MAS Announces US$60 Billion Swap Facility with the US Federal Reserve as part of Coordinated Central Bank Actions
Singapore, 19 March 2020...The Monetary Authority of Singapore (MAS) announced the establishment of a US$60 billion swap facility with the US Federal Reserve (Federal Reserve).
2 Financial markets globally have come under strain in reaction to the now-widespread COVID-19 outbreak. On 15 March 2020, six central banks
3 MAS intends to draw on this swap facility, which will be in place for at least six months, to provide USD liquidity to financial institutions in Singapore. MAS will work out the operationalisation of the facility in consultation with the Federal Reserve, and will provide details next week on how it will be implemented in Singapore.
4. The swap facility complements MAS’ management of the Singapore Dollar (SGD) market. Through its market operations, MAS will continue to provide ample SGD liquidity to support the needs of the banking system. In addition, the MAS Standing Facility is available for all eligible banks to deposit or borrow SGD funds against specified collateral.
5 These measures will reinforce the stability of the financial system in Singapore and support its role in providing credit and essential financial services to the economy.
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