In a landmark move to enhance global financial connectivity, the United Arab Emirates and Hong Kong have significantly advanced their strategic economic partnership. The Central Bank of the UAE (CBUAE) has formally gained membership in Hong Kong’s Central Moneymarkets Unit (CMU), the region’s premier central securities depository for debt instruments.
This development emerged from the third high-level meeting between CBUAE Governor Khaled Mohamed Balama and Hong Kong Monetary Authority (HKMA) Chief Executive Eddie Yue, convened in Abu Dhabi. The meeting built upon previous discussions held in December 2024, demonstrating the accelerating pace of financial cooperation between the two jurisdictions.
The CMU membership represents a concrete implementation of memoranda of understanding established during earlier negotiations. This strategic integration provides UAE-based investors and financial institutions with direct, cost-efficient access to mainland China’s capital markets and financial assets through Hong Kong’s sophisticated financial infrastructure.
Governor Balama emphasized that this collaboration reflects a shared commitment to strengthening cross-border financial market connectivity. “Our partnership with HKMA enables enhanced access to Asian capital markets and deeper engagement with global financial centers,” he stated, noting that this development would diversify opportunities for UAE market participants while reinforcing the nation’s position as an international capital market hub.
HKMA’s Eddie Yue welcomed the CBUAE as a CMU member, highlighting Hong Kong’s role as a leading offshore Renminbi business center. “This step underscores Hong Kong’s position as the premier gateway for international investors seeking access to China and broader Asian markets,” Yue remarked. He further characterized the central banks’ cooperation as demonstrating “a clear vision for mutual growth and innovation.”
The integration extends beyond market access, encompassing ongoing collaboration in digital assets, stablecoin regulation, and sustainable finance development. Senior officials from both monetary authorities attended the talks, underscoring the institutional commitment to advancing technical cooperation and supporting the financial sector’s sustainable development.