Reuters- Singapore’s central bank said on Monday the city-state’s banks and hedge funds have enough cash amid the global turmoil in financial markets.
Financial markets have been roiled by fears that more banks and hedge funds may be on the brink of collapse after Bear Stearns (BSC.N: Quote, Profile, Research) — the fifth-largest U.S. investment bank — was slammed by cash shortages as other institutions stopped lending it money and customers withdrew their funds.
"The current liquidity positions of our banks are sound," a Monetary Authority of Singapore (MAS) spokeswoman said in response to a query from Reuters.
Singapore-based hedge funds have little exposure to risky subprime assets and most have not had difficulty responding to the credit crunch, the central bank told Reuters in another statement.
