MAS, MOF, and Ministry of National Development will continue to keep a close watch over developments in the property market. Mas’ financial performance MAS’ profit and loss position in the financial year 2015–16 (FY2015/16) showed a profit of $ In the financial year 2014–15 (FY2014/15), MAS recorded a profit of $ billion. Holding the $ exchange rate constant to strip out currency translation effects, foreign investment gains amounted to $ billion in FY2015/16, compared to $ billion in FY2014/15. The lower foreign investment gains reflected the decline in global equity markets in FY2015/16. The financial centre: robust and resilient Singapore’s financial centre has grown handsomely in recent years and is today regarded as one of the top five centres in the world. MAS’ role is to work closely with the industry to ensure that Singapore’s financial centre is robust and resilient; clean and trusted; and dynamic and purposeful. Let me speak briefly on each of these dimensions. Our banks and the financial sector remain robust and resilient despite the challenging global economic conditions. The banking system’s ratio of non-performing loans (NPLs) was 1.7% in the first quarter,, up from 1.3% a year ago. Exposures to regional economies and the oil and gas industries, which are experiencing slowdowns, have contributed to this rise in NPLs. This is to be expected: when economic conditions weaken, it is only natural that NPLs will rise. What is important is that the NPL ratio remains low and banks are resilient against any rise in NPLs.

MAS is currently working with industry to unlock more investment flows into infrastructure via capital markets. This includes developing an infrastructure debt takeout facility to facilitate the transfer of infrastructure debt from banks to institutional investors. A group of banks and investors has agreed to conduct a “proof of concept” pilot transaction in September this year. In the promotion of FinTech, MAS has been updating its regulatory framework to ensure that it remains conducive to innovation while providing the necessary safeguards. We have proposed a regulatory sandbox for FIs and non-financial players to experiment with FinTech solutions while limiting the consequences of product failure. We have issued guidelines to enable start-ups and SMEs to more easily access securities-based crowd-funding. We will soon be issuing new guidelines which will provide clarity for FIs leveraging on cloud services to fulfil business and operational needs. Finally, the financial sector continues to create good jobs and build relevant skills. Last year, the financial services sector created a net total of 4,500 jobs. There is a compositional shift towards front office and higher value-added jobs. Demand for talent is strong in sectors such as asset and wealth management, corporate banking, and insurance. Demand is also strong in compliance roles, and technology related fields like cyber security and application development. But there is consolidation in back office jobs, such as roles in lower-skilled IT infrastructure management, operations, and support. Under the national SkillsFuture programme, MAS introduced new initiatives last year to help finance professionals deepen their expertise and acquire new cross-functional capabilities.