Regulators in Hong Kong have been urged to keep pace with fintech development, as Singapore is seen to be racing ahead.
Recently, the Hong Kong Monetary Authority introduced a sandbox to help banks develop fintech services but Charles Mok, a lawmaker representing the information technology sector, said that the Insurance Authority needs to do more to help boost innovation.
“Singapore has comprehensive fintech development measures for banks, brokers, insurers, fund management companies and financial advisers,” Mok told The South China Morning Post.
We would urge the SFC and Insurance Authority to introduce their own sandbox.”
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Mok stressed that the current situation with one banking sandbox is “not good for Hong Kong” as fintech is already having an impact on the insurance industry overseas.
The Monetary Authority of Singapore (MAS
) introduced its sandbox at the end of 2016 and Singapore has become one of the global hubs for fintech and insurtech with firms from around the world flocking to Singapore.
The current Hong Kong sandbox is focused on bigger businesses, which sees many smaller start-ups head to Singapore to access extra benefits and foster growth.
“The Hong Kong Monetary Authority, Securities and Futures Commission and Office of the Commissioner of Insurance have established their respective dedicated fintech liaison platforms to enhance communications with the fintech industry,” a spokeswoman for the Office of the Commissioner of Insurance told the publication.
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