Tag Archives: MOF

Former Ministry of Finance Director Dismisses Forbes Article

There is one argument from the article that is worth highlighting and which I mostly agree with. And that is booms which are led by real estate development and the financial sector are mostly illusory. They create the impression of economic dynamism without creating any real productive capacity in the economy (think back to Bangkok, KL and Jakarta just before the Asian crisis). They also distort and re-direct resources away from productive activities. Real estate and finance are inherently distributive, not creative, activities – they move money and wealth around, but they don’t lead to any productive capacity and technological capabilities for the economy.

Read More »

MAS refutes Forbes.com article on imminent meltdown

The Monetary Authority of Singapore (MAS) today (Jan 14) rejected suggestions that a credit bubble was brewing in the Republic, after an article published on Forbes.com predicting an imminent meltdown of Singapore’s economy went viral. In response to media queries, the MAS reiterated that Singapore is not facing a credit bubble that puts the country or its banking system at any risk of crisis. It added: “Serious observers and investors are not in doubt about the country’s financial health.”

Read More »

Deputy Prime Minister Tharman is Wrong

It was the buying and selling of credit default swaps and the subprime loans in the US that triggered the financial collapse in 2008. This – and not the minimum wage system – caused the destruction of the economy which led to massive unemployment. If minimum wage has crippled economies, how do we account for Switzerland and Norway which have unemployment rates and economic performances similar to Singapore’s? The minimum wage in both countries is set through collective bargaining.

Read More »

Why Singapore’s Economy Is Heading For An Iceland-Style Meltdown

Singapore’s unemployment rate is a mere 1.8 percent even as the country’s red hot construction sector has been attracting overseas workers, and a growing number of wealthy citizens are hiring domestic helpers from neighboring countries like the Philippines and Indonesia. The ranks of Singapore’s wealthy are growing rapidly thanks to the country’s asset bubbles, which is helping to fuel a luxury consumption boom in everything from high-end apartments to exotic supercars.

Read More »

The alternative news in 1 day? (part 20) – Give buses and to be rewarded via bus trial?

Further to my article “The alternative news in 1 day? (part 18) – Fine transport operators” (Jan 7), I understand from Terry Xu, Executive Editor of theonlinecitizen, some of the bus services selected for the trial are under the Bus Service Enhancement Programme (BSEP). The programme refers to the 550 buses funded by the Government and another 250 added by the Public Transport Operators (PTOs), to increase the bus fleet by about 20%. The first 15 bus services out of the 22 announced for the trial are: 3, 17, 39, 52, 176, 184, 188, 228, 241, 242, 302, 325, 858, 901 and 911.

Read More »