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Indian trade finance regulations differ from international regulations in a few ways:
- Compliance with local laws and regulations: Indian trade finance regulations require compliance with local laws and regulations, such as the Foreign Exchange Management Act (FEMA) and the Reserve Bank of India (RBI) regulations.
- Exchange control regulations: International trade finance is not subject to exchange control regulations, while in India, trade finance transactions are subject to strict exchange control regulations.
- Documentary requirements: Indian trade finance regulations have more stringent documentary requirements compared to international regulations.
- Letter of Credit: Indian trade finance regulations requires that all letters of credit must be confirmed by an Indian bank, while international regulations do not have such a requirement.
- Risk assessment: Indian trade finance regulations require a more stringent risk assessment process to ensure compliance with local laws and regulations.
The Monetary Authority of Singapore (MAS) is the main regulatory body for trade finance in Singapore. Some key regulations that Triterras would have to comply with in Singapore include:
- Compliance with anti-money laundering (AML) and countering the financing of terrorism (CFT) regulations.
- Compliance with the Payment Services Act (PSA) and the Securities and Futures Act (SFA) for fintech companies.
- Compliance with the Code of Conduct for Commercial Banks, which sets out the standards of conduct for banks in Singapore.
In addition, Triterras as a Singapore-based fintech stock company, would also be subject to regulations set by the Association of Banks in Singapore (ABS) and the Singapore Foreign Exchange Market Committee (SFEMC).