Singapore’s financial regulator, the MAS said it will discontinue S$1,000 notes to pre-empt money laundering and terrorism financing risks.
November 2, 2020 | AtoZ Markets – Singapore plans to discontinue the issuance of the S$1,000 note from January 1, 2020, in a pre-emptive measure to reduce the risks associated with money laundering and terrorism financing.
MAS discontinues s$1,000 notes
The Monetary Authority of Singapore (MAS) said in a press release Tuesday that from now until December 2020, only a limited quantity of s$1,000 will be made available each month.
“This is a pre-emptive measure to mitigate the higher money laundering and terrorism financing risks associated with large denomination notes,” MAS said.
It said that large-denomination notes allow individuals to carry large values of money anonymously, and can facilitate money laundering and other illicit activities. Most major jurisdictions have stopped issuing large-denomination notes in light of such concerns, said the MAS.
Notes in circulation remain legal tender
MAS said that existing S$1,000 notes in circulation will remain legal tender and can continue to be used as a means of payment. Banks can continue to recirculate existing S$1,000 notes that are deposited with them.
However, in order to meet demand, the financial watchdog said it will also make available sufficient quantities of other denominations – in particular the S$100 note, which is the next highest denomination after the S$1,000 note.
MAS also urges everyone to use electronic payments such as PayNow and FAST.
As a reminder, Singapore discontinued the issuance of S$10,000 notes back in 2014.
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