Most of you are familiar with the drive the 6 regulators, including the Financial Sector Conduct Authority (“FSCA”), was on to empower and enable the industry on financial technology (“fintech”). Given the current situation in RSA, there’s definitely a need for organisations to transform…. responsibly and quickly. When doing so, these transformations must remain within the current legislative ethos.
In a media statement released yesterday, it stated that the Innovation Hub comprises of financial regulators who will respond to these changes driven by fintech and promote responsible innovation. The hub intends to support the sector in introducing innovations that compliments the core mandates of regulators, including financial stability and soundness; consumer protection; financial inclusion; and fair lending practices.
There are 3 avenues set up for assistance:
• Regulatory Guidance Unit – to help market innovators resolve specific questions regarding the policy landscape and regulatory requirements. The link to this box – https://www.ifwg.co.za/regulatory-guidance-unit/.
• Regulatory Sandbox – provides an opportunity to test new products and services that push the boundaries of existing regulation, all under the responsible supervision of relevant regulators. Applications may be downloaded from – https://www.ifwg.co.za/regulatory- sandbox/.
• Innovation Accelerator – provides a collaborative, exploratory environment for financial sector regulators to learn from and work with each other – and the broader financial sector ecosystem – on emerging innovations in the industry. The Innovation Hub’s latest reports can be accessed at – https://www.ifwg.co.za/innovation-accelerator/.
Members of the IFWG include the Financial Intelligence Centre (FIC), Financial Sector Conduct Authority (FSCA), National Credit Regulator (NCR), National Treasury, South African Revenue Service (SARS), and the South African Reserve Bank (SARB).
Contact us today to assist with the review and submission of your fintech-enabled concepts.
Director | Fathima Khan-Ahmod
Ahmod Consulting (Pty) Ltd
Ahmod Consulting 