In another step towards closer ties between Dubai and Singapore, the Dubai Financial Services Authority (DFSA) and Monetary Authority of Singapore (MAS) have signed a fintech agreement that allows referrals of innovative businesses between them.
“The agreement centres on a referral mechanism which will enable the authorities to refer fintech companies to each other, as well as facilitate the sharing of information on financial sector innovation in their respective markets,” said MAS in a press release today.
In addition to this, both authorities have also agreed to work on joint innovation projects on the application of key technologies such as digital and mobile payments, blockchain and distributed ledgers, big data, and Application Programming Interfaces (APIs).
The agreement reflects the commitment of both authorities to support the continuous development of FinTech and innovation to deliver new and enhanced financial services to manage risks better, reduce costs, and increase efficiency.
Ian Johnston, Chief Executive at the DFSA, said, “We are pleased to formalise an agreement with MAS to support the growth of innovation in financial services. Cooperation between MAS and the DFSA will help create synergies and greater understanding between our two markets and will enable FinTech firms to extend their reach globally.”
Sopnendu Mohanty, Chief FinTech Officer at MAS, said, “The rising FinTech boom in the Middle East creates new opportunities for the region and beyond. Through this FinTech cooperation with DFSA, we look forward to closer interactions between our markets, and for FinTech firms in Singapore to capture these new opportunities and grow the FinTech landscape.”
DFSA and MAS, already have a Memorandum of Understanding (MOU) since 2008. The MOU fosters supervisory cooperation in banking, insurance and capital markets. It also facilitates the exchange of information for supervisory purposes between the two authorities.
Notably, DFSA is the independent regulator of financial services conducted in or from the Dubai International Financial Centre (DIFC). The DFSA’s regulatory mandate covers asset management, banking and credit services, securities, collective investment funds, custody and trust services, commodities futures trading, Islamic finance, insurance, international equities exchange and an international commodities derivatives exchange.