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US Dollar Swap Facility

In June 2009, the temporary reciprocal currency arrangement (swap lines) between MAS and the Federal Reserve was extended further. The swap facilities allowed the Federal Reserve to provide US dollar liquidity, through central banks, to financial institutions in sound, well-managed and systemically important financial centres.

This was aimed at improving liquidity conditions in global financial markets and mitigating the spread of difficulties in obtaining US dollar funding. The arrangement helped to enhance the robustness of the US dollar funding and foreign exchange markets in Singapore by reinforcing confidence among global financial institutions. The facility expired in February 2010 and there was no need for MAS to draw on it.