Why You Should Read The Monetary Authority of Singapore (MAS) Financial Stability Review 2022

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Get a Deep Understanding of Singapore's Household Financial Resilience with the Monetary Authority of Singapore (MAS) Financial Stability Review 2022

Are you curious about the financial stability of Singapore households? Look no further! The Monetary Authority of Singapore (MAS) Financial Stability Review 2022 has got you covered. The TLDR of the review states that most households in Singapore are well-positioned to withstand income and interest rate shocks.

But what exactly does this mean? The Monetary Authority of Singapore (MAS) Financial Stability Review 2022 delves into the details and provides a comprehensive understanding of the current financial state of households in Singapore. The review concludes that most households are resilient to income and interest rate shocks, with a low proportion of non-performing mortgage loans. However, some households are more vulnerable to adverse shocks and should exercise caution when taking on additional debt in the current environment.

In the review, the Monetary Authority of Singapore (MAS) Financial stability takes stock of the amount of cash held by Singapore households and the household debt. With close to SGD 570 billion in cash and deposits, excluding property, and SGD 363 billion in household debt, Singapore households are in a net cash position. This figure even excludes the SGD 182 billion in CPF savings. This massive pool of liquidity in the hands of Singapore households is a cause for concern, as a drop in uncertainty may result in a large influx of funds back into the market.

With rising interest rates, the review sheds light on the susceptibility of the market and households to sell their properties. The review takes a closer look at the quality of debt held by Singapore households, giving the government a high score for their cooling measures. The growth of household debt has moderated over the past few years, and the ratio of household debt to personal disposable income has also declined.

Get a comprehensive understanding of the financial stability of Singapore households with the Monetary Authority of Singapore (MAS) Financial stability Review 2022. Stay informed and make informed financial decisions for yourself and your family.

To know more about the review, watch the full video here