The Monetary Authority Singapore has agreed to share data and explore potential joint innovation projects with the Association of Supervisors of Banks of the Americas (ASBA).
The Memorandum of Understanding will see the two agencies discuss issues “of mutual interest” concerning fintech related services such as blockchain, big data, and innovative financial services trends.
It’s expected that the MOU will see the two regions work more closely together and provide a framework for increased cooperation.
“FinTech is fundamentally about ideas and enterprise flowing between cities. It requires bringing together a range of stakeholders. This MOU embodies MAS’ and ASBA’s resolve in accelerating the growth of FinTech in the respective regions, through increased collaboration and exchanges between our respective FinTech ecosystems.”
These were the words of Mr Sopnendu Mohanty, Chief FinTech Officer at MAS.
My Rudy Araujo, the Secretary General of ASBA, also commented: “FinTech’s will progressively change the region’s financial ecosystem. This change is expected to occur in an environment characterized by an ample competition, transparency, sound risk management, and client centredness.”
“By Uniting efforts with the MAS, we expect to support the development of a regulatory and supervisory framework that while supporting financial stability, nurtures innovation, and promotes market transparency and proper conduct.”
The Association of Supervisors of Banks of the Americas is an umbrella organisation of forty-one financial sector regulation and supervision agencies from thirty-six countries in the Americas as well as Spain. The Association promotes knowledge sharing and the introduction of sound regulatory practices in order to protect and support its members’ financial infrastructures.
Singapore is recognised as one of the world’s leading FinTech hubs, often seen as vying with London for the title of world no. 1.
Both Singapore’s MAS and the UK’s Financial Conduct Authority (FCA) have been busy putting partnerships in place with emerging FinTech hubs all over the world, from Australia to the Americas.
Christopher Woolard, the Executive Director of Strategy and Competition at the FCA, commented after announcing a tie-up with the Securities and Futures Commission (SFC) in Hong Kong, that will see the two destinations share information and refer detail of innovative early stage firms to one another.
““Co-operation agreements are absolutely vital in fostering an environment of Fintech innovation on a global scale. In the last few months alone we’ve signed agreements with colleagues in China, Japan, Canada and the Hong Kong Monetary Authority.”
The FCA have also signed an agreement with the Hong Kong Markets Authority.
Fintech is one of the fastest growing industries on the planet. Although investment into it by Venture Capital firms in Europe fell year on year in 2016, in South East Asia, it has continued to grow and new services are being launched all the time, thanks to innovative schemes such as Japan’s regulatory sandbox, and Bahrain’s cooperation with Singapore to provide fintech firms with better opportunities.
The good news is, London and Singapore have put their rivalries to one side and signed an agreement, too.
That’s great for the global growth of FinTech, which encompasses bleeding-edge technologies such as the blockchain, distributed ledger technologies, payments tech, lending, peer-to-peer services, money transfer and remittances, trading, settlement and clearing software, and personal finance including mobile wallets and real-time banking using application programming interfaces (APIs).