Commodity market regulator Forward Markets Commission signed the MoU with China Securities Regulatory Commission. The agreement provides a framework for cooperation between the two authorities, an FMC official said.
This tie-up would also open channels of communication between the two authorities, besides mutual understanding and exchange of regulatory and technical information, he said.
The MoU was signed on Tuesday by FMC chairman S Sundareshan and Sun Yuxi, Chinese Ambassador to India, on behalf of CSRC, in the presence of Chinese President Hu Jintao and Prime Minister Manmohan Singh.
The tie-up aims at promoting mutual assistance and exchange of information to assist the two regulatory authorities to perform their respective functions more efficiently, the official said.
The two bodies would exchange information on investor disclosure norms, enforcement laws, operation of brokers, monitoring, clearing and settlement of disputes.
They would also share information regarding market manipulation, and other deceptive and fraudulent practices concerning trading of commodity futures contract.
