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OCBC to re-price mortgages for gradual margin lift

Q2 earnings beat forecasts, rising 16 per cent to S$1.21 billion as net interest income rose 8 per cent to S$1.45 billion

Published Mon, Aug 6, 2018 · 09:50 PM

OCBC

Singapore

OCBC expects to re-price parts of its Singapore mortgage book in the second half of the year, a move that should lift its net interest margin (NIM) gradually. This comes as its expansion in NIM in the second quarter was smaller than its two banking peers.

Rate movements are in particular focus this season, as analysts have been bullish on banks on hopes that lenders can make a bigger margin during this period of rate normalisation.