Thereafter, interest rates on all CPF account monies will be subject to a minimum rate of 2.5% per annum, as prescribed by the CPF Act. An announcement was made by the Government in September 2010 to maintain the 4.0% floor rate for the SMRA until 31 December 2011. Under the CPF Act, the CPF Board pays a minimum interest of 2.5% per annum when this interest formula yields a lower rate.įrom, the new interest rate for the Special, Medisave and Retirement Accounts ('SMRA') will be pegged to the yield of 10-year Singapore Government Securities plus 1% or 4%, whichever is higher. The Central Provident Fund ('CPF') interest rate for the Ordinary Account ('OA') is based on the 12-month fixed deposit and month-end savings rates of the major local banks.
