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Singapore vies for crown as world’s FinTech hub as TransferWise sets up Asia-Pacific base

London-headquartered money transfer firm TransferWise is to open a new office in Singapore after it selected the city-state as its Asia-Pacific hub.

The new HQ will become its tenth office, joining offices in London, Tokyo, Tallinn and New York amongst others, as the FinTech unicorn continues to challenge the big financial providers and banks with its international money transfer service.

TransferWise has said it will have access to local payment networks through an agreement with local bank DBS Holdings, offering users in Asia charges of as low as 0.5 to 1%.

TransferWise Co-Founder, Taavet Hinrikus, noted the Singaporean authorities’ openness to FinTech innovation as one of the key reasons why the unicorn chose the city over other regional hubs.

He said: “The region is important for us as we expand globally, bringing our service to everyone in the world that transfers money internationally. The Monetary Authority of Singapore (MAS) have demonstrated their commitment to making Singapore a place where fintech companies can flourish and we’re excited to be part of that.”

It comes as the city state stakes it claim to be a global FinTech hub, with a favourable regulatory regime and homegrown startups all contributing to its burgeoning reputation on the world stage.

Back in November Singapore hosted its first FinTech Festival and the country’s Monetary Authority has identified digital innovation as a way to maintain its finance sector’s regional and international competitiveness with a strategy of proactive cooperation with startups and innovators.

A report by Deloitte that looked at the FinTech landscape found that Singapore and London were the top two hubs for entrepreneurs looking to grow a FinTech business, but there are continued fears that the Asian state could leapfrog the capital as a result of Brexit.