Singapore sets up banking conduct committee

It will serve as a platform for banks to self-asses and update industry codes of conduct.

The Monetary Authority of Singapore (MAS) and the Association of Banks in Singapore (ABS) have established the Culture and Conduct Steering Group (CCSG) to promote sound culture and raise conduct standards in the banking industry, an announcement revealed.

MAS is intensifying its work with banks to strengthen ethical business practices that safeguard customers’ interests and ensure fair treatment, as well as prudent risk-taking behaviour and robust risk management that support the bank’s safety and soundness.

The CCSG, chaired by DBS Singapore’s country head Shee Tse Koon, comprises members from 12 other banks in Singapore, who have responsibilities in business, risk management, compliance and human resources. MAS is also a member of the CCSG.

According to MAS and ABS, the CCSG will serve as a platform for industry participants to monitor trends and identify emerging conduct and culture issues within the industry and collaborate with MAS on initiatives to promote strong culture and conduct, including industry self-assessments or updating industry codes of conduct.

“Banks understand the need to focus on culture as it drives the behaviour of their employees and leads to positive outcomes for customers,” Shee Tse Koon, chairperson for the CCSG, said in a statement. “This is a nascent area where there is potential to do more.”