Minister of Environment, Climate Change and Technology Aminath Shauna has stated that the Maldives needs to continue investing in financial technology (Fintech) to unlock its full potential. She made the remark at the Maldives Finance Forum 2023.
Speaking at the event, Minister Shauna emphasised the role of Fintech in overcoming the unique challenges posed by the geographical layout of the Maldives. She highlighted how Fintech can effectively bridge the distances between islands and provide financial services to every resident, ensuring accessibility across the country.
Additionally, Minister Shauna said that the government is focused on the establishment of a robust regulatory framework as part of its efforts to embrace digital transformation. She said that the government has been able to achieve a major milestone last year with the implementation of the Electronic Transactions Act, which grants legal recognition to electronic transactions, signatures, and contracts, serving as a catalyst for the growth and advancement of Fintech in the country. She added that safeguarding data privacy is a top priority and that the administration is currently engaged in public consultation for the privacy protection bill, which aims to enhance data security and provide reassurance for secure digital transactions.
Furthermore, Minister Shauna said the administration is prioritising the development of cybercrime legislation to ensure the security of the digital environment. She highlighted the enthusiasm and readiness of citizens to embrace Fintech, as demonstrated by the results of the national financial inclusion survey conducted in 2022, which showed the widespread adoption of mobile internet usage and mobile banking.
In addition, Minister Shauna said that the economy, which has traditionally relied on tourism and transport, has displayed remarkable resilience despite the challenges posed by the COVID-19 pandemic. She said the strength exhibited by the information and communications technology (ICT) and financial centres during the pandemic underscores the need to broaden the country’s economic focus. She further said that Fintech is a powerful ally to drive economic growth in the islands and that the Maldives needs to continue supporting and investing in Fintech to unlock its full potential.