The Financial Supervisory Commission (FSC) revealed today that the Taipei Economic and Cultural Representative Office in the United States (TECRO) and the American Institute in Taiwan (AIT) have recently inked a Memorandum of Understanding (MOU) on financial supervision information exchange collaboration. This development marks a significant step forward in fostering cooperation between the two nations in financial oversight.
Pursuant to the MOU, the FSC and the U.S. Commodity Futures Trading Commission (CFTC), acting as the designated representatives for TECRO and AIT, will collaborate on the financial supervision of cross-border settlement institutions. A key aspect of this collaboration involves the Taiwan Futures Exchange seeking an exemption from registration as a U.S. Centralized Clearing House (QCCP) via an application to the CFTC. The establishment of this financial supervision cooperation agreement aligns with the broader goal of deepening ties and fostering exchange between Taiwan and the United States’ financial markets.
The FSC underscored the strategic importance of the MOU, emphasizing that it not only facilitates the qualification process for the Taiwan Futures Exchange’s application to the U.S. CFTC for QCCP status but also serves as a pivotal step towards securing recognition from the U.S. CFTC. The successful realization of this recognition is anticipated to strengthen the interconnection and collaboration between the financial markets of Taiwan and the United States.
Looking ahead, the Financial Supervisory Commission reaffirmed its commitment to expanding the cross-border financial supervision cooperation network. The focus will remain on fortifying the financial supervision framework to ensure a stable financial market. This initiative aligns with broader objectives, including attracting foreign investment to infuse vitality into Taiwan’s financial market and enhancing the overall competitiveness of the nation’s financial landscape.
