The Bangko Sentral ng Pilipinas (BSP) and the Monetary Authority of Singapore (MAS) has vowed to work together to promote data connectivity.
In a joint statement issued on Monday, the BSP and MAS said banks and non-bank financial institutions under their jurisdiction will be allowed to transfer data, including personal information across borders by electronic means provided this activity is for the conduct of the business within the scope of their license, authorization or registration.
The joint statement allows these covered institutions to store the data anywhere as long as BSP and MAS have full and timely access to the data necessary to fulfill their regulatory and supervisory mandate.
If BSP or MAS are unable to access data, covered institutions would be allowed to remediate the lack of access before being required to use or locate computing facilities locally.
The joint statement said other authorities are also encouraged to adopt policies and rules which facilitate data connectivity.
"Data mobility in financial services supports economic growth and the development of innovative financial services, and benefits risk management and compliance programs, by, among others, making it easier to detect cross-border money laundering, terrorist financing patterns, and proliferation financing; defend against cyberattacks; and manage and assess risk on a global basis," said the BSP and MAS.
The BSP and MAS noted that the ability to aggregate, store, process and transmit data across borders is an important aspect in the development of the financial sector.
"The expanding use of data in financial services and the increasing use of technology to supply financial services offer a range of benefits, including greater consumer choice, enhanced risk management capabilities, and increased efficiency. These developments also pose new and complex risks for markets and challenges for policymakers and regulators," the BSP and MAS said.
"BSP and MAS are committed to working together and with other countries and authorities to promote an environment in financial services that fosters the development of the global economy," they added.