Chart of the Day: Here's how much Singapore's property prices escalated in the last 13 years

Even household debt has been skyrocketing.

According to ADB, a big domestic risk arises from possible abrupt corrections in the property market, which could weaken the balance sheets of banks and households alike. 

These risks remain manageable within the forecast period, and Singapore enjoys substantial financial resources to respond to them if they materialize.

Here's more from ADB:

The MAS plays a central role in the development, management, and oversight of the financial system, identifying and surveilling systemic
financial risk, and designing and calibrating policy instruments to eÁectively address any weaknesses. Although the highly developed

financial system of Singapore is well regulated and supervised, some risks to financial stability have emerged in recent years stemming from
galloping real estate prices, which have surpassed their 2008 peak.

There is concern that these price trends could rekindle inflation expectations and threaten financial stability, especially as the property boom is financed by easy credit.

Property loans continue to grow at an elevated rate, and household debt has increased rapidly for 3 years to reach 76% of GDP at the end of 2013, with a corresponding increase in the exposure of locally incorporated banks to the property sector.