The Monetary Authority of Singapore (MAS) began operations on 1 January 1971 under the Ministry of Finance (MOF). It was given the powers to act as banker to the financial agent of the Government. It has also been entrusted to promote within the general context of the economic policy of the Government, monetary stability and credit and exchange policies conducive to the growth of the economy.
MAS administered the various statutes pertaining to money and banking namely: the Banking Act of 1970; the Finance Companies Act of 1967; the Exchange Control Ordinance of 1953; the Local Treasury Bills Act of 1967; and the Development Act of 1967. In addition, there were provisions for other functions, duties and powers of MOF relating to banking, investment, and other financial affairs transferred to MAS. Prior to 1970, the various monetary functions associated with a central bank were performed by several government departments and agencies. In April 1977, the Government decided to bring the regulation of the insurance industry under the wing of the MAS. The regulatory functions under the Securities Industry Act of 1973 were also transferred to MAS in September 1984.
As of 2008/2009, MAS is under the purview of the Prime Minister’s Office and still maintains itself as the central bank of Singapore. Its mission is to promote sustained non-inflationary economic growth, and a sound and progressive financial centre. MAS’ functions are: i) To act as the central bank of Singapore, including the conduct of monetary policy, the issuance of currency, the oversight of payment systems and serving as banker to and financial agent of the Government; ii) To conduct integrated supervision of financial services and financial stability surveillance; iii) To manage the official foreign reserves of Singapore; and iv) To develop Singapore as an international financial centre. MAS is divided into twenty-two departments under five groups.
