Singapore’s central bank joins a partnership to explore protocols for embedding policy and regulatory compliance in cross-border transactions.
The Monetary Authority of Singapore (MAS) is among the central banks that collaborate to explore a common protocol for cross-border transactions. The transaction cases include foreign direct investment, borrowing and payments.
The partnership which is called «Project Mandala», looks to automate compliance procedures and provide real-time transaction monitoring. It also aims to increase transparency and visibility around country-specific policies, according to the MAS statement.
Key Challenges
Project Mandala aims to address key challenges identified for direct transactions for central bank digital bank currency (CBDC). It is expected to enable a more efficient cross-border transfer of any digital assets including CBDCs and tokenised deposits.
Besides, it could include quantifiable and configurable foreign exchange rules, as well as anti-money laundering and countering the financing of terrorism measures.
Other Partners
Project Mandala also involves the Bank of International Settlements (BIS), Reserve Bank of Australia (RBA), Bank of Korea (BOK), Bank Negara Malaysia (BNM) and financial institutions.
