On 12 February 2025, the Monetary Authority of Singapore (MAS) and the Association of Banks in Singapore (ABS) announced the establishment of a new payments entity to consolidate the administration and governance of Singapore’s national payment schemes. The initiative, titled “MAS and ABS to Establish New Payments Entity to Position National Payment Schemes for Next Stage of Growth,” aims to enhance coordination across the country’s payment infrastructure, ensuring continued innovation and resilience. The new entity will also collaborate with MAS on the development of Singapore’s national payments strategy.
Singapore’s national payment schemes, including Fast And Secure Transfers (FAST), Inter-bank GIRO System, PayNow, and the Singapore Quick Response Code (SGQR), play a central role in the daily financial activities of consumers and businesses. These schemes are currently administered by multiple entities, including Singapore Clearing House Association (SCHA), MAS, ABS, and the Infocomm Media Development Authority (IMDA). The consolidation under a single entity is intended to improve decision-making and coordination, allowing financial institutions and payment service providers to optimise global opportunities and spur further innovation.
The entity will be governed by senior representatives from MAS and the financial sector, who will set its strategic direction. Industry committees will be formed to engage banks, payment service providers, industry bodies, and businesses in the development of the national payments strategy. MAS has confirmed that no changes will be made to the operations or scheme rules during the transition. Further details, including the entity’s name, governance framework, and board composition, will be disclosed later in the year.
National payment schemes are integral to Singapore’s digital economy, providing businesses and financial institutions with faster, cost-effective, and secure payment solutions. These schemes also facilitate cross-border transactions, reinforcing Singapore’s position as a global financial hub. MAS stated that the consolidation will allow payment schemes to adapt to evolving consumer and business needs, fostering inclusive payment solutions that cater to both banks and non-bank payment providers.
MAS Managing Director Mr. Chia Der Jiun stated, “Consolidating the administrative and governance responsibilities of all national payment schemes under a single entity will strengthen the governance of these schemes and contribute towards greater payments resilience and innovation.”
ABS Chairman Mr. Piyush Gupta added, “ABS and member banks look forward to working closely with the industry to achieve Singapore’s goal as a Smart Financial Centre. The new payments entity will enable us to rationalise our various payment rails, as well as provide a springboard to leverage technology in imagining the future of payments.”
SCHA Chairman and MAS Deputy Managing Director Ms. Jacqueline Loh stated, “By channelling the payments industry’s resources and expertise into a single entity, this initiative will strengthen existing capabilities in the oversight of resilience and safety of the payment schemes and ensure consistent implementation of national e-payment strategies across the various payment schemes. SCHA is committed to see through the smooth transition to the new entity.”
Meanwhile, IMDA Assistant Chief Executive Mr. Leong Der Yao noted that the move will “IMDA and MAS have jointly developed and advanced the SGQR scheme since 2017, making it one of Singapore’s most widely adopted payment systems. The transfer of SGQR scheme administration and governance, along with other payment schemes, to the new single entity will streamline the local payments landscape, delivering a more seamless experience for businesses and consumers. This transition will also open doors for greater collaborations with international digital wallets and financial institutions.”
The transition will not impact the ongoing operations of payment schemes, and the new entity will function as an administrative body rather than a regulated financial institution. The final implementation and operational details will be announced later in 2025 as MAS, ABS, and relevant stakeholders finalise the transition process.
(Source: https://www.mas.gov.sg/news/media-releases/2025/mas-and-abs-to-establish-new-payments-entity)
