Govt proposes changes to strengthen management, oversight of credit co-ops

The Government is proposing to revise and put in place new policies to enhance the governance and management of credit co-operatives so as to protect members' deposits and strengthen the sector. -- ST PHOTO: LUIS ENRIQUE ASCUI
The Government is proposing to revise and put in place new policies to enhance the governance and management of credit co-operatives so as to protect members' deposits and strengthen the sector. -- ST PHOTO: LUIS ENRIQUE ASCUI

SINGAPORE - The Government is proposing to revise and put in place new policies to enhance the governance and management of credit co-operatives so as to protect members' deposits and strengthen the sector.

The proposed changes are in the following areas: raising prudential standards and promoting compliance; improving governance standards; and enhancing regulatory powers to deal with distressed and errant credit co-ops.

A public consultation was launched on Monday to seek views from the credit co-ops, co-op members and members of the public on the proposed changes. The consultation will end on Feb 2 next year, said the Ministry of Culture, Community and Youth.

The proposed changes, which the ministry hopes to put in place by 2018, are part of an ongoing process to strengthen regulatory oversight of the sector.

Credit co-ops are membership-based entities which provide thrift and loan services to their members. Currently, there are 27 registered credit co-ops here.

Information on the public consultation is available on the following websites:

1. http://www.mccy.gov.sg/coopconsult

2. http://www.reach.gov.sg

Members of the public can also email their feedback and suggestions to mccy_regcoop@mccy.gov.sg, or write to the following address:

Registry of Co-operative Societies

Ministry of Culture, Community and Youth

140 Hill Street, Old Hill Street Police Station, #02-00,

Singapore 179369