SINGAPORE (Feb 15): Singapore is proposing to ease regulations for venture capital managers in a bid to promote financing for startup development.

Under a consultation paper published by the Monetary Authority of Singapore Wednesday, new and existing VC managers won’t be subject to the same capital requirements and business conduct rules that currently apply to fund managers in general. The MAS will focus primarily on fitness and propriety, and will retain regulatory powers to deal with errant VC managers, the central bank said in a statement.

The MAS issued a statement Monday outlining a series of plans to support and implement recommendations made by an economic panel last week. The Committee on the Future Economy presented strategies aiming to support growth at an average rate of 2% to 3% annually in the coming years.

Under the proposals, the central bank won’t require VC managers to have directors and representatives with at least five years of relevant experience in fund management, and base capital and risk-based capital requirements will also be removed for them, according to the statement Wednesday.

It also won’t require the VC managers to provide independent valuation, internal audits and audited financial statements to be submitted to the MAS.

The proposals are open for public consultation until March 15.