PETALING JAYA: The Securities Commission (SC) has entered into an innovation cooperation agreement with the Australian Securities and Investments Commission (ASIC), to further promote innovation in financial services in their respective markets.
In a statement yesterday, the SC said that under the agreement, the regulator will work with ASIC to share information on emerging trends and regulatory issues in digital finance.
It added that both regulators will also facilitate referrals of innovative businesses seeking to operate in each other’s jurisdictions, as well as explore potential joint innovation projects relating to the application of new technologies.
SC chairman Tan Sri Ranjit Ajit Singh signed the agreement with the ASIC chairman Greg Medcraft on the sidelines of the Salzburg Global Seminar on Finance that was co-chaired by the SC chairman.
Ranjit said the cooperation agreement is an important milestone for Malaysia’s digital finance sector and was a positive development for innovative fintech businesses seeking to expand and reach greater scale.
“Even as we continue to enable new forms of innovation in capital markets, we must not lose sight of the need to manage digital risks, by taking a strategic approach to risk management, recruiting digital talent and improving IT architectures,” he said.
“The collaboration between SC and ASIC in the realm of digital finance will further strengthen the cooperative arrangements between Malaysia and Australia in capital market development and regulation,” he pointed out.
Meanwhile, Medcraft said the agreement would help local businesses grow beyond borders, and improve understanding of fintech in the region.
“International cooperation on fintech is essential... we look forward to working more closely with our colleagues at the Malaysian Securities Commission,” he said.