Singapore : report on the observance of standards and codes

The Monetary Authority of Singapore (MAS) shows a very high level of compliance with the Basel Core Principles and demonstrates a strong commitment by MAS to their implementation. MAS’ current institutional reliability and its commitment to a prudent and sound domestic financial system have contributed to the strong economic development of Singapore and its role as one of the leading financial centers in the world. MAS has built a strong and experienced supervisory staff that has put in place an effective supervisory and regulatory framework that includes active and constructive engagement with the management and boards of financial institutions under MAS supervision. To a large degree, this is a consequence of the strong support of the current Singaporean government for an effective and well-resourced MAS. That said, a high degree of compliance with the core principles is not a guarantee (nor should it be) against the failure of banks. Banking supervision is intended to minimize the likelihood of bank failures, and to deal swiftly and effectively with troubled institutions to minimize the cost of any failures and to preserve financial stability