By comparison, we are still in the Stone Age in respect of deploying macroprudential policies. There is lots of scope for academia to help us out here, on both the theoretical and empirical fronts. Even so – indeed, in large part because of that state of relative ignorance – I think one can lay out some key principles that should govern the deployment of the FPC’s tools. It will be very easy for the future FPC, particularly during long periods of tranquillity, to slip into the temptation of neurotically twiddling the dials on its instruments or issuing recommendations left, right and centre. But what will determine the worth of the FPC will be whether it is successful in heading off the really big risks – in other words, avoiding a repeat of the sort of crisis we have just experienced. Ensuring resilience, rather than fine-tuning the credit cycle, must be the name of the game. Second, when the FPC does find it necessary to act, it will need to show resolution in taking the punchbowl away as the party is just getting going. With recent events so fresh in everyone’s memories, this may not seem much of an issue now. But in a decade or two’s time, when recent events have receded into history, such actions will be less welcome. No doubt there will be plenty of people willing then to claim that “this time is different” and that the FPC’s actions are unnecessarily inhibiting growth.
The Monetary Authority of Singapore (MAS) and the People’s Bank of China (PBC) are looking to enable designated banks in Singapore to offer custody and trading services for global investors in China’s bond market. Third, providing opportunities for our financial institutions to grow in each other’s markets. The Bank of China and ICBC are among the select group of nine Qualifying Full Banks in Singapore; five Chinese banks are licensed as Wholesale Banks. All three Singapore-headquartered local banks are incorporated in China. The Shanghai-Singapore Connection Within this broader canvass of financial co-operation, the ties between Shanghai and Singapore have been intensifying. Singapore banks are deepening their partnerships in Shanghai – DBS and Shanghai Pudong Development Bank in loan syndication and joint bond underwriting; OCBC and Bank of Shanghai in digital banking and supply chain financing; 1/3  BIS central bankers' speeches  UOB and Shenergy Group in establishing a consumer finance corporation. Our exchanges are working closer together. The Asia Pacific Exchange (APEX), a commodities derivatives exchange in Singapore, is collaborating with the Shanghai International Energy Exchange (INE) to attract more international institutional investors to China’s commodity derivatives markets. The co-operation between the regulators has been growing stronger. The Monetary Authority of Singapore (MAS) and the Shanghai Municipal Financial Regulatory Bureau have been organising since 2017 a joint training and exchange programme for financial agencies and institutions from both cities. MAS and the Shanghai Municipal Financial Regulatory Bureau have also organised since 2015 four editions of the Singapore-Shanghai Financial Forum (SSFF).