"Second stimulus package in the works as global economy, COVID-19 situation worsens: DPM Heng
SINGAPORE: The Government has started working on a second stimulus package about 10 days ago as both the global economy and COVID-19 outbreak have worsened since the first package was announced three weeks ago, said Deputy Prime Minister Heng Swee Keat on Wednesday (Mar 11).
During the Budget statement on Feb 18, Mr Heng had unveiled a S$4 billion Stabilisation and Support Package that contained a range of measures to cushion the blow of the novel coronavirus on local businesses and workers.
During the global financial crisis which started in 2008, the Government had sought approval from former President S R Nathan for a provision of S$150 billion from past reserves to guarantee bank deposits in Singapore from October 2008 to December 2010.
In 2009, Mr Nathan had also approved a draw of S$4.9 billion from the past reserves to help fund the Resilience Package to protect jobs and support companies.
In a Facebook post on Wednesday evening, President Halimah Yacob said the COVID-19 outbreak, which the world’s health experts have said could take many more months before running its course, and a recent plunge in global oil prices will have a “great impact” on Singapore."
It is almost inevitable as COVID-19 spread ard the world.
A few things need to b looked at:
1. Biz that r looking 4 handouts. Any help MUST B to protect their workers 1st n NOT helping them to make money! For those that hv made good money, they will need to dip into, if u like, their "reserves". If they hv made money the last 5 yrs, 1 yr of loss that amount to even last 5 yrs profit SHOULD B Acceptable!
Of course, cash flow is the key. Like the blood that courses ard the body n keep the human alive to fight or make money again another day!;
2. this thing abt "innovation" in the short term is NOT going 2 work unless the creative folks enjoy the extra stress n pressure to produce something innovative in super short time! Assuming the physics n time truly allowed.
3. the FAT CATs of corporate Sgp, esp the GLCs must look at the structural org of their companies. Honestly, we hv TOO MANY in property development n real estates mgt. Just look at Capitaland, MapleTrees, Ascenda (or part of Capitaland now?), etc.
The cost of doing biz MUST B brought down. Rentals is one big part!
4. Local Talents (LT) taking over higher priced FTs n accelerate the trf of knowledge n doubling up of work to gain experiences must b initiated. Our world class educational system surely must b able to produce good learners who can learn fast n well.
If NOT, we hv a BIGGER problem ya? One that we hv not being willing to look at since our gov always touted how good our education is!!
5. the past reserves. Good to know we had S$150B in 2008 for cash flow of the banking system. No run means actually the cash weren't used really. N the S$4.9B in 2009, a small change really assuming the teserves is at a trillion!
It is not a rainy day. It is the PERFECT storm. All we hv really is the past reserves to help us!
For financial assets, so-called, a trillions CAN n DO evaporate in a day as the Black Monday just passed showed. How much of our reserves r in these papers!??
Worry not as ALL other sovereign funds r in the same shxt boat!!
SINGAPORE: The Government has started working on a second stimulus package about 10 days ago as both the global economy and COVID-19 outbreak have worsened since the first package was announced three weeks ago, said Deputy Prime Minister Heng Swee Keat on Wednesday (Mar 11).
During the Budget statement on Feb 18, Mr Heng had unveiled a S$4 billion Stabilisation and Support Package that contained a range of measures to cushion the blow of the novel coronavirus on local businesses and workers.
During the global financial crisis which started in 2008, the Government had sought approval from former President S R Nathan for a provision of S$150 billion from past reserves to guarantee bank deposits in Singapore from October 2008 to December 2010.
In 2009, Mr Nathan had also approved a draw of S$4.9 billion from the past reserves to help fund the Resilience Package to protect jobs and support companies.
In a Facebook post on Wednesday evening, President Halimah Yacob said the COVID-19 outbreak, which the world’s health experts have said could take many more months before running its course, and a recent plunge in global oil prices will have a “great impact” on Singapore."
It is almost inevitable as COVID-19 spread ard the world.
A few things need to b looked at:
1. Biz that r looking 4 handouts. Any help MUST B to protect their workers 1st n NOT helping them to make money! For those that hv made good money, they will need to dip into, if u like, their "reserves". If they hv made money the last 5 yrs, 1 yr of loss that amount to even last 5 yrs profit SHOULD B Acceptable!
Of course, cash flow is the key. Like the blood that courses ard the body n keep the human alive to fight or make money again another day!;
2. this thing abt "innovation" in the short term is NOT going 2 work unless the creative folks enjoy the extra stress n pressure to produce something innovative in super short time! Assuming the physics n time truly allowed.
3. the FAT CATs of corporate Sgp, esp the GLCs must look at the structural org of their companies. Honestly, we hv TOO MANY in property development n real estates mgt. Just look at Capitaland, MapleTrees, Ascenda (or part of Capitaland now?), etc.
The cost of doing biz MUST B brought down. Rentals is one big part!
4. Local Talents (LT) taking over higher priced FTs n accelerate the trf of knowledge n doubling up of work to gain experiences must b initiated. Our world class educational system surely must b able to produce good learners who can learn fast n well.
If NOT, we hv a BIGGER problem ya? One that we hv not being willing to look at since our gov always touted how good our education is!!
5. the past reserves. Good to know we had S$150B in 2008 for cash flow of the banking system. No run means actually the cash weren't used really. N the S$4.9B in 2009, a small change really assuming the teserves is at a trillion!
It is not a rainy day. It is the PERFECT storm. All we hv really is the past reserves to help us!
For financial assets, so-called, a trillions CAN n DO evaporate in a day as the Black Monday just passed showed. How much of our reserves r in these papers!??
Worry not as ALL other sovereign funds r in the same shxt boat!!
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