Neobanks are coming soon to Singapore, but the top incumbents appear cool as cucumbers. That's largely because the Monetary Authority of Singapore (MAS) favors a gradualist approach to fintech, rather than a disruptive one. When possible, the regulator encourages incumbents and fintechs to join hands.

Overseas Chinese Banking Corporation (OCBC), Singapore's longest established bank, is following that cooperative route favored by the MAS. Compared to its rivals UOB and DBS, OCBC "is a laggard...in the digitializing processes" according to a September research note by CGS-CIMB but is now eyeing one of Singapore's coveted digital-banking licenses.

The Chinese banking system is having a tough year. While the big banks are generally in fine shape, many smaller lenders are troubled. At some small lenders, primarily in rural areas, bad debt levels approach 40%. Beijing has already taken the unprecedented step of bailing out a trio of banks in succession this year, beginning with Baoshang Bank in May, and then moving on to Bank of Jinzhou and Hengfeng Bank.

Malaysia's digital payments sector is heating up as fintechs and incumbents enter into partnerships in a bid to strengthen their positions in the fast growing market. Research by Visa shows that 70% of Malaysians prefer to shop at retail outlets where merchants accept digital payments. The Malaysian market of 32 million people has plenty of room to grow, as cash still accounts for 60% of transactions. JPMorgan Chase expects that fast adoption of e-payments by Malaysians could see digital wallets surpass cash use by 2021.

Africa is integral to China's mammoth Belt and Road Initiative (BRI), a $1 trillion infrastructure plan intended to deepen economic links between China and the world. BRI in Africa usually brings to mind the construction of bridges, rail lines, airports and roads across the continent, but it increasingly involves digital infrastructure too. Africa, where China has been steadily building its presence since 2000, offers Chinese fintech investors opportunities they can't easily find elsewhere. It's one of the world's fastest growing consumer markets, is expected to reach a population of 1.7 billion by 2030 and is eager to boost financial inclusion with digital banking.

Research by Hong Kong University shows that the city's fintech sector grew steadily from April 2018-March 2019. According to HKU's data, the Hong Kong FinTech Growth Index for 2019-20 increased by 52.9% during that period. Looking primarily at fintech customer adoption rate, the picture is relatively rosy - that figure grew by 113% compared with the 2018-19 fiscal year.

Examining the business environment though, the picture no longer looks so rosy. That metric only grew by 5% during the same period. Despite positive developments in terms of funding and capital allocation, concerns about the investment environment, government policy and regulations weighed on the fintech business environment, HKU found.

As tensions between China and the United States have escalated, the financial sector has been affected. The future of Chinese firms in U.S. capital markets has never been more uncertain, with the possibility of forced delisting real. Even if the related legislation never makes it to the Senate floor, Chinese firms will face much greater scrutiny than in the past when they file for an IPO on the New York Stock Exchange or the Nasdaq.

Yet, the fintech arm of Ping An, China's largest insurance company, has decided to file for an IPO in the U.S. anyway. Analysts had reckoned that Ping An's SoftBank-backed fintech unit, which is named OneConnect, would go public in Hong Kong, raising up to US$2 billion. OneConnect listed its offering size in the U.S. as $100 million, according to The Financial Times.

Recent media reports highlight falling fintech funding in Asia, citing new research by CB Insights. CB Insights reckons that Asia's fintechs will raise about US$4 billion this year, compared to more than US$23 billion last year. Ostensibly, it looks like a fintech winter is upon us, or at least a chilly autumn.

South Korea has been something of a fintech laggard compared to its neighbors in East Asia. Demand for native digital banking services among Korean consumers and businesses is robust, but regulators have erred on the side of protecting incumbents. South Korea's Financial Services Commission (FSC) even rejected all the applicants for virtual-banking licenses earlier this year.

The arrival of open banking could give South Korea's financial services sector a much needed shot in the arm, improving consumer choice and pushing banks to up their game. Customers would be able to manage multiple accounts and withdraw and transfer money from a single smartphone app.

The Philippines is in danger of being listed once again as a high-risk money laundering country by the Financial Action Task Force (FATF), a global AML watchdog. To avoid ending up on a list that includes countries such as North Korea and Iran, Manila must address weaknesses in its AML and counterterrorism financing capabilities.

There is no doubt that fintech has boosted financial inclusion in China. Affordable banking services provided by the digital finance duopoly of Alibaba and Tencent have helped millions of individual Chinese and small businesses gain access to credit that traditional lenders would never have extended to them. In Tencent's case, its WeBank has performed a rare feat for a fintech: It has quickly become profitable (in under five years), built tremendous scale and largely escaped the ire of regulators.