject to meeting the other jurisdiction's regulatory requirements, and collaborating to explore mutual recognition of regulations for relevant financial institutions via the competent authorities of each jurisdiction.

Yousuf Mohamed Al-Jaida, Chief Executive Officer, QFC Authority, said: “We are delighted to partner with Labuan IBFC and embark on collaborations that will allow both financial centres to expand into strategic and lucrative markets.

“Labuan IBFC offers a strategic platform to expand into the burgeoning Asian market. This MoU reinforces our focus on growing Qatar’s financial services sector, in line with our 2022 strategy, by attracting international firms to set up in Qatar and creating pathways for QFC firms to expand globally.”

Strategically located in Asia and the Middle East, Labuan IBFC and QFC respectively play a key role in facilitating regional economic growth. By working together, the two financial centres can boost economic and financial sector ties, unlock access to new markets and expand and elevate the regulatory recognition of the market players in each other’s jurisdiction

Farah Jaafar-Crossby, Chief Executive Officer, Labuan IBFC Inc, said: “This MOU heralds an exciting phase of Labuan IBFC’s growth in the MENA region, and we could not ask for a better partner than the Qatar Financial Centre. QFC’s legal and operational framework, as well as their adherence to international standards of transparency and regulatory robustness, provides an ideal platform from which our intermediaries may leverage towards making inroads into the MENA region. I look forward to the partnership with Yousuf and his team in creating a meaningful collaboration.”

As Asia’s leading wholesale midshore financial centre, Labuan IBFC has welcomed more than 900 licensed intermediaries since its inception in 1990. It has grown beyond serving Malaysia-based entities to include international organisations in banking, leasing, capital markets, insurance, reinsurance, risk management and wealth management. It is also home to the world’s first sukuk and is acknowledged as an Islamic financial hub.

The QFC is an onshore jurisdiction that allows registered companies to enjoy competitive benefits, such as up to 100% foreign ownership, 100% repatriation of profits, 10% corporate tax on locally sourced profits, and an extensive double taxation treaty network with over 85 countries, a legal environment based on English common law and the right to trade in any currency.

Media Contacts

Labuan IBFC

Audrey Liew
audrey@libfc.com
Tel: +603 2773 8975
Mobile: +6012-913 8979

Muna Al Thani
Acting Head of Corporate Communications
m.althani@qfc.qa
+974 4496 7648


ABOUT LABUAN IBFC
ASIA PACIFIC’S MIDSHORE INTERNATIONAL BUSINESS AND FINANCIAL CENTRE

Labuan International Business and Financial Centre (Labuan IBFC), Malaysia, through its internationally recognised yet business-friendly legal framework, is the preferred international business and financial centre in the Asia Pacific region.

It offers global investors and businesses the benefits of being in a well-regulated jurisdiction, while providing for fiscal neutrality and certainty, in addition to being an ideal location for substance creation.

Labuan IBFC boasts a wide range of business structures and investment solutions catered to cross-border transactions and international business dealings. It offers services and solutions in niches such as asset leasing, risk management, commodity trading, wealth management, international business companies and Islamic financial services to global businesses looking at penetrating Asia and Asian entities aiming to go global.

Labuan IBFC operates within clear and comprehensive legal provisions, guidelines and practice notes, enforced by a single regulator, Labuan Financial Services Authority.

To keep up with everything about Labuan IBFC, follow Twitter or Facebook @LabuanIBFC. Alternatively, visit www.labuanibfc.com

ABOUT THE QATAR FINANCIAL CENTRE

The Qatar Financial Centre (QFC) is an onshore business and financial centre located in Doha, providing an excellent platform for firms to do business in Qatar and the region. The QFC offers its own legal, regulatory, tax and business environment, which allows up to 100% foreign ownership, 100% repatriation of profits, and charges a competitive rate of 10% corporate tax on locally sourced profits. The QFC welcomes a broad range of financial and non-financial services firms.

For more information about the permitted activities and the benefits of setting up in the QFC, please visit www.qfc.qa.

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