SINGAPORE (Reuters) - Singapore's central bank said on Monday that it has been in discussion with Singapore Exchange Ltd (SGX) on governance matters after the SGX announced it will separate its regulatory functions from its oversight of market operations.
The Monetary Authority of Singapore (MAS) said in a statement that SGX's move to transfer its regulatory functions to a separate subsidiary company will strengthen governance of SGX's regulatory functions.
"The independence of the subsidiary company from SGX will be an important factor for its success. MAS will therefore require the Chairman of the subsidiary company and a majority of its directors to be independent of SGX and its regulated subsidiaries, and for all directors to be independent of any corporation listed on SGX," the central bank said.
(Reporting by Masayuki Kitano; Editing by Shri Navaratnam)
