Singapore Savings Bonds applications for August issue surge by 85%

SINGAPORE Savings Bonds (SSBs) continued to see solid demand as the 10-year average return for the August issue rose to a record high of 3 per cent.

According to data from the Monetary Authority of Singapore (MAS), investors applied for S$2.45 billion worth of SSBs in July, 85.2 per cent higher than the S$1.32 billion that was applied for a month earlier.

A maximum of S$700 million worth of SSBs were offered through the quantity ceiling format, up from S$600 million for the July issue.

Applicants of the August issue who applied for the quantity ceiling of S$9,000 or lower were fully allotted. For the July issue, the quantity ceiling stood at S$18,000.

Approximately 8.15 per cent of applicants who applied for S$9,500 or higher were allotted S$9,500 at random, while the remaining applicants were allotted S$9,000.

The bonds will be issued on Aug 1 this year and mature on Aug 1, 2032.