Digital Banking License in Singapore

Singapore has favorable conditions for launching new projects and innovative solutions in modern technologies sphere. The regulatory framework for financial institutions stimulates development of innovative products. Therefore, the number of registered fintech companies in the country is rapidly increasing.
Recently the Monetary Authority of Singapore (MAS) has approved first digital banking licenses. The digital banking license allows provision of the same banking services provided by regular banks, but without physical infrastructure.
Types of Singapore digital banking license:
- Digital full bank license (DFB)
- Digital wholesale bank license (DWB)
Requirements:
- work experience in e-commerce or technology sphere starting from three years;
- impeccable reputation and relevant experience of the key individuals;
- business plan and financial forecast for a five-year period;
- demonstrating that the company can comply with the minimum paid up capital at the initial stage;
- demonstrating that the company can meet minimum capital requirements on an ongoing basis.
Requirements for the authorized capital differ depending on the type of license:
- $ 15 million (with a gradual increase to S $ 1.5 billion) for the DFB;
- $ 100 million for DWB.
MAS considers each candidate, including growth perspective and opportunities for implementation of innovative technologies that would distinguish the applicant from a regular bank. Preference is given to the companies developing financial technology, advanced data analytics, artificial intelligence, and digital platforms that can facilitate provision or integration of financial services. Contribution to job creation and employee skills development is also taken into consideration.
As of today, four companies have received confirmation from MAS. It is expected that the digital banks will start operating in the beginning of 2022.
Mayon Solutions provides a wide range of services on supervision of your business establishment and maintenance. We have a considerable expertise in creating of a strong foundation for a successful and long-term business solution considering the particulars of client’s business model, based on a clear legal structure combined with strong financial planning.
We can arrange the whole process from A to Z, including, inter alia, incorporations, opening of bank accounts, tax planning, accounting and reporting, obtaining licenses for your business, if required.
We are developing new and the most up-to date solutions that our clients can use to maximize their business performance.
Shall you have any questions, please do not hesitate to contact us by e-mail: sales@mayon.solutions.