Tuesday, 23 October 2018 | 18:42 WIB

OJK, MAS Agree on Fintech Development Cooperation

OJK, MAS Agree on Fintech Development Cooperation (hetanews)

JAKARTA NNC - The Indonesia Financial Services Authority (FSA) and the Monetary Authority of Singapore (MAS) have agreed to increase the cooperation in fintech and financial service innovation.

The signing of a memorandum of understanding (MoU) between OJK and MAS was conducted by Wimboh Santoso, Chairperson of the OJK Board of Commissioners, and Ravi Menon, Managing Director of MAS. The signing was witnessed by Indonesia President Joko Widodo and Singapore Prime Minister Lee Hsien Loong at a bilateral meeting between the Indonesian and Singaporean Governments in Bali on Thursday.

This collaboration is follow-up to previous meetings by the two authorities discussing efforts to improve innovation in financial services in their respective countries. Both authorities have also formed a special work unit that handles the function of financial service innovation, so that it is expected that with this collaboration, efforts to strengthen financial service innovations in each country could run better.

In addition, the MoU is a formalization of the agreement in implementing coordination and cooperation between the two institutions with a focus on coordinating fintech development which includes referral mechanisms for fintech institutions between the two countries, potential joint innovation projects, fintech industry collaboration between the two countries and exchange of information related to market trends and developments fintech, issues regarding regulations and the development of regulatory sandbox.

The agreed cooperation, among others, include the two authorities that will create a framework to help fintech companies from both countries to better understand the rules and opportunities in each jurisdiction. This can reduce the barriers of entry for fintech companies that want to engage one of the country's markets.