The Monetary Authority of Singapore and the Association of Supervisors of Banks of the Americas have signed a memorandum of understanding to reinforce ties between Singapore IT firms that write financial software and their counterparts in the Americas.

The MOU contains non-legally-binding rules by which 'fintech' firms and their regulators in Singapore and ABSA member-states can co-operate. Both parties are looking forward to using the MOU as a springboard for joint innovation projects involving blockchain and 'Big Data.' The two regulators will also discuss issues of mutual interest, such as emerging fintech trends and other issues to do with innovation in financial services, although they do not say why they require an MOU to help them do that.

Mr Sopnendu Mohanty, the Chief FinTech Officer at the MAS, said: “FinTech is fundamentally about ideas and enterprise flowing between cities. It requires bringing together a range of stakeholders.”

In turn, Mr Rudy Araujo, the secretary general of ASBA, commented that “fintechs will progressively change the region’s financial ecosystem [and facilitate] competition, transparency, sound risk management, and client-centeredness.”