Singapore Savings Bonds Rates Increased - Have You Applied?

With the recent interest rates hikes in both United States and the rest of world (Singapore included),  the interest receivable from fixed income instruments like bonds have also risen. Interest from such instruments are a good viable passive income source and of course the person must do his or her own due diligence in any investments (bonds included)!

In Singapore, the Singapore Saving Bonds (SSB) rates have similarly rose since the beginning of the year. I've compiled the chart below (source of data: Monetary Authority of Singapore - website) for a period from January 2022 to the latest bond offered in January 2023, and from the chart, you could see that  rates are steadily rising from 1st year till the 10th year mark of each new SSB offered.

Singapore Savings Bonds Rates (Jan 2022 to Jan 2023)

Of course, along the way there are adjustments in the rates, i.e. the increases are not exactly uniformed from year to year of each issue. The interest offered for 1st year has increased but to balance the overall interest offered over 10 years, some of the "curves" might not be as uniformed.

Nonetheless SSB is considered a very safe and flexible instruments and interested parties could go to the MAS website to take a look. The payout is distributed twice a year. The applications and subsequent redemptions are also easy, i.e. online via electronic banking, or at the ATM machine. The only hurdle (if any) is that you need a CDP (Central Depository Pte Ltd) account.

Interested to apply for the next SSB?