The agreement expands Asic’s fintech network to the Middle East and North Africa (MENA), regions that are “currently poised for a fintech boom, with several cities taking steps to establish themselves as fintech hubs”, it said in a statement.
According to the Aussie regulator, most fintech activity in Mena has occurred in the payments space, with startups offering services including bill payment, electronic wallets, mobile and online payment solutions.
“Fintech developments are not confined by national borders. Each country and region has a different experience with fintech, and there is much we can learn from engaging with one another,” Asic chairman Greg Medcraft said upon signing the agreement.
Similar to other agreements, FSRA and Asic will refer fintech businesses to each other for advice and support via Asic’s innovation hub and its Abu Dhabi Global Market (ADGM) equivalent, known as RegLab.
The two financial regulators will also share information and offer help to firms to understand the regulatory regimes in each of their jurisdictions.
The United Arab Emirates (where the ADGM is located) is Australia’s largest trading partner in the Middle East, with two-way goods and services trade worth A$8.8bn (£5.4bn, $7bn, €6bn) in 2015.
This is the seventh fintech referral agreement Asic has entered into, following on from agreements with the UK, Singapore, Ontario, Malaysia, Japan – and the two above.
