Dubai has partnered technology giant IBM to launch a blockchain initiative for trade finance.

The government of Dubai has partnered technology giant IBM to launch a blockchain initiative for trade finance.
Announced today, the project could prove telling in its impact with shipments and transactions of goods in one of the world’s major trading hubs. Dubai’s geographical proximity has established the Emirate as a hub for shipments between Asia, the Middle East and Africa.
A number of private companies are involved in the project, given their involvement in trade finance transactions. Dubai’s largest bank Emirates NBD is a part of the project, as is Spanish banking giant Banco Santander. UAE-based telecom provider ‘du’ is also participating, with a background in blockchain technology development through a recent healthcare initiative to store patient records on a blockchain shared between UAE hospitals. Freight forwarded Aramex, a major player in the logistics and shipping industry is also involved in the trade finance test, along with an unidentified international airline carrier.

The initiative will be led Dubai Customs, the official customs authority of the Emirate and Dubai Trade, an e-trade services hub, both of which are agencies of the Dubai government.