Dubai and Australia’s regulators have agreed to cooperate on FinTech, with ‘RegTech becoming more and more important’.
The Dubai Financial Services Authority (DFSA) and Australian Securities & Investment Commission (ASIC) have agreed to cooperate on and promote FinTech in each other’s markets.
Under the terms of the agreement, DFSA and ASIC will be able to refer innovative FinTech businesses to each other for support, providing Australian FinTech businesses wishing to operate in the DIFC with a simple pathway for engaging with DFSA, and vice versa.
With the partnership also providing a framework for information sharing between the two regulators, ASIC said it recognises the importance of RegTech, with trials expected to occur between the regulators.
ASIC commissioner John Price said, “We are excited to partner with the DFSA to help encourage fintech innovation in Australia and Dubai. RegTech is becoming more and more important – this is a new frontier in our bilateral cooperation that will benefit both regulators and businesses.”
In 2015, ASIC launched its Innovation Hub to help FinTechs navigate the regulatory framework without compromising investor and financial consumer trust and confidence.
The Innovation Hub provides the opportunity for entrepreneurs to understand how regulation might impact on them. It is also helping ASIC to monitor and understand FinTech developments.
ASIC’s partnership with DFSA represents the ninth FinTech referral agreement ASIC has entered into, following on from agreements with the United Kingdom, Singapore, Ontario, Hong Kong, Japan, Malaysia, Abu Dhabi and Switzerland.
Earlier this month, China and Australia’s regulators have agreed a partnership to share information on FinTech developments and RegTech insights.
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