Global FinTech Guide
Country Name
RegTech and compliance management
RegTech is composed of the words “regulatory” and “technology”. It is a collective term for the application of modern technologies, to get the increasing regulation in the banking- and financial sector under control both from an IT and a legal standpoint.


Attitude of the country towards RegTech-services

Given the strong governmental support and that the technology is already being utilised within the regulatory and compliance sectors, the climate towards RegTech in Australia can be considered as positive.

In 2018, ASIC received federal government funding to promote Australia as a world leader in developing and adopting RegTech solutions. This program has been used to develop several RegtTech initiatives including a Technology Assisted Guidance (Tag) Tool trial, a program that helps businesses deal with the credit and financial services licensing regulatory framework. ASIC recognises the potential in the technology and is committed to promoting and supporting its use within Australian businesses.

Further government support has been provided with the publication of an Information Paper promoting the potential use of regulatory technology in October 2020. This area of FinTech has the potential to significantly grow within the Australian market, given the strong political and social support.

Legal affairs  

Obligations and requirements to provide RegTech-services

RegTech is generally not subject to further regulations or legislative requirements. FinTechs which provide compliance and related regulatory services to other financial institutions do not need to be licenced. They are not required to hold an AFSL and are not subject to ACL and AML requirements

Additional comments regarding the legal situation for RegTech-services or what RegTech’s must be aware of in this business area


Economic conditions

Market size for RegTech-services and biggest companies in this business area

In 2020, Australia was said to be the world's third largest RegTech hub behind the US and the UK. Australia has 80 RegTech hubs out of 600 globally and has grown by 15% since 2015. This has significantly outpaced the global growth of 6%.

Additional comments regarding the economic situation for RegTech-services or what RegTech’s must be aware of in this business area

Despite Australia’s share in the global RegTech, Australian RegTech companies have not attracted ongoing investment with Boston Consulting Group’s stating that investment in local RegTechs has declined by 50% since 2018, with only 1% of the global investments made to Australian RegTech companies.



© 2022, Macpherson Kelley. All rights reserved by Macpherson Kelley as author and the owner of the copyright in this chapter. Macpherson Kelley has granted to Multilaw non-exclusive worldwide license to use and include this chapter in this guide and to sublicense Lexis Nexis, a division of RELX Inc. and its affiliates certain rights to use and distribute this guide.

The information in this guide provides a general overview at the time of publication and is not intended to be a comprehensive review of all legal developments nor should it be taken as opinion or legal advice on the matters covered. It is for general information purposes only and readers should take legal advice from a Multilaw member firm.


Choose country