The Monetary Authority of Singapore (MAS) has issued guidelines on individual accountability and conduct to promote accountability and ethical behaviour among senior managers performing key functions in financial institutions.
The guidelines, which were released on September 10, were accompanied by an information paper on good practices in these areas. It also sets out the central bank’s expectations through five outcomes for financial institutions.
These include clearly identifying senior managers who are responsible for managing and conducting the institution’s core functions, having a clear and transparent management structure and reporting relationships for senior managers, and that individuals who have the authority to make decisions or conduct activities that can significantly impact the safety and soundness of the institution, are fit and proper for their roles.
MAS says the objective of these guidelines are to assist financial institutions by providing a framework and best practices for strengthening accountability and standards of conduct, and that such institutions should use the guidelines and the guidance in the information paper to develop and entrench a strong culture of responsibility and ethical behaviour within their organisations.
The central bank will also continue to engage financial institutions, their boards, senior management and other employees on the adequacy and effectiveness of their culture and conduct practices through its ongoing supervision.
The guidelines will be made effective on Sep 10, 2021.
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