Financial technology (fintech) firms in Singapore and Japan can look forward to an easier set-up process in either country, thanks to a new framework.

The Monetary Authority of Singapore (MAS) and the Financial Services Agency of Japan have set up a cooperation framework to boost fintech links between the two nations, a joint statement said yesterday.

The plan lets the two agencies refer fintech companies in Singapore and Japan to each other's markets.

They can also initiate discussions with the regulatory bodies, and get advice on regulatory matters such as required licences.

MAS said this effort will help reduce regulatory uncertainty and barriers to market. It said "the framework also sets out how the regulators plan to share and use information on financial services innovation in their respective markets".

MAS chief fintech officer Sopnendu Mohanty said technology and innovation remain key enablers of financial-sector growth in Singapore and Japan, and the framework is good for the fintech ecosystems of both countries.

Financial Services Agency of Japan vice-commissioner Shunsuke Shirakawa said the agency's relationship with MAS, "which is actively promoting fintech based on its smart financial centre vision", promotes innovation in both countries.

Rachael Boon