Singapore has become the first Asian economy to fall into recession, analysts said yesterday, after the government revised downward its full-year growth estimate and eased monetary policy for the first time in years.
The Ministry of Trade and Industry lowered the city-state’s full-year growth forecast to around 3 percent, citing a slowdown in the global economy and key domestic sectors.
The move came as the ministry released preliminary data showing that real GDP declined by 6.3 percent in the third quarter after contracting 5.7 percent in the previous quarter, the ministry said.
While it did not describe the economy as being in recession, a technical recession is generally defined as two consecutive quarters of contraction in economic output.
To Asia Most Incompetent Wannabe Ministers
Excerpts from a guy next door
Dear Labour Chief and Finance Minister, Instead of saying this is bad or that is bad. Yes, we can weather the storm or no, tough road ahead. Can you be more concrete in policy as to how we are going to weather the storm. Or how we can take this tough road together? Since your report is light on detail, I'll have to assume no thought has been put into what needs to be done. Typical.
Since you are not able to come up with any good ideas, I've taken the liberty to think of some. You can take the credit for these ideas to help the people who live in Singapore . I don't need the credit just say its your idea and implement it. The PAP has a majority in the parliment so I'm sure it won't be difficult the pass the whole bill through in parliment.
Steps to help Singapore weather the economic storm. Must implement all these steps to so that the economy will recover quickly.
1) Reduce GST to 3%.
2) All Ministers take a 90% pay cut.
3) MPs take a 10% pay cut.
4) Turn off all ERP except for those that regulate traffic in the CBD.
5) Bus fares reduce by 25% accross the board.
6) MRT fares reduce by 25% accross the board.
7) Electricity rates reduce by 40%.
8) Water rates reduce by 20%.
9) Land line phones, mobile phones and internet rates reduce by 15%.
10) Reduce cash rates in Singapore by 0.25%.
11) Reduce petrol excise by 50%.
12) Reduce the number of COE by 70% which will increase the COE prices but that's to regulate vehicular population.
13) Reduce HDB conservercy charges by 50%.
14) Reduce car parking charges by 20%.
15) Personal income tax reduce by a further 30% of its current rate.
16) Company taxes reduce by a further 20% of its current rate.
17) Regulate the Financial Services industry to prevent predatory lending and selling of low quality financial products.
18) Garuntee all deposits of customers in Singapore banks.
19) Introduce laws to make it a criminal offence for negligent appointment holders, board members and directors of Singapore banks that fail.
20) If found guilty, stentences for the negligent criminal offence will range from 5 years jail and fine to capital punishment. It also includes sizing family assets as proceeds of a crime.
21) Ministers, appointment holders and MPs who flee the country in times of need will be charged with treason against Singapore .
22) If found guilty, current treason sentences will be used.
23) To facilitate this establish extradition aggrements and laws with all nations in the World.
As with all policies, we must think of how we can fund these cuts and policies.
1) Temasek Holdings and GIC must divest 20% of its invested assets to fund these cuts.
2) Budget surpluses now kept as country's reserve from previous years must now be used to fund these cuts instead of investment.
3) Current existing taxes. Money that we saved from the good years are for use in rainy days.
Now the rains are here and its not just a slight drizzle. Its a storm. Its now time to dig into the reserves for the people who live in Singapore . Why earn so much money when you don't know when to use it when the time to use it is needed. What are you waiting for?
Like an old foolish miser who keeps his money hidden and on a tight lid. Scrimps and saves all his life. Finally dies without having even have one good meal or even warm clothing. And his stash of money is never found. Don't be idiotic. Don't lose the plot of saving money. Money is to be use wisely. Not hoarded away in some unknown place. Neither is it to be squandered away when people living in Singapore is now under tremendeous stress. Don't be like this old foolish miser. Policy makers who need clarificaton on why these need to be done can consult their economics text books or consult their highly paid advicers. Or if they choose to they can reply in this thread or PM me to ask why. I'll be happy to explain why and how it can be done. I take the time to think of concrete policy, now its your turn to read it and implement it. If you say its not so easy to implement it, then it proves you're not good enough for the job. In that case give me the job and I'll do it for you. I won't even charge as much as you earn. If you say not concrete enough. Then what have you produced? Show it to the people in Singapore . What? Nothing? Typical.