UK and Singapore Agree to 'Deepen Cooperation' in Fintech

The United Kingdom and Singapore have agreed on a Memorandum of Understanding (MoU) on the UK-Singapore FinTech Bridge. The agreement was reached at the 7th UK-Singapore Financial Dialogue held in Singapore on Friday.

The FinTech Bridge is aimed at promoting a structured engagement between the Monetary Authority of Singapore (MAS) and the His Majesty's Treasury to aid the formulation of policy actions. The scheme builds on an agreement that both parties signed in 2016 to remove barriers to fintech trading by opening new regular talks between the regulators and businesses in both countries.

“Both countries strongly welcomed this deepened cooperation on FinTech and the opportunities the industry can deliver in relation to financial inclusion, enhanced innovation, and improved outcomes for consumers,” HM Treasury explained in a statement released on Friday.

Exciting news:

UK & Singapore have agreed 🤝 to establish an enhanced Fintech ‘bridge’

This will

✅ deepen connectivity between our two leading Fintech markets

✅ provide more opportunities for firms to grow

✅ accelerate innovation within the sectorhttps://t.co/DVGSOnQhag

— Andrew Griffith MP 🇬🇧 🇺🇦 (@griffitha) November 25, 2022

Furthermore, the statement noted that both countries renewed their commitment to the UK-Singapore Financial Partnership that was agreed upon in 2021. Additionally, they discussed their mutual interests in sustainable finance, implementation of the International Sustainability Standards Board (ISSB) disclosure standards, and efforts to combat greenwashing.

Moreover, they strongly agreed on the importance of backing the safe development of a digital assets ecosystem while ensuring that the risks posed by digital assets are consistently managed.

“The UK and Singapore are among the world’s leading jurisdictions for fintech investment – and today’s announcement will only accelerate growth and innovation in our respective sectors,” noted Andrew Griffith, the Economic Secretary to the Treasury.

“The MoU we’ve announced today is crucial – and I would like to thank the Monetary Authority of Singapore for their constructive engagement throughout discussions,” Griffith added.

Top Fintech Hubs

According to Innovate Finance’s 2022 Summer Investment Report, fintech firms across the world attracted a total capital of $59 billion during the first half of 2022. Compared to the same period last year, the figure returned flat, the report noted.

Furthermore, the report says Europe saw a 10% capital raise during the period with figures reaching $17.6 billion, pushed by the UK whose half-year fintech investments jumped 24% year-over-year (YoY) to $9.1 billion. If the UK is excluded, fintech investment in Europe will drop by -2% during the period, the report noted.

Furthermore, the report positions Singapore as the leading investment destination in South East Asia, even as the country ranks 6th globally.