Singapore FinTech Association Unveils Payments Conduct Code
The Singapore FinTech Association (SFA) introduced a voluntary Payments Industry Code of Conduct. This framework establishes professional standards for payment service providers (PSPs) in Singapore, aiming to boost transparency and ethical dealings within the sector.
New Standards for Payment Providers
The Singapore FinTech Association (SFA), working with industry partners, has launched its Payments Industry Code of Conduct. This voluntary framework establishes consistent professional standards for payment service providers (PSPs) in Singapore. It covers dealings with customers and other industry members. The Code applies to major and standard payment institution licensees, money-changing licensees, and exempt PSPs. It governs regulated fiat currency related payment services under the Payment Services Act 2019. The Code specifically excludes any digital payment token services conducted by PSPs.
Voluntary Adherence and Core Principles
Adherence to the Code operates on a voluntary, self-assessment basis. A PSP can become a "Code Adherent" by evaluating its policies, processes, and systems against the Code’s standards. Public declarations of adherence must state the assessment year and remain valid for one year, requiring renewal thereafter. The Code complements, rather than replaces, existing obligations under the Payment Services Act and Monetary Authority of Singapore (MAS) regulations. Its core principles include fair customer treatment, proportionality to a provider’s size and risk profile, industry collaboration, and robust Anti-Money Laundering/Countering the Financing of Terrorism (AML/CFT) frameworks.
Industry Leaders Emphasise Transparency
SFA President Holly Fang stated the Code provides common standards for pricing transparency, fair advertising, fraud protection, and customer data handling. This offers consumers clearer recourse and fewer surprises. SK Saraogi, CEO of Wise Asia Pacific, highlighted the need for transparent display of total payment costs, including exchange rate mark-ups. Jeremy Tan, CEO of Liquid Group, noted the Code’s role in maintaining trust across digital, instant, and cross-border transactions. The SFA and its partners will regularly review and update the Code as Singapore’s payments industry develops.
What This Means for Business
This Code raises the baseline of trust and professionalism within Singapore's payments sector. For payment service providers, adopting these standards can differentiate their offerings and potentially attract more discerning customers. Increased transparency will drive competition based on real value, benefiting consumers. For investors, this initiative signals a maturing regulatory environment, fostering greater stability and consumer confidence in the market. The framework reinforces Singapore’s strategic objective to be a trusted global payments and fintech hub, potentially drawing further investment into the sector.
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