Singapore Savings Bonds (SSB) are a type of Singapore Government Security designed for individual investors. They run for up to 10 years, pay interest that steps up each year, and can be redeemed in any month before maturity without a penalty.
Key takeaways
- A Savings Bond has a term of up to 10 years, with interest paid every 6 months after issuance.
- The minimum investment is SGD 500, in multiples of SGD 500, and an individual may hold up to SGD 200,000 of Savings Bonds in total.
- Interest rates step up each year and are fixed for the whole 10-year term at the point of issue, so a rate change after issue does not affect a bond already held.
- Bonds can be redeemed in any month with no penalty, with the principal and accrued interest paid by the second business day of the following month.
- A new Savings Bond is issued every month, and applications can be made with cash or Supplementary Retirement Scheme funds — CPF funds cannot be used.
How step-up interest works
Each Savings Bond issue has a separate interest rate for each of its ten years, and those rates rise over the life of the bond. The rates are based on the average Singapore Government Securities yields of the month before applications open, and they are locked in when the bond is issued. Because the early years pay less than the later years, the average return rises the longer the bond is held.
Applying, holding and redeeming
- Open to individuals aged 18 and above, with a bank account at DBS/POSB, OCBC or UOB and an individual CDP Securities account
- A new bond is issued each month, with allotment results announced on the third-last business day of the month
- Interest is paid every 6 months into the linked bank account, or into the SRS account for SRS applications
- Redemption can be requested in any month, in multiples of SGD 500, with no exit penalty
- Bonds maturing the following month need no redemption request — principal and the final interest payment are credited automatically
How Savings Bonds differ from SGS bonds and T-bills
Savings Bonds are non-transferable: they cannot be traded on the SGX or in the secondary market, and they cannot be pledged as collateral. In exchange, the Government redeems them at face value in any month, so the amount returned does not move with market prices. SGS bonds and T-bills work the other way round — they can be sold before maturity, but at a price that may be above or below the price paid.
Tax treatment
Interest earned on Savings Bonds is exempt from tax, and Singapore does not levy capital gains tax. Savings Bonds are fully backed by the Singapore Government, which holds an AAA sovereign credit rating.
Key Singapore Savings Bond figures
| Item | Figure |
|---|---|
| Maximum term | 10 years |
| Minimum investment | SGD 500, in multiples of SGD 500 |
| Maximum individual holding | SGD 200,000 |
| Interest payments | Every 6 months |
| Issuance | A new bond every month |
Figures as at 2026. Source: MAS.
Worked example
The August 2026 Savings Bond issue (SBAUG26 / GX26080T) pays 1.46% in its first year, stepping up to 2.72% in the tenth, for an average return of 2.06% p.a. if held the full 10 years. On SGD 10,000, the first year’s interest would be about SGD 146. Every monthly issue carries its own set of rates.
Related terms
All Singapore glossary terms →Related calculator
See the step-up interest rates for the current Singapore Savings Bond issue and what they mean for a given amount.
This page is provided for educational and informational purposes only. It does not constitute financial advice. All figures and worked examples are estimates for illustrative purposes, are subject to change, and do not reflect any individual’s circumstances. Always refer to the Monetary Authority of Singapore (MAS) and seek independent professional advice before making any financial decisions.