ADGM, Bahrain’s EDB sign region’s first fintech deal

ABU DHABI / WAM

Abu Dhabi Global Market (ADGM) and the Bahrain Economic Development Board (EDB) signed a fintech cooperation agreement, marking a significant first in the MENA region.
With the new partnership, Bahrain EDB and ADGM will explore initiatives to promote economic growth in financial services through the adoption of new technology, and highlight MENA’s strengths in the fintech sector.
“We are excited to witness the first fintech MoU between two MENA jurisdictions,” said Richard Teng, Chief Executive Officer, Financial Services Regulatory Authority of ADGM. “Together, we advocate and see the MENA region as a continuous whole and look to leverage each other’s strengths to anchor a vibrant Fintech ecosystem. From our close discussions with the Economic Development Board of Bahrain, and especially at the first Regional Regulators’ FinTech Roundtable recently in Abu Dhabi, it is clear we value the importance of collaboration and mutual support in any relevant manner. I look forward to continuing to work closely with our partner in building a more connected, collaborative network among our fellow regulators in the MENA region to cater to the rapid pace of FinTech growth here.”
The agreement will allow for a closer collaboration on the exchange of information on trends, services and products, leading to a closer relationship in the development of Islamic finance and Fintech initiatives across the region.
Professional and academic knowledge transfer, accelerator programmes and the mutual
promotion of the development of relevant technologies such as digital payments and blockchain are fundamental to the growth of these sectors. Fintech startups will have the ability to access information from each respective jurisdiction through one common point of contact.
“We have seen exciting momentum in FinTech in Bahrain and across the region over the last year,” said David Parker, Executive Director – Financial Services at Bahrain EDB. “The fintech sector has witnessed approximately $50 billion in investment globally, but the MENA region has received only about 1% of that. In Bahrain, we recognise that there is great potential for growth in this sector and we are capitalising on this by creating the right ecosystem.”