Besides struggling to attract new listings, SGX has also seen double-digit delistings in recent years. In the first five months of 2024, data from SGX showed at least 10 exits.
“I think everyone can see that there is a need for us to do something to improve the situation that we face today in Singapore, to make … listing in Singapore a more attractive (option) for companies,” Mr Chee told reporters on Friday, adding that Singapore would want to attract both homegrown firms and those from abroad.
Forming a review group is an efficient way to access ideas and views from different experts, he said.
“There will be differences in opinions, but that is part of the value of conducting such a review,” he said. After consulting a wide group of people, the review group will decide what the best set of measures are.
SGX said it welcomes the announcement by MAS which recognises the “vital role” of the stock market.
“Only a whole-of-ecosystem approach can lead to transformative actions that will give fresh impetus to improving liquidity and listings in Singapore’s equities market,” an SGX Group spokesperson said, adding that the exchange will work closely with the review group, while continuing other efforts such as its regional partnerships and investor outreach.
IMPORTANCE OF THE STOCK MARKET
MAS said that a dynamic equities market is an important part of the capital formation value chain, along with Singapore’s growing private equity and venture capital ecosystem.
“A deep and liquid public equities market enables companies to access capital as they expand regionally and globally,” the financial regulator said in a media release.
“Improving the attractiveness of Singapore’s equities market can therefore enhance Singapore’s standing as a vibrant enterprise and financial hub.”
MAS noted that the government has already introduced other initiatives to support enterprise financing and boost the Singapore stock market, such as setting up funds to support IPOs of high-growth companies.
From: channelnewsasia
Business News
