The MAS is now making changes to its IT system to support the initiative.
The Money Authority of Singapore (MAS) will allow the use of Supplementary Retirement Scheme (SRS) monies to buy Singapore Savings Bonds (SSBs), said Tharman Shanmugaratnam, deputy prime minister and minister in charge of MAS.
SSBs are a special type of Singapore Government Securities that are suitable for individuals who want low-risk retirement savings instrument.
“Given the objectives of SSBs, we intend to allow the use of Supplementary Retirement Scheme (SRS) monies for the purchase of these bonds. It will enhance the range of low-cost products available on the SRS platform. However, the allocation mechanism for SSBs will continue to ensure that small savers amongst the public get preference in the event of over-subscription,” said Shanmugaratnam in a reply to Patrick Tay Teck Guan, member of parliament at West Coast GRC, on Monday.
According to MAS, more than 55,000 individuals already hold over $1.8b SSBs as of 1 February.
Furthermore, Shanmugaratnam noted that MAS is now making changes to its IT system to support the use of SRS monies for purchasing SSBs.
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