Financial institutions operating in Singapore are required to implement robust controls when onboarding new clients to detect and deter money laundering or terrorism financing. Technology could help ease this burden, the city-state's central bank and regulator says.

Singapore’s de-facto central bank and regulator wants financial institutions to use innovative technology to onboard new clients more efficiently. 

The Monetary Authority of Singapore (MAS) yesterday issued new guidance to financial institutions about the use of technology to facilitate safe onboarding without a firm having to meet a new client face-to-face. 

Such processes could include biometric identification, real-time video conferencing, and secure digital signatures using Public Key Infrastructure-based credentials, the MAS said. 

“MAS encourages financial institutions to use technology that helps to increase efficiency and improve the customer onboarding experience while safeguarding against money laundering and terrorism financing risks,” Ho Hern Shin, assistant managing director of banking and insurance at the MAS, said.