The Dubai Gold & Commodities Exchange (DGCX) announced on Tuesday the signing of a Memorandum of Understanding (MoU) with Sudan's Financial Markets Regulatory Authority (FMA) to boost bilateral cooperation in gold trading between the UAE and Sudan through experience interchange. The DGCX and FMA would work on mutually beneficial sectors, encourage collaboration, and exchange expertise about gold dealing under the terms of the contract.

Sudan is Africa's third-largest producer of gold, and it began permitting private merchants to export the precious metal early this year in a bid to increase income. Following this initiative, the FMA seeks to strengthen the Sudanese gold market by promoting trading and investment. It would be able to profit from the experience of the Middle East's leading and most varied derivatives and commodities interchange through its cooperation with the DGCX.

“We are thrilled to form a relationship with Financial Markets Regulatory in Sudan, the first of several partnerships this year, and work together to improve the gold market throughout Africa,” said Les Male, CEO of DGCX. The DGCX is ideally positioned between the Far East, Europe, and Africa, providing merchants and investors with a one-of-a-kind global gateway.

With our extensive knowledge and expertise in commodities trading, we are optimistic that we could add tremendous value to the FMA and Sudan's gold export market, while still achieving our vision of expanding our international footprint and facilitating more cross-border trading.”

“The Financial Markets Regulatory Authority in Sudan is happy to work with the DGCX and benefit from their experience to expand possibilities for investors and traders inside the sector,” said Dr. Shawgi Azmi Mahmoud, Director General of FMA. The Sudanese government's development of a gold exchange is a significant step forward for the country. We anticipate that this partnership will play an important role in encouraging the expansion of gold trade inside the country and area. Sudan is well-known for its gold production, with only an average annual output of 70-100 tonnes of gold, therefore this strategic alliance will substantially support the country's economy to flourish. With the assistance of the UAE authorities, we are looking ahead to delivering innovative products and services to our members to better serve and benefit the two nations.”

The Dubai Gold & Commodities Exchange (DGCX) is the region's premier derivatives exchange, having pioneered the regional market in derivatives trading, clearing, and payment.

The DGCX owns and runs Dubai Commodities Clearing Corporation, the region's biggest and only multi-asset clearing house (DCCC). The Securities and Commodities Authority oversees DGCX and DCCC (SCA). SCA identifies it as a licenced Central Clearing-Counterparty (CCP) and the European Securities Markets Authority recognizes it as a Third-Country CCP (ESMA).

The DGCX's advantageous geographic location in Dubai here between Far East, Europe, and Africa provides traders and investors with a one-of-a-kind global window. The DGCX, which also has over 100 members worldwide, generates market liquidity by providing a diverse variety of futures and options agreements encompassing basic and precious metals – notably the world's only Shari'ah Compliant Spot Gold Contract – hydrocarbons, stocks, and currencies.