Manila will form a joint working group (JWG) with New Delhi as the two states seek to “enhance” their cooperation in the field of financial technology (fintech) that includes improving policies and regulations, the finance department said Monday.
In a news statement, the Department of Finance (DOF) said it signed a memorandum of understanding (MOU) on Monday with the Department of Economic Affairs (DEA) of India’s Ministry of Finance for collaborations in fintech.
The DOF was represented by Finance Secretary Benjamin E. Diokno, while Ambassador of India to the Philippines Shambhu Santha Kumaran represented New Delhi.
“Today’s event marks an important milestone in the bilateral relations of India and the Philippines—just in time for the upcoming 5th Philippines-India Joint Commission on Bilateral Cooperation set to take place in New Delhi, India a few days from now,” Diokno said on Monday.
Under the MOU, a JWG will be formed that would facilitate inter-governmental discussions on the following matters: exchange of best practices to improve policies and regulatory connection; promote cooperation in the development of fintech solutions for business or financial sectors; develop international standards by encouraging the creation of an international version of Application Programming Interfaces (API).
“On the one hand, India is a rising economic powerhouse, with a forte in digital technology,” Diokno said.
“On the other, the Philippines hosts a young and tech-savvy talent pool that can provide the intellectual capital needed to succeed in the digital economy. Clearly, the possibilities between our two economies are boundless,” Diokno added.
The JWG will be co-chaired by the DOF and the DEA. Members from the Philippine government include the Department of Foreign Affairs (DFA), National Economic and Development Authority (NEDA), Bangko Sentral ng Pilipinas (BSP), Department of Information and Communications Technology (DICT), Securities and Exchange Commission (SEC), Insurance Commission (IC), and Philippine Statistics Authority (PSA), according to the DOF.
The DOF added that members from India include the DEA, Ministry of Electronics and Information Technology, Union Identification Authority of India, Reserve Bank of India, Securities and Exchange Board of India, Insurance Regulatory Development Authority of India, Pension Fund Regulatory and Development Authority, Ministry of External Affairs, International Financial Services Centres Authority, and Indian Computer Emergency Response Team.
The DOF added that the Ambassador of the Philippines to India and the Ambassador of India to the Philippines would serve as points of contact and participate in JWG meetings.
“Recognizing this immense and far-reaching economic potential, the administration of President Ferdinand Marcos Jr. has placed a high premium on digital transformation,” Secretary Diokno said.
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