The Council of Financial Regulators (CoFR) is aware of the ever-evolving landscape surrounding the deployment of technologies. While the underlying technology, it is important to acknowledge that questions persist regarding how some of these use cases can truly benefit the broader economy and society.
In the realm of crypto assets and cryptocurrencies alone, there remains a degree of uncertainty regarding how consumers and financial markets will ultimately derive tangible advantages from the current applications and their potential implications.
Nevertheless, CoFR encourages the ongoing exploration of these technologies’ potential to usher in greater competition and foster increased innovation within the realm of financial services. They recognise that these innovations hold the promise of significantly impacting the financial sector and, by extension, the broader economy. A prime example of this potential lies in the capacity to facilitate secure transactions without necessitating the involvement of conventional trusted financial intermediaries.
The deployment of blockchain and related technologies has the potential to revolutionise traditional financial systems, introducing efficiencies, security, and accessibility that were previously unimaginable. However, it is also acknowledged that the path forward is not without its complexities and challenges.
CoFR is committed to closely monitoring these developments, engaging with stakeholders, and actively participating in shaping the regulatory frameworks that will govern the responsible adoption and integration of these transformative technologies. In doing so, CoFR seeks to strike a balance between fostering innovation and ensuring the integrity and stability of financial markets for the benefit of all stakeholders.
While the emergence of cryptoassets undeniably brings forth a myriad of opportunities, it is equally evident that this phenomenon introduces a set of additional complexities and risks . Within this evolving landscape, CoFR holds concerns about the potential harm that may befall individual consumers and investors, as well as the broader systemic risks that these digital assets might engender. These risks encompass a wide spectrum, ranging from the realms of monetary stewardship and financial stability to issues related to consumer protection, competition, money laundering, terrorism financing, and other policy considerations, including tax evasion and the perpetration of cybercrime.
Moreover, it is essential to underscore that the current state of the crypto assets marketplace remains characterised by an inherent degree of speculation and extreme volatility. Unlike regulated financial products, crypto-assets do not adhere to the same set of consumer protection measures, which are pivotal in safeguarding the interests of investors.
Consequently, unless a crypto asset is incorporated as part of a regulated product, direct exposure to these assets provides limited legal recourse for investors in the event of significant financial risks. Investors are exposed to the looming spectres of hacking, scams, or fraudulent activities, which can have dire consequences for their financial well-being.
It is crucial to note that within this intricate ecosystem, only select segments, such as New Zealand-based trading platforms, are subject to limited regulatory oversight. As a result, CoFR reiterates the guidance provided by the Financial Markets Authority (FMA), which advises New Zealanders to exercise utmost caution and only invest funds that they can afford to lose in the realm of crypto assets.
Furthermore, CoFR emphasises the importance of utilising New Zealand-based trading platforms, which offer a certain degree of regulatory protection and adhere to local guidelines. In navigating this dynamic landscape, the safety and financial well-being of investors remain paramount concerns, and prudent decision-making is imperative.
“We emphasise the high-risk nature of ‘cryptocurrencies,’ including stablecoins. These digital assets lack backing from tangible assets and aren’t regulated for prudential or consumer protection. This exposes users to potential value loss due to issuer misconduct, loss of confidence, high price volatility, and potential impact on monetary sovereignty,” the Council emphasised.
Now, CoFR is actively monitoring global regulatory developments related to these assets, in alignment with the concerns raised in New Zealand.
CoFR member agencies are engaged in ongoing efforts to closely track advancements in crypto assets and their underlying technologies. For instance, the Ministry of Business, Innovation & Employment is exploring broader applications of blockchain technology as part of its initiatives focused on the future of business.
Simultaneously, the Reserve Bank is assessing the implications of crypto assets on New Zealand’s monetary and payment systems, ensuring a fair and flexible environment that fosters responsible and beneficial innovations.
The 16th Ministerial Meeting of the Global Governance Group (3G) convened on the sidelines of the recently concluded 78th session of the United Nations General Assembly, which brought together the Troika of the Group of Twenty (G20), representing Indonesia, India, and Brazil, to discuss collaborative approaches to addressing pressing global issues.
As India, in its capacity as the 2023 G20 Presidency, shared the outcomes of the G20 Summit held in New Delhi, there was recognition and applause for the successful Summit, which included the adoption of a consensus Leaders’ Declaration. This achievement underscores the importance of international cooperation and dialogue in tackling complex global challenges.
Singapore’s Prime Minister Lee Hsien Loong emphasised the significance of sustaining a rules-based multilateral trading system, embodied by the World Trade Organisation (WTO). He stressed the need for WTO rules to evolve with digital transformation to remain relevant in the modern economy. Additionally, he urged G20 participants to support negotiations on WTO reform, particularly the restoration of a fully-functioning dispute settlement system.
Digital transformation is at the forefront of these discussions, with a recognition that technological advancements require corresponding updates in international trade regulations. As nations leverage digital transformation to foster economic growth, the need for inclusive and equitable trade policies becomes imperative.
Likewise, the commitment of the G20 to sustainable development, low-carbon emissions, and climate resilience aligns with the global community’s efforts to combat climate change. The 3G’s support for these commitments underscores the importance of addressing environmental crises, especially those that disproportionately affect developing countries.
The 3G Ministers highlighted the strain on the rules-based multilateral system amid geopolitical tensions and rising protectionism. They reiterated the importance of upholding international law and human rights principles as embodied in the United Nations Charter. This commitment ensures that the multilateral system remains open, inclusive, and adheres to established rules.
The collaborative approach of the G20, including engaging non-G20 members like the 3G, reflects the importance of broader dialogue and perspectives when addressing global challenges. This approach enhances inclusiveness, coherence, and complementarity in setting global standards and mobilising collective action on shared challenges.
The collaboration also promotes innovative approaches to growing global concerns, ensuring that international governance stays relevant in a continuously changing world. It advances fair trade practices and reduces economic inequality, which benefits a country’s overall economic health.
Further, this partnership enhances international cooperation and diplomacy. It emphasises the value of diplomatic solutions to international problems and strengthens the notion that cooperation and diplomatic communication are essential for resolving difficult global issues.
Singapore believes that in an era of digital transformation and interconnectedness, the collaboration between the 3G and the G20 offers a promising path towards addressing the multifaceted challenges facing the international community.
By leveraging digital transformation, fostering inclusive trade policies, and upholding the principles of international law, these groups are contributing to a more resilient and equitable global governance framework.
As the world grapples with evolving global challenges, the commitment to inclusive and accountable global governance remains essential. The partnership between the 3G and the G20 exemplifies the spirit of international cooperation, where nations work together to navigate the complexities of the interconnected world, ensuring that no one is left behind in the pursuit of a better future for all.
A group of talented young engineers and researchers from the Asia Pacific University of Technology & Innovation (APU) has achieved international recognition for their groundbreaking innovation, RescueAI: Smart City Disaster Management System with AI and Aerial Robotics. They won a Gold Medal at the 12th World Invention Creativity Olympic (WICO) 2023.
The Turkish Inventors Association (TÜMMİAD) bestowed the Gold Medal Award upon RescueAI, further affirmed by recognition from the Toronto International Society of Innovation & Advanced Skills (TISIAS). WICO 2023, held in Seoul, South Korea, was organised by the Korea University Invention Association (KUIA) and sponsored by the National Assembly of the Republic of Korea.
RescueAI is the culmination of efforts by a team of experts and students from APU’s School of Engineering (SoE) and the Center for Research and Development of IoT (CREDIT). This project was led by Dipl-Ing. Ir. Narendran Ramasenderan, Mr. Krishna Ravinchandra, Ng Joo Kiat, Cajun Tai Ka Joon, Ang Jia Ze, and Cheng Yi Heng. Their prototype stands as a beacon of progress in the realm of disaster management.
The system’s core capabilities lie in its use of artificial intelligence (AI) and aerial robotics to gather real-time environmental data, encompassing critical factors like weather conditions, structural damage, and the precise location of individuals and assets. This data forms the foundation for the creation of a digital twin of the disaster-stricken area, enabling the simulation of diverse scenarios and the formulation of optimal response strategies.
The team is engaged in the commercialisation of RescueAI, and their aim is to make the system accessible to governments and enterprises worldwide, underscoring the global impact of their innovation.
While RescueAI is at the forefront of its achievements, APU is also making its mark in other arenas. Ng Joo Kiat, Chang Kah Boon, and Cheng Yi Heng, representing APU’s Team Delta, participated in the DB-SNUbiz Global Startup Challenge 2023. This competition featured RescueAI as a project addressing the challenges posed by climate change-induced extreme weather events such as heatwaves and floods.
In a significant departure from conventional 2D dashboards, Team Delta conceptualised a 3D Digital Twin model, offering a more intuitive representation of flood and fire disasters. This innovative model facilitates precise flood simulations, anticipating the spread and impact of floods on various locations with accuracy.
Drones equipped with sensors and pre-trained YOLOv8 models play a pivotal role in recording real-time data, which continuously updates the Digital Twin model to ensure data accuracy. Furthermore, the team is in the process of developing a mobile app designed for reporting flood and fire incidents. This app boasts AI detection and alarm functions, streamlining the reporting process and expediting emergency responses.
The achievements of the Asia Pacific University of Technology & Innovation (APU) team with RescueAI closely align with the Malaysian government’s larger goals. Malaysia aims to enhance disaster resilience and management, and the innovative Disaster Management System exemplifies this commitment.
Furthermore, by garnering global recognition and showcasing Malaysia’s technological prowess, RescueAI contributes to the government’s agenda of promoting innovation and technology as drivers of economic growth. The project’s success underscores Malaysia’s capacity for innovation, augments economic opportunities in AI and robotics, and positions the nation as a player on the global innovation stage, aligning with the government’s overarching development objectives.
OpenGov Asia reported earlier that a robotics company that provides intelligent unmanned delivery solutions for global enterprises recently forged a strategic partnership with the Asia Pacific University of Technology & Innovation (APU). This collaboration is poised to be a significant driver of academic, technological, and industry-sharing initiatives, with the ultimate aim of reshaping the field of robotics and automation.
The partnership was formally solidified through the robotics company’s Malaysian representative and distributor. The representative holds the exclusive distribution rights for service robots in Malaysia, and it also supplies a range of health and wellness products locally and internationally. The Memorandum of Understanding (MoU) was signed at APU’s state-of-the-art campus situated in the vibrant city of Kuala Lumpur.
Recently, the Digital Government Development Agency (DGA) and the Thailand Digital Government Academy (TDGA) have joined forces to provide training to raise awareness about cybersecurity. This collaborative effort is designed to enhance participants’ knowledge and comprehension of the fundamental principles and the significance of cybersecurity laws, regulations, and announcements. Moreover, the training seeks to promote awareness of information systems’ safe and secure use.
Panithan Khennanuay, Director of the Cyber Security Department, emphasised the increasing prevalence of cyberattacks in today’s digital landscape, affecting many sectors. As organisations transition into the digital realm, they become more susceptible to cyber threats. These threats can range from data breaches and hacking attempts to ransomware attacks and other malicious activities that can compromise sensitive information and disrupt essential services.
Recognising the evolving nature of these cybersecurity challenges, the collaboration between the DGA and TDGA underscored the importance of equipping individuals and organisations with the knowledge and skills to safeguard their digital assets. The training initiative aims to empower participants to proactively identify and mitigate potential cyber risks, thereby enhancing the overall cybersecurity posture of both the public and private sectors.
Panithan Khennanuay further emphasised that as digital transformation continues to reshape the governance, commerce, and communication landscape, it is imperative to prioritise cybersecurity as an integral component of this evolution. By fostering a cybersecurity-conscious culture and ensuring that individuals and organisations stay well-informed and vigilant, Thailand can better protect its digital infrastructure and sensitive data. “Ultimately, it will contribute to the country’s resilience in the face of cyber threats and bolster its position as a leader in the digital age,” he expressed.
Additionally, Khomkrit Khamsawat, Head of the Service Operations Team, added that the workforce and citizens are crucial to any cybersecurity strategy’s success. As the Head of the Service Operations Team, Khomkrit Khamsawat recognises that a well-informed and cyber-aware workforce is the first line of defence against cyber threats. Employees and citizens alike play pivotal roles in maintaining the security of digital systems and data.
In the ever-evolving landscape of cyber threats, individuals within organisations and the broader public must be educated and trained to recognise and respond effectively to potential security risks. It includes understanding the latest cyber threats, practising good cybersecurity hygiene, and adhering to best practices for secure digital behaviour.
Moreover, citizens and employees should be aware of cybersecurity laws, regulations, and guidelines. Compliance with these measures is essential for protecting critical infrastructure and sensitive information.
The collaboration between the DGA and TDGA not only aimed to equip individuals with the technical knowledge needed to defend against cyber threats but also strives to cultivate a cybersecurity mindset. This cultural shift toward cybersecurity awareness can help foster a safer digital environment for all.
Thailand is taking proactive steps to fortify its defences against cyberattacks by focusing on workforce and citizen education. These efforts will ultimately contribute to the country’s ability to harness the full potential of digital technologies while safeguarding its digital assets and interests.
“Cybersecurity is not just a technical issue but a shared responsibility. It requires collaboration across sectors, proactive measures to stay ahead of emerging threats, and a commitment to ongoing education and awareness,” Mr Khomkrit emphasised. “We are optimistic that with the concerted efforts of organisations, government agencies, and individuals, Thailand can build a robust cybersecurity ecosystem. This ecosystem will not only protect critical infrastructure but also promote innovation, trust, and economic growth in the digital age.”
In a proactive move to bolster digital resilience, Taiwan’s Ministry of Digital Affairs (moda) recently conducted its first-ever “disaster roaming” drill in collaboration with the nation’s three major telecommunications providers.
This exercise, held as part of the “2023 National Disaster Prevention Day Large-Scale Earthquake Disaster Response Mobilisation Exercise,” showcased the critical role of cross-network roaming in ensuring citizens’ access to basic and secure communication during emergencies.
The concept of “disaster roaming” differs from commercial roaming mechanisms. It is a government-driven initiative designed to ensure uninterrupted communication services for the public during significant disasters or emergencies.
In essence, it allows individuals to connect to operational mobile communication networks of other providers, irrespective of their original contracts. This initiative addresses a fundamental need: maintaining communication rights when they matter most.
The recent disaster roaming exercise took place in the Hsinchu County Sports Complex area, strategically chosen due to its high population density. Notably, the exercise was conducted without disrupting nearby base stations, using a “manual network selection” method to facilitate cross-network roaming.
Participants engaged in practical scenarios, from connecting with loved ones to accessing real-time news updates and evacuation information.
One of the key takeaways from this exercise is the importance of cooperation between moda and telecommunications providers. By developing Standard Operating Procedures (SOPs) and studying international cross-network roaming frameworks, Taiwan aims to further enhance the disaster roaming mechanism.
This forward-looking approach will ensure that the nation’s communication networks remain resilient and robust, even in the face of major disasters.
The significance of disaster roaming extends beyond mere convenience; it’s about safeguarding citizens’ well-being and ensuring they have access to crucial information during emergencies. This initiative is particularly relevant nowadays as societies become increasingly reliant on digital communication networks for information dissemination, emergency alerts, and coordination during crises.
During her visit to moda, President Tsai Ing-wen underscored the importance of such initiatives in enhancing Taiwan’s overall resilience. In an era where digital connectivity is integral to daily life and critical infrastructure, the ability to maintain communication rights during disasters is paramount.
The disaster roaming programme’s continuation from 2024 to 2025 demonstrates Taiwan’s commitment to preparedness and resilience. By studying global best practices and working closely with domestic telecommunications providers, the country aims to establish a robust disaster response framework. This proactive stance will serve as a model for other nations seeking to enhance their digital resilience.
Reports cited that Taiwan’s disaster roaming initiative stands as a beacon of innovation and preparedness. It reaffirms the government’s commitment to safeguarding its citizens’ communication rights and ensuring that vital information flows even when the unexpected occurs.
Many industries and organisations are subject to regulatory requirements regarding data protection and cybersecurity. Digital resilience helps meet these requirements and avoids legal and financial repercussions.
Also, it ensures that critical government systems and communication networks remain operational during emergencies and can withstand cyber threats from adversaries.
As digital technologies continue to evolve, so too must disaster preparedness strategies. Taiwan’s dedication to enhancing digital resilience through initiatives like disaster roaming demonstrates that the nation is not only adapting to the digital age but also leading the way in ensuring that no one is left disconnected when it matters most.
It is a testament to the nation’s unwavering commitment to the well-being and safety of its citizens, setting a commendable example for the world to follow.
The Queensland Earth Observation Hub (QLD EO Hub) convened a workshop in Brisbane that served as a significant step in harnessing the potential of Earth Observation (EO) technologies, data, and workflows for the benefit of Australia.
The initial findings from a comprehensive market engagement study were presented. This study spanned a diverse range of EO and industry sectors and aimed to illuminate both the challenges and opportunities that Queensland, and by extension, the broader Australian landscape, faces in embracing EO technologies not only in the present but also in the foreseeable future.
This market study embarked on an extensive consultation process, engaging with stakeholders across urban and rural Queensland. It encompassed the entire spectrum of the EO ecosystem, from data and service providers to end-users, as well as those contemplating the utilisation of EO in the years ahead.
The core objective was to gain profound insights into the current capabilities, hurdles, and potential avenues for growth within Queensland’s EO community. Additionally, it sought to cultivate a vision of what the future could hold in terms of EO technology deployment.
The preliminary findings of this study were shared with workshop participants, fostering constructive discussions, and eliciting valuable feedback. Notably, these findings unveiled several significant opportunities that Australia can capitalize on over the next 2-5 years:
- Collaboration and Alignment: A key opportunity identified is the enhancement of collaboration and alignment among research institutions, industries, and government entities. This entails improving communication to raise awareness of shared needs and capabilities while also facilitating the transfer of skills and knowledge between these sectors. Such collaboration can foster innovation and synergy.
- Commercialisation of Research: The commercialisation of research emerged as another promising avenue. By facilitating partnerships between research organisations and industries, pathways for the practical application of research outcomes can be forged. This approach can bridge the gap between academic research and real-world industry needs.
- Building Capacity for Global Markets: Queensland can further promote its capabilities in EO technologies and services, connecting local industries to national and international markets. This entails not only showcasing Queensland’s strengths but also attracting investments that can fuel the growth of this sector, contributing to the nation’s economic prosperity.
- Workforce Development: Facilitating access to new and in-demand skills and knowledge transfer is vital for nurturing a skilled workforce in the EO sector. Promoting careers in Earth Observation can bolster the human capital needed to support the sector’s growth and innovation.
The insights garnered from this study and the associated workshop will serve as the foundation for crafting a strategic roadmap. This roadmap will guide the Queensland EO Hub in its role of unlocking the future potential of the downstream EO sector, not just for Queensland but for Australia as a whole. Anticipated in the coming months is the release of the full report by SmartSat, which will provide a comprehensive overview of the study’s findings and recommendations.
In a parallel effort to advance the field of Earth Observation, a symposium titled “Advances in Earth Observation: Hyperspectral Data Analysis” was recently hosted by the University of the Sunshine Coast with support from the QLD EO Hub and SmartSat. The symposium aimed to showcase the strides made in remote sensing technology through lectures, hands-on demonstrations, and training sessions. This educational event empowered participants with the skills and knowledge needed to effectively work with spatial data using remote sensing tools, with applications spanning various domains.
The Chief Executive Officer of SmartSat delved into SmartSat’s activities in the realm of water quality, shedding light on initiatives like the AquaWatch mission. Additionally, he provided insights into the upcoming Kanyini mission, which promises to leverage Hyperspectral Imager technology coupled with Artificial Intelligence and Internet of Things connectivity. These cutting-edge advancements have the potential to revolutionise how we monitor and manage water quality, offering significant benefits to both Queensland and Australia as a whole.
Attendees had the opportunity to gain hands-on experience with tools such as R and ENVI for hyperspectral image analysis, equipping them with practical skills that can be applied to real-world challenges. This knowledge dissemination is vital for bolstering Australia’s technological capabilities in the EO domain.
A comprehensive overview of SmartSat CRC’s Maya Nula program was also presented. This program aims to develop continent-wide crop and yield monitoring capabilities, a critical aspect of agricultural management. By harnessing EO technologies and data, this initiative holds the potential to revolutionize agriculture in Australia, enhancing productivity and sustainability.
Special acknowledgements were extended to Associate Professor Sanjeev Srivastava from the University of South Australia and Dr. Prashant Kumar Srivastava from Banaras Hindu University, India, for their valuable contributions and leadership during the event. Dr. Srivastava’s attendance was supported through the SmartSat Visiting Fellowship scheme, exemplifying the commitment to international collaboration and knowledge exchange.
OpenGov Asia earlier reported that SmartSat, in conjunction with the ACT Government, unveiled a suite of research and development (R&D) projects, signalling a profound commitment to advancing space technology and capabilities in the Australian Capital Territory (ACT).
This collaboration has seen their joint investment in the ACT’s space endeavours soar past a significant milestone, reaching over AU$7 million. The announcement coincides with the launch of the ACT Space Update 2023, highlighting the organisation’s dedication to contributing to the region’s growing reputation as a hub for cutting-edge space research.
The National Security Agency (NSA) and its federal agency partners have released new guidance concerning a cybersecurity risk posed by deepfakes, a type of synthetic media. This emerging threat poses cybersecurity challenges for National Security Systems (NSS), the Department of Defence (DoD), and organisations within the Defence Industrial Base (DIB).
They have jointly published a Cybersecurity Information Sheet (CSI) titled “Contextualising Deepfake Threats to Organisations” to assist entities in recognising, safeguarding against, and responding to deepfake threats. NSA developed the CSI with the Federal Bureau of Investigation (FBI) and the Cybersecurity and Infrastructure Security Agency (CISA).
The term “deepfake” encompasses multimedia content that has been either artificially created or manipulated through machine learning and deep learning technologies, which are forms of artificial intelligence (AI). Other phrases used to describe such synthetically generated or altered media include “Shallow/Cheap Fakes,” “Generative AI,” and “Computer Generated Imagery (CGI).”
Candice Rockell Gerstner, an NSA Applied Research Mathematician with expertise in Multimedia Forensics, emphasised that while the tools and methods for altering authentic multimedia have been in existence for some time, the noteworthy shift lies in the ease and widespread adoption of these techniques by cyber actors. This evolving landscape introduces a fresh set of challenges to national security.
Gerstner pointed out that organisations, as well as their employees, must adapt to this changing environment. They need to identify the tradecraft and techniques associated with deepfakes. Moreover, it is essential to establish comprehensive plans to respond to potential deepfake attacks and mitigate their impact effectively. As cyber adversaries increasingly leverage these technologies, recognising and countering deepfake threats becomes paramount to ensuring national security and safeguarding sensitive information.
The joint Cybersecurity Information Sheet (CSI) provides valuable recommendations for organisations to address the challenges posed by synthetic media threats, particularly deepfakes. The CSI suggests implementing various technologies and strategies to counter this emerging threat.
One key recommendation is adopting real-time verification capabilities, which enable organisations to identify and respond to potential instances of deepfake content swiftly. Passive detection techniques are also emphasised for ongoing monitoring and early detection. Furthermore, the CSI highlighted the importance of safeguarding high-priority officers and their communications, as they are often the targets of deepfake attempts.
In addition to detection, the guidance underscores the significance of minimising the impact of deepfake attacks. This involves information sharing within and across organisations to stay ahead of evolving threats. It also advocates for comprehensive planning and rehearsing of responses to potential exploitation attempts, ensuring that organisations are well-prepared to mitigate the consequences of deepfake incidents. Personnel training is another crucial component, equipping individuals with the skills and knowledge to recognise and respond effectively to synthetic media threats.
The CSI underscores the diverse nature of synthetic media threats, encompassing techniques that jeopardise an organisation’s brand, impersonate its leaders and financial officers, and employ fraudulent communications to gain unauthorised access to networks and sensitive information. These threats highlighted the need for a holistic approach to cybersecurity.
Advancements in computational power and deep learning have facilitated the mass production of fake media, making it more accessible and cost-effective. This not only undermines brands and financial stability but also has the potential to incite public unrest by disseminating false information on critical issues such as politics, society, the military, and the economy.
The CSI draws attention to the concerning availability of deep learning-based algorithms on open-source repositories. These accessible resources pose a security risk, as their application requires minimal technical skill and can be executed using little more than a personal laptop. Consequently, the widespread availability of such tools amplifies the urgency of addressing synthetic media threats.
In light of these evolving challenges, the NSA, FBI, and CISA strongly encourage security professionals to adopt the strategies outlined in the report. By proactively implementing these recommendations, organisations can enhance their resilience to the growing threats posed by synthetic media and deepfakes. This collaborative effort among government agencies and security experts is vital to ensuring the integrity of digital information and safeguarding national security.
China Construction Bank (CCB) was recently commended by Deputy Prime Minister Heng Swee Keat for reaching an important milestone in Singapore, which is evidence of the long-lasting collaboration that has developed between the two countries over the past 25 years.
The CCB is one of China’s four largest state-owned banks and is actively expanding its business abroad, with branch offices in Hong Kong, Macau, and Singapore, among other places.
In 1998, when CCB made the bold decision to establish a presence in Singapore, the Asian economies were emerging from the depths of the Asian Financial Crisis. CCB’s move to set up shop in Singapore was a bold show of faith in the future of Asia and a belief that the region was poised for a resilient comeback.
Over the years, CCB has deepened its roots in Singapore, forming vital partnerships and emerging as one of CCB’s largest overseas nodes. DPM Heng Swee Keat, who once led the Monetary Authority of Singapore (MAS), recalls productive meetings with CCB’s leadership regarding their expansion plans in the region.
This partnership led to significant milestones, including MAS upgrading CCB’s Singapore branch to a wholesale bank in 2010 and subsequently to a Qualifying Full Bank (QFB) in 2020.
The timing of this expansion is crucial, as it enables CCB to support Chinese companies looking to explore new opportunities while also contributing to the internationalisation of the renminbi.
Simultaneously, it provides invaluable support to Singaporean companies with aspirations in the Chinese market. Singapore’s status as an international financial centre ensures a plethora of growth opportunities for both CCB and Singapore.
Financial cooperation has been a cornerstone of the enduring relationship between Singapore and China. Recent upgrades in their partnership have expanded the scope of activities, going beyond traditional corporate and commercial lending to include green financing solutions, offshore debt raising, and even FinTech and innovation research in Singapore.
Regulators from both nations have joined hands to explore emerging areas like sustainable and digital finance, aiming to strengthen cross-border collaboration and deepen capital market connectivity within the region.
This is due to the rise of digital technology which has transformed the financial landscape, leading to the emergence of digital finance. This encompasses a wide range of innovations, including mobile banking, digital payments, blockchain technology, and digital currencies.
By exploring digital finance, Singapore and China are not only embracing financial technology (FinTech) but also revolutionising the way financial services are accessed and delivered. This shift has the potential to enhance financial inclusion, streamline transactions, and increase the efficiency of capital markets. Also, it opens doors to cross-border collaboration in developing and adopting cutting-edge FinTech solutions.
By strengthening capital market connectivity, these nations are not only boosting their own financial sectors but also attracting foreign investments, promoting regional economic stability, and potentially positioning themselves as hubs for sustainable and digital finance in Asia.
Innovations in digital finance and technology have revolutionised access to banking services and improved efficiency. CCB’s Fintech innovation lab in Singapore offers a platform for research, technology sharing, and the forging of new partnerships. These innovations are poised to enhance resource allocation, promoting real growth and job creation.
The collaboration between Singapore and China in these emerging areas is a strategic move to shape the financial landscape of the future, where sustainability, innovation, and cross-border cooperation will be key drivers of success.