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Malaysians poorer. So banks need higher FDI to entice them to put aside money in their bank accts for the banks to use and "invest"/speculate in investment products and stocks to huat big big.
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Because they are foreign banks here. Back in Malaysia, their rates will probably be not be as good as the foreign banks in Malaysia.
They have less savings here so they need to offer higher rates than local banks. Applies to a lot of foreign banks.
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Because Sporeans are rich, and more cash to deposit so they want to get more funding from Spre.