MAS launched the FinTech Regulatory Sandbox framework in 2016 to encourage and enable experimentation of technology innovation to deliver financial products and services. The Regulatory Sandbox, which is fully bespoke, was enhanced with Sandbox Express in 2019 to provide firms with a faster option for market testing in pre-defined environments.
With Sandbox Plus, which will take effect on 1 January 2022, MAS made three enhancements to provide more effective one-stop assistance for firms looking to introduce innovative products and services that are regulated by MAS.
- Expansion of eligibility criteria to include early adopters of technology innovation.
- Streamlined application with financial grant for first movers of technology innovation.
- Eligible applicants may participate in Deal Fridays programme, a platform for deal-making opportunities.
- Eligibility: The proposed technology is not yet applied in financial service in Singapore, i.e. first mover, and the Sandbox application is approved by MAS.
- Funding Support: 50% of qualifying expenses, capped at $500,000. The grant will be disbursed over three payments upon meeting certain conditions, during and after the Sandbox period.
- Qualifying expenses:
- Manpower expenses (e.g. base salaries and employee’s CPF contribution, excluding bonuses, overtime, employer’s CPF contribution and allowances)
- Professional services (e.g. consultancy expenses)
- Hard/Software infrastructure and licences
- Equipment and IP rights
- Capability transfer-related training cost, in particular, costs for bringing in experts to train the locals, or sending locals overseas for training to acquire these skills (where such training cost are not eligible for funding under existing grant schemes offered by IBF or government agencies)