The Monetary Authority of Singapore (“MAS”) has issued a consultation paper on its proposals on liquidity coverage ratio disclosure requirements. Closing date for feedback is 9 November 2015.

In November 2014, MAS updated its liquidity regulations for banks. In particular, the liquidity coverage ratio (“LCR”) requirement was introduced for domestic systemically important banks in Singapore. MAS is now consulting on a set of proposed disclosure requirements to complement the LCR requirement.

The proposed disclosure requirements closely mirrors those promulgated by the Basel Committee on Banking Supervision for internationally active banks, which comprises a common LCR disclosure template to promote consistency and comparability of liquidity disclosures by banks and accompanying qualitative disclosures to help users understand the information published by banks. It also includes guidance on additional qualitative and quantitative disclosures that banks are encouraged to disclose in order to provide market participants with a broader understanding of the reporting bank’s liquidity risk profile and management.

MAS’s proposals set out in this consultation paper include:

  1. the scope of application of the LCR disclosure requirements;
  2. the retention period for banks’ publicly available archive of LCR disclosures;
  3. the reporting currency for the proposed disclosures; and
  4. the treatment of country-level groups for compliance with the LCR disclosure requirements on a countrylevel group basis.

The proposed LCR disclosure requirements are intended to take effect from 1 January 2016, with banks being required to comply with these disclosure requirements from the date of the first reporting period after 1 January 2016.

REFERENCES

Please click on the following link to access the document.

Consultation Paper on Liquidity Coverage Ratio Disclosure Requirements