fixed vs floating rates

Business financing in Singapore continues evolving as companies seek better options to manage growth and cash flow. Choosing between fixed and floating corporate loan interest rates in Singapore directly impacts long-term costs. Both structures affect how firms plan repayments, hedge risks, and forecast profits. A fixed interest rate keeps payments steady throughout the loan term. It offers certainty, allowing companies to predict expenses without worrying about market fluctuations. In contrast, a floating rate adjusts with benchmark rates, such as the Singapore Overnight Rate Average (SORA). Borrowers experience variable costs, which can rise or fall based on market conditions. Corporate borrowers…