Strategy Note /

Singapore Banking Monthly: Interest rates continue to rise in March

  • March 3M-SIBOR up by 20bps MoM, highest in 22 months

  • Malaysia’s domestic loans growth increased 4.72% YoY and rose 0.16% MoM in February

  • SGX is another beneficiary of higher interest rates

Glenn Thum
Glenn Thum

Research Analyst

7 April 2022
Published byPhillipCapital

3M-SOR and 3M-SIBOR up in March

Interest rates continued to increase in March. The 3M-SOR was up 31bps MoM to 0.79% while the 3M-SIBOR was up 20bps MoM to 0.67%. The 3M-SOR is 25bps higher than its 1Q22 average of 0.54% and has improved by 47bps YoY. The 3M-SIBOR is 14bps higher than its 1Q22 average of 0.53% and has improved by 23bps YoY (Figure 1).

Hong Kong loans growth rebounded while Malaysia loans growth continued in February

Hong Kong’s domestic loans grew by 1.55% YoY and 0.13% MoM in February. The YoY loans growth for February was a significant improvement from January’s negative loans growth of 6.42%, however the MoM loans growth for February moderated down from January’s MoM loans growth of 0.81%.

Malaysia’s domestic loans growth was 4.72% YoY in February and 0.16% MoM in February. The increase YoY in February was the highest recorded since March 2019.