By Claire de Koeyer and Jim Bulling
The Australian Securities Investment Commission (ASIC) has entered into a Cooperation Agreement (Agreement) with Indonesia’s financial services sector regulator Otoritas Jasa Keuangan (OJK) which focuses on promoting innovation in financial services in their respective markets.
The Agreement establishes a framework for cooperation between ASIC and OJK in the expanding space of financial services innovation, including an agreement to share information on emerging market trends and regulatory issues arising from the growth in innovation.
ASIC and OJK are of the view that through cooperation with each other, each will be able to further promote innovation in their respective markets.
For Australia, this Agreement can be seen as confirmation of ASIC’s strong profile among financial services regulators within the region and its longstanding relationship with OJK. With Indonesia positioned as the largest economy in south-east Asia with a fast growing financial technology sector, the creation of the Agreement is positive for the financial services industry in the region.
ASIC Commissioner, John Price said of the Agreement ‘Many fintechs are not constrained by national borders and it is fundamental that we leverage this to share views, exchange information and to discuss some of the challenges that this can create for fintech businesses and the community.’
ASIC has previously entered into similar agreements with the Monetary Authority of Singapore, the UK Financial Conduct Authority, the Ontario Securities Commission and Capital Markets Authority of Kenya.