Singapore banks' regulatory, prudential framework strong: Fitch

Singapore

FITCH Ratings says that the prudential and regulatory framework for banks in Singapore remains strong. The country's central bank, the Monetary Authority of Singapore, continues to be proactive in its oversight of the banking sector, and local regulatory standards are progressing apace with global best practices, Fitch says in a new report on the Singapore banking system and prudential regulations.

Singapore banks have maintained high capitalisation under the MAS's Basel III capital rules, and this is likely to remain one of their rating strengths. Minimum capital ratios required by the MAS under Basel III - at 2 percentage points above those prescribed by the Basel Committee - are higher than those in many other jurisdictions.