SINGAPORE: Bankruptcy applications by individuals in Singapore could pick up further, as a “small segment of more vulnerable borrowers” face higher risks of financial distress amid rising interest rates and slower economic growth, said Minister of State for Trade and Industry Alvin Tan on Tuesday .
“They will face the impact of a rise at different points of time, depending on the types of loan packages that they have taken up.” He also cited a separate written parliamentary reply issued on Monday, which noted that nearly 27,000 homeowners had refinanced their mortgages with financial institutions between March 2022 and February this year.The Monetary Authority of Singapore estimated that the increase in mortgage payments for these borrowers was about S$240 on average, or nearly 2 per cent of their monthly income.
Mr Saktiandi, in a supplementary question, raised a recent report by The Business Times which noted a spike in the number of mortgagee listings during the first quarter of the year based on data from the Law Ministry.