Singapore's Role in Regional Liquidity & Repo Markets

MAS liquidity operations

MAS conducts money market operations, including repos against eligible collateral, to manage banking system liquidity. It also offers standing facilities through which eligible institutions can obtain Singapore dollar liquidity against collateral. MAS publishes the details, eligible collateral and terms of these facilities on its website.

SGS repo market

SGS bonds and bills are used as collateral in interbank repo and in MAS operations. Primary dealers support liquidity in the secondary market. Practitioners track specials in individual issues around auctions and index events.

USD funding and booking centre

Many global banks run their Asian treasury and repo books from Singapore, using it to fund USD assets in Asian hours through FX swaps and repo against US Treasuries and other high-quality bonds. A strong legal framework and well-developed netting opinions support its role.

• Treasury desks centralise regional liquidity management.
• Repo trades with regional counterparties are often booked in Singapore entities.
• Triparty and international CSD services are used to mobilise collateral during Asian hours.

Regulatory context

Banks in Singapore apply Basel-based liquidity rules, including the liquidity coverage ratio and net stable funding ratio as implemented by MAS. These rules shape demand for high-quality liquid assets and the cost of short-dated repo.