The Monetary Authority of Singapore (MAS) and India’s International Financial Services Centres Authority (IFSCA) has signed a co-operation agreement to facilitate regulatory collaboration and partnership in fintech.
Based in Gujarat, IFSCA is a unified authority for the development and regulation of financial products, financial services and financial institutions in the International Financial Services Centres in India.
The regulators said in a joint statement that MAS and IFSCA will leverage existing regulatory sandboxes in their respective jurisdictions to support experimentation of technology innovations.
This includes referral of companies to each other’s regulatory sandboxes and enable innovative cross-border experiments in both jurisdictions.
The agreement will also allow MAS and IFSCA to evaluate the suitability of use cases which could benefit from collaboration across multiple jurisdictions, and invite relevant jurisdictions to participate in a Global Regulatory Sandbox.
Additionally, MAS and IFSCA will share non-supervisory related information and developments on innovation in financial products and services, facilitate discussions on emerging fintech issues and participate in joint innovation projects.
Sopnendu Mohanty, Chief Fintech Officer of MAS said,
“This co-operation agreement builds on the Memorandum of Understanding on supervisory co-operation signed between MAS and IFSCA in July 2022.
The cross-border testing of use cases between Singapore and India will pave the way for operationalising a broader collaboration framework for fintech use cases involving multiple jurisdictions.”
Joseph Joshy, Chief Technology Officer of IFSCA said,
“This agreement is a watershed moment that ushers in a fintech bridge to serve as a launch pad for Indian fintechs to Singapore and landing pad for Singapore fintechs to India, leveraging the regulatory sandboxes.
The possibility of global collaboration on suitable use cases through a Global Regulatory Sandbox is an exciting opportunity for the fintech ecosystem.”