Bank for International Settlements, SARB launch 6th edition of the G20

The South African Reserve Bank and the Bank for International Settlements have announced the launch of the 2025 G20 TechSprint, a collaborative effort between the G20 Presidency and the BIS Innovation Hub. This initiative aims to bring together innovators from around the world to find technological solutions for central banks and financial sector regulators. Lyle Horsley, Head of Fintech at the South African Reserve Bank, shed light on the purpose and impact of the G20 TechSprint in a recent interview with CNBC Africa. Horsley described the G20 TechSprint as a global hackathon focused on addressing policy questions and challenges faced by central banks and regulators. Innovators and developers are invited to participate and contribute their ideas to create solutions for the identified problems. The event serves as a platform for exploring innovative technologies and finding ways to leverage them positively in the financial sector. The interview highlighted the success and progress of the TechSprints conducted so far. Horsley expressed satisfaction with the quality of work and the innovative solutions that have emerged from previous editions. Past TechSprints have tackled various topics such as central bank digital currencies, sustainable finance, and cross-border payments. With the latest edition focusing on trust and integrity, the aim is to enhance the financial system's resilience and security. The TechSprint has identified three critical challenges for participants to address, all geared towards building trust and integrity within the financial sector. These challenges include developing innovative digital identity solutions, ensuring credit data portability for SMEs, and mitigating the risks of fraud and cyber attacks in fast payment systems. By addressing these challenges, the TechSprint aims to strengthen the foundations of trust and integrity in finance. Transitioning the discussion to his role at the South African Reserve Bank, Horsley revealed some of the key areas the Fintech team is currently focusing on. These include central bank digital currencies, AI in financial services, and crypto assets. The team is also utilizing a regulatory sandbox to collaborate with Fintech companies and explore new opportunities for innovation. However, Horsley acknowledged the challenges posed by the rapid pace of technological change and the need to balance innovation with risk management. Regulators face the task of keeping up with evolving technologies while ensuring the safety and stability of the financial system. Collaborative efforts with institutions like the Bank for International Settlements offer valuable insights and opportunities for knowledge sharing. The interview concluded with Horsley elaborating on the collaboration between the South African Reserve Bank and the BIS Innovation Hub beyond the TechSprint. Projects such as Project Dunbar and Project Promisa have explored central bank digital currencies and DLT-based infrastructures for financial instruments. These partnerships pave the way for ongoing collaboration and future projects to drive innovation in the financial sector. In a rapidly evolving technological landscape, initiatives like the G20 TechSprint play a crucial role in promoting collaboration, innovation, and trust within the financial industry. By harnessing the collective expertise of global innovators, central banks and regulators can address complex challenges and pave the way for a more resilient and secure financial ecosystem.