Singapore ranks third on EY’s Open Banking Opportunity index, partially driven by proactive efforts by the Monetary Authority of Singapore (MAS) to progress open banking since 2016. It ranks behind China, but ahead of Hong Kong.
«The regulator has taken an innovative and collaborative approach in the way it works with the industry and other markets in the region. This balanced approach helps Singapore banks to advance significantly in this space, and encourages an innovative environment for adoption to take root naturally through co-creation without a mandated system seen in other markets,» said Andrew Gilder, EY Asia-Pacific Banking and Capital Markets Sector Leader, in a recent report.
China and Hong Kong
Open banking is thriving in China, driven by an innovation-focused economy and the world’s most digitally connected consumers. The country’s voluntary approach to regulation and demand from its fast-expanding, digitally connected middle class, rank it number 2 in the Open Banking Opportunity Index.
Hong Kong has huge Open Banking adoption potential given its digitally-active population. However FinTech innovation in the market is lagging, keeping it at sixth place in the Index.
«However open APIs, combined with other recent initiatives announced by the Hong Kong Monetary Authority such as virtual banking licences and a faster payments system, may be the catalysts that transform the market,» EY said in its report.
This article can be found at finews.asia