Latest Update: Minimum CPF Interest Rates to Remain Unchanged
Since 1 January 2008, the Government had committed to providing a 4% interest floor rate for Special, Medisave, and Retirement Account (SMRA) CPF monies for two-year periods each time.
And they’ve been extending it ever since due to global economic conditions.
As well as the fact that interest rates have been exceptionally low.
The current rate floor was due to expire on 31 December 2020.
But since our economy is so cui now…
CPF has announced that the 4% interest rate floor for SMRA has been extended until 31 December 2021.
“Why not 2 more years like always,” you ask?
I’m guessing the Government isn’t too optimistic about the global pandemic situation and wants to adopt a see-how approach.
Now, I know what you’re thinking…
Source: SpongeBob SquarePants | Giphy
Here’s why this announcement — following CPF’s quarterly interest rate review — is important.
CPF Interest Rates from 1 October to 31 December 2020
There are no changes to the current CPF interest rates