Instead of managing their asset yields, the banks could focus on getting high-quality deposits for long-term sustainability, she adds.
Singapore banks may look to prioritising their funding-cost strategy as interest rates may have peaked in 2023, says Rena Kwok, credit analyst at Bloomberg Intelligence.
“[The] banks would prioritise the containment of funding costs to sustain margins in anticipation of lower interest rates in the longer-term,” Kwok writes in her April 11 report.
