Singapore’s financial regulator has proposed lower, risk-sensitive capital charges for qualifying infrastructure investments and senior securitisation exposures held by insurers, pairing the consultation with a S$30 million capability grant.
The Monetary Authority of Singapore says the proposed framework would distinguish qualifying infrastructure debt and equity from other investments more precisely. It would also introduce calibrated treatment for senior, investment-grade securitisation tranches. The objective is to remove capital outcomes that may be disproportionate to the underlying risk without relaxing the requirement that insurers remain financially sound.
MAS is also considering a broader set of recognised credit assessment agencies and has published templates and guidance intended to make qualifying decisions more consistent. The details matter because eligibility, seniority and credit quality will determine whether an asset receives the adjusted treatment; the announcement does not create a general capital concession for all infrastructure or structured finance.
The accompanying grant begins on 2 November 2026. It is designed to help insurers establish specialist teams, build skills and obtain professional services connected with infrastructure and securitised assets. The regulatory amendments remain proposals, however, and their final form may change after consultation.
Comments are due by 18 December 2026. MAS set out the proposed changes, grant and consultation route in its official announcement published on 2 November.
