The Monetary Authority of Singapore (MAS) and the State Government
of Maharashtra (GoM) in India have signed
a Memorandum of Understanding (MOU) to strengthen cooperation in promoting
FinTech innovation in the two markets. The MoU was signed at a ceremony at the
Magnetic Maharashtra event in India.
The agreement provides opportunities for FinTech start-ups
in Singapore to set-up and build business relationships with FinTech companies
at the Mumbai FinTech hub. (According to media reports, GoM plans to develop the capital city of the state and the financial hub of the country, Mumbai, as a global FinTech hub as part of the State Fintech Policy 2018.)
As part of the MOU, the Government of Maharashtra and MAS
will co-develop educational programmes on FinTech and explore potential joint
innovation projects on the application of key technologies such as digital and
mobile payments, blockchain, and big data.
The Government of Maharashtra will also facilitate the
creation of a marketplace for FinTech solutions developed in Singapore and at
the Centre of Excellence (COE) in Mumbai.
As under similar MOUs signed by the MAS, the Government of
Maharashtra and MAS have agreed to exchange information relating to FinTech
trends and discuss regulatory approaches to encourage innovation in the
“Such MoUs are strategic steps towards achieving the vision
of FinTech innovation in Maharashtra state – of making the state a leading
centre of innovation in FinTech ecosystem. MAS's cooperation is a great example
of friendship between our great nations and shall go a long way to build
further milestones." added Mr S V R Srinivas, Principal Secretary,
Information Technology, Government of Maharashtra.
“Singapore and India have been longstanding partners on many
fronts. This agreement paves the way for greater FinTech collaboration between
Singapore and Maharashtra. The creation of a Centre of Excellence and
marketplace for FinTech solutions in Maharashtra could create more
opportunities for Singapore-based FinTech firms.” said Mr Sopnendu Mohanty,
Chief Fintech Officer, Monetary Authority of Singapore.
In October 2016, MAS signed
a FinTech Cooperation Agreement with the State Government on Andhra Pradesh for
exploration of joint innovation projects on technologies such as digital
payments and blockchain, and collaborate on the development of education
programmes/curricula on FinTech, along with the
exchange of views on regulatory issues related to innovations.
MAS has signed agreements with financial regulators and
other entities in many jurisdictions over the past couple of years, including Abu
Dhabi, Australia, Denmark, Egypt,
Kong, India, Japan, Malaysia, Poland, South
Korea, Switzerland, Thailand and
Kingdom, the Association
of Supervisors of Banks of the Americas.
Some of the co-operation agreements also include joint
innovation projects. For instance, MAS and the Hong Kong Monetary Authority are jointly
developing the Global Trade Connectivity Network, a cross-border platform
for trade finance using distributed ledger technology. MAS and the Bank of
Thailand have agreed to work together to link
PayNow and PromptPay, their respective real-time, 24/7 payment systems for
making payments from one bank account to another.