Darius Baruo
Feb 12, 2026 07:44
CBUAE turns into member of Hong Kong’s Central Moneymarkets Unit, gaining direct entry to mainland Chinese language debt markets as bilateral digital asset cooperation deepens.
The Central Financial institution of the United Arab Emirates has formally joined Hong Kong’s Central Moneymarkets Unit, the town’s core securities depository for debt devices. The transfer offers UAE buyers direct, cost-effective entry to mainland Chinese language capital markets via Hong Kong’s established monetary infrastructure.
The CMU membership was finalized through the third bilateral assembly between CBUAE Governor Khaled Mohamed Balama and HKMA Chief Govt Eddie Yue in Abu Dhabi on February 11. Each side mentioned cross-border debt market connectivity, digital asset developments, CBDC progress, stablecoin regulatory frameworks, and provide chain financing.
Digital Asset Framework Takes Form
This newest settlement builds on a speedy succession of monetary linkages between the 2 jurisdictions. In January 2026, UAE’s Capital Market Authority and Hong Kong’s Securities and Futures Fee signed a landmark MoU targeted completely on digital asset regulatory cooperation. That adopted September 2025 accords establishing mutual recognition of funds and cross-listings of ETFs—Hong Kong’s first such association with a Center Jap market.
The tokenization discussions are significantly vital. Each regulators have been actively growing frameworks for tokenized securities, with Hong Kong’s Challenge Ensemble exploring wholesale CBDC functions and the UAE advancing its personal digital dirham initiative. A coordinated strategy may set up interoperable requirements for tokenized debt devices traded throughout each markets.
Commerce Flows Underpin Monetary Integration
The monetary structure displays substantial present commerce volumes. UAE exports to Hong Kong reached $19.7 billion in 2024, predominantly gold. Non-oil bilateral commerce has persistently exceeded $16 billion yearly since 2022.
“The CBUAE’s membership within the Central Moneymarkets Unit permits entry to Asian capital markets and deeper engagement with different world monetary centres,” Balama acknowledged. He emphasised the transfer helps “diversifying funding alternatives for market members within the United Arab Emirates.”
For Hong Kong, the partnership reinforces its positioning as the first offshore renminbi hub. “This underscores Hong Kong’s place as a premier gateway for worldwide buyers to faucet into the broader China and Asia markets,” Yue famous.
What Comes Subsequent
The stablecoin regulatory discussions warrant shut consideration. Hong Kong is finalizing its stablecoin licensing regime, whereas the UAE has been growing its personal framework via the Digital Property Regulatory Authority. Coordinated requirements may facilitate dirham or Hong Kong dollar-denominated stablecoins for cross-border settlement.
No timeline was introduced for particular digital asset initiatives, however the tempo of agreements—4 main MoUs in roughly 14 months—suggests either side are shifting rapidly to ascertain the infrastructure earlier than broader Gulf-Asia capital flows materialize.
Picture supply: Shutterstock
