MAS extends Global-Asia bond grant scheme through 2029

Significant changes have been introduced to the scheme, including a per-issuance cap for eligible expenses.

The Monetary Authority of Singapore (MAS) has extended the Global-Asia Bond Grant Scheme (G-ABGS) for another five years, from 1 January 2025 to 31 December 2029.

The G-ABGS aims to support first-time bond issuers with an Asian nexus, fostering the growth of Singapore’s bond market.

Significant changes have been introduced to the scheme, including adjustments to the level of co-funding and the per-issuance cap for eligible expenses.

Qualifying issuers include first-time companies and non-bank financial institutions (NBFIs) with business operations or projects in Asia.

The scheme covers eligible expenses such as arranger fees, auditor fees, credit rating fees, and legal fees. Bonds must meet ‘Qualifying Debt Security’ requirements under Singapore’s income tax regulations and have a minimum issuance of $200m.

The G-ABGS aims to support first-time bond issuers with an Asian nexus, fostering the growth of Singapore’s bond market.

In addition to the extension of the G-ABGS, MAS has also launched the Global-Asia Digital Bond Grant Scheme (G-ADBGS) to promote digital bond issuance, aiming to enhance operational efficiency and lower issuance costs.