Singapore Digitalises Bankers Guarantees and Insurance Bonds With eGuarantee@Govby Fintech News Singapore November 3, 2022
Providing banker’s guarantees or insurance bonds to government agencies in Singapore can now be done online and within one day using eGuarantee@Gov, said Lawrence Wong, Deputy Prime Minister and Minister for Finance, and Deputy Chairman of the Monetary Authority of Singapore (MAS), in his opening speech at Singapore Fintech Festival yesterday.
eGuarantee@Gov was launched by the Ministry of Finance (MOF) and MAS, with 21 financial institutions (FI) and 17 government agencies participating in the digitalised guarantee processing platform.
These include BNP Paribas, CIMB Bank Berhad, Etiqa Insurance, Inland Revenue Authority of Singapore, Jurong Town Corporation, and Public Utilities Board. More are to be added by the end of 2023.
Businesses and individuals can apply for an eGuarantee from the FI’s websites or email for direct submission to government agencies. There will no longer have papers to collect and deliver to offices which used to take days to complete. As the new online system uses standardised texts, no legal vetting is required.
It is also secure since the eGuarantees are transmitted through the Singapore Customs’ Networked Trade Platform (NTP). eGuarantee@Gov was jointly developed with the Association of Banks in Singapore (ABS) and in consultation with the General Insurance Association of Singapore (GIA).
“eGuarantee@Gov is part of our digitalisation efforts to transform service delivery and reduce transaction costs.
Our partnership with the financial industry has enabled us to create value for businesses and individuals,”
said Han Neng Hsiu, Deputy Secretary (Development) at MOF.
“This is a win for both financial institutions and their customers.
eGuarantee@Gov facilitates greater efficiency in processing guarantees and reduces the operational risks associated with manual paper-based workflows,”
said Marcus Lim, Assistant Managing Director (Banking and Insurance) at MAS.