BC Payments, a subsidiary of Banking Circle, has achieved a significant milestone by securing in-principle approval from the Monetary Authority of Singapore (MAS) for a Major Payment Institution (MPI) licence.

This approval positions BC Payments Singapore as a key player in the region’s cross-border payments landscape, offering enhanced opportunities for growth and expansion in the global payments ecosystem.

The approval for the MPI licence marks a pivotal moment for BC Payments Singapore, as it unlocks access to the global clearing infrastructure of Banking Circle, its parent company.

This means BC Payments will be able to provide cross-border payment services, not only strengthening its foothold in Singapore but also establishing it as a regional hub within the broader global payments network.

The in-principle approval, while not yet a formal licence, signals a positive outlook, contingent upon meeting specific conditions laid out by the Monetary Authority of Singapore.

What Does In-Principle Approval Mean for BC Payments Singapore?

In-principle approval, as the name suggests, indicates that BC Payments Singapore has successfully navigated the early stages of the application process. However, this does not immediately grant the formal licence required to fully operate under the MPI category.

It means that BC Payments has met the preliminary requirements and can now move forward to satisfy any additional conditions stipulated by the Monetary Authority of Singapore.

The MPI licence itself will allow BC Payments Singapore to offer a wide range of financial services, including but not limited to e-money issuance, merchant acquisition, and payment gateway services.

The ultimate goal is to streamline cross-border payments, benefiting clients in Singapore and across the Asia-Pacific region, particularly in an era where global transactions are becoming increasingly essential.

The Vision for BC Payments Singapore

The announcement of the in-principle approval comes at a time when BC Payments is actively growing its presence in Singapore.

The company has been working diligently since its establishment in January 2022, intending to secure the MPI licence to solidify its role in the region’s financial landscape.

CEO Mishal Ruparel highlighted this commitment by noting that BC Payments Singapore plans to double the size of its local team over the next year.

This expansion is a reflection of BC Payments’ dedication to reinforcing its regional strategy and addressing the growing demand for efficient, fast, and secure cross-border payment solutions.

Ruparel further emphasised that the trust placed in BC Payments by potential clients is a driving force behind its efforts. The approval serves as a major step toward providing solutions that empower businesses in Singapore and the broader Asia-Pacific region.

By leveraging the global capabilities of Banking Circle, BC Payments is set to deliver innovative financial services that simplify and accelerate international payments.

The Role of Singapore’s Strong Regulatory Framework

A crucial factor in BC Payments’ journey is the strategic location of Singapore and its robust regulatory environment.

According to Laust Bertelsen, CEO and co-founder of Banking Circle, the in-principle approval granted by MAS underscores the company’s commitment to delivering secure and efficient payment solutions.

Bertelsen praised Singapore’s regulatory framework, which he described as strong and conducive to the growth of financial institutions.

Singapore has long been a global hub for financial services, with a highly regulated environment that promotes transparency and stability.

This framework ensures that payment institutions like BC Payments can operate with confidence while meeting stringent standards that protect both businesses and consumers.

For BC Payments, leveraging this regulatory infrastructure is essential in its mission to expand its services and offer secure, technology-driven financial solutions to clients worldwide.

The company’s ability to secure approval from MAS is a testament to its dedication to upholding the highest standards of compliance and regulatory adherence. By positioning itself within this framework, BC Payments aims to build trust and offer cutting-edge payment solutions to its growing clientele.

How BC Payments Plans to Leverage the MPI Licence?

With the MPI licence in its sights, BC Payments Singapore is ready to take full advantage of its new capabilities. The MPI licence allows the company to expand its service offerings and cater to a diverse range of businesses involved in global transactions.

Cross-border payments, in particular, have become a critical need for many companies, especially as businesses increasingly operate in multiple regions and require efficient ways to move funds internationally.

BC Payments is strategically positioning itself as a leading provider of cross-border payment solutions by offering clients fast, secure, and cost-effective methods for making international transfers.

The licence will also enable BC Payments to strengthen its partnerships with other financial institutions, providing access to a network of global payment services that can facilitate seamless international transactions for businesses of all sizes.

Banking Circle’s Global Expansion Strategy

The MPI licence approval comes shortly after Banking Circle’s January 2025 announcement of its plans to acquire a full stake in Australian Settlements Limited (ASL).

ASL, an established player in the Australian market, offers settlement and processing services to banks and payment companies, making it a strategic acquisition that will expand Banking Circle’s footprint in the Asia-Pacific region.

This acquisition, combined with BC Payments’ growing presence in Singapore, is part of Banking Circle’s broader strategy to enhance its global payments network and expand its reach across key markets.

The integration of ASL’s services with BC Payments Singapore’s platform will help facilitate smoother, faster, and more efficient transactions in the region, reinforcing the company’s ability to meet the demands of businesses engaged in international commerce.

The Future of Cross-Border Payments

The in-principle approval for the MPI licence marks just the beginning for BC Payments Singapore. With the fast-paced evolution of global financial systems, the demand for efficient, secure, and technology-driven payment solutions is higher than ever.

BC Payments aims to meet this demand by offering businesses an integrated platform that can handle the complexities of cross-border payments with ease.

Looking ahead, BC Payments plans to continue its expansion efforts, not just in Singapore but across the broader Asia-Pacific region.

As the company works toward securing the final MPI licence, it is also exploring opportunities to further enhance its technology platform, ensuring that clients benefit from the latest innovations in payment solutions.

The ultimate goal is to facilitate faster, more secure transactions and drive growth for businesses that rely on global payment systems. As BC Payments continues to develop its offerings and expand its reach, it is well-positioned to play a crucial role in shaping the future of cross-border payments in the region and beyond.