Singapore extends the evaluation of Digital Bank licenses, with technology giants' application results postponed to the second half of the year.

The financial regulatory authority of Singapore recently announced the extension of the evaluation period for Digital Bank licenses. The results of applications, originally scheduled to be announced in June this year, will be postponed to the second half of the year. The regulatory authority stated that this move aims to allow applicants to focus their resources on addressing the current global health crisis, while also enabling regulators to better maintain financial stability.

At the beginning of the year, regulatory authorities stated that they had received 21 applications for Digital Bank licenses and planned to announce the list of successful applicants in June, with the approved entities originally set to start operations in mid-2021. However, with the changes in the global situation, this timetable had to be adjusted.

At the end of June last year, Singapore's regulatory authorities announced a pilot program to issue five Digital Bank licenses, allowing non-bank entities to conduct banking operations locally. These five licenses include two full Digital Bank licenses and three digital wholesale bank licenses aimed at small and medium-sized enterprises and other non-retail sectors.

According to the list of applicants released earlier this year, several well-known tech companies participated in the application. Among them, two Chinese internet giants applied for a Digital Bank license. Reports indicate that one of the companies formed an alliance with multiple partners to jointly submit an application to the regulatory authorities. In addition, a gaming hardware manufacturer and a leading tech company in Southeast Asia also participated in the application, applying for a full Digital Bank license and a Digital Bank license, respectively.

The延期 of the license issuance reflects the prudent attitude of regulatory authorities in the face of global challenges, while also providing applicants with more preparation time. With the extension of the evaluation period, the industry will closely monitor the future development of the Digital Bank sector in Singapore.