Regulatory Alerts2026-05-22
Added · Updated
MAS Notice 1012 Credit Facilities to a Counterparty or Group of Counterparties
Merchant Banks incorporated in Singapore must not permit the aggregate of their credit facilities to any counterparty or group of counterparties to exceed 30% of their capital funds at both standalone and group levels. The notice defines credit facilities, establishes aggregation rules for groups of counterparties, and allows for a limit increase to 100% with Authority approval under specific conditions. It also imposes restrictions on unsecured credit facilities to directors, employees, and related corporations, and requires banks to implement policies to manage concentration of exposures. This Notice takes effect on 1 July 2021.
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