SCA And DFSA Sign MoU To Enhance Audit Oversight And Regulatory Cooperation

The Securities and Commodities Authority (SCA) and the Dubai Financial Services Authority (DFSA) have entered into a Memorandum of Understanding (MoU). This agreement is designed to improve audit oversight and foster regulatory cooperation between the two entities. The collaboration aims to enhance financial reporting, market integrity, and investor confidence in the UAE's financial sector.

The MoU will see the SCA and DFSA working together on monitoring and supervising audit functions. They will share expertise to strengthen the audit oversight framework within their jurisdictions. This partnership is timely, given the rapid growth of the financial sector in the UAE, addressing the increasing complexity of financial markets.

Waleed Saeed Al Awadhi, CEO of the SCA, emphasised the importance of this agreement. He stated, "As the UAE's financial market continues to grow, it is essential that we strengthen our regulatory frameworks and promote best practices in auditing. This agreement will enhance our collective efforts to safeguard the integrity of the financial system and support the confidence of investors in the UAE."

Mark Steward, CEO of the DFSA, highlighted that this marks a new era of collaboration between both authorities. He noted, "This is the start of a new era of collaboration between the DFSA and SCA. Our agreement will strengthen audit standards across all securities firms operating in the UAE and DIFC, including in the UAE's capital markets."

The agreement aims to create a more seamless regulatory environment by sharing knowledge and resources. This cooperation will improve enforcement of financial reporting standards and enhance audit processes' effectiveness.

Both authorities are committed to fostering a strong, sustainable, and transparent financial market in the UAE. The MoU reflects their dedication to maintaining high standards in auditing practices while supporting investor confidence through improved regulatory oversight.

With inputs from WAM