ASTANA – The Astana Financial Services Authority (AFSA), a regulator of the Astana International Financial Centre (AIFC), and the Kyrgyz Republic’s Service for Regulation and Supervision of the Financial Market (SSRSFM) under the Ministry of Economy and Commerce have signed a memorandum of understanding to boost cooperation in capital markets, reported the AFSA press service on Sept. 20.
“The agreement between the financial markets’ regulators will pave the way for future cross-border transactions in capital markets between the AIFC and the Kyrgyz Republic, including Initial Public Offering (IPOs), listing of securities, access of broker-dealers to stock exchanges of both jurisdictions and Islamic finance instruments,” according to the press release.
According to AFSA, the memorandum sets out a statement of intent between the two supervisory authorities to establish a framework for mutual assistance and to facilitate the exchange of information between them to ensure compliance with the laws and regulations of their respective jurisdictions. The document is expected to enhance professional participants’ integrity, efficiency, and financial sustainability by improving effective regulation and strengthening oversight of cross-border transactions.
“Clear regulations drive market predictability, one of the most important assets in finance. Cooperation like these assists better and faster financial exchange between AIFC and the Kyrgyz Republic and supports the interest of brokerage and asset management firms from both jurisdictions willing to pursue projects in the capital market and investment funds industry,” said AFSA Chief Executive Officer Nurkhat Kushimov.
“The topics of developing trade, economic and investment relations play a key role for us. We should create favorable conditions for our entrepreneurs to enhance cooperation in establishing business connections and building mutually beneficial cooperation, as well as in cross-border activities in the financial market. I am confident that establishing close cooperation between regulators will provide a good opportunity to determine further prospects for bilateral cooperation,” said Chairman of SSRSFM Marat Pirnazarov.