Singapore Mas Major Payment Institution (Mpi) License
Singapore remains one of Asia’s most attractive jurisdictions for payment and fintech businesses, supported by a transparent and internationally respected regulatory framework. A key pillar of this ecosystem is Major Payment Institution(MPI) license, issued by the Monetary Authority of Singapore under the Payment Services Act. MPI license is designed for payment service providers that intend to operate at scale and offer high-volume or multi-service payment solutions from Singapore to global markets.
MPI license is particularly relevant for companies whose transaction volumes exceed the thresholds applicable to Standard Payment Institutions(SPI), which include monthly caps of S$3 million for a single payment service, S$6 million for multiple payment services, and a daily outstanding money limit of S$5 million. Once MPI licensed, these transaction limits no longer apply, allowing companies to scale transaction value and customer reach without volume constraints. This flexibility is critical for payment gateways, digital wallet operators, remittance platforms, merchant acquirers, and digital payment token service providers whose transaction volumes tend to increase rapidly as their businesses grow, enabling sustained expansion under MAS regulatory oversight.
Beyond operational flexibility, MPI license carries strong commercial value. MAS regulation signals robust governance, effective risk management, and strict compliance with anti-money laundering(AML) and countering the financing of terrorism(CFT) requirements. This credibility is often essential when establishing banking relationships, onboarding institutional clients, or forming strategic partnerships. For overseas founders and regional fintech groups, MAS license is widely regarded as a benchmark of regulatory trust and credibility in Asia.
To qualify for MPI license, applicants must demonstrate sufficient substance in Singapore, including the prescribed minimum base capital, sound internal controls, and a management team that meets MAS “fit and proper” requirements. MAS also places strong emphasis on safeguarding customer funds and maintaining appropriate technology risk management frameworks. In practice, the regulator assesses whether the applicant’s business model, financial projections, and compliance systems are realistic and proportionate to the scale and complexity of its proposed activities.
From a strategic perspective, MPI license allows companies to consolidate multiple payment services under a single regulatory framework, supporting business diversification and operational efficiency. While the application process is rigorous, early preparation and close alignment with MAS expectations can significantly improve approval timelines. For payment service providers seeking long-term scalability and credibility in Asia, the MAS Major Payment Institution license represents not only a regulatory requirement, but a strategic foundation for sustainable growth.
