, Singapore

MAS to set expectations on credible transition planning

The guidance will cover FIs governance frameworks in managing climate-related financial risks.

The Monetary Authority of Singapore is set to issue a consultation paper that sets supervisory expectations for financial institutions in their transition planning processes for the credible decarbonisation of their clients.

The guidance will cover financial institutions’ governance frameworks and client engagement processes to manage climate-related financial risks and  enable transition in the real economy towards net-zero, MAS said.

“Financial institutions should not indiscriminately de-risk from particular sectors, but instead carefully assess clients’ transition  plans and provide the needed financing for transition where the plans are credible,” MAS said in a statement.

MAS said that it will recognise that a short-term increase in their financed emissions may arise due to actions supporting longer term climate positive outcomes. 

MAS and other government agencies are also collaborating with industry players to explore platforms to channel blended finance at scale into transition and green infrastructure projects in the region. 

“MAS aims to bring together patient, concessionary capital from philanthropies, multilateral development  banks, development finance institutions, and donor partners. This will in turn help to crowd  in more conventional infrastructure financiers, including banks, and institutional investors,” the statement read.

Details will be announced when the plans are more developed.

Follow the link for more news on

Join Asian Banking & Finance community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!


Regulatory caps on neobanks’ operations could stifle growth, expert warns
Despite questions arising from the recent rise of deposit caps in neobanks, incumbent banks are left unfazed.
Tempered adoption of AI tools may spell greater leap for fintech firms
Expert underscores generative AI’s strength in streamlining front-of-office work, but banks on human expertise for in-depth development.
Advisory takes centre stage in Danamon's next-Generation Branches
Danamon’s next-generation branches reshape banking by performing more advisory functions and improving customer experiences.