The Lendo team always had Singapore in its sights as a place where fintech businesses would thrive. It is trademarked in Singapore and this weekend we heard the news that the Bank for International Settlements (BIS) will set up an innovation centre in Singapore. The BIS is essentially the central bank for the world’s central banks.
Singapore’s Monetary Authority of Singapore (MAS) was extremely pleased at the announcement and said it reflected the country’s reputation as a lading fintech hub.
BIS is also setting up its Innovation Hub in Basel, Switzerland and Hong Kong, to identify and develop insights into critical trends in technology affecting central banking.
According to the BIS statement: “The hub will also develop public goods in the technology space, geared towards improving the functioning of the global financial system, and serve as a focal point for a network of central bank experts on innovation.
Mark Carney, chair of BIS’ economic consultative committee and Governor of the Bank of England, said of the move: “While the private sector is driving these innovations, their efforts will be more effective if the hard and soft infrastructure of the global financial system support this innovation, promote resilience and level the playing field on which to compete.”
Singapore Fintech Association president Chia Hock Lai said: “Central banks recognise that technology is playing an increasingly important part, including in the roles they play.”
More good news in Singapore for Lendo
And we received more good news from Singapore in recent days. Senior Minister Tharman Shanmugaratnam said Singapore would issue up to five new digital bank licences, paving the way for non-bank players to break into the local financial service scene. You can be sure that Lendo is paying close attention to this.
And, in relation to the digital bank licences, it is interesting to note the appetite for fintech in Singapore. Last week EY reported that the fintech adoption rate among Singapore consumers jumped from 23 per cent to 67 per cent in just the last two years, higher than the global average of 64 per cent.