The Government of Chile seeks to improve FinTech regulation

Financial technology (FinTech) companies in Chile have been called to participate in a survey in which they must assess the state of this industry in their country. In this way, the Ministry of Finance of the Latin American country seeks to obtain first-hand information in this regard.

Through a press release, the Chilean public body has indicated that its purpose is to obtain more current information about the techno-financial ecosystem of the country.

According to what was mentioned in its statement, the main objective of collecting information in this regard is to be able identify the degree of maturity and development of FinTech in Chile; and also to learn about market trends and the dynamics of competition and collaboration that exist with traditional banking. Likewise, they also seek to know the barriers or regulatory gaps that may exist for those who are interested in becoming part of this new financial industry.

The survey is being carried out by the consulting firm Finnovista, specialized in the Fintech field; and for this it has the collaboration of the Fintech Association of Chile. The survey is aimed at ventures that are focused on payment systems; financing and loans; insurance; investment management; technology development; etc.

The consultation was carried out between January 14 and 29, a period in which the different startups in the Fintech industry have been able to launch their responses.

A move towards better regulation

The Chilean Minister of Finance, Ignacio Briones, has assured that based on knowledge about the FinTech industry it will be possible to advance to achieve create better regulations. However, he also wanted to emphasize that it will help when it comes to promoting competition; and also to create better financial services and products in the country.

For her part, the IDB representative in Chile, Yolanda Martinez, emphasized the country’s FinTech business models. In this way, it tries to identify the biggest challenges facing the sector; and thus be able to carry out public policies that are more optimized for them.

The regulation of FinTech, a priority in Chile

According to the different movements that we have seen in Chile in recent times, we have been able to verify how The regulation of FinTech is a priority for the Chilean Government. This considers that it is necessary to commit to innovation and avoid possible hindrance to the industry’s activities through legislation that does not bear fruit.

It must be taken into account that in November of last year, the Chilean Government launched a regulatory initiative for FinTech. Additionally, it sought to establish a nationwide standard regarding open banking. To do this, it was inspired by initiatives of this type that are already present in other territories around the world such as Mexico, Brazil, Australia, the United Kingdom and the European Union.

With this type of actions, Chilean organizations try to learn more about the new emerging financial services in the country. In this way, there is great concern that clients can enjoy these services with complete peace of mind; and that they can have adequate management of their personal and financial information, but at the same time have different alternatives within the national industry.

In this way, you will have to wait for the results of your consultation to be made public, with which very valuable information has been collected. Based on it, measures will be taken in the coming months that They promise to improve the situation of FinTech in Chilean territory.