In January 2020 the anticipated Payments Services Act (‘PSA’) came into force in Singapore. According to the Monetary Authority of Singapore (‘MAS’) the act is:
“A forward looking and flexible framework for the regulation of payment systems and payment service providers in Singapore. It provides for regulatory certainty and consumer safeguards, while encouraging innovation and growth of payment services and FinTech.”
In this paper we look to understand:
the genesis of the PSA
what approach has been taken to licensing new payment methods
what are the differences to the approach taken in Europe, and
whether the implementation of the PSA in Singapore will succeed in promoting innovation