{
  "id": 19260361,
  "title": "Before the licence: What Singapore’s regulated institutions ask a fintech partner first",
  "url": "https://urgent.news/2026/11/10/before-the-licence-what-singapores-regulated-institutions-ask-a",
  "topic": "business",
  "section": "Business",
  "published": "2026-11-10T01:00:41.000Z",
  "source": {
    "name": "e27",
    "slug": "e27",
    "url": "https://e27.co/before-the-licence-what-singapores-regulated-institutions-ask-a-fintech-partner-first-20261106/"
  },
  "original_language": "en",
  "account": "In Singapore, regulated institutions now ask fintech partners what they need before granting them a license. This process began with the release of the Monetary Authority of Singapore's Guidelines on Artificial Intelligence Risk Management on 7 October 2022. The guidelines state that institutions must assess third-party risks, including AI models purchased from vendors, before signing any contracts.\n\nThe questions asked by institutions are not arbitrary but are derived from four sets of rules: outsourcing and third-party risk, technology risk management, cyber hygiene, and AI risk management. These rulebooks bind the institutions and are reflected in the second person on the questionnaire sent to the fintech partner.\n\nThe institution will assess if the service provided by the fintech partner is material, determine where the data is stored, identify the sub-contractors involved, and evaluate the ability to audit the provider. Additionally, institutions will review the security measures in place, such as secure development practices, access control, penetration testing, and incident reporting.\n\nAI risk management is a new addition to the regulatory framework, requiring institutions to maintain an inventory of the AI models used, including those purchased from vendors. The Future of Finance Institute is working on providing more details on third-party AI risk management.\n\nThe first due diligence process typically takes several months, as the institution sends out questionnaires to new vendors seeking partnerships. The founder must gather policies, cloud regions, and model provider test results to respond to the questionnaire, which can lead to delays on both sides. To expedite this process, institutions and fintech partners are encouraged to assess themselves against the four rulebooks before receiving any regulatory questions.",
  "summary": "On 7 October the Monetary Authority of Singapore issued its Guidelines on Artificial Intelligence Risk Management, phased in over 2027 and 2028. On 3 November it announced that the Future of Finance Institute has started work, with a pillar called SafeFin.ai that will extend the MindForge toolkit to AI use-case risk assessments, testing and assurance, […] The post Before the licence: What…",
  "key_points": [
    "Singapore's regulated institutions assess fintech partners before granting a license.",
    "Institutions must maintain an inventory of AI models used, including those purchased from vendors."
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}