The central banks of UAE and Indonesia have signed a memorandum of understanding (MoU) to boost cooperation in payment systems. 

The MoU between the Central Bank of the UAE (CBUAE) and Bank Indonesia covers digital innovation in payment and financial services.  

It seeks to facilitate more efficient and secure transactions, as well as “cross-border payment systems including retail payments, and frameworks of anti-money laundering and combatting the financing of terrorism.” 

In a statement, the country’s central bank said the agreement focuses on enhancing bilateral cooperation in the areas of payment systems and digital financial innovation, including conventional and Islamic finance. 

“It supports joint initiatives to examine cross-border payment systems and encourages the development of new FinTech companies and structures in both countries,” it said. 

The two banks will also exchange relevant information and views on issues of concern or common interest, the statement said. 

“The signing of this MoU with our esteemed central bank counterparts in Indonesia reflects the CBUAE’s strategy of developing the most efficient payment systems, and working with partners to enforce global regulations to enhance confidence in the UAE financial market,” said UAE central bank’s governor Khaled Mohamed Balama. 

“It also demonstrates the clear objective of bringing together like minds to find new financial solutions and to strengthen the joint efforts against illicit financial activity.” 

(Writing by Imogen Lillywhite; editing by Cleofe Maceda )

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