India, China major sources of global capital: Official

“There is increased consumption in these markets, and they will continue to accumulate capital as a result of balance of payment surpluses driven by natural resource exports, as in the case of Gulf exporters, or manufactured exports, as in the case of India, China and other emerging economies,” said Ahmed Humaid Al Tayer, governor of Dubai International Financial Centre (DIFC).

“In the MENA (Middle East and North Africa) region, there are increasingly significant levels of capital available, and investors interested in alternative investments, and there continues to be a slow but noticeable increase in hedge funds,” WAM news agency reported on Monday quoting Al Tayer.

“As the differentiated rates of growth following the recession show, the global economic system is undergoing a slow, but nevertheless, fundamental transformation - that is seeing emerging markets play a significant role," he said at the 11th Hedge Funds World Middle East conference.

“Companies indigenous to these emerging markets are capturing international headlines as they expand and acquire assets, whether raw material rights in places such as Africa or Western companies in North America and Europe.

“Macroeconomic trends by themselves can't sustainably grow economies, improve lives or generate returns. You need proper infrastructure. And so these emerging markets need world-class financial centres through which capital can flow, both inward and outward, efficiently and effectively.

“That's part of our mission at the Dubai International Financial Centre, to provide an infrastructure that serves as a catalyst for regional economic growth, development and diversification as well as greater integration into the global economy.

“DIFC has already been recognised for the internationally accepted and world-class legal and regulatory infrastructure it has developed, as well as a strong financial services industry cluster ecosystem that today includes 20 of the top 25 leading global banks and six of the top 10 asset managers.

“In fact, DIFC serves a region, stretching from Morocco in the West to India in the East, a region whose GDP is $4.6 trillion,” he added.

Over the next two days, the conference here in the United Arab Emirates will review, analyse and predict future trends on issues ranging from global economy to risk management.