financial crisis. mas is determined that the financial system in singapore remains robust and resilient. our banks have built up strong capital and liquidity buffers, and are well - placed to weather these risks even as they continue to extend credit. our major banks, on average, maintain a healthy common equity tier 1 capital ratio that is more than double the minimum requirement of 6. 5 %. their liquidity buffers are healthy, with all - currency and singapore dollar liquidity coverage 6 / 15 bis central bankers'speeches ratios remaining above the minimum regulatory requirements. mas conducted a stress test against an adverse scenario that is consistent with what we might possibly see in the current covid crisis. our stress scenario assumes that over a two - year period : the level of gdp declines by close to 6 %, point to point over the two - year period. this basically means we go through a recession in 2020 and 2021 ; unemployment rate rises to around 6 % ; equity and oil prices fall by more than 30 % ; and property prices fall by more than 35 %. these are stress scenarios, not forecasts. the stress test showed that our major banks and insurers remain resilient against this very adverse scenario. the banks ’ capital ratios, while diminished, remain above mas ’ minimum requirements. the insurers have pre - emptively bolstered their capital positions and have drawer plans to restore their capital position under severe stress. sustaining the safety and soundness of our financial sector is critical for supporting the broader recovery of the real economy. therefore, notwithstanding the encouraging stress test results, mas has been in close discussions with the banks and insurers on their capital management plans. we want to ensure that they retain adequate capacity to continue providing financial services to support the economy even in extreme tail risk scenarios. credit and insurance reliefs for individuals and smes mas has worked with the financial industry to put together a package of measures to help ease the financial strain on individuals and smes. the relief package was implemented over three tranches, as new needs emerged. it is aimed at helping individuals meet their loan and insurance commitments and supporting smes with continued access to bank credit. let me spell out the various relief measures and their take - up rates as of the end of june 2020. banks and finance companies have been providing reliefs for individuals with difficulty making their loan repayments : nearly 34, 000 mortgage loans now enjoy deferment of principal or interest payments or both, till end december 2020

forge a national consensus on reforms. investors have cited inadequate infrastructure, rigid regulations and bureaucracy as some of the impediments to india's rapid growth. in addition, india cannot grow into a major economy on services alone. it will have to find ways to expand its manufacturing sector to create jobs for the large numbers of young people entering the labour market each year. india has decided to use special economic zones ( sezs ) to spearhead the growth of its manufacturing and export sectors. sezs will create pockets of growth and prosperity. they will have a powerful demonstration effect on the rest of the economy. foreign investors will find it easier and more attractive to locate their factories in an sez. singapore and india have agreed to set up an sez in india and both sides are now working to implement it. china on the rise let me now turn to china. i first visited china in 1971 to do business with them. it was during the height of the cultural revolution. i saw young red guards holding their study sessions in the open. i visited a commune and listened to an old woman singing praises of chairman mao and the liberation. i have visited china regularly since then. i have seen china's transformation through the decades - not just the physical transformation but also the change in mindset and values of the people. pop songs have replaced revolutionary songs. gucci, armani and other luxury brands are worn instead of mao jackets. the communes have given way to industrial parks, like the suzhou industrial park, an integrated township which singapore helped build. and golf has become popular in china. most analysts project china to continue to grow by 8 % per year over the next 10 years. i share this optimism. however, we should not underestimate the immense challenges before china. the chinese leaders certainly do not. premier wen jiabao once explained to me the magnitude of china's problems through the concept of " division and multiplication ". he said that china's resources become very small when divided by 1. 3 billion people, while a small problem becomes huge when multiplied by 1. 3 billion. despite the tremendous changes, china is still underdeveloped and suffers from great imbalances in its development. beijing's top priority now is to spread the fruits of development more widely. the government recognises the risks for the country if growth in the coastal provinces is not spread to the inland provinces. i believe that chinese leaders have the capability and the will to