With one of the highest savings rate in the world, at approximately 30% of GDP which currently amounts to USD750 billion, a well-integrated regional financial system would provide a more comprehensive eco-system for an efficient and competitive intermediation and investment. An important component of ASEAN growth is the critical role of SMEs in all economies. The AEC recognise this and calls for SMEs to play a greater role in contributing to the overall economic growth and development of ASEAN as a region. Access to financing, however, remains a key challenge for many businesses. Despite various national level efforts, more needs to be done for SMEs to obtain access to financing, including the funding required to grow their business beyond national borders. The credit gap for SMEs in East Asia is estimated to be more than USD250 billion.2 The difficulties in access to financing are compounded by underdeveloped financial systems, the need to manage multiple banking relationships across different markets, and a lack of coordinated financial advisory support to help businesses navigate the regulatory and business environment in different jurisdictions. A larger presence of regional financial institutions can significantly reduce these challenges. 1  Speech by David Lipton, First Deputy Managing Director, IMF on 19 March 2015 entitled “ASEAN – The Challenges of Convergence and Integration”. 2  Sources: International Finance Corporation and McKinsey & Company, “Two trillion and counting – Assessing the credit gap for micro, small, and medium-size enterprises in the developing world”, October 2010.

f-NExT will assess the training needs of the financial sector holistically, and identify gaps in skills requirements. f-NExT will also strive to attract world-class training providers to set up in Singapore. Reputable training providers will be encouraged to set up more training centres to meet the industry's demands for specialised courses. IBF will gradually phase out training courses which overlap with programmes offered by other training providers. 4  International profile  As a leading financial centre, Singapore has a stake in a sound and stable international financial system. MAS is actively involved in the Financial Stability Forum (FSF), and initiatives undertaken by the Bank for International Settlements (BIS) to strengthen national and cross border supervisory standards and capital adequacy of banks, market surveillance, and payments and settlement systems. MAS participates actively at the International Organisation of Securities Commissions (IOSCO), contributing to its work in developing principles and guidelines, which serve as global best practice standards. MAS is also an Executive Committee member of the International Association of Insurance Supervisors (IAIS), which is the global standards-setting body for insurance supervision. Singapore is actively involved in regional financial fora, including ASEAN, APEC, the South East Asia Central Bank (SEACEN) Governors, and the Manila Framework Group. MAS is also engaged in expanded technical assistance to central banks and regulators in the Asia-Pacific over the past year, including training programmes on macroeconomic management and financial supervision.