Deposit rates slow to catch up even as 3-mth Sibor advances

Singapore

INTEREST rates for borrowers may have shot up but savers will have to wait a while more before enjoying significant jumps in deposit rates. INFOGRAPHIC: Climbing

The key 3-month Sibor or Singapore interbank offered rate (typically used to price home loans) has risen almost 60 per cent to 0.64 per cent from 0.41 per cent barely three months ago last October. On the flip side, banks have been slow to raise deposit rates - which is expected since the gap constitutes its gross profit.