SINGAPORE, March 19 (Reuters) - The Monetary Authority of Singapore said it had established a $60 billion swap facility with the U.S. Federal Reserve, as part of coordinated central bank actions to calm financial markets.
“The swap line arrangements will contribute significantly to ensuring stable liquidity conditions in the USD funding markets in Singapore and globally,” Singapore’s central bank said in a statement late on Thursday.
Financial markets globally have come under strain due to the outbreak of the coronavirus. Major central bank action helped staunch heavy losses on global bond markets on Thursday, with euro zone and U.S. borrowing costs easing from the previous day’s highs. (Reporting by Aradhana Aravindan and Anshuman Daga in Singapore; Editing by Toby Chopra)