The Monetary Authority of Singapore (MAS) recently issued a revised MAS Notice 757, setting out further measures to liberalize its policy on the non-internationalization of the Singapore dollar. Two key changes were announced that directly affect banking activities.
Including: Market Overview; Commercial Bank Financial Requirements; Ownership Restrictions; Merchant Banks; Internet Banks; Foreign Bank Operations; Representative Offices; Internationalization of the Singapore Dollar; The Future
The Monetary Authority of Singapore has announced changes to the capital adequacy ratio for Singapore-incorporated banks. The authority has stated that it is ready to allow banks further flexibility in managing their capital.
The Monetary Authority of Singapore has announced new regulations requiring the separation of financial and non-financial activities of Singapore banks, as part of an ongoing reform initiative to strengthen the domestic banking sector.
The Monetary Authority has announced its approach to the licensing, regulation and supervision of internet banking in Singapore. The authority feels that the risk considerations inherent in internet banking are neither new, nor fundamentally different from those found in other forms of banking. Therefore, the admission criteria for new licence applicants will apply across the board.
The Monetary Authority of Singapore has awarded various foreign banks an assortment of privileges and licences.
The monetary authority wants the country’s commercial banking industry to be internationally competitive. It has therefore begun a five-year programme to liberalize the market, improve corporate governance, and allow greater foreign shareholding.