The International Chamber of Commerce (“ICC”) and the Union of Arab Banks (“UAB”) have joined forces to promote the use of arbitration and ADR for the settlement of banking disputes.
During a signing ceremony that took place today, ICC Secretary General John W.H. Denton AO, UAB Chair Mohammad Al Sabbah and UAB Secretary General Wissam H. Fattouh signed a Memorandum of Understanding (MoU) with the aim to promote the culture of arbitration and ADR across Arab banks and financial institutions.
Pursuant to the MoU, the ICC International Court of Arbitration (ICC Court) and the UAB Mediation and Arbitration Center will collaborate to further the understanding of more than 450 Arab banks and other financial institutions in arbitration and ADR, provide trainings to UAB members and increase their engagement with other financial institutions outside the Arab world and across the ICC network.
Commenting on the MoU, Mr Denton said: “Effective dispute resolution is vital to trade and investment and is an enabler of the ICC purpose to enable business to secure peace prosperity and opportunity for all. ICC will serve as a conduit for conflict resolution among Arab financial institutions and take a leading legislative role through active participation in the formulation of international banking laws and regulations.”
The signing ceremony was hosted by ICC on day one of Paris Arbitration Week 2021 – the first in-person event organised by ICC at its Global Headquarters since the start of the pandemic.
“ICC is the ideal forum for resolving banking disputes. At a time when the work of the UAB is expanding across many jurisdictions and different activities, we look forward to the collaboration with ICC to ensure that Arab banks receive the best training and know-how from the leading arbitral institution in the Middle East,” said Mr Fattouh.
In saluting the agreement, ICC Court Vice-President Samaa Haridi provided insights on the importance of arbitration and ADR in the Arab and Islamic worlds, the development of Islamic finance and the successes of ICC Dispute Resolution Services in the Middle East. Former ICC Court member Georges Affaki, who co-chaired with ICC Court President Claudia Salomon, the Task Force of the ICC Commission on Arbitration and ADR that produced a Report on Financial Institutions and International Arbitration, shared examples of how international arbitration and ADR assist banking and financial institutions in resolving their disputes.