Credit Suisse’s Singapore assets represent 1.6% of local banking sector: MAS

THE Singapore branch of Credit Suisse has total assets amounting to about S$38 billion as of Feb 28, 2023, representing 1.6 per cent of the total assets of Singapore’s banking sector, said a spokesperson from the Monetary Authority of Singapore (MAS).

This excludes intra-group balances, according to the statement from Singapore’s central bank which came in late on Tuesday (Mar 21).

MAS had said on Monday that the embattled Swiss lender would continue operating in Singapore with no interruptions or restrictions following its announced takeover by UBS. Credit Suisse’s takeover by a rival bank, a deal brokered by the Swiss government, was aimed at stopping the stricken bank from triggering a wider international banking crisis.

MAS sought to calm nerves over the negative kneejerk reaction to the takeover news when markets opened on Monday.

It had added in its earlier statement that “MAS will continue to closely monitor the domestic financial system and international developments, and stands ready to provide liquidity through its suite of facilities to ensure that Singapore’s financial system remains stable and financial markets continue to function in an orderly manner”.

It also said that it does not expect UBS’ acquisition of Credit Suisse to have an impact on the stability of Singapore’s banking system.

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Customers of Credit Suisse in Singapore will continue to have full access to their accounts, while the bank’s contracts with counterparties remain in force.

MAS on Monday also said it will remain in close contact with the Swiss Financial Market Supervisory Authority, Credit Suisse and UBS to facilitate an orderly transition, including addressing any impact on employment.