Kenya and Abu Dhabi want to enhance cooperation in sustainable finance within each other’s markets.
That’s why Kenya’s Capital Markets Authority (CMA) and the Abu Dhabi Global Market (ADGM) have penned a memorandum of understanding in order to scale up the development of sustainable finance in both jurisdictions.
CMA is the prime regulator of capital markets in Kenya while the ADGM is an international financial centre located on Al Maryah Island in Abu Dhabi. ADGM’s 114 hectare island is a financial free zone that aims to build a business friendly ecosytem.
According to a statement from CMA, the partnership was formed following close discussions and continuous coordination between the two parties.
Together with Financial Services Regulatory Authority (FSRA), one of the arms of ADGM, the MOU will provide a framework for exchange of information pertinent to products, services and initiatives with CMA.
The agreement also encompasses the developing of legislative, regulatory and institutional frameworks to enable the two sides to facilitate and support sustainable finance.
CMA Chief Executive Paul Muthaura said: “This strategic partnership between CMA (Kenya) and FSRA underscores the importance of sustainable finance and the intangible value drivers within Environmental, Social and Governance (ESG) perspectives.”
[Read: CMA begins search for new CEO as Muthaura to leave in 2020]
CMA added that the MOU, which builds on an existing partnership, was formed following close discussions and continuous coordination between the two parties.
Richard Teng FSRA CEO said that the firm was pleased to continue its partnership with CMA which began in 2017.
“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,” he said.
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