3:49 AM

Fintech Regulatory Sandboxes in the Region

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There is a lot of excitement in Fintech within the Asian region. The region is eager in experimenting on new financial technologies to solve some of the major problems in the economic system from unbank individuals, microfinancing and credits, to financial inclusion. However, fintech innovators are facing large hurdles and swimming upstream in the current traditional regulatory systems. Some countries within the region have decided to create a regulatory/advisory sandbox to give innovators the freedom to explore and find new blue oceans.

So far the following countries have officially publish regulatory sandboxes to promote fintech industries in their countries. The following countries are known to publish their sandboxes. Malaysia:Bank Negara Malaysia/National Bank of Malaysia (BNM)1, Singapore: Monetory Authority of Singapore (MAS) 2, Indonesia: Bank Indonesia 3 (recently set up an office for fintech), Taiwan: Drafting Fintech Sandbox Feb 2017 4, Hong Kong 5, Australia6, and Thailand 7.

This move is following the steps taken by the UK FCA8.

Interesting things to ponder

  • What would be interesting here is what are the similarities and differences in their sandboxes.
  • Are the differences influenced by economic, socio-economics, infrastructure and etc
  • What are the common themes
  • How effective will the sandboxes be?

Atleast between Malaysia and Singapore, Nizam Ismail9 wrote an insightful assessment between the two countries.

If you know of any new fintech sandboxes who recently publish their guidelines, do tell me about it. Would be excited to hear a tweet from you.

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