The Dubai Financial Services Authority (DFSA) and the Securities and Futures Commission (SFC) in Hong Kong entered on Monday an agreement to establish a framework of cooperation on financial technology (FinTech) innovation, the DFSA said in an emailed statement.
The agreement will further strengthen the efforts of both authorities to develop an innovations-friendly ecosystem in their respective markets. The DFSA is the financial supervisor and regulator of the Dubai International Financial Center, the biggest financial free zone in the Middle East.
The signing took place between Ian Johnston, Chief Executive of the DFSA, and Ashley Alder, Chief Executive of the SFC, in Hong Kong.
Under the agreement, both authorities will "share information on developments and innovations in FinTech in their respective markets," said the statement. The agreement also intends to encourage both regulators to refer innovative firms to one another's markets and to provide them with regulatory guidance.
Johnston said "This agreement with Hong Kong's SFC deepens cooperation between our two markets and will build a common understanding of the principles of good innovation."
"This agreement underscores the SFC's efforts to strengthen regulatory collaboration and promote innovation in financial services," said Alder.
The agreement extends the existing relationship between the SFC and the DFSA with a joint commitment to maintain the highest standards of cooperation. Both regulators are signatories to the IOSCO Multi-lateral Memorandum of Understanding (MMoU). They also entered into a bilateral MoU in 2008.