The Dubai Financial Services Authority (DFSA) has signed an agreement (Exchange of Letters) with the Financial Services Agency of Japan (FSA) to collaborate in the development of new financial technologies.

Both the authorities will work together to encourage fintech innovation in the Dubai International Financial Centre (DIFC) and in Japan.

In addition, DFSA and FSA agreed to facilitate information exchange on developments as well as enable entry of financial innovators into the respective markets.

DFSA chief executive Ian Johnston said: “We are very pleased to strengthen our long-established collaboration with Japan’s FSA and to enhance our cooperation on matters related to innovation in financial services.

“This is testament to our commitment to foster effective agreements with peer regulators across the globe, engaging on emerging FinTech topics.

“We look forward to working with Japan’s FSA to develop our FinTech proposition and contribute to the efficiency and further enhancements of our respective financial markets.”

Offering a regulatory framework for future referrals, this cooperation will also guide the authorities to utilise relevant information from respective markets.

Apart from FSA, the DFSA entered into similar cooperation agreements with multiple other financial regulators.

It has already signed regulatory collaboration agreements with the Australian Securities and Investment Commission, the Hong Kong Monetary Authority and the Malaysian Securities Commission among others.

In June, DFSA signed a memorandum of understanding (MoU) with the Astana Financial Services Authority (AFSA) for cross-border legal and regulatory cooperation.