Assessing Aggregate Exposure of Singapore-domiciled Financial Institutions to US Private Credit

Mr Kenneth Tiong Boon Kiat asked the Prime Minister and Minister for Finance given US private credit defaults reached a record 9.2% in 2025 and the Bank of England, European Central Bank (ECB) and the US Securities and Exchange Commission (SEC) have each initiated supervisory reviews of private credit risk exposure (a) whether MAS has assessed the aggregate exposure of Singapore-domiciled financial institutions to US private credit; (b) whether MAS has conducted or plans to conduct equivalent stress tests; and (c) if not, why not.

Singapore financial institutions have very small exposure to private credit.

The Monetary Authority of Singapore regularly monitors the risk exposures of Singapore financial institutions as part of our supervisory oversight. This includes engaging financial institutions on stress testing their balance sheets, which features global financial stress scenarios, such as defaults on private credit assets.