What is the Regulatory Sandbox?

The Regulatory Sandbox is an arrangement set up by the three regulatory authorities to provide entities with the facility to test innovative financial products or services, business models and/or delivery mechanisms prior to launching them to the public. It will enable Fintechs to obtain a provisional license and be subject to certain parameters and rules while testing in a live environment under the regulators’ close scrutiny.

Objective of the Regulatory Sandbox

To determine whether the innovative financial product or service can be introduced safely into the domestic financial environment.