MAS to Strengthen Anti-Fraud Measures in Cross-Border Payment

In a written reply to a parliamentary question, the Monetary Authority of Singapore (MAS) said it is actively reviewing and enhancing its suite of anti-fraud measures in light of the launch of cross-border retail payment linkages.

Singapore has launched the world's first payment link, namely PayNow in Singapore and PromptPay in Thailand. Last month, Singapore's payment link with India also went live. Meanwhile, MAS is also planning to establish payment linkages with the Philippines and Malaysia.

In addition, MAS announced the release of Project Nexus, a joint blueprint with the Bank for International Settlements (BIS). The project will strengthen the connectivity of international payment networks through multilateral linkages of national retail payment systems.

The regulator added that criminals are now able to use more efficient and interconnected global payment networks to transfer ill-gotten money out of Singapore and to hard-to-trace locations through cross-border payments more quickly, making it difficult for local police to freeze their funds. Therefore, the Authority has partnered with major retail banks to implement anti-fraud controls in the country. These include lowering the default transaction notification threshold to S$100 or less and implementing a daily limit adjustment for cross-border transfers to S$1,000 or less. The bank will also actively detect changes in fraud types and adjust anti-fraud measures as appropriate.

Internationally, MAS will proactively exchange relevant information with international counterparts to look for suspicious cross-border movements and activities, so that the authorities can take appropriate mitigation measures.

In a statement, MAS said, "We aim to reap the real benefits to the public of fast and efficient real time cross-border payments while mitigating the risks. MAS and the Police will continue to work closely and proactively with industry to review and enhance the suite of anti-scam measures."

Source: Fintech Singapore