Reed Smith Client Alerts

On 7 February 2019, the Monetary Authority of Singapore (MAS) issued two consultation papers – one on proposed amendments to the Banking Act (the Banking Act CP), and a second on outsourcing by banks and merchant banks (the Outsourcing CP). This client alert summarises the key proposals set out in those papers and outlines some of the key practical considerations which arise for industry participants.

Autoren: Hagen Rooke Peter Zaman Charmian Aw Carolyn Chia (Resource Law LLC), Tania Teng (Resource Law LLC)

Background

The proposals follow close on the heels of the previous amendments to the Banking Act that took effect on 30 November 2018. The rationale for these latest changes is to strengthen the regulation of banks and credit card and charge card licensees, further formalise existing supervisory requirements, and support the decision to remove the divide between the Domestic Banking Unit and the Asian Currency Unit (first consulted on by the MAS in August 2015, and due to become effective on 1 October 2020).

The consultation period under both the Banking Act CP and the Outsourcing CP closes on 8 March 2019.