The Monetary Authority of Singapore (MAS) has published its Fintech “regulatory sandbox” guidelines. The intent is to encourage and enable experimentation of solutions that leverages technology innovatively to deliver improved financial products and services to both consumers and businesses. The Sandbox guidelines have incorporated feedback from the public consultation.
Ms Jacqueline Loh, Deputy Managing Director of MAS, commented on the publication of the Sandbox guidelines;
“Emerging financial products or services that utilise FinTech are becoming more sophisticated. The guidelines reflect MAS’ commitment to building a smart financial centre where innovation is pervasive and technology is used widely. The regulatory sandbox provides a conducive environment where regulatory requirements will be relaxed to enable firms to experiment with promising innovations within boundaries.”
The document, embedded below, aims to;
“grow a smart financial centre where innovation is pervasive and technology is used widely to enhance value, increase efficiency, manage risks better, create new opportunities and improve the lives of Singaporeans.”
Singapore has made Fintech innovation a strategic objective for its economy.
MAS said the guidelines will improve the clarity, flexibility and transparency of the regulatory sandbox in the following ways:
- Improved clarity – The guidelines includes examples and elaborations to illustrate MAS’ expectations on the sandbox such as the evaluation criteria for entry into the sandbox;
- Greater flexibility – The guidelines have been refined to allow greater flexibility, including through relaxation of a number of evaluation criteria for firms looking to enter a sandbox, and allowing room for adjustments during experimentation as firms learn from market responses;
- Increased transparency – MAS will work closely with sandbox applicants in the evaluation and experimentation process. Relevant information of approved sandbox applications will also be published on the MAS website.
Singapore is in the midst of a government sponsored Fintech festival that is taking place across the city all of this week.