This month marks the one-year anniversary of the SupTech Platform for bills finance companies. The platform was launched by the Taiwan Depository Clearing Corporation (TDCC) under the supervision of the Financial Supervisory Commission (FSC). Starting from July 1, 2022, the granular data system will completely replace the FSC Financial Examination Bureau’s Single Window Reporting System. From now on, there will only be one official track for bills finance companies to file reports through application programming interface (API) technology. The shift will make their reporting process easier and more time-efficient.

To promote Taiwan’s digitalization of SupTech, short for Supervisory Technology, the Digital Regulatory Reporting (DRR) was officially launched in June last year. The new mechanism helps bills finance companies achieve automated reporting through API, verify the accuracy of data online, consolidate granular data from the other systems of the FSC-governed financial institutions, generate visualized supervisory information for supervisory offices, issue real-time alert notifications, and add other smart supervisory features.

The operation of the DRR is based on the life cycle of bills which may last at most for a year. Therefore, Taiwan has maintained a two-track structure for a year during which the DRR System and the Single Window Reporting System coexisted. The statistics show that the amount of supervisory data collected through the granular data method is 50 times larger than before. The new method accumulates multidimensional granular data such as financial, business, and credit information and uses consistent formulas to generate supervisory data with multiple layers as well as higher comparability and flexibility. Furthermore, visualization dashboards make it easier for supervisory agencies to carry out in-depth exploration. They can also discover the core focus to conduct real-time risk analyses of the entire market and each institution.

TDCC Chairman Han-Chiang Chu said that the DRR has been looking at data through a granular lens to build a solid station for big data and it is taking shape. To keep up with the rapid development of digital finance, the TDCC also took the initiative to deploy machine learning models. With AI in SupTech, the entire market can complete consolidation in a smart approach. Predictive analytics is also one of the DRR functionalities that make it easier to track financial activities by detecting unusual reporting and doing behavioral analyses of issuers. There is no best, only better. The TDCC will dedicate itself to harnessing emerging technologies and helping the supervisory agencies build a steadier financial market.