The Australian Securities and Investments Commission (ASIC) and Pakistan’s financial services regulator the Securities and Exchange Commission of Pakistan have entered a Memorandum of Understanding (MOU) in a bid to forge stronger compliance ties between the countries.

The MOU was signed last week by ASIC Chairman Jeffrey Lucy and Pakistan’s High Commissioner to Australia Babar Wahid Malik. It attempts to establish a framework to ensure compliance between the two regulators.

ASIC says increased international activity has prompted the need for co-operation between financial markets, and the agreement will pave the way for smoother civil investigations, better supervision of stock markets, and easier verification of registered persons.

Mr Lucy says as the need to combat transnational fraud grows, so does the need for regulators to share information about illegal securities activities.

“Together we will work to promote high standards of regulation, and exchange information in order to promote the confident and informed participation of investors and consumers in the financial system,” he said.