CPF INTEREST RATE AND HDB MORTGAGE RATE FROM 1 APRIL 2004 TO 30 JUNE 2004
	News Release by: Central Provident Fund Board Housing & Development Board 13 FEBRUARY 2004 --
	The CPF Board will continue to pay interest to its 3.0 million CPF members at the rate of 2.50% per annum for CPF savings in their Ordinary Account from 1 April 2004 to 30 June 2004. The CPF interest rate is reviewed quarterly.
	The computed CPF interest rate, derived from the interest rates for the three-month period, 1 November 2003 to 31 January 2004, works out to be 0.59% per annum. However, the Board will be paying the higher rate of 2.50% per annum as the CPF Act provides for a minimum CPF interest rate of 2.50% per annum. This minimum rate is higher than the 12-month fixed deposit and savings rates of the major local banks for the November 2003 to January 2004 period.
	Savings in the Medisave Account, Special Account and Retirement Account will earn interest at 4.00% per annum. This is 1.5 percentage points higher than that for the Ordinary Account. The concessionary interest rate for HDB mortgage loan, which is pegged at 0.1 percentage point above the CPF interest rate for the Ordinary Account, will remain unchanged at 2.60% per annum from 1 April 2004 to 30 June 2004. The next revision of the CPF interest rate will be made on 1 July 2004. The detailed computations of the CPF interest rate and the HDB mortgage loan interest rate are given in the Annex.
	PUBLIC ENQUIRIES
	Members with enquiries may call the CPF Call Centre on 1800-227 1188 (Code 1)
	ANNEX:
	COMPUTATION OF CPF INTEREST RATE AND HDB MORTGAGE RATE FOR APRIL 2004 TO JUNE 2004 12-MONTH DEPOSIT RATE (% PA)       SAVINGS RATE (% PA) AVERAGE MONTH/YEAR DBS   (1) OCBC   (2) UOB   (3) DBS   (4) OCBC   (5) UOB   (6) 80FD:20SD (% PA) 30 Nov 03 0.6250 0.7000 0.7000 0.2000 0.2500 0.2500 0.5867 31 Dec 03 0.6250 0.7000 0.7000 0.2000 0.2500 0.2500 0.5867 31 Jan 04 0.6250 0.7000 0.7000 0.2000 0.2500 0.2500 0.5867 (A) NORMAL CPF INTEREST RATE               Average for 3 months (NOV 2003 TO JAN 2004) (Using the 80 FD : 20 SD formula) 0.59% (computed interest rate)           CPF Interest Rate for APR 2004 TO JUN 2004 2.50% (legislated minimum rate)         (B) HDB MORTGAGE RATE               CPF Interest Rate for APR 2004 TO JUN 2004 2.50%     Plus: Fee to cover Cost of Loan Administration 0.10%               --------     HDB Mortgage Rate for APR 2004 TO JUN 2004 2.60%       --------           NOTES: (1) Balances between $20,000 to < $50,000 (2) Balances less than $50,000 (3) Balances < $50,000 (4) Balances > $3,000 to $50,000 (AUTO-SAVE Account) (5) Balances > $3,000 to $50,000 (EASI-SAVE Account) (6) Balances > $3,000 to $50,000 (UNIPLUS Account)