The Monetary Authority of Singapore said Monday it has been closely monitoring developments of Dubai World and United Arab Emirates (UAE) and their impact on Singapore's financial sector.

The country's central bank said that Singapore's banking sector's total gross exposure to UAE, of which Dubai is one of seven emirates, is well below 1 percent of total banking assets.

"We do not expect developments in Dubai to adversely affect Singapore's financial stability," the MAS said in a statement, adding that it continues to be in close contact with the financial institutions here, and with central banks and regulators in key jurisdictions.

(Xinhua News Agency December 1, 2009)