Under the patronage of His Highness Major-General Sheikh Saif bin Zayed Al Nahyan, Honourable Minister of Interior, UAE Government, a landmark move for the UAE’s information solutions industry was announced today. A historic memorandum of understanding (MoU) was signed between Emcredit, the UAE’s first private credit information services company, and Abu Dhabi-based government entities The Privatisation Company, a wholly-owned company of the UAE Ministry of Interior; and Emirates Identity Authority (EIDA).
Under the terms of the MoU, all parties agreed to complete the sale and purchase agreement and formalise the new shareholding structure of Emcredit. They will also cooperate in enabling the expansion of Emcredit’s information solutions across the UAE, in turn empowering decision-making at financial institutions and companies. Furthermore, the Privatisation Company and EIDA will support Emcredit in facilitating partnerships with relevant public and private organisations.
Colonel Abdul Rahman Mohammad Al Kamali, CEO, The Privatisation Company, said that the agreement with Emcredit is strengthened by the support of His Excellency General Nasser Salem Al Nuaimi, Chairman of The Privatisation Company and General Manager of the Honourable Minister’s Office.
Colonel Al Kamali said: “This agreement exemplifies how cooperation between the private and public sectors can provide greater stability and transparency to the UAE economy. Our aim is to play a distinct and active role in the sustainable development and economic growth of the country. To this effect, our agreement with Emcredit will help expand the availability of information solutions across both government departments and the commercial sector.”
The Privatisation Company was established in 2007 under ministerial decree No.36 issued by the UAE Ministry of Interior. Colonel Al Kamali also highlighted that the vision of the company is to explore areas of cooperation with the private sector across several fields. The agreement with Emcredit marks the first initiative of The Privatisation Company, which is also in the process of finalising other significant agreements spanning various business areas.
Ali Ibrahim, Managing Director of Emcredit, hailed the agreement as a landmark step in creating an information-driven economy in the UAE: “Our new relationship with the Ministry of Interior is a milestone for the information solutions industry of the UAE. Credit information is the cornerstone of commerce and industry and empowers several industries such as banking, mortgage provision and small and medium sized enterprises for more efficient decision-making and performance. This also means that consumers will stand to gain, as these institutions create more customised offerings for the residents of UAE.”
The agreement with the UAE Ministry of Interior marks Emcredit’s first agreement at the UAE federal level. Emcredit’s fast-expanding partner network and public source database will further drive credit information as a strategic priority for financial institutions, business and government departments across the UAE. Emcredit has previously served on the Technical Advisory Committee to provide expertise in the formation of a UAE federal Credit Information Law. The draft law is being studied at the UAE Cabinet level.
Since last year, Emcredit has signed several agreements with government departments to enrich its database. These include Dubai e-Government, Dubai Police, Dubai Public Prosecution and an exclusive agreement with Dubai Land Department’s Real Estate Regulatory Authority. Emcredit also recently signed agreements with Dubai Bank, Citibank, Dubai Islamic Bank, Amlak Finance and Better Homes.
Ibrahim added: “Emcredit has always strived to create a robust information database with a combination of information from both public and private sources.”
Emcredit was established in 2006 as a private entity and based in the Dubai International Financial Centre (DIFC), which is regulated by the Dubai Financial Services Authority (DFSA). Emcredit is based in the DIFC and operate in line with the DIFC’s Data Protection Law.
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