South Korea’s financial authorities will dispatch a delegation to the Middle East this week, aiming at vitalizing mutual investment in banking businesses, stocks and bonds.

“The project reflects the idea of diversifying foreign direct investment sources, while the nation has mainly resorted to funds from Europe and the United States,” the delegation said in a statement.

The planned cooperation with Muslim countries was initiated by the National Policy Committee of the National Assembly and the Financial Supervisory Service.

Participants will include the Korea Exchange, the Korea Finance Corp., Woori Bank, KB Kookmin Bank, Hana Bank, Korea Exchange Bank, Shinhan Bank, Daewoo Securities and Samsung Fire & Marine Insurance.

For the event, dubbed “Korea Finance Week in the Middle East,” the delegation is scheduled to visit four countries ― Kuwait, Qatar, Saudi Arabia and United Arab Emirates ― for seven days starting Jan. 9.

“As they are royal societies, we plan to establish high-level communication channels with the kings’ families, the sovereign wealth funds, the administrations and the financial regulatory agencies in the four countries,” said the delegation.

The Financial Supervisory Service, stressed that three of the world’s top 10 sovereign wealth funds were based in the Middle East.

“The No. 1 of the world’s top 10 is UAE-based Abu Dhabi Investment Authority, followed by the No. 4 Saudi Arabia-based SAMA Foreign Holdings and the No. 6 Kuwait Investment Authority,” an FSS official said.

In Dubai on Jan. 9, Korea will set up the first financial forum, which is designed for exchanges of human resources and holding a series of investment conferences.

The delegation is also scheduled to hold the first investor relations session in the finance sector in Dubai.

Both sides will sign a memorandum of understanding on mutual financial coordination and strategic partnership on Jan. 9-10 in Dubai and Abu Dhabi.

By Kim Yon-se (kys@heraldcorp.com)