Singapore, 2 June 2018. The Department of Economic Affairs (DEA), Government of India, and the Monetary Authority of Singapore (MAS) yesterday signed a Memorandum of Understanding (MoU) to strengthen cooperation in financial innovation between Singapore and India, through the establishment of a Joint Working Group (JWG). The JWG will be co-chaired by MAS Deputy Managing Director Jacqueline Loh and India Department of Financial Services (DFS) Additional Secretary Ravi Mital.
- Singapore and India have already achieved good progress in FinTech co-operation.
- NETS1 and National Payments Corporation of India (NPCI)2 have entered a partnership to establish a cross-border payment linkage between Singapore’s PayNow and India’s Immediate Payment Service (IMPS). The cross-border linkage will facilitate real-time fund transfer between bank accounts in India and Singapore to support trade, tourism and remittance.
- NETS and NPCI are working on a payment linkage that will allow anyone holding a NETS payment card to be able to make payments at any RuPay3 merchant in India, and conversely for Rupay card users to make NETS acceptance points in Singapore.
- NETS and NPCI are exploring the use of the Bharat Interface for Money (BHIM)4 app to pay at NETS merchants.
- The JWG will include representatives from the DEA, Ministry of Electronics and Information Technology, Union Identification Authority of India, Reserve Bank of India, Stock Exchange Board of India, Insurance Regulatory Development Authority of India, and the Ministry of External Affairs of India. Representatives from Singapore’s agencies will include the Smart Nation and Digital Government Office, Government Technology Agency, Enterprise Singapore and Ministry of Foreign Affairs.
- H.E. Mr Jawed Ashraf, High Commissioner of the Republic of India to Singapore, said, “A digital revolution, anchored on the biometric identity of a billion plus people, is sweeping through India. It has prompted financial inclusion, digital payments and innovation on an extraordinary scale. Singapore, a global financial hub, has emerged as a leading centre for FinTech. Our partnership will not only support our two nations’ progress in FinTech, but also help drive our international competitiveness and success in this area. The JWG on FinTech demonstrates our willingness to seize new opportunities for collaboration.
- Ms Jacqueline Loh, Deputy Managing Director, MAS, said, “Singapore and India have embarked on a digitalisation journey to harness technology and boost innovation. Both countries have a growing and vibrant FinTech ecosystem. The Joint Working Group is a testament of our continued collaboration with India, to learn from each other, undertake joint innovation projects, and progress together.”
- The MOU signing took place during the Official Visit of Prime Minister Narendra Modi of the Republic of India to Singapore from 31 May to 2 June 2018, and was witnessed by both Prime Minister Modi and Prime Minister Lee Hsien Loong of the Republic of Singapore.
1 NETS is Singapore’s key domestic payment system operator.
2 NPCI is an umbrella organisation for all retail payments in India.
3 RuPay is an Indian domestic card scheme that facilitates e-payments.
4 BHIM is an Indian national mobile payments app that enables simple, easy and quick transactions.