What is a Singapore T-bill?

A T-bill (Treasury bill) is a short-term Singapore Government Security issued at a discount to its face value and redeemed at full face value at maturity. Singapore issues 6-month and 1-year T-bills, administered by the Monetary Authority of Singapore (MAS).

How much do I need to invest in a T-bill?

The minimum investment is S$1,000, and you apply in multiples of S$1,000. There is no maximum for individuals, though very popular auctions can result in pro-rated allotment for non-competitive bids.

How do I actually buy a T-bill?

It depends on your funding source. With cash, you apply through DBS/POSB, OCBC or UOB internet banking or ATM (and need a CDP account). With SRS, you apply through your SRS operator's internet banking. With CPF, you use the CPF Investment Scheme via an agent bank. See our step-by-step guides for each route.

What return will I get?

The return is set at auction as the cut-off yield and is only known after the auction closes. It moves with market interest rates. We do not publish a 'current' yield here — always check the latest auction results on the MAS website before applying.

T-bills are backed by the Singapore Government, so credit risk is very low. Other considerations still apply, such as reinvestment risk (the next auction's yield may be lower), opportunity cost for CPF funds, and the fact that your money is committed until maturity unless you sell on the secondary market.

Is T-bill interest taxed?

For individuals, interest income from Singapore Government Securities, including T-bills, is exempt from Singapore income tax. Tax rules can change, so confirm your own position with the relevant authority.

What is the difference between a competitive and non-competitive bid?

With a non-competitive bid you accept the cut-off yield the auction sets. With a competitive bid you state the highest yield you are willing to accept. All successful bidders receive the same uniform cut-off yield; non-competitive bids are filled first up to a capped share of the issue, and pro-rated if that cap is exceeded.

Is this website official or financial advice?

No. T-Bills Singapore is an independent educational guide. We are not MAS, CPF, a bank or a licensed financial adviser, and nothing here is financial advice. Always verify details on the official MAS website and consider your own circumstances before investing.

Risks of Singapore T-Bills — What to Consider Before You Buy

Low credit risk, but not risk-free in every sense

The credit risk of a Singapore T-bill is very low because it is government-backed. But 'safe' from default is not the same as 'no considerations' — a few other factors deserve thought.

Interest-rate and reinvestment risk

If you sell a T-bill before maturity, its market price moves inversely with interest rates, so you might get back less than you paid. Holding to maturity avoids this.

Reinvestment risk is the more common one: when your T-bill matures and you want to roll into a new one, the prevailing yield may be lower than before. The rate you enjoyed is not guaranteed to repeat.

Opportunity cost and liquidity

For CPF-funded purchases especially, weigh the T-bill yield against the CPF interest you give up, including any months where funds earn nothing in transit.

Your money is committed for the term. If there is a real chance you will need it sooner, an instrument you can exit any month (such as SSB) may suit better.

Allotment and this is not advice

In popular auctions, non-competitive bids can be pro-rated, so you may be allotted less than you applied for.

Finally, everything on this site is general educational information, not financial advice, and we are not affiliated with MAS, CPF or any bank. Consider your own circumstances and, if in doubt, speak to a licensed financial adviser before investing.

Check the latest at the source

Yields, calendars and rules change. Confirm current details on the official Monetary Authority of Singapore (MAS) website before you act.

MAS bonds & bills ↗

This guide is general educational information, not financial advice. T-Bills Singapore is independent and not affiliated with MAS, the CPF Board or any bank. Consider your own circumstances and, if in doubt, speak to a licensed financial adviser.

T-bill risks and considerations

Key points

Low credit risk, but not risk-free in every sense

Interest-rate and reinvestment risk

Opportunity cost and liquidity

Allotment and this is not advice

Check the latest at the source

Keep reading

T-bill auctions and yields explained

The T-bill application timeline