MAS Notices on Financial Measures Relating to Russia Sanctions: Impact on Financial Institutions in Singapore

On 14 March 2022, the Monetary Authority of Singapore (“MAS“) issued two MAS Notices to all financial institutions (“FIs“) in Singapore detailing the financial measures imposed by the Singapore Government against designated Russian banks, entities and activities in Russia and fund-raising activities benefiting the Russian government and related parties.

1. Notice SNR-N01 Financial Measures in Relation to Russia (“MAS Notice SNR-N01“) sets out the activities and transactions that FIs are prohibited from engaging in.
2. Notice SNR-N02 Financial Measures in Relation to Russia – Non-prohibited Payments and Transactions (“MAS Notice SNR-N02“) sets out payments and transactions that are excluded from the scope of the financial measures in MAS Notice SNR-N01.

Taking effect on 14 March 2022, the MAS Notice SNR-N01 and the MAS Notice SNR-N02 apply to all FIs, including all banks, finance companies, insurers, capital markets intermediaries, securities exchanges and payment service providers (including digital payment token service providers). Failure to comply with the requirements in the MAS Notices is an offence.

This Update highlights the impact of the MAS Notices on FIs, summarising the key prohibited transactions and relevant exclusions for FIs’ noting and necessary action.