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SG MAS AI Governance

Monetary Authority of Singapore AI Governance Requirements for Financial Institutions

First mandatory AI governance requirements in Singapore, shifting from voluntary Model AI Governance Framework to binding obligations for financial sector. Establishes three mandatory focus areas: oversight and governance, risk management systems, and development/validation/deployment protocols.

Jurisdiction

Singapore

SG

Enacted

Dec 1, 2024

Effective

Dec 1, 2024

Enforcement

Monetary Authority of Singapore (MAS)

Mandatory requirements for regulated financial institutions, effective December 2024

Who Must Comply

This law applies to:

  • All regulated financial institutions in Singapore
  • Banks, insurers, capital markets intermediaries, payment service providers under MAS regulation

Capability triggers:

financialServices (required)
Required Increases applicability

Who bears obligations:

Safety Provisions

  • Mandatory oversight and governance of AI systems
  • Key risk management systems and processes required
  • Development, validation and deployment protocols mandatory
  • Builds on existing voluntary Model AI Governance Framework
  • Applies to all regulated financial institutions in Singapore

Enforcement

Enforced by

Monetary Authority of Singapore (MAS)

Penalties

license revocation

License revocation

Enforcement per existing MAS regulatory powers under respective financial services acts; MAS can issue directions, impose conditions, revoke licenses

Quick Facts

Binding
Yes
Mental Health Focus
No
Child Safety Focus
No
Algorithmic Scope
Yes

Why It Matters

Marks Singapore's shift from voluntary AI governance (MAIGF) to mandatory requirements. Financial sector first but may signal broader regulatory approach. Affects international financial institutions operating in Singapore. Sets APAC precedent for sector-specific AI regulation.

Recent Developments

December 2024 shift from voluntary to mandatory requirements. First sector-specific mandatory AI governance in Singapore. Sets precedent for potential expansion to other sectors. Developed with input from 70+ global organizations including OpenAI, Google, Microsoft, Anthropic.

What You Need to Comply

Regulated financial institutions must implement: (1) Oversight and governance structures for AI, (2) Key risk management systems and processes, (3) Development, validation and deployment protocols. Must follow MAS guidelines and industry best practices.

NOPE can help

Cite This

APA

Singapore. (2024). Monetary Authority of Singapore AI Governance Requirements for Financial Institutions. Retrieved from https://nope.net/regs/sg-mas-ai-governance-2024

BibTeX

@misc{sg_mas_ai_governance_2024,
  title = {Monetary Authority of Singapore AI Governance Requirements for Financial Institutions},
  author = {Singapore},
  year = {2024},
  url = {https://nope.net/regs/sg-mas-ai-governance-2024}
}

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