DBS to benefit the most from interest rate upcycle

It has an advantage in S$-dominated loans.

Banking giant DBS could be the biggest beneficiary of interest rate upcycle given its advantage on Singapore dollar-denominated loans.

According to UOB KayHian, Singapore dollar-denominated loans account for 40.5% of total loans due to its Singapore dollar-CASA ratio at 89.5% (savings accounts: 71.5%, current accounts: 18%).

"DBS’s market share for Singapore dollar- denominated savings accounts has been stable at 52%. It does not need to chase for high-cost fixed deposits, which accounted for a smaller 10.4% of its total deposits in Singapore dollars," UOB KayHian noted.

More so, DBS has the lowest cost of deposits at 0.56%, compared to OCBC's 1.04% and UOB's 1.12%.

"We expect NIM to expand by 10bp yoy to 1.81% in 4Q17 after factoring in three hikes in US interest rates in 2017," UOB KayHian said.

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia