MAS SGD Facility for ESG Loans
The MAS SGD Facility for ESG Loans (“Facility”) provides low-cost funding for banks and finance companies to grant loans under Enterprise Singapore’s Temporary Bridging Loan Programme ("TBLP") and Enterprise Financing Scheme – SME Working Capital Loan (“EFS-WCL”). The TBLP provides additional cash flow support for Singapore-based companies in all sectors to meet their working capital needs, while the EFS-WCL helps Singapore-based small and medium enterprises (“SMEs”) access financing for their operational cash flow needs. Banks and finance companies participating in the TBLP and EFS-WCL can apply for funds at the Facility to support loans made under the TBLP and EFS-WCL until 30 September 2022. The reduction in funding cost will help to lower the interest rates charged to eligible corporate borrowers.
Key Details
Eligible Counterparties | Participating banks and finance companies in the TBLP and EFS-WCL administered by Enterprise Singapore (“ESG Loan Schemes”) |
Transaction Type |
Collateralised borrowing or Repurchase transaction |
Tenor | 2-years |
Rate |
Fixed rate of 0.1% p.a (up to April 2022 application window) |
Amount | Drawdown allowance for each Eligible Counterparty will be based on the total amount disbursed to local enterprises for loans under the ESG Loan Schemes received by 30 September 2022, which are not using ESG funds. |
Eligible Collateral |
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Initial Haircuts | Collateral haircuts will be sent to Eligible Counterparties upon request. |
Application and Settlement Window | Monthly, from April 2020 till October 2022, and two additional windows in January 2023 and April 2023. Application Schedule (112 KB) (updated as at 18 February 2022) |
Terms and Conditions | Available to Eligible Counterparties upon request. |