Singapore Inks FinTech with Indian State Government


The country's central bank, the Monetary Authority of Singapore, has entered an agreement with the government of the Indian state of Maharashtra to jointly research FinTech initiatives in areas such as blockchain technology.

Signed on Monday in India, the new cooperative pact sees a Memorandum of Understanding (MoU) between the two government entities to explore joint innovation projects which will see the application of financial technologies such as blockchain, mobile and digital payments and big data. The MoU's terms will also allow the exchange of information and data in FinTech-related trends as well as regulatory discussions to promote the growth of the sector.

Singapore is usually seen for a nation among the world FinTech hubs. The MAS is among the first banks to foray into researching and developing its cryptocurrency. Its continuing endeavor to set a tokenized form of the Singapore Dollar on a distributed ledger platform, dubbed 'Project Ubin', saw the central bank issue a digital Singaporean dollar within an Ethereum blockchain in mid-2017.

Today's agreement will foster engagements between FinTech startups in Singapore and Maharashtra, which sees Mumbai as its state funds. A FinTech-based program developed for programs in the Indian country are also being considered.

Mumbai will also host a Centre of Excellence (COE) and a marketplace for Singapore-based FinTech solutions, directly facilitated by Maharashtra's state government.

MAS FinTech chief Sopnendu Mohanty said:

With the new arrangement, Singapore's central bank has partnered its next Indian state government after previously establishing ties with Andhra Pradesh, a southern Indian state, in late 2016. Andhra Pradesh, known for its technology-forward stance, is also working on cross-border payments over a blockchain to Singapore with the latter's central bank. Andhra Pradesh also figures among several global governments partaking in the 150 member strong Enterprise Ethereum Alliance (EEA), the world's biggest blockchain consortium.