The Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM) has amended its regulatory framework governing the provision of money services in its bid to promote fintech solutions in the financial zone.
Under the revised framework, the regulated activity of providing money services has been fine-tuned with greater details on activities related to providing payment accounts and the issuance of stored value, which are often related activities of currency exchange and money transmission. The enhancements also introduced a new set of rules in the FSRA’s Conduct of Business Rulebook covering payment accounts and stored value services as well as more risk-sensitive capital requirements for such services.
“The FSRA is excited to implement the framework on money services to promote an efficient payments system and innovation in a safe and well-regulated environment. The ability of financial institutions to collaborate with multiple parties securely and efficiently to deploy modern fintech solutions has immense potential to improve financial inclusion in the region,” said Richard Teng, CEO of the FSRA.