Singapore Economy Facing Deep Recession
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Singapore is suffering its deepest recession since independence in 1965 - and has gone from one of Asia`s leading economy to it`s most rapidly declining - verification of the collapse of capitalism which is now well under way and irriversable.
Singapore is now 44 years old and according to many Chinese, 44 is an unlucky number. Incidentally, Barack Obama is the US 44th President. In the case of the USA, this western bastions of capitalism is turning to communist style intervention to save the very banks and companies which helped to bring about the current collapse of capitalism.Singapore, an Anglo-American favoured economic outpost in East Asia, said it would maintain its forecast that the economy would contract by between 6 per cent and 9 per cent this year and is already laying off overseas foreign workers and cutting back on the numbers whilst holding crisis meetings and rallying the population to face preparation for hard times.
On a quarter-on-quarter, seasonally adjusted annualised basis, the economy shrank by 14.6 per cent against the government’s preliminary estimate a month ago of 19.7 per cent.
Officials had estimated in April that the economy in the first quarter would shrink by 11.5 per cent from a year ago. The International Monetary Fund estimated this month that Singapore’s economy could contract by 10 per cent this year, which would be the worst performance in Asia.
Non-oil exports could fall by up to 13 per cent this year, the ministry of trade and industry said and the unemployment rate is expected to increase according to analysts.
The jobless rate of 4.8 per cent for local residents is the highest in five years but the government has provided subsidies to prevent more unemployment.http://sgblogs.com/entry/singapore-economy-facing-deep-recession/342958
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And they said we were improving.
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Nonsense.
We have the highest paying ministers leading the country.
The "first Asian country to fall into a recession" is an anomaly.
Only happens once in a few centuries.
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This a global event and is certainly bad news, affecting not only us, but every individual in the world. We are not alone.
However, we must never allow such news affect our attitudes in life. We only need to cut back on non-essential spending ( not totally dont spend, which is impossible), and to remain in or get jobs to tide over this tough time. Failing which we will have no right to live as an individual, let alone as a nation.
There had never been a case throughour our history of civilisation whereby humanity surrendered to dire circumstances. Depression, wars, quakes, tsunamis, etc.
Each time we humans had always bounce back stronger. So too will we logically be able to bounce back from such setbacks as today, as long as we do not lose courage, hope and confidence in ourselves, which in turn will help others keep theirs.
Good luck and cheers! :-)
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Don't know what kind of economics Singapore has, GDP down 10.1% but CPI up 1.6%.
But then again, what do I know about economics, I am not paid millions of dollars to screw with the lives of citizens. Ooops, I meant screw with the economy.
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Singapore shrank 10.1% is one of the worse performing economies in Asia, Japan shrank 4%, Australia 0.5% and Hong Kong 4.3%.
May 21 (Bloomberg) -- Singapore’s government said the economy shrank less than initially estimated last quarter and a second stimulus package may not be needed as the nation emerges from the deepest recession in its 44-year history.
Gross domestic product declined an annualized 14.6 percent last quarter from the previous three months, after shrinking 16.4 percent between October and December, the trade ministry said in a statement today. The initial estimate on April 14 was for a 19.7 percent drop.
Singapore joins other Asian nations in showing signs it may be past the worst of its yearlong export slump. The Bank of Japan may raise its assessment of the economy for the first time since July 2006 tomorrow, even after a report showed a record contraction in the first quarter, economists say.
“The economy probably reached the trough last quarter but the ‘green shoots-of-recovery’ story will have to wait a bit longer,” said Selena Ling, head of treasury research at Oversea-Chinese Banking Corp. in Singapore. “The pace of declines may ease but the second quarter will still be a weak one for Singapore.”
The worst global recession since World War II has battered Singapore’s exports, forcing companies including Chartered Semiconductor Manufacturing Ltd. to fire a record number of workers on the island and prompting the government to cut taxes and hand cash to businesses to help them cope with the slowdown.
Prime Minister Lee Hsien Loong’s government expects the economy to shrink as much as 9 percent in 2009, the most since independence in 1965. The International Monetary Fund predicts a 10 percent contraction, the worst performance in Asia.
Second Stimulus
“We seem to have hit the bottom and things are not likely to get worse from this point on,” Ravi Menon, an official at the trade ministry, told reporters today. The economy is “not likely” to need a second stimulus package this year because things haven’t worsened, he said.
The Singapore dollar rose 0.4 percent to S$1.4557 against the U.S. currency at 11:37 a.m. local time. The island’s currency is the worst performer in Asia after the Malaysian ringgit among 10 currencies outside Japan, declining 0.8 percent this year.
The Monetary Authority of Singapore said last month it would adjust the trading range for the Singapore dollar, a move economists say effectively devalued the currency.
The Singapore dollar’s behavior “is consistent with the policy stance and we’re comfortable with the Singapore-dollar price action,” Ong Chong Tee, a central bank deputy managing director, said at a press briefing today.
Slow Recovery
Singapore’s economy will make a “slow and gradual” climb out of the recession, rather than a “decisive rebound” this year, the central bank said last month. Taiwan may say today its GDP probably shrank at an unprecedented pace last quarter as exports to the U.S. and China fell, according to a Bloomberg News survey.
The global economy is probably “nearing the turning point,” Don Hanna, a New York-based economist at Citigroup Inc., said in a note yesterday, predicting a “subdued” recovery.
“We have probably seen most of the vulnerability already,” Nobel Prize-winning economist Paul Krugman said in Ho Chi Minh City yesterday. “I don’t think we are going to get any more of big shocks from the U.S., Western Europe, Japan or China. My concern has shifted to how do we hold up if we have the world economy that stays depressed for a long time.”
Jobless Rate
Singapore’s $161 billion economy contracted a revised 10.1 percent last quarter from a year earlier. Manufacturing, which accounts for a quarter of the economy, fell 26.1 percent, less than the 29 percent decline estimated on April 14. Services shrank a revised 5.2 percent while construction gained a revised 24.4 percent.
Employers fired a record 12,600 workers last quarter in Singapore, pushing the jobless rate to the highest in more than three years. Electronics exports have dropped every month for more than two years, and the financial services industry is shrinking after the global credit crisis.
Singapore’s financial industry will probably shrink this year compared with 2008 even amid signs of some improvement in lending in the first quarter, the central bank’s Ong said.
The economy may contract 6 percent to 9 percent this year, the trade ministry reiterated today. Consumer prices are forecast to remain unchanged or fall 1 percent in 2009, and non- oil domestic exports may plunge as much as 13 percent.
“While trade is still expected to be weak for the rest of 2009, further declines of the magnitude seen earlier this year seem unlikely,” the ministry said. “Any new risk, such as an acute worsening of the Influenza A (H1N1) situation or undisclosed weaknesses in U.S. or European banks coming to light, could set back the process of economic recovery by several quarters.”
http://www.bloomberg.com/apps/news?pid=20601087&sid=aji0VoRp.OF4&refer=home
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With the gone of powerful US consumer. No more easy credit. Who is going to buy those product? US unemployment rate is still climbing.
And singapore econ is still heavily based on manufacturing..
Those gain at stock market presently are all pure speculating with no grow of the company.
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Originally posted by zenden9:
With the gone of powerful US consumer. No more easy credit. Who is going to buy those product? US unemployment rate is still climbing.
And singapore econ is still heavily based on manufacturing..
Those gain at stock market presently are all pure speculating with no grow of the company.
Please understand that stock market is just a derivative, up or down is most unrelated to the economic situation most of the time. To turn the economy around ths time need more that a jolt from SGX.
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Originally posted by Chew Bakar:
Please understand that stock market is just a derivative, up or down is most unrelated to the economic situation most of the time. To turn the economy around ths time need more that a jolt from SGX.
Maybe its bad of me to mix 2 things up.But to claim the worst is over is plain BS from Government.
Singapore Manufacturing sector will wipe out soon... R&D will not create too much job to keep most people employ. IR? Is still a doubt...
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We all have to pray hard that Uncle Sam, our biggiest and richest customer recovers soon, else ..........
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Depend on luck lor.
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If only rely on external forces, then why bother paying PAP Ministers millions, when all they could do is wait for other's to recover.
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Originally posted by 4sg:
We all have to pray hard that Uncle Sam, our biggiest and richest customer recovers soon, else ..........
Quite unlikely. Do u know for the past decade, US econ is fuelled by easy credit to maintian high purchasing power. Easy credit card application. Easy credit, easy loan. Such things heavily sustain by credit will not last long. With the collaspe of banking in US, there will be no more easy credit soon. US will lost it purchasing power and there is a vacum to fill up of buying consumer goods. Escpecially high end product.Without US, many first world country depend on manufacturing export are having a very hard time.(Japan, Germany and Singapore).
See how Toytota from last year record earning to red in this year first quarter financial report.
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Our Ah Kong always teaches us how hard, how much sacrifice he and we have to make together to raise 1% point of economic growth......
and now we hearing goatfuck figure economy shrank of 19.7%............ -
Originally posted by deepak.c:
If only rely on external forces, then why bother paying PAP Ministers millions, when all they could do is wait for other's to recover.
When good they claim its their credit when bad they claim they cannot help it...As good as useless.
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Originally posted by zenden9:
When good they claim its their credit when bad they claim they cannot help it...As good as useless.
Very few government figures around the world has the guts to admit something is their fault unless they are forced into a corner.
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Originally posted by Forbiddensinner:
Very few government figures around the world has the guts to admit something is their fault unless they are forced into a corner.
True.
But even rarer is the amount of self praise that the government keeps heaping on themselves like what we have in singapore.
From "extraordinary" to "top talents".
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Originally posted by zenden9:
Quite unlikely. Do u know for the past decade, US econ is fuelled by easy credit to maintian high purchasing power. Easy credit card application. Easy credit, easy loan. Such things heavily sustain by credit will not last long. With the collaspe of banking in US, there will be no more easy credit soon. US will lost it purchasing power and there is a vacum to fill up of buying consumer goods. Escpecially high end product.Without US, many first world country depend on manufacturing export are having a very hard time.(Japan, Germany and Singapore).
See how Toytota from last year record earning to red in this year first quarter financial report.
I agree with you about the easy credit stuff.
Just waiting to see how Obama does housekeeping on the banking derivatives.......
Anyone saw the youtube clip of a futurist guy who rant about predicting Obama'sassassination?
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Originally posted by zenden9:
Maybe its bad of me to mix 2 things up.But to claim the worst is over is plain BS from Government.
Singapore Manufacturing sector will wipe out soon... R&D will not create too much job to keep most people employ. IR? Is still a doubt...
The worst may be over depending on the country. But doubt we are out of the wood.
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Originally posted by deepak.c:
If only rely on external forces, then why bother paying PAP Ministers millions, when all they could do is wait for other's to recover.
Precisely. Mei you nai mo da de tou jiu bu yao dai na mo da de mao zi! -
It show our current batch of highly paid ministers are plain useless and only how talk big & blame the others for the depression.
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I just laugh out loud when I keep reading about how Thailand might go into recession this year. The economists in the country keep warning that there is a very good chance, no there is almost certainty that the Thai economy will go into recession this year.
"Thai GDP to confirm recession, worst may be over
The Malaysian Insider - May 20, 2009BANGKOK, May 21 — Thailand's economy likely contracted for the second straight quarter in January-March, putting the country in recession after a plunge in ...Thai GDP May Shrink Most in a Decade, Enter Recession
Bloomberg - May 21, 2009By Suttinee Yuvejwattana and Michael Munoz May 22 (Bloomberg) -- Thailand's economy probably slid into arecession in the first quarter, shrinking the most ..."
I laugh out loud because the propaganda was that political stability, a strong government, having the cursed despot and his cronies in power is the way and the messy Thai style is what must be avoided.
hahaha... the reality is that the cursed despot and cronies' style of government is what will kill the economy... with its cronism, nepotism and cultivating of asslicking dogs.
In case there are those too dumb to get it, you have to compare, " to confirm" "likely contracted" "May Shrink" "probably slid" (see the two newspaper quotes above) when describing Thailand with "Singapore is suffering its deepest recession"....
Just as GST increase is for helping the poor, the lie is that having the cursed despot in power (without a powerful opposition) will lead the people to prosperity instead of just leading a bunch of public money grabbing despots to a cursed prosperity and destroying the country.
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It is all gloomy, don't think will see anymore light here in sg. WE are experiencing the worst under the "leadership" of lee hsien loong. EAsy job for pee ay pee, when times are bad just simply point fingers, when economy is doing well claim all credit to themselves. what a shitty govt we have. Easy money for them, ha ha ha ha ha ha.
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to 4sg:
lol...goatfuck...good creative term!!
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someone should just stik a banner commenting bout LHL at midnite and run away.....dunno how to tell him without getting my cloth n crayons confiscated away from me.