Singapore Banks Are So Flush With Deposits That DBS Is Loaning MAS S$30 Billion
- Local lenders have signaled softer outlook for loan growth
- Singapore seen as safe haven, fixed deposits have soared
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Singapore banks are flushed with deposits with few options to deploy them amid a tepid lending environment. The city-state’s central bank is one avenue.
The issue was highlighted in May when DBS Group Holdings Ltd. Chief Executive Officer Piyush Gupta said during an analyst call that the bank had lent the Monetary Authority of Singapore S$30 billion ($22.3 billion) as it is “not finding enough opportunities to put the money to work.”