The ABS Bye-laws & Regulations on Section K Interbank Payments govern the settlement of claims for interest compensation between Member Participants arising from failed interbank payments (Section K2) and late intra-day money market transactions under MEPS+ (Section K3). The compensation interest rates are defined as follows:

“ABS K2 Rate” shall be the daily published MAS’ Singapore Overnight Rate Average (SORA).

“ABS K3 Rate” refers to the highest intra-day rate on value date. If the K3 rate is not available in the market, then it should be two-thirds of the K2 rate on value date.