MAS issued a Monetary Policy Statement (MPS), maintaining
the current policy of a modest and gradual appreciation
of the Singapore Dollar Nominal Effective Exchange
Rate (S$NEER) policy band.
MAS released the Macroeconomic Review (MR), April
Parliament approved further changes to the Companies
Act, whereby investors and creditors no longer
need to rely on par value in calculating paid-up
share capital to get an accurate reading of a
company’s underlying value.
MAS signed a regulatory Memorandum of Understanding
(MOU) with the China Insurance Regulatory Commission
The Singapore Exchange (SGX) proposed enhancements
to its listing rules and processes in order to
raise corporate governance standards.
MAS released the Financial Stability
Review, June 2005.
06.06.2005 – 10.06.2005
MAS, together with other Singapore government
agencies, organised and hosted a Plenary Meeting
of the Financial Action Task Force.
MAS released a consultation paper on the draft
Financial Advisers (Traded Endowment Policies
and Traded Life Policies – Prescribed
Investment Products) Regulations 2005.
The Securities and Futures (Amendment) Act 2005
clarified the regulatory framework for markets
and introduced a designation approach for clearing
facilities. The Financial Advisers (Amendment)
Act 2005 came into force as well.
A revised voluntary code of corporate governance
was unveiled by the Ministry of Finance.
MAS released a staff paper documenting the evolution
of the macromodelling work undertaken at the
Economic Policy Department since 1986.
MAS allowed banks to grant housing loans of up
to 90% of the property value, up from the previous
loan-to-value limit of 80%.
Parliament approved the Central Provident Fund
(Amendment) Bill which will allow private insurers
to take over the administration of the MediShield
Plus Scheme and the Dependents’ Protection
MoneySENSE published findings of the first national
financial literacy survey.
Senior central bankers from Thailand, Indonesia,
the Philippines and Singapore met to exchange
views on monetary policy issues at the Monetary
Policy Forum of the 50th Anniversary Conference
of the Singapore Economic Review, co-organised
by MAS and the Economic Society of Singapore.
Professor Edward Prescott, 2004 Nobel Laureate
in Economics, who delivered the keynote address
at the Forum, also visited MAS.
Parliament passed new rules to counter money
laundering and terrorism financing activities
at remittance houses and money changers.
MAS signed a Memorandum of Understanding with
the Emirates Securities and Commodities Authority.
MAS directed DC William Insurance Brokers Pte
Ltd, a registered direct insurance broker,
to cease arranging new insurance contracts
and renewals of insurance contracts, for failing
to maintain its net asset value at the statutory
minimum of S$150,000 and for failing to deposit
insurance premiums collected from clients into
its insurance broking premium account.
MAS launched the Financial Industry Disputes
Singapore’s first exchange-traded bond
fund, Asian Bond Fund (ABF) Singapore Bond Index
Fund, made its debut on the SGX.
MAS and the International Monetary Fund (IMF)
jointly hosted a high-level seminar on Asian
financial integration in Singapore.
MAS released a staff paper on the macroeconomic
reform agenda of developing countries in the
MAS issued enhanced Corporate Governance Regulations
and Guidelines on Corporate Governance.
MAS and the Securities and Exchange Commission
of Thailand signed a letter of intent setting
out initiatives for bilateral cooperation in
SGX, along with the Jakarta Stock Exchange, Bursa
Malaysia, the Philippine Stock Exchange, the
Stock Exchange of Thailand and global index
provider FTSE Group launched a series of equity
indices known as the FTSE/ASEAN series.
MAS announced that banks in Singapore will
be able to offer Murabaha financing.
Singapore was admitted as a signatory to the
International Organisation of Securities Commissions
Multilateral Memorandum of Understanding, which
seeks to enhance information sharing and cross-border
enforcement among securities regulators.
MAS signed an MOU with the Financial Services
Authority, the United Kingdom’s financial
services and markets regulator.
MAS issued a MPS, maintaining its current policy
of a modest and gradual appreciation of the S$NEER
policy band, with no change in the level, slope
or width of the policy band.
The Securities and Futures (Amendment) Act 2005
introduced prospectus exemption for small offerings
and enhanced prospectus disclosure requirements
to raise the quality of information to investors.
MAS revised the real estate investment trust
(REIT) guidelines to strengthen the regulatory
regime covering REITs.
The MAS (Anti-Terrorism Measures) (Amendment)
Regulations 2005 took effect.
MAS released the MR, October 2005.
MAS and the Bank of Japan, acting as an agent
for the Minister of Finance of Japan, renewed
their bilateral swap arrangement under the
Chiang Mai Initiative. The revised agreement
features a significant increase in size from
US$1 billion to US$3 billion from Japan to
Singapore and a new commitment of US$1 billion
from Singapore to
To deal with the increasing trend in e-banking
threats and internet attacks, MAS issued a circular
to all banks asking them to implement
two-factor authentication for all their internet
MAS issued Corporate Governance Regulations for
Approved Exchanges, Designated Clearing Houses
and Approved Holding Companies.
MAS hosted the 2005 IMF Article IV Consultation
on Singapore’s economic developments
MAS released the Financial Stability Review,
MAS issued a Notice on Dual Currency Investments
under the Financial Advisers Act.
Singapore and Vietnam signed a Framework Agreement
on Vietnam-Singapore Connectivity, which provides
for enhanced financial services co-operation
between MAS and Vietnamese financial agencies.
MAS released a consultation paper on the proposed
Nomination of Beneficiaries framework.
MAS released a staff paper analysing the welfare
impact of trade reforms in ASEAN countries.
SGX and Chicago Board of Trade established a
joint venture to develop a derivatives exchange
for Asian commodities called Joint Asian Derivatives
MAS released a staff paper on the implications
for Asia of China’s emergence as a manufacturing
MAS issued a circular to financial institutions
to provide further guidance on Business Continuity
Management (BCM), focusing on flu pandemic
and security threats.
Parliament passed the Payment Systems (Oversight)
Act to provide oversight of payment systems
and stored value facilities in Singapore.
The Trust Companies Act framework was operationalised.
MAS published a list of 32 formal regulatory
and enforcement actions on market conduct matters
taken against companies and individuals in
MAS commenced regulation of trust companies under
the new Trust Companies Act.
MAS announced that the Singapore Deposit Insurance
Corporation Limited has been set up to administer
the deposit insurance scheme and manage the
deposit insurance fund.
Prime Minister and Minister for Finance Lee Hsien
Loong announced several tax measures in his
budget speech to promote further growth and
development of Singapore’s financial
sector, including measures to build up the
depth and breadth of the capital markets and
to further promote risk management and treasury
activities in Singapore.
SGX, FTSE and Yasaar Consultants launched the
first Asian shariah-compliant index, the FTSE-SGX
Asia Shariah 100 Index.
MAS issued guidelines to provide financial institutions
with guidance on sound risk management practices.
MAS tightened the admission criteria for boutique
corporate finance advisory firms.
SGX offered an over-the-counter clearing service
for oil derivatives and dry bulk forward freight
MoneySENSE held the inaugural MoneySENSE Roadshow.
The event conveyed simple financial education
messages to the public though fun games and