The Gulf’s financial services region has survived the worst of the economic crisis without encountering any systemic failures, says Omar bin Sulaiman, the governor of the Dubai International Financial Centre (DIFC).

“We now are in a position to declare with a great deal of confidence that the region has successfully passed through the worst of the crisis without experiencing any systemic risks,” said Sulaiman, at the Banking Outlook 2009 conference in Dubai. “Despite high profile defaults and repayment issues, the region’s legal, regulatory and financial systems have successfully weathered this crisis.”

He later added that private investors would buy part of Dubai’s next $10bn bond, which the market expects to see in November.

Sulaiman also called for the development of a regional debt market to help Middle East borrowers rely on local funding, rather than international capital.