MANILA – The Department of Finance (DOF) on Thursday said country is scheduled to sign a regional agreement that will improve the circulation of investment funds in Asia-Pacific countries.
Officer-in-charge at DOF’s International Finance Group Neil Adrian Cabiles said that the country has plans to sign the statement of understanding for the Asia Region Funds Passport.
This agreement aims to pave way for easier cross-border transactions and investments. Meaning, mutual fund in the country will only need to seek the approval of the Securities and Exchange Commission and present the permit to the SECs of the other country.
“After signing the statement of understanding, they (the member economies) will still have to look at the rules the participating economies will have to follow,” shared Cabiles.
Cabiles noted that they are expecting to finalize the rules by next year. The memorandum of understanding (MOU) will need to be signed before the year ends.
However, the country’s participation in the MOU will still depend on the accreditation of SEC from an international association. The SEC is required to be a signatory to the International Organization of Securities Commission’s Appendix X of the multilateral memorandum of understanding.
Aside from the Philippines, other countries that have expressed intent to join this include Australia, New Zealand, Singapore, South Korea, and Japan.