In line with its vision to promote UAE's relations with nations and strengthen cooperation with international financial and economic organizations, and to promote investment and economic development, the Federal Ministry of Finance, initiated a convention with the Republic of Slovakia on investment protection and promotion. The three-day convention was held on July 15-17, 2009, in the Slovak capital of Bratislava. The convention focused on creating a favorable environment for the flow of investments between the two countries. It dealt with protection of investments, all types of non-commercial risks, such as Nationalization and judicial confiscation, seizure and freezing. The convention also addressed a preferential deal in accordance with the prevailing laws in the host country, as well as restricting the first country's provisions by custody. These provisions do not include any legal or procedural issues, and so the provisions of previous agreements by any of the two countries do not apply to the other country's provisions by custody. Majid Omran, director of the International Relations Department of Finance and chairman of the delegation of the negotiations, said “we are pleased with the signing of the Convention with the State of Slovakia on the protection and promotion of investment. This is in tune with the vision of the Ministry of Finance to be a global leader in the management of financial resources, so as to achieve sustainable and balanced development.” “We look forward to the completion of the negotiations and a final signature, which would benefit the two countries and further agreements on financial and economic cooperation with the countries,” he added. In the third round of negotiations, the delegation discussed the issue of avoidance of double taxation on income between the two countries. The delegation agreed on most of the provisions, which included the exemption of federal government institutions and local taxes from its investment of dividends, interest earnings and capital gains tax. This is in addition to other provisions which include the exemption of the funds, pension institutions and airlines of all types of taxes. The convention comprises of provisions relating to the replacement mechanisms, arbitration and other matters related to performance requirements. In addition, it also includes special conditions to preserve the environment, exchange of information and actions of friendly exchange. The delegation included Dr. Hamid Nasr, a representative of the United Arab Emirates and an economist in the Ministry of Finance; Rashid bin Kalban, managing director of Legal Affairs of the Abu Dhabi Investment Authority; Ahmed Ajlan Qubaisi assistant executive director of the Central Bank; Abdullah Al-Hammadi and representative of the Ministry of Foreign Affairs.
