ANCHOR OF ECONOMIC

AND FINANCIAL STABILITY

MANAGEMENT OF LIQUIDITY
BROADENING RANGE OF ELIGIBLE COLLATERAL AT MAS' LIQUIDITY FACILITIES

In line with the introduction of the Liquidity Coverage Ratio (LCR) requirements, the range of acceptable collateral at MAS' liquidity facilities has been expanded to include:

  • AA-rated SGD bonds issued by supranationals, sovereigns, sovereign-guaranteed corporates and public sector entities; and
  • AA and AAA-rated SGD bonds issued by corporates.

This enhances MAS' ability to provide banks with liquidity and helps maintain stability in funding markets. This also increases the efficiency of banks' balance sheet management by allowing them to hold on to a broader pool of high quality SGD securities that can be used to raise funds in times of stress