The vice president of the Central Bank spoke about the growth of the operations of these technology companies.
Washington Ribeirovice president of Central Bank of Uruguay (BCU)assured that the sector of fintech They have a place in the financial system and provide added value in terms of competition, innovation, access and services.
The economist raised these reflections during the Fintech South HUBorganized by the Uruguayan Chamber of Fintech and the da Vinci Foundation where entrepreneurs and investors met at the Antel Arena stadium in Montevideo. There, topics of business, finance, applied technology, innovation, entrepreneurship and companies were discussed.
Ribeiro participated in a panel called “Beyond 2023: the challenges of regulation in the region” where he had the opportunity to highlight the role of fintech in the financial system, ensuring that they contribute to promoting innovation and competition.
“What I see is a system that contributes to innovation, in terms of competence, in terms of access, with different services for sectors of the population that traditional banking does not reach. And, above all, it contributes to a more inclusive financial system, with best services and more cheap”, the economist detailed.
In this sense, he assured that the role of the BCU is to regulate in due manner within the framework of a system that is based on trust. For this, Ribeiro said that the regulatory role is based on the generation of a protection certificate for users and consumers.
The regulation of fintech, distant news
When asked about the regulatory progress of technology companies, Ribeiro explained that it is necessary to try to understand the business and then be able to identify risks and, based on that, try to fit it into current regulations. This method applies to both fintech and traditional institutions.
“Probably, over the years, andl Central Bank -and it is a trend at an international level- to generate much more open regulatory frameworks, in which the businessman can climb the regulation as his business matures and also changes its modalities,” explained the vice president of the BCU.
On the other hand, the economist was asked about how a joint competition could be generated between fintech and traditional banks, to which he stressed that competition is constantly generated dialogue tables between representatives of both sectors with the aim of generating technological and business interconnection.
Meanwhile, Ribeiro assured that the Bank is generating, together with the private sector, a boost to modernization of the payment system in the country where they believe that fintech will play a fundamental role.
Source: Ambito
