DAILY NEWS

Daily News – 6th September 2018

Singapore Economy

Global trade woes, cooling steps bite into 2019 GDP forecast
Private economists, however, stick to their projection of 3.2 per cent GDP growth for this year. EXTERNAL factors loom over Singapore’s economic growth, according to the latest poll of private economists, even as recent policies could take a bite out of the domestic property market.
https://www.businesstimes.com.sg/government-economy/global-trade-woes-cooling-steps-bite-into-2019-gdp-forecast
https://www.straitstimes.com/business/economy/economists-keep-growth-forecast-at-32
https://www.straitstimes.com/business/economy/experts-split-over-impact-of-global-economy-on-singapore
https://www.straitstimes.com/business/economy/economists-keep-singapores-2018-growth-forecast-at-32-mas-survey
https://www.channelnewsasia.com/news/business/singapore-economy-growth-forecast-2018-mas-survey-10685342

HSR construction delayed to May 2020; KL to reimburse Singapore S$15m
Singapore and Malaysia have agreed to suspend construction of the Kuala Lumpur-Singapore High Speed Rail (HSR) project until May 31, 2020, with service on the advanced train line expected to begin by the start of 2031, instead of the original end-2026 commencement date.
https://www.businesstimes.com.sg/government-economy/hsr-construction-delayed-to-may-2020-kl-to-reimburse-singapore-s15m
https://www.straitstimes.com/singapore/vivian-deferment-safeguards-singapores-financial-interests
https://www.straitstimes.com/singapore/how-both-sides-reached-deal-to-defer-for-two-years
https://www.straitstimes.com/singapore/deal-signals-intent-to-continue-win-win-cooperation-dpm-teo
https://www.channelnewsasia.com/news/singapore/high-speed-rail-postponed-malaysia-singapore-agreement-10686032
https://www.todayonline.com/singapore/deferment-agreement-win-bilateral-relations-it-win-win-outcome-both-sides
https://www.todayonline.com/singapore/kl-singapore-high-speed-rail-project-deferred-may-2020

Singapore Real Estate

New energy rating launched for office buildings
Solar shades, natural ventilation and renewable energy panels are some of the prospective energy-saving features the national regulator wants to see in more Singapore buildings. To intensify the move to a greener future, the Building & Construction Authority (BCA) has launched a new energy rating for buildings that are at least 60 per cent more energy-efficient than the 2005 building codes.
https://www.businesstimes.com.sg/real-estate/new-energy-rating-launched-for-office-buildings
https://www.straitstimes.com/singapore/environment/new-bca-benchmark-for-energy-efficient-buildings
https://www.straitstimes.com/singapore/environment/new-energy-rating-to-spur-move-to-greener-buildings
https://www.todayonline.com/singapore/new-energy-rating-push-more-buildings-go-green

2 Amoy St shophouses up for sale
A pair of adjoining prime four-storey conservation shophouses along Amoy Street have been launched for sale via public tender. The guide price for 87 and 88 Amoy Street is S$3,415 per square foot (psf) or S$50 million over a gross floor area of about 14,641 square feet.
https://www.businesstimes.com.sg/real-estate/2-amoy-st-shophouses-up-for-sale
https://www.straitstimes.com/business/property/adjoining-amoy-street-conservation-shophouses-up-for-sale

Companies’ Brief

CapitaLand is top real estate developer again
CapitaLand was recognised as the best real estate developer in Singapore for the second consecutive year in the Euromoney Real Estate Survey 2018. The survey, now in its 14th year, is a ranking of leading firms involved in the real estate sector worldwide. Bagging a total of four awards, CapitaLand was also voted Singapore’s top real estate developer in the retail and mixed sector categories.
https://www.businesstimes.com.sg/real-estate/capitaland-is-top-real-estate-developer-again

Mapletree Industrial Trust sets up S$2b euro medium term notes
Mapletree Industrial Trust (MIT) has launched a S$2 billion euro medium term note programme, with DBS Bank and OCBC Bank as joint arrangers and dealers. Under the programme, issuers Mapletree Industrial Trust Treasury Company and DBS Trustee may issue notes or perpetual securities denominated in any currency as agreed between the dealer of the particular series or tranche of securities.
https://www.businesstimes.com.sg/companies-markets/mapletree-industrial-trust-sets-up-s2b-euro-medium-term-notes
https://www.straitstimes.com/business/companies-markets/stocks-to-watch-manhattan-resources-mapletree-industrial-trust-federal

Cash-flush investors zoom in on DBS’ S$1b of perps
Flush with cash and desperate for safer assets, investors are making a beeline for local banks’ bond sales. DBS Group Holdings on Wednesday priced its S$1 billion perpetual NC7 AT1 issue at 3.98 per cent, down from the initial price guidance of 4.375 per cent, following sizzling demand. The deal had garnered orders of over S$4 billion.
https://www.businesstimes.com.sg/banking-finance/cash-flush-investors-zoom-in-on-dbs-s1b-of-perps

Soilbuild Construction
Soil-Build (Pte) Ltd, a wholly owned subsidiary of Soilbuild Construction Group, has won a civil works contract valued at about S$7 million from Jurong Town Corporation. The contract calls for the construction of covered linkways and cycling paths at Changi Business Park and One-North. The project is scheduled to start in September 2018 and be completed by the first quarter of 2020.
https://www.businesstimes.com.sg/companies-markets/corporate-digest-740

UOB, Shanghai Pudong bank ink MOU to target Belt and Road companies
United Overseas Bank (UOB) has signed a memorandum of understanding (MOU) with Shanghai Pudong Development Bank (SPD) to serve companies hoping to tap opportunities from the Belt and Road Initiative. Under the agreement, the two banks will collaborate on solutions that cover investment advisory, cross-boarder renminbi transactions, syndicated loans, project and trade finance and cash settlement.
https://www.businesstimes.com.sg/companies-markets/uob-shanghai-pudong-bank-ink-mou-to-target-belt-and-road-companies
https://www.businesstimes.com.sg/companies-markets/uob-inks-mou-with-shanghai-pudong-bank-to-target-belt-and-road-companies
https://www.straitstimes.com/business/uob-links-up-with-shanghai-pudong-bank-to-serve-firms-in-bri

VIEWS, REVIEWS, FORUM & Others

Tourism board appoints new chief executive
The Singapore Tourism Board (STB) is bringing on board a new chief executive. Keith Tan Kean Loong, currently deputy secretary at the Ministry of Defence (Mindef), will assume his new role as STB’s chief executive with effect from Oct 29, a statement from the Ministry of Trade and Industry (MTI) said on Wednesday
https://www.businesstimes.com.sg/government-economy/tourism-board-appoints-new-chief-executive
https://www.straitstimes.com/singapore/new-stb-chief-executive-named

Most firms using digital identity system CorpPass
The digital push has seen almost all business entities which need to transact with the Government sign on to the Singapore Corporate Access system, the Government Technology Agency (GovTech) said yesterday. The CorpPass system is a digital identity for businesses and other entities such as non-profit organisations and associations to conduct online transactions with government agencies.
https://www.straitstimes.com/business/companies-markets/most-firms-using-digital-identity-system-corppass

Developing economies at risk of finance-related tantrums
The addition of a fourth US rate rise to the Federal Reserve’s 2018 dot-plot graph after the June meeting of the Federal Open Market Committee sparked a bout of portfolio outflows from emerging markets.

This followed a fleeting upswing at the beginning of the month that fell short on reversing the unwinding of exposure and sell-off of assets in May.
https://www.businesstimes.com.sg/opinion/developing-economies-at-risk-of-finance-related-tantrums

Solar systems key to S’pore’s renewable energy development
With 2018 designated as Singapore’s Year of Climate Action, there has been significant progress made in the detailed strategies of mitigation and adaptation as set out in the republic’s 2016 Climate Action Plan. Among the methods of limiting greenhouse gas emissions is the introduction of a carbon tax set to kick in next year.
https://www.businesstimes.com.sg/opinion/solar-systems-key-to-spores-renewable-energy-development

Ditching the WTO is not an option
Global trade is under growing threat on multiple fronts. The United States-China trade conflict could escalate sharply this week if the Trump administration goes ahead with its threat to slap another US$200 billion worth of tariffs on Chinese products. Meanwhile, Canada resumes fraught negotiations with the US on the future of the North American Free Trade Agreement.
https://www.straitstimes.com/opinion/st-editorial/ditching-the-wto-is-not-an-option

Climate action could add $36 trillion to world economy
Ambitious action on climate change could contribute an extra US$26 trillion (S$36 trillion) to the world economy by 2030, international experts said yesterday, urging nations and businesses to step up their engagement.
https://www.straitstimes.com/world/climate-action-could-add-36-trillion-to-world-economy

Sheng Siong’s growing footprint, strong balance sheet could stave off headwinds
Even amid the threat of e-commerce and economic uncertainties, Sheng Siong remains a popular pick among consumer stocks, thanks largely to its growing footprint and strong balance sheet. Its has 52 outlets in its network, covering 477,620 sq ft. It has just bagged a tender to lease a 10,030 sq ft space in Woodlands from the Housing Development Board (HDB), and has also landed a 20,370 sq ft retail space from Dollar Land Singapore, also in Woodlands.
https://www.businesstimes.com.sg/companies-markets/sheng-siongs-growing-footprint-strong-balance-sheet-could-stave-off-headwinds