NAIROBI, Kenya, Jul 30 – Capital Markets Authority (CMA) and Financial Services Regulatory Authority of Abu Dhabi have signed a Memorandum of Understanding to enhance cooperation in sustainable finance in each other’s markets.
The partnership was formed following close discussions and continuous coordination between the two parties to scale up the development of sustainable finance in both jurisdictions and builds on an existing partnership to support financial technology.
The MOU provides a framework for the two bodies to exchange information pertinent to products, services and initiatives as well as to develop legislative, regulatory and institutional frameworks to enable the two sides to facilitate and support sustainable finance.
CMA CEO Paul Muthaura said the partnership underscores the importance of sustainable finance and the intangible value drivers within Environmental, Social and Governance perspectives.
”This initiative has come at an opportune time as sustainable finance is expected to play an important but niche role in driving the growth of Kenya’s capital markets. This is in line with the Marrakech Pledge which calls for an increase in the volume, flow and access to finance for climate projects, alongside improved capacity and technology from developed to developing countries,” he said.
FSRA ADGM CEO Richard Teng said the partnership and relationship with CMA began in 2017 on FinTech where the two authorities shared mutual objectives of fostering innovation, financial inclusion and regulator cooperation.
“We are pleased to continue this cooperation with CMA to promote sustainable capital formation and deployment of financing as part of the commitment to our countries’ green economy strategies and agenda. We look forward to working closely with the CMA team and more like-minded partners to foster responsible and sustainable methods that support the development and growth of our economies,” Teng said.