June 2009
UK and GCC embody global cooperation in financial services
"The Gulf has real potential to emerge as a substantial financial powerhouse after the global downturn but only through international public and private sector cooperation," said UK Trade & Investment's (UKTI) CEO Sir Andrew Cahn.Sir Andrew's comments came after reflecting on the achievements of UKTI's financial services Gulf Cooperation Council (GCC) sub-committee in less than a year. The team of six heavy-weight experts collaborate with the public and private sector to open doors for financial services business between the UK and region.
Among the milestones include helping major UK insurance operator Cunningham Lindsay to set up operations in Abu Dhabi, with other insurance companies seriously looking to establish themselves in the region.Sir Andrew added: "The GCC's financial services sector is small in relation to the size and growth of the economies it serves, so there is considerable room for growth. As the partner of choice, the UK is well-placed to make the most of these opportunities.
"In less than a year the UKTI GCC group of six high-level private sector specialists has, and continues to, cultivate a business environment where UK and Gulf companies can thrive in the future." Providing industry insight to UKTI, recently appointed United Arab Emirates (UAE) Special Representative Bashir Siman, outlines the evolving UAE financial services sector:"The UAE and its individual emirates are transcending their traditional role as equity investors in the UK as they tap into the global capital debt markets with sovereign and quasi-sovereign bond issues.
"The market continues to open doors for British firms. Dubai International Financial Centre's (DFIC) insurance licencing system is already proving attractive to many London-based insurance operators and Abu Dhabi's Plan 2030 offers tremendous PPP/PFI opportunities." New Saudi Arabia Special Representative Jason Peers highlights the strong, deep and long established relationship between the UK and Saudi financial services sectors:
"British and Saudi Arabian economies' strengths are highly complementary and working together can help both to flourish in the coming years. The recent turmoil in financial markets has heightened the need for governments and practitioners to cooperate more effectively."This is particularly true for Saudi Arabia as it raises long term project finance to support its ambitious infrastructure and energy spending programmes and stimulate the development of an effective debt capital market."
In less than a year, milestones in the UAE includes two agreements, signed during the Lord Mayor's visit, for UK experts to providing training to UAE Central Bank staff and Securities and Commodities Authority. In Saudi Arabia, a Kingdom-to-Kingdom Banking and Investment workshop was facilitated, with the outcomes reported to Amr Dabbagh and Baroness Symons for consideration in future work between the two nations.
The GCC is the collective name for the trade bloc formed by Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates. The FSSAB GCC sub-committee comprises country advisers, UK Trade & Investment (UKTI), International Financial Services London (IFSL), the City body that promotes UK financial services overseas, and the City of London Corporation. The UKTI Special Representatives for each GCC country are: Kuwait (Richard Thomas of Gatehouse Bank), Qatar( Robert Gray of HSBC), Bahrain ( Jonathan Morris of SCB (Bahrain), Saudi Arabia (Jason Peers of Jasper Capital), Oman ( Nick Edmondes of Trowers & Hamlins) and UAE(Bashir Siman of Al Farida.}
June 2009
UK ranks second globally in defence exportsStatistics released by UK Trade & Investment's Defence and Security Organisation (UKTI DSO) show that the UK was the second most successful global exporter in 2008, achieving £4.2b, 17% share of the global market for defence exports, close to the longer term target figure of 20%. Over the last 5 years the top exporters' average market shares were: the United States (27%), the UK (21%), Russia (14%), France (9%), Germany (4%) and Israel (3.5%).
Commenting on the figures, Richard Paniguian Head of UKTI DSO said, "I am very pleased that the UK has managed to maintain its strong position in the market despite a very competitive market globally. The UK has an outstanding defence and security industry producing some of the world's most innovative defence and security products and services."
The UK has been most successful in the Middle East and North America but has also won business in Asia. A mid-year assessment by UKTI DSO has shown that so far, there is no significant drop in global export orders compared to the same point in previous years which helps reinforce the view that the defence and security sectors are weathering the recession better than many other sectors.
The breakdown of UK exports over the last 10 years shows that the air sector accounts for about 75% of business by value, with the land and sea sectors accounting for 15% and 10% respectively. This compares with the global picture where the Air sector accounts for 61% and the land and sea sectors 23% and 16% respectively.
Significant growth and export prospects are predicted for the security sector over the next decade, covering a range of security solutions, including integrated surveillance, passenger and cargo screening, airport security, protection of coastlines, border security, access control and IT security.
Commenting further Richard Paniguian said "the number of SMEs providing sophisticated security solutions is growing in the UK and UKTI is developing services to get better market access for these companies".
