Alvin Tan on Bretton Woods Agreements (Amendment) Bill

Singapore provides loans, grants or other financial assistance to support the International Monetary Fund’s (IMF) programmes to help member countries. The Monetary Authority of Singapore (MAS) is empowered to enter agreements with the IMF for this, under the Bretton Woods Agreements Act. Two sets of amendments to the Act were proposed in Parliament on Monday (Jul 3). First, amendments to clarify that stipulated safeguards are intended to apply to grants provided for assistance to IMF member countries, for which Singapore has to depend on IMF management to ensure proper governance. The safeguards do not apply to grants provided to fund IMF offices in Singapore, where the scope of financing is clearly set out and for which MAS exercises oversight on the use of the funds. Second, the Bill proposes amendments to the early repayment requirement, to take into account the IMF’s use of standard form agreements and the fact that some of its arrangements or programmes cannot be suspended or prematurely terminated. Details of the amendments were given by MAS Board Member Alvin Tan.