Singapore Savings Bond (SSB)
The government-guaranteed savings instrument with step-up interest rates and full capital safety — redeem any month with no penalty.
A Singapore Savings Bond (SSB) is a special Singapore Government Securities (SGS) bond issued monthly by MAS. It offers step-up interest rates increasing each year you hold, full capital safety backed by the Singapore government, and flexible redemption any month with no penalty. April 2026 10-year average return: 1.99% p.a.
S$500
S$200,000
1.99% p.a.
MAS / Singapore Govt
What Is a Singapore Savings Bond?
The Singapore Savings Bond is a retail savings product introduced by the Singapore government in October 2015 for individual investors. Unlike regular bonds that lock your money until maturity, SSBs are uniquely flexible: redeem in any given month and receive your full principal back plus accrued interest, with no penalty. This makes it one of the few truly no-risk, no-penalty savings instruments available to Singapore residents.
SSBs are issued monthly by MAS on behalf of the Singapore government — which holds a AAA credit rating — meaning zero default risk. Each monthly issue has a unique issue code (April 2026: GX26040E) and its own interest rate schedule pegged to prevailing SGS market yields. Rates are announced approximately two weeks before applications open.
The product is designed to be accessible: minimum S$500, applications via ATM or internet banking, and no brokerage fees. It targets retail investors — Singapore Citizens and Permanent Residents — as part of the government’s financial inclusion strategy.
How SSB Step-Up Interest Works
The defining feature is its step-up interest structure. Unlike a fixed deposit paying the same rate every year, SSB interest rates increase annually. Year 1 offers a lower rate reflecting short-term SGS yields; Year 10 offers the highest rate aligned with 10-year SGS benchmark yields.
This rewards patience. Hold your SSB the full 10 years and receive the long-term average return stated when you applied. Redeem early and you only collect the rates for the years held — but get your full principal back, no penalty. Interest is paid every six months (June and December) directly to your bank account, making SSBs useful as a passive income stream alongside S-REITs or dividend stocks.
Current SSB Rates (April 2026)
The April 2026 issue (GX26040E) step-up rates:
| Year | Interest Rate (% p.a.) | Cumulative Avg |
|---|---|---|
| Year 1 | 1.36% | 1.36% |
| Year 3 | 1.79% | 1.59% |
| Year 5 | 2.08% | 1.83% |
| Year 10 | 2.82% | 1.99% |
Data: MAS SSB GX26040E. 10-year average of 1.99% p.a. applies if held to full maturity.
How to Apply for SSB in Singapore
You need a CDP (Central Depository) account linked to DBS/POSB, OCBC, or UOB. Four application channels: (1) ATM — DBS/POSB, OCBC, UOB ATMs under “Investment → Singapore Government Securities”; (2) Internet Banking — DBS iBanking, OCBC Online Banking, UOB Personal Internet Banking; (3) MAS SGS Portal — masgs.mas.gov.sg via SingPass; (4) Mobile Banking Apps — DBS, OCBC, UOB apps under investment sections.
Applications open the first business day of the month and close around the 25th. Minimum S$500 in multiples of S$500, maximum S$200,000 across all SSB issues. High-demand months may result in scaling back — you might apply for S$20,000 and receive less if oversubscribed.
SSB vs T-Bills vs Fixed Deposits vs CPF OA
| Feature | SSB | T-Bill (6M) | Fixed Deposit | CPF OA |
|---|---|---|---|---|
| Typical Yield | 1.99% (10yr avg) | ~2.8–3.2% | ~2.0–2.5% | 2.50% |
| Capital Safety | ✅ Govt | ✅ Govt | SDIC $75K | ✅ Govt |
| Liquidity | Monthly redemption | At maturity only | Penalty if early | Restricted |
SSBs work best as a medium-term savings buffer — better liquidity than fixed deposits, less admin than rolling T-bills. They complement rather than replace higher-yield investments like S-REITs.
Tax Treatment and Eligibility
Interest earned on SSBs is tax-exempt for individual investors — you do not declare SSB interest in your income tax return. This is significant for higher-income earners who would otherwise pay income tax on fixed deposit or corporate bond interest.
Eligibility: individuals aged 18+, Singapore Citizens, PRs, or Employment/S Pass holders with a local bank account. Not available to corporate entities, trusts, or joint applicants. Maximum S$200,000 per person across all SSB issues — this cap ensures SSBs remain a retail savings tool.
SSB as a Retirement Planning Tool
For retirement planning, SSBs serve a specific role: capital preservation with modest income. They work best as the “safe” allocation in a broader retirement portfolio that also includes S-REITs for yield, dividend stocks for growth, and CPF for the government-guaranteed floor.
A practical use case: ladder SSBs across multiple monthly issues to create a predictable semi-annual income stream. Pair with S-REIT quarterly distributions to smooth cash flow. Use our Singapore Retirement Calculator to model how SSBs fit alongside CPF LIFE and S-REITs.
Frequently Asked Questions
Can I use CPF OA to buy Singapore Savings Bonds?
What happens if I need my money back urgently?
What is the maximum I can invest in SSBs?
Are SSB returns better than fixed deposits in 2026?
Is SSB interest taxable in Singapore?
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