Singapore Savings Bond Interest Rate – A Comprehensive Guide

Singapore Savings Bonds (SSBs) are a top choice among low-risk investments in Singapore, known for their government backing, flexibility, and ease of entry. But with recent interest rate changes, many are reconsidering whether SSBs remain a good pick.

The November tranche offers an average return rate of 2.56%, slightly below October’s 2.77% over ten years. These rates are tied to Singapore Government Securities (SGS) yields, which shift with the yield curve, ensuring relevant returns. This flexibility allows SSBs to keep returns steady, even when short-term yields surpass long-term ones.

In this article, we’ll explore everything you need to know about SSB interest rates, how they’re determined, and why they may be the right fit for your portfolio.

What is the Interest Rate For SSB November 2026

The current Singapore Savings Bond (SSB) for November 2026 offers a 10-year average return of 2.56%, with an initial first-year interest rate of 2.25% and a final-year rate of 2.87%. This is a slight dip from the October tranche, which provided a 10-year average of 2.77% and a first-year rate of 2.59%.

Issue Details

Field	Details
Issue code	GX24110N
Naming convention	SBNOV24 GX24110N in your CDP statement Interest payment will be reflected as CDP-SBNOV24 in your bank statement GX24110N in your SRS statement
Tenor	Approximately 10 years
Amount offered	S$600.0 million
Issue date	01 Nov 2024
Maturity date	01 Nov 2034
Interest payment dates	Upcoming payment: 01 May 2025 Subsequent payments (until maturity): Every 6 months on 01 Nov and 01 M
Investment amounts	Minimum of $500, and in multiples of $500. The total amount of Savings Bonds you can hold at any one time cannot exceed $200,000

(Table from Monetary Authority Singapore)

Singapore Savings Bond Interest Rate

Year from Issue Date	1	2	3	4	5	6	7	8	9	10
Interest Percent	2.25	2.25	2.25	2.58	2.67	2.67	2.67	2.74	2.82	2.897
Average Return per Year %	2.25	2.25	2.25	2.33	2.39	2.44	2.47	2.50	2.53	2.56

What is the Singapore Savings Bond (SSB)?

The Singapore Savings Bond (SSB) is a government-backed investment instrument specifically designed for individuals seeking a safe, low-risk way to grow their savings. As a risk-free option supported by the Singapore government, SSBs appeal to investors who prioritize capital protection over high returns. The funds invested in SSBs are secured by the government, making them one of the most stable investment choices available in Singapore’s financial landscape.

Key Features of Singapore Savings Bonds:

• Principal Guarantee: One of the standout features of SSBs is the guarantee that your principal investment is protected. Regardless of market fluctuations, the amount you invest will not decrease, offering peace of mind to conservative investors.
• Flexible Investment Terms: SSBs are designed with flexibility in mind, allowing investors to hold them for up to 10 years, with the option to exit at any time. This makes SSBs suitable for both short- and long-term investment goals, enabling you to adjust your holding period as your financial needs change.
• Penalty-Free Redemptions: Unlike many fixed-income investments, SSBs offer the advantage of penalty-free early redemptions. If you decide to withdraw your investment before the 10-year term is up, you can do so without incurring any fees or penalties.
• The Bond Pays “Step-Up” Interest: The longer you save, the more interest you get. That means the interest rates increase by the time you hold the bond.
• Highly Liquid: You sell the bond whenever you need the cash. You have no obligations to hold the bond until it expires. More than that, if you sell the savings bond this month, you can get the proceeds with the accrued interest next month.
• Low Initial Investment Amount: A low amount of S$500 is what you can invest in the Singapore Savings Bond. Any additional investments are in multiples of S$500 each. Yet you should beware the maximum investment for a savings bond investor is S$200,000.
• Easy Access: You can now purchase the bond in cash through an ATM(the Automatic Teller Machine) and SRS(the Singapore Retirement System).

How SSB Interest Rates Are Determined

Singapore Savings Bond (SSB) interest rates are directly linked to the average yields of Singapore Government Securities (SGS) over a 10-year period. Each month, the Monetary Authority of Singapore (MAS) assesses the daily average yields from SGS, which reflect the broader market conditions.

This calculated yield then determines the rate for the new SSB issuance, with a one-month delay to account for market adjustments. By anchoring SSB rates to SGS yields, MAS ensures that SSBs offer a stable and fair return that reflects Singapore’s economic environment.

Step-Up Interest Rate Structure

One unique feature of SSBs is the step-up interest rate structure, which rewards investors with progressively higher interest payments for each additional year they hold the bond. This design serves as an incentive for long-term holding, with the rate gradually increasing each year until the bond matures. 

For example, the November 2024 SSB starts with a 2.25% interest rate in the first year and reaches 2.87% in the tenth year. Let’s say you invested S$10,000 for the November 2024 SSB issuance (Issue Code: GX24110N). Using the Savings Bonds Interest Calculator, your future earnings will be S$2,577.00 if held to maturity.

(source: MAS)

We can see how the interest rate increases incrementally each year, providing higher returns the longer the bond is held.

This step-up structure provides an attractive option for investors looking to maximize returns over the long term, while also allowing them the flexibility to redeem the bond at any time without penalty.

Current SSB Interest Rates

The current Singapore Savings Bond (SSB) issuance for November 2024 offers an average return of 2.56% per year over a 10-year period. This tranche begins with a first-year interest rate of 2.25% and ends at 2.87% in the final year, demonstrating the SSB’s step-up interest structure that rewards long-term holding.

Historical Rates Comparison

Over the past few years, SSB interest rates have varied in response to market conditions, particularly the yields on Singapore Government Securities (SGS). Here’s a comparison of SSB rates across recent years to illustrate these trends:

• 2021: Average returns per year started low, around 0.86% to 1.71% by December.
• 2022: Rates saw a substantial rise, with December averaging 3.47% per year, reflecting the uptick in SGS yields during the period.
• 2023: Rates maintained a competitive level, with December’s tranche averaging 3.16%.
• 2024: So far, rates have been slightly lower, with the November issuance offering 2.56% per year on average, indicating some stabilization in the SGS market.

Visual Representation of SSB Interest Rate Trends (2021-2024)

Year	Jan	Feb	Mar	Apr	May	Jun	July	Aug	Sept	Oct	Nov	Dec
2021	0.27%	0.32%	0.35%	0.34%	0.27%	0.34%	0.35%	0.34%	0.35%	0.39%	0.34%	0.41%
2022	0.46%	0.82%	0.89%	1.12%	1.25%	1.43%	1.60%	2.20%	2.63%	2.74%	3.10%	3.16%
2023	2.35%	2.84%	2.76%	3.01%	3.03%	2.41%	2.76%	2.97%	3.05%	3.02%	3.21%	3.10%
2024	3.06%	2.72%	2.74%	2.26%	2.59%	3.06%	3.26%	3.19%	3.06%	2.77%	2.25%	–

Note: This table highlights the first-year interest rate for each issuance month, showcasing the rate changes and trends across years.

The upward trajectory from 2021 to 2023 aligns with the overall increase in SGS yields, a response to global economic conditions and interest rate adjustments. In 2024, rates have stabilized at lower levels than 2023, possibly reflecting a return to more moderate yield growth in the SGS market.

How to Invest in SSB

Investing in Singapore Savings Bonds (SSBs) is a straightforward process, and it can be done through multiple channels, including ATMs, internet banking portal, and mobile apps from major banks. Here’s a step-by-step guide to help you apply for SSBs.

Step-by-Step Guide to Applying for SSBs

Check Your Eligibility:

• You are 18 of age or above, whether you are a Singapore citizen, permanent resident, or even a foreign national.
• You must have an account with one of the banks: DBS, POSH, OCBC, and UOB and a CDP account with the Singapore Stock Exchange(SGX) for processing, collecting and storing your assets, e.g., interest, bonds. Once you approve your CDP application, you should next activate the “Direct Crediting Services” function to process the SSB buying process.
• If you plan to invest through SRS, you should contact the SRS operator’s bank for an SRS account. An SRS operator is the custodian of SSBs.

Choose Your Investment Amount:

The minimum investment amount is S$500, and subsequent investments are multiples of S$500 each. The maximum bonds you can hold are S$200,000 at most. The issuing agent, the Monetary Authority of Singapore, handles the sale of the savings bonds every month. You have to pay S$2 for every transaction.

Steps to Investing in SSBs

1. Open an account with one of the designated banks mentioned above for cash and SRS applications for SSB investing. Cash bond investors should create a CDP account besides linking up with a bank account.

2. For cash application: You can buy bonds through ATMs or personal internet banking. For SRS application: The SRS operator will lock up or earmark your funds for investment and buy the bonds. You pay a S$2 fee per transaction.

3. Check the results: MAS issues the bonds on the 1st business day after the application month. Furthermore, it distributes the bonds and publishes the results on the 3rd day. If you buy using cash, the CDP will inform you by email. The SRS operator will email you the result if you purchase through SRS. You can also check the “My Savings Bonds” portal from the website for the latest results.

4. Receive bond interest: The Singapore savings bond pays every 6 months on the 1st day of a payment month. You receive the bond interest payment in your bank or SRS bank account.

Redemption Process

One of the benefits of SSBs is the flexibility to redeem bonds early without penalties. Here’s how the redemption process works:

• How to Redeem: You can redeem SSBs at any time through the same banks (DBS/POSB, OCBC, or UOB) using ATMs or internet banking.
• Minimum Redemption Amount: Redemptions are allowed in multiples of $500.
• Redemption Timeline: Submit your redemption request by the end of the month, and the funds will be credited to your bank account by the second business day of the following month.

Benefits of Investing in SSB

Investing in Singapore Savings Bonds (SSBs) provides a secure, government-backed way to grow your savings with minimal risk. With flexible redemption options and no lock-in period, SSBs cater to a wide range of investors, from beginners to retirees. Here’s a quick look at why SSBs might be the right choice for you.

• Risk-Free Investment: Backed by the Singapore government, SSBs offer a secure, low-risk investment option.
• Flexible Redemption: No lock-in period; redeem your bonds anytime without penalties.
• Accessible to All: Ideal for both first-time investors and retirees seeking a safe way to grow their savings.
• Default-free investment: The bond issuer is the Singapore Government, rated AAA by Standard & Poor’s, which has a solid financial capability of repaying your money with entire principal and accrued interest. 
• Portfolio diversification: You may need low-risk investment to hedge against market volatility. If your investment portfolio comprises stocks and commodities, the savings bond can play a part as a cushion against abrupt market changes.
• Emergency fund: The bond may be a part of a reserve for unforeseen and urgent circumstances. You can sell the savings bond anytime without a penalty.
• Small investment amount: The initial and subsequent amounts for investing in the bond are in multiples of S$500 only. It is open to small and regular investors.

Comparison of SSB vs. Other Fixed-Income Investments

When considering fixed-income investments, it’s important to weigh factors like risk, return, and liquidity. Here’s how Singapore Savings Bonds (SSBs) compare with Fixed Deposits, Singapore Government Securities (SGS), and Endowment Plans.

Investment Type	Risk	Expected Return (per annum)	Liquidity	Minimum Investment
Singapore Savings Bond (SSB)	Low (Government-backed)	2.56% (average 10-year, Nov 2024)	High – redeem anytime without penalties	S$500  (max S$200,000)
Fixed Deposit	Low (Bank-insured)	Ave. 3% depending on bank and tenure	Medium – penalties for early withdrawal	S$10,000, varies by bank
Singapore Government Securities (SGS)	Low (Government-backed)	Varies, typically 2-4% depending on bond term	Low – set maturity date	S$1,000
Endowment Plan	Medium (Insurance-backed)	2-5%, some non-guaranteed returns	Low – typically locked for 5-10 years	S$5,000 or more, varies by provider

When to Choose SSB Over Other Options

SSBs are an ideal choice for investors who seek a low-risk, flexible investment with gradual growth. They’re particularly suitable if you want the freedom to withdraw funds early without losing interest, making them versatile for both short-term and long-term goals.

Bond Laddering Strategy with SSB

A bond laddering strategy with Singapore Savings Bonds (SSBs) involves staggering your investments across multiple bond issuances over time. By purchasing SSBs periodically—such as every month or every quarter—you create a “ladder” of bonds with different maturity dates and interest rates. This approach allows you to take advantage of varying interest rates and maintain flexibility in your investment portfolio.

How Bond Laddering Works with SSB

Imagine investing in a new SSB issuance each month. Over time, you’ll have a series of bonds maturing at different intervals, which you can either redeem for cash or reinvest. This staggered structure means you have access to your funds regularly, giving you the flexibility to reinvest in bonds with potentially higher rates if the market changes. 

For example, by holding one bond issued each month for a year, you’ll eventually have 12 bonds with 12 different start dates, providing monthly access to funds or reinvestment opportunities.

Benefits of a Bond Ladder Strategy

• Long-Term Income Stability: Bond laddering provides a steady stream of returns as each bond matures, ensuring a regular cash flow. This is especially useful for retirees or those looking to supplement income over time.
• Interest Rate Flexibility: By investing periodically, you can capture various interest rates across market cycles. If rates rise, you can reinvest matured bonds at higher yields, allowing you to maximize returns.
• Reduced Interest Rate Risk: A laddered approach helps mitigate the risk of locking all your funds into a single interest rate. If rates decline, only a portion of your investments will be affected, as some bonds will have been purchased at previous, higher rates.

SSB as a Complement to CPF Savings

Singapore Savings Bonds (SSBs) can be an excellent complement to your CPF savings when planning for retirement. While CPF accounts offer guaranteed interest and are specifically designed for retirement needs, SSBs provide an additional, flexible income source that can help you further diversify your savings.

• Flexibility: SSBs are redeemable anytime without penalties, providing easy access to funds when needed without dipping into CPF.
• Diversified Income: Adding SSBs creates an alternative income stream, reducing reliance on CPF as well as Supplementary Retirement Scheme and supporting a more balanced financial plan.

Conclusion

Singapore Savings Bonds offer a safe, government-backed investment with flexible, step-up interest rates that reward long-term holding. Their combination of stability, liquidity, and gradual returns makes SSBs an attractive choice for Singaporeans looking to grow their savings. Whether for retirement planning or as a complement to CPF, SSBs provide a reliable, low-risk option for all types of investors.

• SSBs offer secure, low-risk returns tied to Singapore Government Securities (SGS) yields, making them a dependable investment choice.
• With no penalties for early redemption, SSBs provide liquidity and flexibility, allowing investors to access funds when needed.
• SSBs complement CPF savings by providing an additional, flexible income stream with step-up interest rates, suitable for diversified retirement planning.

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