Banks' rates transition may pinch margins in near term
Add BT as a preferred source
Singapore
SINGAPORE banks may see some margin compression as the industry transitions to risk-free reference rates, but there is no race to the bottom for loan pricing in the next few years, said analysts.
Singapore is moving towards the Singapore Overnight Rate Average (Sora) as the main interest rate benchmark for the Singapore dollar (SGD) financial markets in the future, with the Swap Offer Rate (SOR) and the Singapore Interbank Offered Rate (Sibor) soon to be discontinued.
TRENDING NOW
Ohmyhome Ltd sells real estate business for token US$1 due to poor business and continued losses
Buyer for England striker Harry Kane’s former mansion must pay £3.4 million after abandoning deal
Malaysian tycoon Vincent Tan’s sell-downs point to pruning rather than an exit plan
The Asian playbook for global brands no longer works
