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European Economic Area (EEA) - financial services and other commercial activities

Passporting is the right of financial services firms in the EEA to carry on permitted activities in other EEA states.

Notification to - and approval by - the regulator are required for both inward and outward passporting.

Equivalence and passporting

"In brief, equivalence is the willingness of one regulator to accept that another regulator's rules achieve the same regulatory outcomes as their own, and so some element of cross-border activity can be allowed.
Equivalence must be agreed, but is subject to negotiation, market by market.
Passporting is the acceptance that once permitted to trade in one state, a business can trade in another without further compliance requirements.
For those within the European Economic Area (EEA), it is easy to forget that the principle of passporting applies beyond the much publicised world of financial services (FS)."
The Treasurer magazine, March 2017, p12 - Technical briefing.

See also