DAILY NEWS

Daily News – 27th February 2018

Top Story

BCA orders developer to stop work on Kingsford Waterbay
Kingsford Development’s condominium project in Upper Serangoon View has hit a snag, after the Singapore authorities issued an order to the developer to stop building works because of its failure to meet certain requirements. When contacted, the Building and Construction Authority (BCA) confirmed that an order has been issued to the Chinese developer under the Building Control Act for its 1,165-unit project Kingsford Waterbay.
http://www.businesstimes.com.sg/companies-markets/bca-orders-developer-to-stop-work-on-kingsford-waterbay

Singapore Economy

Electronics once again fires up January manufacturing output
This year is set to be another good one for the manufacturing sector, going by January data. Manufacturers started 2018 on a high note with output expanding 17.9 per cent last month from a year earlier, surpassing economists’ forecasts of 7.5 per cent and reversing a 3.4 per cent slide in December. Manufacturing, which makes up a fifth of the economy, has been a key growth driver over the past year. The sector has been buoyed by strong global demand for electronic gadgets.
http://www.businesstimes.com.sg/government-economy/electronics-once-again-fires-up-january-manufacturing-output
http://www.straitstimes.com/business/economy/manufacturing-churns-out-strong-growth-in-january
http://www.straitstimes.com/business/economy/factory-output-beats-forecasts-with-179-rise

Shift to digital can lead to significant payoff: Deloitte
Businesses in the Asia-Pacific that “shift to digital” can expect to enjoy a significant boost to revenue, a Deloitte report said on Monday. Its Access Economics report for Sitecore, a customer-experience management company, said businesses in the region that make a five per cent shift of customer purchases to digital channels can drum up a 3.5 per cent increase in revenue. This is equivalent to US$3.5 million in additional revenue for a business with revenue of US$100 million.
http://www.businesstimes.com.sg/technology/shift-to-digital-can-lead-to-significant-payoff-deloitte

GST hike will be among key issues in Budget debate
The planned increase in the goods and services tax (GST) will be a leading topic today when Parliament starts its nine-day debate on Budget 2018, unveiled last week by Finance Minister Heng Swee Keat. Mr Liang Eng Hwa, who, as chairman of the Government Parliamentary Committee for Finance as well as Trade and Industry, will be the first to speak, said he intends to discuss how the proposed 2 point rise in GST to 9 per cent can help ensure the Government’s long-term plans are fiscally sustainable.
http://www.straitstimes.com/politics/gst-hike-will-be-among-key-issues-in-budget-debate

Singapore firms can pilot solutions in capital of Andhra Pradesh
Singapore companies will be able to pilot innovative urban solutions in the capital city of Andhra Pradesh state, with an eye to expanding them to other parts of India and beyond, under a new initiative launched yesterday. The Innovation Corridor was launched during Singapore Minister of Trade and Industry (Industry) S. Iswaran’s visit to the southern Indian state to broaden economic cooperation between the two sides.
http://www.straitstimes.com/asia/south-asia/spore-firms-can-pilot-solutions-in-capital-of-andhra-pradesh

Changi sees 0.9% rise in passenger traffic in January
Passenger traffic at Changi Airport stood at 5.3 million last month, a 0.9 per cent increase from the same month last year, Changi Airport Group (CAG) said in a statement yesterday. Aircraft movements during the period rose by 2.8 per cent to 32,490 landings and take-offs, while air cargo volumes grew by nearly 11 per cent to 175,590 tonnes.
http://www.straitstimes.com/singapore/changi-sees-09-rise-in-passenger-traffic-in-january
https://www.todayonline.com/singapore/changi-airport-sees-09-year-year-rise-passenger-traffic-january

Singapore Real Estate

The Estoril at Holland Rd up for sale with S$220m guide price
The Estoril, a condominium project along 95 & 97 Holland Road, is up for collective sale with a guide price of S$220 million, reflecting a land price of about S$1,625 per sq ft per plot ratio. Sitting on a freehold site of about 84,600 sq ft and zoned “residential” with a height control of up to 12 storeys, the development comes with a plot ratio of 1.6 based on the 2014 Master Plan.
http://www.businesstimes.com.sg/real-estate/the-estoril-at-holland-rd-up-for-sale-with-s220m-guide-price
http://www.straitstimes.com/business/property/holland-road-condo-up-for-collective-sale

Companies’ Brief

Sunsea court filing dismissed, paving way for Keppel asset sale
The Court of Appeal has dismissed an application filed by Sunsea Yacht Club, removing a roadblock to Keppel Corporation’s planned divestment of a stake in a China marina project. Keppel Corp said after Monday’s trading hours that the Court of Appeal has dismissed the application, with costs awarded to its two units, Keppel Land China Ltd and Keppel China Marina Holdings Pte Ltd.
http://www.businesstimes.com.sg/companies-markets/sunsea-court-filing-dismissed-paving-way-for-keppel-asset-sale

Banyan Tree to bid for rest of Laguna Resorts & Hotels
Banyan Tree Holdings Limited said on Monday that it intends to make an offer for the remaining shares it does not already own in its subsidiary Laguna Resorts & Hotels Public Company Limited, but has no plans to delist the Thai-listed unit. The acquisition will be by way of a voluntary tender offer for 57.08 million shares in Laguna Resorts & Hotels at 40 Thai baht apiece by Banyan Tree and its subsidiary Banyan Tree Resorts & Spas (Thailand) Company Limited.
http://www.businesstimes.com.sg/companies-markets/banyan-tree-to-bid-for-rest-of-laguna-resorts-hotels
http://www.straitstimes.com/business/companies-markets/banyan-tree-offering-96m-for-rest-of-laguna-resorts-hotels

Soilbuild swings into the red with loss of S$3.5m in Q4
Soilbuild Construction Group swung into the loss for the fourth quarter ended Dec 31, 2017 with S$3.5 million in red ink. The group ascribed the loss to lower contributions from its major projects in Singapore which were either completed in FY2016 or FY2017, or are progressing towards completion during the period under review.
http://www.businesstimes.com.sg/companies-markets/soilbuild-swings-into-the-red-with-loss-of-s35m-in-q4

Framework agreement to build Myanmar airport expires: Yongnam
Engineering and construction services provider Yongnam Holdings announced that a framework agreement to build a new Myanmar airport has expired, putting the future of the project in doubt. Yongnam, part of a consortium with JGC Corporation and Changi Airports International (CAI), said that the agreement between the three companies and Myanmar’s Department of Civil Aviation for the design, construction and management of Hanthawaddy International Airport had not been renewed to date as “certain issues” remain unresolved.
http://www.businesstimes.com.sg/companies-markets/framework-agreement-to-build-myanmar-airport-expires-yongnam

Views, Reviews & Forum

Govt’s ‘wait-and-see’ stance on e-commerce tax a wise move
Singapore has established itself as South-east Asia’s success story and a potential economic powerhouse. It continues to be an example for countries looking to create a business-friendly environment and a culture of innovation and progress, especially for small businesses.
http://www.businesstimes.com.sg/opinion/govts-wait-and-see-stance-on-e-commerce-tax-a-wise-move

Fiscal prudence with an eye on the future: Singapore Budget 2018
Budget 2018 was aptly titled “Together, a Better Future”. The Singapore government has been an excellent planner with a long-term strategic vision for both the economy and the social compact, while deftly managing fiscal resources for a small, open economy with few natural resources.
http://www.businesstimes.com.sg/opinion/fiscal-prudence-with-an-eye-on-the-future-singapore-budget-2018

Taking long view in Budget planning
It is natural for public interest to gravitate towards tax rebates, grants or new levies during the Budget season. However, attention must also be given to the broader mission of the annual exercise: namely, to ensure that Singaporeans are placed in a fiscally sustainable and secure position over the long term.
http://www.straitstimes.com/opinion/st-editorial/taking-long-view-in-budget-planning