SINGAPORE banks could be in for tougher times as loan growth moderates and Singapore’s savers continue piling into higher-interest fixed deposit products, analysts said.

Recently released statistics from the Monetary Authority of Singapore (MAS) showed that the overall non-bank loan-to-deposit ratio had fallen to 73.3 per cent in February 2023, from 81.2 per cent in February 2022.

In July 2021, the loan-to-deposit ratio was 85 per cent. Comparable statistics are not available for earlier periods following changes in MAS classifications. Non-bank loans and deposits are those of individuals and non-bank companies or other institutions.