Dear readers,
Seamless, personalised, speedy, secure and reliable are among the basic expectations of financial services today. Customers are growing intolerant of disruptions to digital banking services as well as frictions and delays in insurance claims, which can erode customer satisfaction and loyalty, particularly in a highly competitive market.
Forward-thinking financial institutions have made strides in leveraging technology to adapt to customer expectations. Artificial intelligence (AI), for instance, is not new to most banks in Singapore. AI is being used to combat financial crimes and send personalised nudges to guide customers towards making better financial planning decisions, to name a few use cases.
However, more can be done to reshape financial services. Research firm Forrester predicts a decline in customer experience quality on average as banks globally implement digital self-service strategies without a focus on emotional connection.
The good news is that emerging technologies are becoming more accessible, which could help financial institutions digitally transform further and deliver greater value. For instance, combining quantum computing with deep learning algorithms can enable real-time hyper personalisation of financial services, strengthen a financial institution’s cybersecurity posture, and bolster its resilience.
Recognising the benefits of quantum computing and AI, the Monetary Authority of Singapore (MAS) announced in July that it will commit an additional $100 million under the Financial Sector Technology and Innovation Grant Scheme (FSTI 3.0). The funds will support financial institutions in building capabilities in quantum and AI and enable experimentation and pilot development using those technologies in financial services.
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To help further demystify and encourage real-world adoption, quantum computing and AI will take centre stage at the Singapore Fintech Festival (SFF) 2024. The 9th edition of the event will look at the game-changing potential of those transformational technologies in financial services to help deliver sustainable and inclusive economic growth.
It will also feature dialogues between regulators and industry to facilitate greater alignment of policy approaches that can create an environment conducive to AI innovation and adoption. This will help develop a responsible AI ecosystem that ensures transparency, trust, and inclusion in the financial ecosystem.
“The financial services sector is at a critical inflection point, with AI and quantum computing poised to revolutionise the global financial ecosystem. SFF 2024 will seek to align technology, innovation, and regulation so that these transformative technologies are deployed with strategic foresight, collaboration, and adaptability to unlock new opportunities for economic and industry growth and resilience,” says Sopnendu Mohanty, chief fintech officer of MAS and chairman of Elevandi Board.
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Given the increasing integration of AI into financial services and the looming 2030 net-zero deadline, this year’s SFF will explore the intersection of AI and sustainability, too. Keynotes and panel sessions will delve into practical strategies for decarbonisation, including climate tech innovations. They will also share ways to address complexities, transparency, and data accuracy for ESG ratings, as well as explore the financing mechanisms that can accelerate global decarbonisation efforts.
To ensure financial services continue to bolster international trade and financial inclusion, SFF 2024 will discuss developments in payments to enable faster, cheaper and more transparent cross-border transactions.
Digital assets will be another key focus, with decentralised finance as a potential catalyst for broader financial inclusion and independence. Attendees will learn the pathways to scaling digital assets, including stablecoins, central bank digital currencies (CBDCs), and tokenised deposits. They will also gain a better understanding of the regulatory frameworks for data transfers, digital asset transactions, and privacy protection.
Furthermore, they can expect to hear from distinguished speakers, traditional finance players and digital assets experts about how to create a robust, resilient and interoperable financial market infrastructure. Among the panellists are Honorable Caroline D. Pham of the Commodity Futures Trading Commission, Tommaso Mancini-Griffoli of the International Monetary Fund, Sarah Breeden of the Bank of England, Pradyumna Agrawal of Temasek, Monica Long of Ripple, and Richard Teng of Binance.
While SFF is rooted in the Lion City, its influence extends far beyond. The event positions itself as a premier platform for the global FinTech community to foster dialogue and collaboration on the intersection of finance, public policy, and technology. In line with that, attendees can look forward to a session on November 8, which will discuss the implications of the ongoing macroeconomic transition and the 2024 election super cycle on the international business, financial and economic landscape next year.
Investing in people is just as important as investing in tech. To help with upskilling, SFF 2024 will host masterclasses such as “The Art of Storytelling”, fintech founder- and investor-focused mentorship sessions, and certificate programmes. In addition to traditional employment pathways, SFF 2024 will explore the role of entrepreneurship and innovation in shaping the talent landscape through signature programmes like Founders Peak. Inspired by TED talks, Founders Peak aims to improve start-up failure rates by inviting exceptional start-up founders to share untold stories from their journeys that have shaped who they are.
Beyond that, there will be a spotlight on women entrepreneurs, mental health and wellness workshops, and an alumni meet-up for past participants of The Founders Peak.
“SFF is committed to becoming a truly global marketplace. This year, we expect to expand to over 40 international pavilions represented by 30 countries alongside regional and local associations and industry partners. By driving greater access to markets and amplifying the festival’s collaborative potential, SFF 2024 will play a key role in fostering connections between leading industry players, regional trade visitors, innovators and start-ups to catalyse growth for the FinTech ecosystem at an unprecedented scale,” says Paul Lee, chief executive (Markets) at Constellar, which organises SFF together with MAS, Elevandi and in collaboration with the Association of Banks in Singapore.
Realising the future of tech-powered finance calls for more than just slapping on technology for cosmetic changes or tweaking existing operations. Financial institutions must completely rethink business models and processes, prepare their workforce for the change, and even work with new players in the field. At the same time, they need to work closely with regulators (and perhaps tech vendors) to ensure AI and emerging technologies are used responsibly to enable a secure, inclusive, and sustainable financial ecosystem. This requires idea and knowledge exchange and collaboration, which we hope you’ll achieve at SFF 2024.
Nurdianah Md Nur
Section editor for DigitalEdge at The Edge Singapore
