Singapore overhauls rate-setting mechanism after price-fixing scandal
Following a price-fixing scandal involving 20 banks in Singapore, the Monetary Authority of Singapore not only heavily penalised those involved but switched to a benchmarking system for its rate-setting mechanism
Foreign exchange plays "a pivotal role in Singapore's vibrant and international financial markets", says the Monetary Authority of Singapore (MAS) website, so it was no surprise that when news broke that 133 non-deliverable forward traders from 20 banks were involved in price fixing on the local market, the regulator took firm action. Unable to levy a fine on the banks in question it instead forced the worst offenders – ING Bank, RBS and UBS – to leave up to $1.5 billion with the central bank
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