MAS Notice 636 on Negotiable Certificates of Deposit

MAS Notice 636 1 March 2004 Last revised on 15 March 2023* NOTICE TO BANKS BANKING ACT, CAP 19 Negotiable Certificates of Deposits This Notice is issued pursuant to section 55(1) of the Banking Act (Cap. 19)[“the Act”] and relates to the issuance and safekeeping of NCDs and bearer securities. [MAS Notice 636 (Amendment) 2021] 2. This Notice applies to all banks in Singapore that issue, or acts as an authorised depository for, NCDs or bearer securities. [MAS Notice 636 (Amendment) 2021] Definitions 3. In this Notice – “NCD” means negotiable certificate of deposits; [MAS Notice 636 (Amendment) 2021] “securities” has the same meaning as in section 2(1) of the Securities and Futures Act (Cap. 286). [MAS Notice 636 (Amendment) 2021] 4. The expressions used in this Notice shall, except where expressly defined in this Notice or where the context otherwise requires, have the same respective meanings as in the Act. 5. A bank1 issuing an NCD must do so in minimum denominations of S$100,000. To avoid any doubt, where a bank issues an NCD denominated in a foreign currency, the minimum denomination will be the foreign currency equivalent of S$100,000. [MAS Notice 636 (Amendment) 2021] 1 Wholesale banks should also refer to the Guidelines for Operation of Wholesale Banks on the conditions for the issuing bonds and NCDs in Singapore.

2 6. [Deleted by MAS Notice 636 (Amendment) 2021] 7. [Deleted by MAS Notice 636 (Amendment) 2021] Authorised Depositories 8. A bank must lodge every NCD and bearer security that it issues with any of the following authorised depository for safekeeping: [MAS Notice 636 (Amendment) 2021] (a) a bank in Singapore; [MAS Notice 636 (Amendment) 2021] (b) a merchant bank in Singapore; [MAS Notice 636 (Amendment) 2021] (c) the Depository as defined in section 81SF of the Securities and Futures Act; [MAS Notice 636 (Amendment) 2021] (d) a depository under the Euroclear system operated by Euroclear Bank S.A./N.V.; [MAS Notice 636 (Amendment) 2021] (e) a depository under the Clearstream system operated by Clearstream Holding AG or its subsidiaries; [MAS Notice 636 (Amendment) 2021] [MAS Notice 636 (Amendment) 2023] (f) any other depository as the Authority may approve. 9. This Notice shall take immediate effect on 1 March 2004. *Notes on History of Amendments

1. MAS Notice 636 (Amendment) 2004 with effect from 25 May 2004.
2. MAS Notice 636 (Amendment) 2021 dated 28 June 2021 with effect from 1 July 2021.
3. MAS Notice 636 (Amendment) 2023 dated 15 March 2023 with effect from 16 March 2023.