In 2018 the Island was given permission by the UK to forge its own ‘BIT agreements’, which aim to facilitate investment between two different jurisdictions.
Under BITs, jurisdictions are required to treat investing companies and individuals from the partner jurisdiction in the same way that they would treat domestically-based investors.
Jersey has long sought for its first ever BIT to be reached with the UAE, where its finance sector already has a substantial presence.
At a webinar on Monday, hosted by External Relations Minister Ian Gorst, delegates from Jersey and the UAE met to discuss co-operation as the two jurisdictions emerge from the Covid-19 crisis.
‘Jersey’s relationship with the UAE goes back to 2001 when Jersey finance set up their first office promoting international financial services there,’ said Senator Gorst,
‘And I’ve been privileged to visit the UAE on a number of occasions. Perhaps the most memorable was in 2016 where we signed the double taxation agreement with the minister of finance.
‘I’m pleased that that has led to a growing relationship. We look forward to hopefully signing a bilateral investment treaty later this year.
‘That will be the very first one of those treaties that Jersey has signed with any partner around the globe. And it is fitting, I think, that we do so with the UAE.’
The UAE Ambassador to the United Kingdom, His Excellency Mansoor Abulhoul attended the webinar and urged the two jurisdictions to ‘deepen involvement’ to recover from Covid-19.
‘We’re all looking forward to getting back to normal life, particularly those of us in this group today. We’re so focused on building prosperity,’ he said.
‘We can do that by maximizing opportunities to trade, to invest, to co-operate between different jurisdictions around the world. That is particularly true with a partner like Jersey, a jurisdiction we already have a remarkable relationship with.’
He added: ‘I know there are already many Jersey men and women who have discovered the UAE’s many charms. There are so many now that a diaspora association has recently been formed.
‘Now is the time to deepen involvement. I am optimistic. While there is no playbook for recovery, the stakes are too high not to use this moment for positive change.
‘The Dubai expo will be a key part of the upward rebound, and I’m delighted that there will be a contribution at the UK pavilion from Jersey, now scheduled to run for six months from October.
‘Next year’s expo will be even more important for having been delayed. It will showcase businesses and innovations. It will prove that our future is not about turning inwards and retreating into our borders. It is about looking outwards and deepening connections with our friends and partners around the world.’
Speakers from Jersey at the event – which focused on financial services, the digital industry (particularly fintech, blockchain and cryptocurrencies) and food and drink – included Jersey Finance chief executive Joe Moynihan, Digital Jersey chief executive Tony Moretta and Graeme Smith, chief executive of Jersey Business.
The Government of Jersey has worked in partnership with the UAE Embassy, London, and the Ministry of Economy, UAE, to set up a business-to-business matchmaking service to help Island companies enter the Emirates market. So far ten companies have already signed up, and several others have expressed interest.
Jersey Finance’s Middle East hub office is based in the Dubai International Finance Centre, and there are 26 Jersey financial services firms operating in the UAE, while more than 40 companies do business in the country by making regular visits.
