Middle East banks to invest $2 bln on IT security

Banks and financial institutions in the Middle East are expected to invest USD 2 bln on IT solutions to protect financial transactions in 2008 and 2009, a significant portion of which will be spent on anti-money laundering software and technology, according to the Middle East and North Africa Financial Action Task Force.

This reflects the massive 70% growth in anti-money laundering-related spending in the region over the past three years, and is in line with the projected USD 6 bln investments by institutions in the Middle East, Africa and South Asia towards IT solutions aimed at protecting financial transactions.

In a bid to address the increasing need for robust IT-based protection for financial transactions, SAS, a leader in business intelligence and analytical software and services, held an exclusive ‘Enterprise Risk Summit’ in Dubai which featured an overview of Enterprise Risk Management (ERM) and other SAS solutions.

“It is crucial for practitioners to be able to discuss and debate ideas openly in order for us to take progressive steps and effectively build on our strengths as well as overcome our weaknesses,” said Harry Pretorius, Head of Risk Practice, SAS – Middle East & Africa.

Over 30 participants representing BASEL ll and Credit Risk teams from leading UAE-based banks and financial institutions such as Mashreq Bank, Commercial Bank of Dubai, Noor Islamic Bank, Dubai Islamic Bank, Abu Dhabi Commercial Bank and HSBC attended the summit.

“Amidst the region’s booming economy and the rapidly growing markets, banks and financial institutions today face a wide range of risks in the normal course of their business,” concluded Pretorius.