Singapore Establishes New Entity for National Payment Schemes

SINGAPORE (Reuters) – Singapore’s financial regulator and the Association of Banks in Singapore (ABS) announced the creation of a new entity to improve the administration and governance of national payment schemes.

The Monetary Authority of Singapore (MAS) and ABS released a joint statement indicating that this entity will work alongside MAS to develop Singapore’s national payments strategy and enhance the payments infrastructure’s safety, efficiency, and innovation.

Chia Der Jiun, the managing director of MAS, stated, “Consolidating the administrative and governance responsibilities of all national payment schemes under a single entity will strengthen governance and foster greater resilience and innovation in payments.”

MAS serves as Singapore’s central bank and integrated financial regulator. Currently, national payment schemes, such as the Interbank GIRO System and PayNow, are managed by several entities including the Singapore Clearing House Association, ABS, MAS, and the Infocomm Media Development Authority.

These schemes are crucial for domestic and cross-border payment processes, widely used by both consumers and businesses.

The newly established entity will be overseen by senior leaders from both the central bank and financial services sector. Importantly, there will be no changes to the existing operations or rules of the national payment schemes. Further details regarding the entity’s name, governance structure, and board composition will be announced later this year.