Analysts eye dividend hike by banks


NEW rules on how much capital banks hold in reserve could free up Singapore lenders to pay higher dividends, sparking new interest from yield-hungry investors, analysts say. 

The Monetary Authority of Singapore (MAS) has been working with local banks since last year to implement the new risk-based capital framework based on the Basel II Capital Accord, which is due to be implemented by the end of 2006. 

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