Central bank logs $30.8b net loss in FY22/23

The Monetary Authority of Singapore (MAS) said there were higher interest expenses.

MAS said the recorded net loss reflects the impacts of tightening monetary policy due to inflation but it will not hinder the central bank from implementing its responsibilities.

MAS Managing Director Ravi Menon said it will also not change its processes in monetary policy.
Singapore’s central bank also highlighted the higher interest expenses due to large money market operations.

Despite this, the central bank said it recorded a yearly average investment gain of $11.7b in the last 15 years.

It also said the loss will not affect Government's ability to spend up to 50% of the expected long-term real returns on MAS' net assets.

“OFR position is healthy and MAS made substantial transfers of excess OFR of $191b to Government for longer-term management by GIC,” read the infographic.

However, the bank warned that investment performance will likely remain weak amidst a challenging environment.