Fintech firms need more scrutiny by regulators — DBS

This article first appeared in The Edge Financial Daily, on September 7, 2018.
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SINGAPORE/HONG KONG: Regulators need to increase their scrutiny of non-bank firms that are moving into the financial business, according to the chief executive officer (CEO) of DBS Group Holdings Ltd, Southeast Asia’s largest lender.

“Absolutely,” Piyush Gupta said when asked at a Bloomberg forum in Singapore whether more regulation is needed for technology and other firms that are competing with traditional banks for payments and settlements business.

“You do need to think about financial system stability, and you do need to think about the consequences of unregulated players in what has been for good reasons a regulated industry,” Gupta said yesterday at the Sooner Than You Think technology summit.

The DBS CEO has long been a vocal advocate of the need for banks to meet the challenge posed by insurgent fintech companies, in particular the threat from China’s Ant Financial and Tencent Holdings Ltd. — Bloomberg