Dubai (SD) – The United Arab Emirates’ Financial Cooperation Agency (FIU) has signed a memorandum of understanding with the Financial Reporting Center (FRC) of the Federal Government of Somalia to exchange information and experience.

UAE’s WAM news agency reported that the UAE had entered into an agreement with countries including Somalia, with the aim of combating money laundering and terrorist financing, for the benefit of both parties.

The MoU were signed by Ali Faisal Ba’Alawi, Head of the UAE FIU, with Amina Ali, Director of the FRC of Somalia, according to WAM reporting.

“Our undertaking of these agreements with the FRC of Somalia and the Bangladesh FIU further reinstate our efforts to facilitate a robust exchange of knowledge and expertise in the areas of anti-money laundering and combating financing of terrorism, alongside leading international intelligence units. I am confident that these MoUs will allow for greater collaboration between our respective jurisdictions on best practice in financial crime prevention, ultimately contributing to the stability and security of the UAE’s economic landscape and strengthening relations between the UAE, Bangladesh and Somalia.” Ali Faisal Ba’Alawi told WAM.

The Somali government has not yet commented on the agreement with the UAE, and it is unclear how it will affect the large Somali businesses in Dubai.

The agreement comes as relations between Somalia and the United Arab Emirates remain strained, due to the federal government aligning itself with Qatar. As a result, the UAE has stopped training Somali forces, and relations between the two countries have deteriorated.