Latest news with #SingaporeGovernmentSecurities
New Paper
22-05-2025
- Business
- New Paper
Interest rate on CPF Special, MediSave and Retirement accounts remains at 4% for Q3 2025
The interest rate on the Central Provident Fund (CPF) Special, MediSave and Retirement accounts (SMRA) will remain unchanged at 4 per cent from July to September 2025. Savings in these accounts will earn the floor rate of 4 per cent a year in the third quarter, as the SMRA pegged rate remains below the floor rate, according to a joint statement by the CPF Board and Housing Board on May 22. The interest rate is pegged to the 12-month average yield of the 10-year Singapore Government Securities, plus 1 per cent. The interest rates for the Ordinary Account and for HDB housing loans remain unchanged at 2.5 per cent and 2.6 per cent, respectively. CPF members below 55 years old will continue to earn an extra 1 per cent interest on the first $60,000 of their combined account balances, capped at $20,000 for the Ordinary Account. Those aged 55 and above will continue to earn an extra 2 per cent interest on the first $30,000 of their combined balances, capped at $20,000 for the Ordinary Account, and an extra 1 per cent on the next $30,000. The extra interest earned on the Ordinary Account will go into a member's Special Account or Retirement Account, said the statement.
Business Times
22-05-2025
- Business
- Business Times
CPF Special, MediSave and Retirement Accounts' interest rate remains at 4% for Q3 2025
[SINGAPORE] The interest rate for the Central Provident Fund's (CPF) Special, MediSave and Retirement Accounts (SMRA) will remain at 4 per cent per annum in the third quarter of 2025 – the same as the second quarter. This is because the SMRA pegged rate continues to fall below the floor rate of 4 per cent, said the CPF Board in a joint statement issued with the Housing and Development Board (HDB) on Thursday (May 22). The SMRA interest rate is pegged to the 12-month average yield of 10-year Singapore Government Securities plus 1 per cent, and is subject to the floor rate. Similarly, the Ordinary Account's (OA) interest rate also remains at the floor rate of 2.5 per cent per annum for the third quarter, as its pegged rate remains below the floor rate. As a result, the concessionary interest rate for HDB housing loans, pegged at 0.1 per cent above the OA interest rate, will remain unchanged at 2.6 per cent a year. All CPF members will continue to earn extra interest on their CPF savings. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Members aged 55 and above will earn an extra 2 per cent interest on the first S$30,000 of their combined balances, capped at S$20,000 for the OA, and an additional 1 per cent on the next S$30,000. Those aged below 55 can expect to earn an extra 1 per cent interest on the first S$60,000 of their combined balances, also capped at S$20,000 for the OA. The extra interest earned on the OA balances will go into the member's Special Account (SA) or Retirement Account (RA). For members aged 55 and above who have joined CPF Life, extra interest will continue to apply to their combined CPF balances, including the savings used for CPF Life.
Straits Times
22-05-2025
- Business
- Straits Times
Interest rate on CPF Special, MediSave and Retirement accounts remains at 4% for Q3 2025
CPF members below 55 years old will continue to earn an extra 1 per cent interest on the first $60,000 of their combined account balances. ST PHOTO: NG SOR LUAN Interest rate on CPF Special, MediSave and Retirement accounts remains at 4% for Q3 2025 SINGAPORE – The interest rate on the Central Provident Fund (CPF) Special, MediSave and Retirement accounts (SMRA) will remain unchanged at 4 per cent from July to September 2025 . Savings in these accounts will earn the floor rate of 4 per cent a year in the third quarter , as the SMRA pegged rate remains below the floor rate, according to a joint statement by the CPF Board and Housing Board on May 22 . The interest rate is pegged to the 12-month average yield of the 10-year Singapore Government Securities, plus 1 per cent. The interest rates for the Ordinary Account, and for HDB housing loans, remain unchanged at 2.5 per cent and 2.6 per cent respectively. CPF members below 55 years old will continue to earn an extra 1 per cent interest on the first $60,000 of their combined account balances, capped at $20,000 for the Ordinary Account. Those aged 55 and above will continue to earn an extra 2 per cent interest on the first $30,000 of their combined balances, capped at $20,000 for the Ordinary Account, and an extra 1 per cent on the next $30,000. The extra interest earned on the Ordinary Account will go into a member's Special Account or Retirement Account, said the statement. Join ST's WhatsApp Channel and get the latest news and must-reads.
Business Times
28-04-2025
- Business
- Business Times
Singapore prices S$1.8 billion of 30-year green bonds at 2.62%
[SINGAPORE] The second tranche of Singapore's 30-year sovereign green bonds came in with a cut-off yield at 2.62 per cent on Monday (April 26), a drop from the effective yield of 3.3 per cent when it was first issued in May last year via syndication. This is in line with an overall decline in bond yields across all Singapore Government Securities and Treasury Bills over the last one year, as the United States Federal Reserve cut interest rates. The reopening of these 30-year green debt, officially known as the Green Singapore Government Securities (Infrastructure), saw S$3.3 billion applications for an allotted amount of S$1.8 billion, bringing the bid-to-cover ratio to 1.84. All non-competitive applications were allotted, totalling about S$90.7 million, according to auction results posted on the Monetary Authority of Singapore's website on Monday. The rest were competitive bids, of which about 82 per cent were allotted at the cut-off yield. Even though there were expectations for Singapore's long-dated bonds to get a boost from the steepest yield curve in three years, Cyrus Ng, senior research analyst at Bondsupermart, pointed out that the initial issuance of these 30-year green bonds had an order book 2.45 times the amount offered to institutional investors, which is higher than the current bid-to-cover ratio of 1.84. A NEWSLETTER FOR YOU Friday, 12.30 pm ESG Insights An exclusive weekly report on the latest environmental, social and governance issues. Sign Up Sign Up He added that the reason the yield curve is the steepest in three years is more of a function of it being inverted about a year ago, and that the difference in bond yields between Singapore's short- and long-dated debt currently are not wide enough to significantly boost the demand for long-dated bonds. 'To us, the curve is still quite flat... Right now the pick-up (between short- and long-end bonds) is quite little,' he added. While the market has priced in about 3 to 4 rate cuts by the US Federal Reserve by the end of the year, Ng said his research team believes that there might be fewer cuts due to uncertainties on inflation and growth rates in the US following President Donald Trump's 'Liberation Day' tariffs. 'We think the Fed will be pressured to keep rates higher for longer,' he added. Ng added that there is still room for the yields for short-end bonds in Singapore to drop for the rest of 2025, as a result of rate cuts from the US central bank. Long-dated bonds, such as the 30-year green bonds, however, should remain largely unaffected. This second tranche of 30-year green bonds has a coupon rate of 3.25 per cent and a maturity date of Jun 1, 2054. The bonds are expected to be issued on May 2, with coupon payments disbursed on the first day of June and December every year, until maturity or when they are redeemed. Its reopening is the fifth in a series of sovereign green bonds that has been issued under the Singapore Green Bond framework. Besides these 30-year green bonds which were issued in May last year for the first time, there were three offerings of 50-year sovereign green bonds since August 2022. The Singapore government has indicated that a pipeline of up to S$35 billion of sovereign and public-sector green bonds will be issued by 2030. Thus far, S$11.3 billion has been issued. A key aspect of the green label for the bonds is that proceeds will be used to finance expenditures in support of the Singapore Green Plan 2030, including two new MRT lines – the Jurong Region Line and the Cross Island Line.
