Singapore's MAS issues AI risk management guidelines, setting out regulatory expectations for responsible AI use

The Monetary Authority of Singapore (MAS) issued the "Guidelines on AI Risk Management," setting out high-level supervisory expectations that financial institutions should observe when deploying AI (including generative AI and AI agents). The guidelines were issued on October 7, 2026, and take effect from October 7, 2027. Requirements including board and senior management oversight of AI risk, identification and inventory registration of AI applications, and material risk assessment apply from the effective date, while AI full-lifecycle controls, third-party AI management, and capability and infrastructure requirements must be met by October 7, 2028. The guidelines require financial institutions to bear primary responsibility for the use of third-party AI; AI scenarios assessed as high risk must have contingency plans in place to safeguard business continuity in the event of AI failure or abnormal operation. MAS held a public consultation on the draft guidelines in November 2025, and plans to further consult the financial industry in 2027 on accompanying guidelines applicable to agentic AI.