FAOM To Create Fintech Network With Global Counterparts

KUALA LUMPUR, Nov 18 (Bernama) -- The FinTech Association of Malaysia (FAOM) hopes to create a network with other financial technology (fintech) associations worldwide to better complement this disruptive technology in financial services. "We want to be the key enablers in the ecosystem and create a national platform that leads to fintech innovations and investments in the region. "Technology has enabled us to rethink how we perceive traditional financial institutions and its services. Banks and insurance companies are no longer the sole custodians of financing services. "Rather, fintech has opened up prospects to serve the market by offering tools to improve operational efficiency," FAOM President David Fong told a media conference here Friday. He said the development of the industry, which is referred to as the fourth industrial revolution, was also aligned with the recently announced Budget 2017. "The government is set to place a strong emphasis on developing the nation's digital economy. "This also coincides with the recent announcement by Bank Negara Malaysia (Malaysia's Central Bank) on the Regulator Sandbox Framework (RSF) and the Securities Commission's move to regulate Equity Crowd-Funding and Peer-to-Peer financing, both of which are key areas of fintech. On Oct 18, 2016, the central bank issued the Financial Technology RSF that sets out the requirements for participating in the regulatory sandbox. The sandbox allows regulatory flexibilities to be granted to financial institutions and fintech companies to experiment with fintech solutions in a live controlled environment. "Across the ASEAN region, this emerging industry is growing increasingly prevalent and is set to grow over the years," he said, adding the association currently has 54 registered members. -- BERNAMA