18 December, 2017
Financial regulators in Dubai and Hong Kong have agreed to cooperate to help innovative financial technology (fintech) businesses to grow.
Under the terms of the agreements struck by the Dubai Financial Services Authority (DFSA) with the Hong Kong’s Insurance Authority (IA) and the Hong Kong Monetary Authority (HKMA), the regulators have agreed to refer fintech businesses to one another where they wish to expand into the other jurisdiction.
The DFSA will also exchange information on fintech issues with both the IA and HKMA.
The DFSA signed a similar agreement with Hong Kong’s Securities and Futures Commission in the summer.
Ian Johnston, chief executive of the DFSA, said: "Our agreement with the authorities in Hong Kong is indicative of the importance we place on maintaining a close relationship with Hong Kong’s financial services regulators. The signing of these agreements in fintech is a natural next step to the collaboration we have in regulating traditional financial services."
John Leung, chief executive of the IA, said: "The IA takes proactive steps in strengthening collaboration with other jurisdictions in fintech development. The agreement with DFSA signifies closer cooperation between the two authorities in fostering and creating business opportunities for fintech firms on a global reach. The IA will consider signing similar cooperation agreements with insurance regulators in other jurisdictions."
Shu-Pui Li, executive director of the HKMA, said: "The cooperation agreement with DFSA showcases our efforts to work with the international fintech community to facilitate the healthy development of the fintech ecosystem. The HKMA will continue to explore potential collaboration opportunities with other authorities to support the upgrading of our banking system towards the higher level of smart banking."
For further information, please contact:
Yvonne Dunn, Partner, Pinsent Masons
yvonne.dunn@pinsentmasons.com
