[maxsanic]

The current CPF OA interest rates are based on 1% + an average of 3-month fixed deposit interest offered by the 3 local banks.

This policy needs to be reviewed urgently as these benchmarks are no longer relevant nor do the reflect the real life experience of depositors. The problem is all 3 banks adopt the policy of publishing artificially low official interest rates while offering real much higher interest rates as "promotions" that do not form the CPF benchmark.

For e.g. although the 3 banks are all offering 2+% interest rates for fixed deposits of different tenure as promotions, they are still officially maintaining a policy of less than 0.1% on paper. If the CPF continues with such inaccurate benchmarks, the gap is going to get wider and wider.