Singapore's finance sector will allow individuals and firms to pause payment of property and business loans, as well as insurance premiums, as part of a slew of measures to ease the cash-flow crunch caused by the coronavirus pandemic.

The measures, announced yesterday by the Monetary Authority of Singapore (MAS) with the backing of the financial industry here, aim to offer relief to households and firms that may find themselves tight on cash during the downturn.

Already, global financial markets have been roiled by volatility, causing stresses in credit markets.

Home owners can apply to their bank or finance company to defer repayments for their property loan until Dec 31 - without the need to prove that they have been affected by the Covid-19 outbreak.

Individuals can also apply to their insurer to temporarily stop paying premiums for their life and health insurance plans for up to six months. One can also seek to pay lower interest on unsecured credit if, for example, one's monthly income has fallen by 25 per cent or more.

Small and medium-sized enterprises (SMEs) may, subject to conditions, defer principal payments on secured term loans until Dec 31. Over $40 billion of existing loan facilities to SMEs could qualify for relief.

The MAS will also help to ensure that interbank funding markets remain liquid and well-functioning.

The measures follow the Government's $55 billion fiscal stimulus to preserve jobs and support enterprises and households.

The central bank also eased its monetary stance on Monday to stabilise the exchange rate and help firms access credit.

However, the MAS noted that deferring payments increases future obligations, so "borrowers and policyholders should weigh their options carefully".