DAILY NEWS

Daily News – 14 October 2021 (Thu)

Singapore Real Estate

Singapore new private home sales down 32.3% to 823 in September
New private home sales continued to ease in September following August’s drop. Based on caveats lodged, analysts estimated that developers in Singapore sold 823 new private homes in September, down 32.3 per cent from August’s 1,215 units.
https://www.businesstimes.com.sg/real-estate/singapore-new-private-home-sales-down-323-to-823-in-september
https://www.businesstimes.com.sg/real-estate/singapore-new-private-home-sales-down-323-to-823-in-september

S-Reits’ data centres, logistics properties may see their values improve: IREUS
More volatility may be in store for valuations of retail, office and hospitality properties, while data centres and logistics assets will likely see their values improve in tandem with the growing need for digital solutions and supply-chain resilience.
https://www.businesstimes.com.sg/real-estate/s-reits-data-centres-logistics-properties-may-see-their-values-improve-ireus

Condo, HDB rents edge up in September while leasing volumes dip
[Singapore] Rents for both Housing Board flats and private apartments rose in September compared with August, while leasing volume in both markets dipped for the 4th consecutive month, according to flash data from real estate portals 99.co and SRX released on Wednesday (Oct 13).
https://www.businesstimes.com.sg/real-estate/condo-hdb-rents-edge-up-in-september-while-leasing-volumes-dip
https://www.straitstimes.com/business/property/condo-hdb-rents-edge-up-in-september-while-leasing-volumes-dip

GB Building unit owners eyeing collective sale
Some subsidiary proprietors of GB Building, located at 143 Cecil Street in the Central Business District, are aiming for a collective sale of the commercial development. A collective sale committee wasappointed earlier this year to start the process, said mainboard-listed property developer and investor Chuan Hup Holdings, whose wholly-owned subsidiary Provest Realty owns 3 floors in GB Building.
https://www.businesstimes.com.sg/real-estate/gb-building-unit-owners-eyeing-collective-sale

Singapore Economy

Singapore’s GDP grew 6.5% in Q3, moderating from Q2’s 15.2%
Singapore’s economy grew 6.5 per cent year on year in the third quarter of 2021, easing from a jump seen in the previous quarter as a result of last year’s low base, according to advance estimates from the Ministry of Trade and Industry (MTI) on Thursday morning (Oct 14).
https://www.businesstimes.com.sg/government-economy/singapores-gdp-grew-65-in-q3-moderating-from-q2s-152
https://www.straitstimes.com/business/economy/singapore-economy-grows-65-in-q3-flash-data

Mice recovery spurred by border reopenings but impact limited for now
Business event organisers and venue operators in Singapore are cautiously optimistic about a gradual recovery in the coming months, as the country takes steps to reopen, although they feel the expanded number of vaccinated travel lanes (VTLs) may not be sufficient to move the needle for now.
https://www.businesstimes.com.sg/government-economy/mice-recovery-spurred-by-border-reopenings-but-impact-limited-for-now

MAS tightens Singdollar policy ahead of expectations, as inflation climbs
Singapore’s central bank unexpectedly tightened its monetary policy settings at its half-yearly review on Thursday (Oct 14), citing “accumulating” external and domestic cost pressures. Bucking the market consensus, the Monetary Authority of Singapore (MAS) moved to “raise slightly the slope” of the Singapore dollar nominal effective exchange rate (S$NEER) policy band, up from a flat or “zero” slope before.
https://www.businesstimes.com.sg/government-economy/mas-tightens-singdollar-policy-ahead-of-expectations-as-inflation-climbs
https://www.straitstimes.com/business/economy/mas-tightens-singdollar-policy-earlier-than-expected-amid-rising-inflation

Companies’ Brief

Keppel’s settlement deal with Sete Brasil takes effect
Keppel Corp’s settlement agreement with troubled Brazilian company Sete Brasil, inked two years ago and relating to multi-billion-dollar frozen rig jobs, is now effective. The engineering, procurement and construction (EPC) contracts for four oil drilling rigs will be deemed to be amicably terminated…
https://www.businesstimes.com.sg/companies-markets/keppels-settlement-deal-with-sete-brasil-takes-effect
https://www.straitstimes.com/business/companies-markets/keppels-settlement-deal-with-sete-brasil-takes-effect

Sembcorp would do well to learn from costly errors in energy forays as it embarks on a green journey
Singapore conglomerate Sembcorp Industries has made impairments to the tune of over half a billion dollars for energy investments in recent years. As the company works towards a greener business portfolio, those impairments should serve as a reminder that the energy business is full of risks.
https://www.businesstimes.com.sg/companies-markets/sembcorp-would-do-well-to-learn-from-costly-errors-in-energy-forays-as-it-embarks

Aims Apac Reit posts 18.8% rise in H1 DPU to S$0.0475
Aims Apac Real Estate Investment Trust’s (AA Reit) distribution per unit (DPU) rose by 18.8 per cent to 4.75 Singapore cents for the first half ended Sep 30, 2021, from 4 cents a year ago. DPU for the second quarter ended Sep 30 was 2.5 cents, up from 2 cents a year ago.
https://www.businesstimes.com.sg/companies-markets/aims-apac-reit-posts-188-rise-in-h1-dpu-to-s00475

Corporate digest
https://www.businesstimes.com.sg/companies-markets/corporate-digest-1472

Views, Reviews, Forum & Others

Will new power crisis be a mere blip or threaten climate goals?
A perfect storm of weather-related events and production woes coupled with policy oversights have sent natural gas prices on a tear lately on the back of a huge supply-demand gap. The mismatch is further exacerbated as economic activities the world over rebound from pandemic-led disruptions.
https://www.businesstimes.com.sg/opinion/will-new-power-crisis-be-a-mere-blip-or-threaten-climate-goals

Using ESG analysis to improve the business of lending
Corporate credit with terms pegged to companies’ environmental, social, and governance (ESG) ratings has taken hold. In South-east Asia, Singaporean banks are leading the way in linking ESG risk assessment to their credit and pricing decisions for corporate clients, with a sharp focus on sustainable financing.
https://www.businesstimes.com.sg/opinion/using-esg-analysis-to-improve-the-business-of-lending

Evergrande crisis puts spotlight on role of its longtime auditor PwC
If Evergrande was listed in London, rather than in Hong Kong, politicians and regulators would already be jostling into position to examine the work of its auditors. The Chinese property developer has expanded aggressively since it was founded in 1996.
https://www.businesstimes.com.sg/opinion/evergrande-crisis-puts-spotlight-on-role-of-its-longtime-auditor-pwc

China’s painful but necessary pivot from property as growth driver
As the meltdown of China’s second-largest property developer Evergrande plays out in what feels like slow motion, another, broader situation is at play too – the country’s painful but essential transition from property as a key driver of growth.
https://www.straitstimes.com/opinion/chinas-painful-but-necessary-pivot-from-property-as-growth-driver

What it means to live well in Singapore
How much does a family need to live comfortably in Singapore? A study, led by researchers from the National University of Singapore Lee Kuan Yew School of Public Policy and the Nanyang Technological University, has come up with the following estimates: $6,426 a month for a couple with two children aged seven to 18, and $3,218 for a single parent with a child aged two to six.
https://www.straitstimes.com/opinion/what-it-means-to-live-well-in-singapore

Political divisions grip advanced economies, S’pore among least divided: Pew survey
Washington – The United States is deeply conflicted along political and racial lines, while Singapore stands out as one of the least divided societies despite its ethnic and religious diversity, in a survey on global attitudes published on Wednesday (Oct 13).
https://www.straitstimes.com/world/united-states/political-divisions-grip-advanced-economies-spore-least-divided-pew-survey

Increasing digitalisation the way to recovery in a protracted Covid-19 crisis: WEF Asean poll
Singapore – As the coronavirus and its variants continue to keep businesses and borders shut and halt economic growth, thousands of people in Asean have digitalised to stay afloat. The speed at which they did so was blistering – but it was not fast enough.
https://www.straitstimes.com/asia/increasing-digitalisation-the-way-to-recovery-in-a-protracted-covid-19-crisis-wef-asean-poll

Update on COVID-19 (Coronavirus Disease 2019) Situation

52-year-old among 9 more Covid-19 deaths; 3,190 new infections
[Singapore] Nine Singaporeans aged between 52 and 98 years old died from complications linked to Covid-19, the Ministry of Health (MOH) said on Wednesday (Oct 13). This takes Singapore’s death toll from the virus to 192, and the 24th consecutive day in which deaths were reported.
https://www.businesstimes.com.sg/government-economy/52-year-old-among-9-more-covid-19-deaths-3190-new-infections
https://www.straitstimes.com/singapore/52-year-old-among-9-more-covid-19-deaths-in-spore-3190-new-infections

How Jurong West nursing home prevented Covid-19 cluster after 2 residents got infected
Singapore – When nurse manager Teo Ai Lian learnt that a resident had contracted Covid-19 on Sept 1 in the Jurong West nursing home she works in, she felt sad. “Everyone was worried because our residents are elderly and vulnerable.
https://www.straitstimes.com/singapore/how-jurong-west-nursing-home-prevented-covid-19-cluster-after-2-residents-got-infected

Queues form at malls as vaccination status checks begin under new Covid-19 measures
Singapore – Some malls across the island started putting up signs and notices from Wednesday (Oct 13) to inform shoppers that only those vaccinated will be able to enter. At Nex mall in Serangoon, mall staff were seen putting up signs that read “Mandatory – entry for fully vaccinated shoppers only” at the entry points.
https://www.straitstimes.com/singapore/consumer/queues-form-at-malls-as-vaccination-status-checks-begin-under-new-covid-19

Some hawkers, diners confused as stricter Covid-19 rules kick in at hawker centres, coffee shops
Singapore – New rules forbidding unvaccinated people from dining in at hawker centres and coffee shops that kicked in on Wednesday (Oct 13) have left some confused. When The Straits Times visited several places, there were checks conducted at some but not others.
https://www.straitstimes.com/singapore/consumer/some-hawkers-diners-confused-as-stricter-covid-19-rules-kick-in-at-hawker-centres

2,409 travellers from 8 countries approved to enter S’pore under Vaccinated Travel Lane scheme
Singapore – More than 2,000 travellers have been granted a pass to enter Singapore under a quarantine-free travel scheme, after the first day of applications opening for visitors from eight countries. The 2,409 successful applicants under the Vaccinated Travel Lane (VTL) scheme comprise 724 short-term visitors and 1,685 long-term pass holders.
https://www.straitstimes.com/singapore/transport/2409-travellers-from-eight-countries-approved-to-enter-spore-under-vaccinated

*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