Source: City AM
The FCA has struck a new agreement with the Hong Kong Insurance Authority (IA) to support fintech innovation, to help bolster development of the industry in both territories.
The City regulator and the IA have agreed to work together by sharing information, including referrals of innovative firms seeking to enter the counterpart’s market.
“By working together, regulators help support global innovation in fintech” said Christopher Woolard, executive director of strategy and competition at the FCA.
“We look forward to working closely with the IA to promote innovation and enhance synergy for both markets, which will in turn benefit our consumers and financial industry as a whole.”
“The agreement would foster fintech development in the international arena by assisting fintech firms to explore new areas of growth and business opportunities outside the home jurisdiction,” added John Leung, chief executive of the IA.
“The IA will consider signing similar cooperation agreements with insurance regulators in other jurisdictions.”
The FCA has also struck similar agreements with the Hong Kong Monetary Authority and the Securities and Futures Commission, which it says will provide a “full spectrum of co-operation and assistance in fintech innovation in the banking, securities and insurance sectors” in both the UK and Hong Kong markets.
The move could be significant in the context of the UK’s departure from the EU, as it comes amid talk of creating an alliance between the UK, Hong Kong, Singapore and Switzerland, dubbed the F4.
Hong Kong and China are seen as key partners for the City post-Brexit and have been identified as focal points for future growth.