DAILY NEWS

Daily News – 1 Jul 2020 (Wed)

Singapore Real Estate

Beauty World site set to catalyse area’s rejuvenation
A just-released 99-year leasehold commercial and residential site near Beauty World MRT station has many strong attributes, say property consultants. However, the cloud of uncertainty amid the Covid-19-induced economic slowdown and its big-ticket investment quantum – the land price alone is widely expected to be at least S$1 billion – may cause potential bidders to be cautious, they added.
https://www.businesstimes.com.sg/real-estate/beauty-world-site-set-to-catalyse-areas-rejuvenation
https://www.straitstimes.com/business/property/dual-envelope-tender-launched-for-jalan-anak-bukit-site

Singapore private home prices weaken further with 1.1% drop in Q2: URA flash data
Singapore – Prices of private homes slipped for a second straight quarter as demand was suppressed during the nearly two month-long circuit breaker period. Flash estimates from the Urban Redevelopment Authority (URA) on Wednesday morning (July 1) showed its overall price index for private residential properties declined 1.1 per cent in the second quarter from the previous three months.
https://www.straitstimes.com/business/property/singapore-private-home-prices-weaken-further-with-11-drop-in-q2-ura-flash-data
https://www.businesstimes.com.sg/real-estate/singapore-private-home-prices-down-11-q-o-q-in-q2-2020-ura-flash-estimate

Singapore Economy

Singapore business loans fall further in May amid downturn
Business loans in Singapore extended its slide in May, mainly dragged down by weaker loans to financial institutions and general commerce, fresh data from the Monetary Authority of Singapore showed on Tuesday.
https://www.businesstimes.com.sg/banking-finance/singapore-business-loans-fall-further-in-may-amid-downturn

More payment delays hit Singapore firms in Q2; retail and services see worst jumps
Payment delays among firms in Singapore have risen for another quarter, with retail and services posting the highest jumps out of all sectors, amid the economy’s coronavirus-induced partial lockdown. Slow payments, defined as those made at least 30 days above terms, increased to 45.78 per cent in Q2, up 3.20 percentage points from 42.58 per cent in Q1, which had marked a near three-year low, the Singapore Commercial Credit Bureau (SCCB) said in its latest quarterly report on Wednesday (july 1).
https://www.straitstimes.com/business/economy/more-payment-delays-hit-singapore-firms-in-q2-retail-and-services-see-worst-jumps
https://www.businesstimes.com.sg/government-economy/singapore-firms-see-more-payment-delays-in-q2-retail-and-services-post-highest

Companies’ Brief

Frasers Centrepoint Trust to raise stake in owner of 5 suburban malls in Singapore for $197.2m
Singapore (The Business Times) – Frasers Centrepoint Trust (FCT) is acquiring an additional 12.07 per cent stake in PGIM Real Estate Asia Retail Fund (ARF) for $197.2 million, in line with plans to bolster its presence in Singapore’s suburban retail sector.
https://www.straitstimes.com/business/companies-markets/frasers-centrepoint-trust-to-raise-stake-in-owner-of-5-suburban-malls-in
https://www.businesstimes.com.sg/companies-markets/frasers-centrepoint-trust-to-raise-stake-in-pgim-real-estate-fund-for-s1972m

ESR-Reit secures two new tenants at 8 Tuas South Lane
ESR-Reit has secured two new tenants at 8 Tuas South Lane. Collectively, the new tenants have leased 284,700 square feet (sq ft) at the property, the industrial Reit’s (real estate investment trust) manager said on Tuesday.
https://www.businesstimes.com.sg/companies-markets/esr-reit-secures-two-new-tenants-at-8-tuas-south-lane

PIL’s SS Teo steps down as SBF chairman; Workforce Singapore chair Lim Ming Yan takes over
Pacific International Lines (PIL) managing director Teo Siong Seng, known in shipping circles as SS Teo, has stepped down as chairman of the Singapore Business Federation (SBF) after serving the maximum of three terms totalling six years.
https://www.businesstimes.com.sg/sme/pils-ss-teo-steps-down-as-sbf-chairman-workforce-singapore-chair-lim-ming-yan-takes-over

Views, Reviews, Forum & Others

Economic carnage from Covid-19 laid bare
During the past week, three institutions well respected for their economic research – the International Monetary Fund (IMF), the Bank for International Settlements (BIS) and the United States Federal Reserve – have released reports about how the economic impact of the Covid-19 pandemic will play out.
https://www.straitstimes.com/opinion/economic-carnage-from-covid-19-laid-bare

More 5G network equipment suppliers would be good for industry
Singapore’s announcement that its fifth-generation mobile telephony (5G) network would be built by Nokia and Ericsson has been part of several recent wins by the two European telecom companies.
https://www.businesstimes.com.sg/opinion/more-5g-network-equipment-suppliers-would-be-good-for-industry

Lemonade out of a pandemic lemon?
Singapore has spent considerable effort establishing itself as an international dispute resolution venue of choice. It now boasts a world-class judiciary with an international division (the Singapore International Commercial Court), is the No 1 seat for arbitration in Asia…
https://www.businesstimes.com.sg/opinion/lemonade-out-of-a-pandemic-lemon

Asia’s post-Covid-19 re-opening is unleashing a steep recovery
On June 19, Singapore took a big step forward in its gradual lifting of restrictions to curb the spread of Covid-19. Under the so-called Phase Two of its re-opening process, it is attempting to safely re-start most of its domestic economy.
https://www.businesstimes.com.sg/hub/investment-guide/asias-post-covid-19-re-opening-is-unleashing-a-steep-recovery

Asia’s factories show worst may be over as China demand picks up
Singapore (Bloomberg) – Asia’s factory managers saw glimmers of hope in June, with the region’s purchasing managers indexes (PMIs) turning up across the board as demand from China picked up. PMIs for Japan, South Korea, and Taiwan – the region’s manufacturing powerhouses – improved slightly, but stayed below 50, the dividing line between contraction and expansion.
https://www.straitstimes.com/business/economy/asias-factories-show-worst-may-be-over-as-china-demand-picks-up

IPO market seen as more lively in second half of 2020
A new crop of listings may emerge as recovery takes hold in the second half after a volatile six months for capital markets. The coronavirus pandemic and the subsequent slump in economic activity caused by the circuit breaker have weighed down Singapore’s initial public offerings (IPOs) market.
https://www.straitstimes.com/business/companies-markets/ipo-market-seen-as-more-lively-in-second-half-of-2020

Rise of the Asean Super Apps
South-East Asia has lagged behind the rest of Asia in the digitalisation of its economies. However, with recent improvements in infrastructure/logistics, mobile networks and payments and the Covid-19 crisis forcing people to stay at home and shop online, Asean is likely to see significant inflection in digitalisation over the next few years.
https://www.businesstimes.com.sg/wealth-investing/rise-of-the-asean-super-apps

Electricity tariffs to fall 15% for next 3 months on lower energy costs
Households can expect lower electricity bills for the next three months. Electricity tariffs are set to decrease by an average of 15 per cent in the third quarter of the year, SP Group said yesterday. For the period from July 1 to Sept 30, electricity tariffs will fall by 3.42 cents per kilowatt hour (kwh) compared with the previous quarter, as a result of lower energy costs.
https://www.straitstimes.com/singapore/electricity-tariffs-to-fall-15-for-next-3-months-on-lower-energy-costs

Singapore GE2020: All 93 seats contested as Singapore heads for ‘crisis election’ on July 10
Singapore will see all seats contested for the second general election in a row, in a contest that takes place amid a global pandemic and a time of crisis. Nomination Day saw a total of 192 candidates file papers to contest all 93 seats in 17 group representation constituencies and 14 single-member constituencies.
https://www.straitstimes.com/politics/all-93-seats-contested-as-singapore-heads-for-crisis-election-on-july-10
https://www.businesstimes.com.sg/government-economy/dpm-heng-in-surprise-switch-as-battle-lines-are-drawn-for-all-93-seats

Update on COVID-19 (Coronavirus Disease 2019) Situation

78 more worker dorms cleared of Covid-19, bringing total to 241
Seventy-eight more foreign worker dormitories have been cleared of Covid-19, bringing the total number of cleared dorms to 241. Of the 78, 72 are factory-converted dormitories and six are temporary quarters at construction sites, said the Ministry of Manpower (MOM) yesterday.
https://www.straitstimes.com/singapore/78-more-worker-dorms-cleared-of-covid-19-bringing-total-to-241

Singapore PR is first imported case here since June 14; five fresh infections in community
A Singapore permanent resident who had returned from India later tested positive for Covid-19, making her the first imported case here since June 14. The 44-year-old was among 246 new coronavirus cases confirmed by the Ministry of Health (MOH) yesterday.
https://www.straitstimes.com/singapore/spore-pr-is-first-imported-case-here-since-june-14-five-fresh-infections-in-community

Doctors expect more respiratory infection cases as Singapore reopens
Doctors here say they expect more cases of acute respiratory infection (ARI) as Singapore’s economy continues to reopen, following a drop in the number of such cases during the circuit breaker period. Healthcare professionals The Straits Times spoke to said there are a number of possible reasons for the fewer cases.
https://www.straitstimes.com/singapore/health/doctors-expect-more-respiratory-infection-cases-as-spore-reopens
*For more information, please visit the Ministry of Health (MOH) website at www.moh.gov.sg and refer to go.gov.sg/mohupdates for updates on the COVID-19 (Coronavirus Disease 2019) situation