Jan 2023 1-Year T-Bill: 3.87% p.a. Cut-off Yield

Despite being one of 4 rare 1-year t-bills this year, Jan 2023’s 1-year t-bill saw a lowered application amount with S$10.5 billion applied compared to S$13.06 billion of the most recent 6-month t-bill. S$3.6 billion was allotted with a cut-off yield 3.87% p.a, also notably lower than the preceding 6-month t-bill which had a 4% p.a. yield.

Allotment results

Non-competitive applications were 100% allotted at the 3.87% p.a. rate.

Competitive bids above this yield got nothing, and competitive bids under 3.87% are allotted fully.

Tap here to read more about how bidding works.

Pros and cons of 1-year t-bills

1-year t-bills are more convenient than 6-month ones because you just need one application as opposed to 2 for a period of 12 months. This is particularly relevant for those who use their CPF to buy t-bills since no bank has yet to allow online application of t-bills via CPF.

Rates, however, have been slightly lower than their 6-month counterparts, and this month’s 1-year t-bill continues this trend.

Some may prefer 1-year t-bills still since the rate is locked for a year, while rates may continue to decline half a year later when one’s 6-month t-bill matures.


The poorer rate is also symptomatic of recent declining rates. You may want to look at fixed deposits instead, even though those are also expected to drop in rates to some extent as February 2023 rolls along. If you’re reading this in January, you have a short window to apply while their current rates last.

Here’s a look at 5 of the best rates I could find. I also maintain a Savings page with savings products that are interesting and compelling.

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