Singapore's Temasek launches trust fund for Asia

May 17, 2007, 0:39 GMT

Singapore - Temasek Holdings, the Singapore government's investment arm, has launched a 500-million-Singapore-dollar (329- million-US-dollar) trust to support development and relief projects across Asia, news reports said Thursday.

The trust will disburse up to 4 per cent of the fund annually to support a range of projects including youth exchanges, scholarships, research and disaster relief.

'This signals our larger commitment to play a constructive role in the continued progress and success of Asia and the people in Asia,' The Straits Times quoted chairman S Dhanabalan as saying after signing the deed of gift on Thursday.

The trust will not actively solicit donations but will receive money from Temasek's profits and accept contributions.

It will be chaired by banker Lee Seng Wee with former Keppel Corporation executive chairman Sim Kee Boon, leading Indian business figure Ratan Tata and former Shanghai mayor Xu Kuangdi as fellow trustees.

'Over the last decade or so, Temasek has been investing in the region,' said Dhanabalan. 'We can feel the pulse and see the opportunities in Asia.'

The trust will contribute to Asia's growth and development, he said.

In the last four years, Temasek had total net earnings of nearly 28 billion Singapore dollars (18 billion US dollars), including a record 12.8 billion Singapore dollars (8.4 billion US dollars) in 2006.

Temasek said it has been accumulating money for the trust from its successful investments since 2003.