SINGAPORE: Credit Suisse will continue operating in Singapore with no interruptions, the Monetary Authority of Singapore (MAS) said on Monday (Mar 20), after it was announced that the troubled bank would be taken over by UBS.
“Credit Suisse Group AG will continue operating in Singapore with no interruptions or restrictions, following the announced takeover by UBS Group AG,” MAS said in a media release.
“Customers of Credit Suisse will continue to have full access to their accounts and Credit Suisse’s contracts with counterparties remain in force.
“The takeover is not expected to have an impact on the stability of Singapore’s banking system.”
MAS added that it “has been in close touch” with the Swiss Financial Market Supervisory Authority (FINMA) and was briefed by the authority on the details of the takeover early on Monday.
“MAS will remain in close contact with FINMA, Credit Suisse and UBS as the takeover is executed, to facilitate an orderly transition, including addressing any impact on employment,” the central bank said.
“MAS will continue to closely monitor the domestic financial system and international developments, and stands ready to provide liquidity through its suite of facilities to ensure that Singapore’s financial system remains stable and financial markets continue to function in an orderly manner.”
On Sunday, UBS agreed to take over its rival for US$3.23 billion following crunch talks aimed at stopping the stricken bank from triggering a wider international banking crisis.
Soon after the announcement, the United States Federal Reserve, European Central Bank and other major central banks came out with statements to reassure markets that have been hit by a banking crisis that started with the collapse of two regional US banks earlier this month.