from the Financial Times..
May 2, 2013, By Camilla Hall in Abu Dhabi
The United Arab Emirates has announced the launch of a separate court system and legal infrastructure to oversee a newly created financial hub in Abu Dhabi, a crucial step towards attracting banks and companies to be based in the emirate.
The law establishes a lower court and an appeals court that applies to the financial free zone, for which new regulations have been put in place, according to statement from the office of government communication on Wednesday.
Abu Dhabi’s new financial hub is designed “to promote the status of the emirate as a leading global marketplace, develop the emirate’s economy and enhance the economic environment to attract financial investments”, according to the Arabic-language statement.
Competition in the non-oil economy has long marked the relationship between Dubai and Abu Dhabi. While Abu Dhabi is the wealthy capital, Dubai has been first off the mark to develop its Jebel Ali port as well as Emirates airlines – both of which now face rivals from the capital.
A senior official in cash-strapped Dubai concedes that competition from oil-rich Abu Dhabi’s financial hub will provide a challenge over the next couple of years. But, Dubai remains relatively sanguine, saying its core competency in trade and commerce has underpinned the growth of the Dubai International Financial Centre over almost a decade. Bankers and lawyers are also attracted by the city’s transportation links and quality of life.
Link to the entire article: http://www.ft.com/intl/cms/s/0/c2c79a5c-b2fb-11e2-95b3-00144feabdc0.html#axzz2SWlqjYi0