On 28 November 2018, Bank Negara Malaysia (BNM) and Dubai Financial Services Authority (DFSA) signed a Memorandum of Understanding (MoU) on supervisory cooperation for effective supervision of banking and insurance/takaful/reinsurance institutions operating in both countries.
The MoU signifies continuous efforts to promote financial stability in both jurisdictions. It also provides a strong foundation for further development of effective supervisory systems in accordance with the principles set out in the Basel Core Principles for Effective Banking Supervision, International Association of Insurance Supervision for Insurance Core Principles and the Financial Action Task Force Recommendations on Anti-Money Laundering.
The MoU outlines cooperation and coordination between the authorities in the areas of exchange of information, facilitation of consolidated and cross-border on-site supervision, issuance of licenses and combating money laundering and terrorism financing.
These specific areas of cooperation are timely as regional and international trade and investment linkages continue to expand with increasing cross-border banking and insurance/takaful/reinsurance activities in both countries.