Date: For Parliament Sitting on 8 May 2023

Name and Constituency of Member of Parliament

Ms Mariam Jaafar, Sembawang GRC

Question: 

To ask the Prime Minister whether MAS is considering curbs on car loans in light of the record high COE prices.

Answer by Mr Tharman Shanmugaratnam, Senior Minister and Minister in charge of MAS:

1. MAS’ restrictions on motor vehicle loans granted by financial institutions are principally to encourage households to borrow prudently. The latest data shows that very few borrowers default on their motor vehicle loans granted by financial institutions, which provide the majority of such loans. The non-performing loan ratio for motor vehicles has remained at less than 0.1% in Q4 2022. MAS will however continue to work with MOT in monitoring the situation in the COE market.  

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