S'pore commits S$220 million to fintech sector over 3 years

The Monetary Authority of Singapore (MAS) will commit S$220 million over three years to strengthen Singapore's fintech ecosystem, Deputy Prime Minister Gan Kim Yong said on Aug. 31.

The investment, part of a renewed fourth iteration of the Financial Sector Technology and Innovation (FSTI) scheme first launched in 2015, aims to speed up innovation and technology adoption across the financial sector, according to a MAS media release.

Gan, who is also Trade and Industry Minister, said:

"Over the years, the Financial Sector Technology and Innovation Scheme, or FSTI, has helped to build a strong fintech ecosystem in Singapore. We now have more than 1,800 fintech firms employing close to 10,000 people. With AI and other frontier technologies emerging, we want to capture new growth opportunities."

What FSTI 4.0 covers

The scheme is built around four goals: anchoring and scaling innovation in Singapore, speeding up the development and adoption of frontier technologies, building up technology infrastructure, and growing talent for the fintech ecosystem.

Gan, who is also MAS chairman, elaborated:

"First, we will deepen Singapore's base of innovation capabilities. We will support firms to set up dedicated teams for research and product development, and anchor technology leadership in Singapore. We will also help fintechs attract capital and scale into regional and global markets. Second, we will help financial institutions and fintechs move promising solutions from experimentation into commercial deployment. Third, we will support shared technology infrastructure and platforms to help the financial sector lower development costs, speed up technology adoption, and lift productivity. Fourth, we will strengthen the talent pipeline by supporting 1,000 fintech internships over the next three years."

Six tracks under FSTI 4.0

The scheme will be implemented through six tracks.

The Manpower track helps fintech firms bring in young talent by co-funding internship stipends. MAS is targeting at least 1,000 fintech internships over the next three years, with a new FinTech Internship Portal run by the Singapore FinTech Association (SFA) matching firms with students from institutes of higher learning.

The Institution Project track backs Singapore-based financial institutions and fintech firms working on frontier technologies like AI, distributed ledger technology, and quantum technology.

The AI Pathfinder track supports the rollout of market-ready AI fintech solutions listed on PathFin.ai, making it easier for financial institutions to adopt them and work directly with AI solution providers.

PathFin.ai is a MAS-run platform that connects financial institutions, AI companies and industry players, helping them figure out where AI can be useful, learn from what others have tried, and find the resources to adopt it responsibly.

The Infrastructure and Platform track funds shared systems and platforms that the financial sector can tap on, with the aim of making the industry more efficient and strengthening Singapore's role in shaping global financial standards.

The Centre of Excellence track aims to bring the high-value work of major global financial institutions and fintech firms to Singapore, spanning areas like AI, quantum computing and digital assets.

The MAS FinTech Awards track keeps Singapore on the map as a fintech hub through the Singapore FinTech Festival (SFF) FinTech Excellence Awards and the Global FinTech Hackcelerator (GFH).

A new GFH Scale-up Grant will help eligible finalists further develop and validate their solutions after the competition.

This can then help them to attract private investment, scale their business and strengthen their presence in Singapore.

Why young talent matters

When asked why building a pipeline of young talent was important, Gan pointed to how quickly the sector is changing.

He said:

"It is always important for us to continue to invest in our people, to continue to build a pipeline of talent. This is particularly critical in fintech industry because this is a new and emerging industry. It is also evolving very rapidly with the emergence of AI and frontier technologies. As you can imagine, the talent that we need and the capability we need to build is going to be very critical for the growth of this sector."

On AI as a priority

Quantum technology had its own dedicated track under the previous iteration of the scheme, but is now grouped with AI and distributed ledger technology.

When asked which frontier technologies MAS is prioritising, Gan said the scope was being kept open, with AI serving as a foundation.

He said:

"We are keeping our scope quite open because AI is horizontal, so it provides a baseline to support the transformation of our financial industries, including fintech. This is an emerging technology, and all of us have to have a handle on this. That is why we focus a lot of our attention on building AI capability."

On competing with other financial hubs

When asked how the scheme would help Singapore compete with regional rivals like Hong Kong, Gan said the financial sector was competitive but not a zero-sum game.

He added that Singapore competes not just with Hong Kong, but with the rest of the world.

He also noted that as Singapore improves, other financial centres do too, which in turn pushes Singapore to raise its own game further.

He added: “It's not a zero-sum game. We compete, but I think the industry, the development of industry, will benefit all countries in the financial sector."

Singapore's finTech sector today

Singapore currently hosts over 1,800 fintech firms, with close to 10,000 people working across technology, data, AI, compliance, cybersecurity and business roles.

Fintech investment here reached S$2.9 billion in 2025.