Two traditional rival cities i.e. Hong Kong and Singapore have united together in order to work on blockchain technology. According to the recent news
Two traditional rival cities i.e. Hong Kong and Singapore have united together in order to work on blockchain technology. According to the recent news, the financial regulators and central banks of Hong Kong and Singapore have collectively decided to cooperate basically to strengthen FinTech ties & work on the blockchain trade finance projects. The renowned central banks of these two global cities i.e. Kong Kong Monetary Authority and MAS (Monetary Authority of Singapore) have recently published a joint announcement where both parties have mentioned that their cooperation agreement is primarily aimed at strengthening FinTech ties and a better FinTech development in the South-East Asia.
Obviously, this partnership or the joint decision of cooperation is quite notable since the two cities are traditional rivals. Due to their close geographical proximity & common technology-forward ideologies, Singapore and Hong Kong have always remained a rival to each other. Both of these two global cities are hubs for trade and finance. Lately, the authorities have agreed to stop aggressive competition and bring out a fruitful cooperation for the better development of the financial sector.
According to Roy Teo, the head of MAS financial center development department, the two cities may have individual concerns for an aggressive rivalry. However, when it comes to the development of the financial sector, they have determined that it really needs an active collaboration. Both of the financial authorities will now work on a cross-border trade finance initiative project that’s powered by innovative blockchain technology (as a part of their first collaborative act). At this moment, there is not much information about this particular project. Nevertheless, it deems that the collaboration and cooperation of Singapore and Hong Kong will bring out a significant undertaking. For the purpose of FinTech development, these two well-known monetary authorities will also refer local startups and innovative businesses, share information, and exchange expertise.
Ravi Menon, MAS managing director has stated that this significant FinTech co-operation agreement between Singapore and Hong Kong will effectively enhance the trade finance corridor between these two financial centers. In Hong Kong FinTech Week, this agreement has been mutually signed and it is expected to bring in around 3,000 executives from all around the world. Note, Singapore is going to celebrate its FinTech festival in the month of November where it’s expected that the technical report will reveal the phase II part of Project Ubin, a government initiative that’s led by the central bank in order to design, develop, and deploy a digital Singaporean dollar (based on blockchain).
The chief executive of Hong Kong’s de facto central bank has also stated that Singapore and Hong Kong are the two leading and prominent financial centers that are actively designing and deploying FinTech. Hence, a fruitful collaboration between these two parties will create a significant synergy for a robust development of FinTech.