Dubious distinctions for Singapore

[LITTLEREDDOT]

Singapore private homes still most expensive in Asia-Pacific; HDB flats most attainable: Report​

The median price of Singapore private homes stood at $1.7 million in 2023. ST PHOTO: LIM YAOHUI

Isabelle Liew

May 22, 2024

SINGAPORE – Private residential homes in Singapore continue to be the most expensive in the Asia-Pacific for the second year in a row, according to a report by the Urban Land Institute (ULI) released on May 21.
ULI said the median price of Singapore’s private homes stood at US$1.3 million (S$1.7 million) in 2023, the most expensive out of the 48 cities in 11 countries that the report studied.
It was followed by Hong Kong, which recorded an average home price of US$1.15 million. Homes in Sydney, the next highest market, had a median price of US$1.06 million.
However, the report also ranked public housing in Singapore as the “most attainable” in terms of home ownership in 2023. It noted that the country has a home ownership rate of nearly 90 per cent.
Home ownership is considered affordable when the ratio of the median home price to median annual household income is below 5.
The median price of Housing Board flats, which form 90 per cent of the total housing stock in Singapore, has a ratio of 4.7, it said.
In 2023, private home prices in Singapore rose 7 per cent despite property cooling measures implemented in April that year – when additional buyer’s stamp duty (ABSD) rates were raised and loan-to-value ratios were tightened, the report said.

It noted that demand from foreigners fell significantly as the ABSD rate was doubled from 30 per cent to 60 per cent, which contributed to a 20 per cent drop in total home sales.
In terms of price per square metre, however, Hong Kong was the most costly private housing market in the region with an average price of US$18,331 per sq m, or US$1,703 per sq ft.
This was followed by Singapore private homes, which had a median of US$11,749 per sq m, and Shenzhen in China with an average of US$10,142 per sq m.

Homes in Shenzhen had the highest price-to-income ratio of 32.3, followed by Beijing at 28.7. It was around 25 for Metro Manila, Ho Chi Minh City and Hong Kong. In Singapore, the ratio for private homes was 13.5.
Across the cities tracked by ULI, median annual household income was highest in Singapore at US$97,124. The median price of an HDB flat in 2023 was US$461,289, up from US$409,000 in 2022.
Renting is generally “significantly more affordable” than buying a home in the region, said the report.
For example, in Tokyo, where the price-to-income ratio for a home purchase was 14.3, the median monthly rent was 20 per cent of the median monthly household income. The ratio was below 30 per cent for mainland Chinese cities such as Chongqing and Tianjin.
In comparison, it was 36 per cent for private homes in Singapore.

The report showed that rent for two-bedroom private apartments in Singapore was the most expensive, with a median monthly rent of US$2,897.
This overtook Hong Kong (US$1,725), as well as other high-cost-of-living cities like Tokyo (US$613) and Seoul (US$677).
The report also noted a move by the Singapore Government to sell a plot of land to pilot a new class of long-stay serviced apartments, in contrast with its housing policy, which largely centres on home ownership.
“This unusual move was made after the Urban Redevelopment Authority determined that there is sufficient demand for long-term rental housing, especially among young professionals, students and families in transition, following consultations with the industry,” the report said.
In April, a Government Land Sales site in Zion Road was awarded to a City Developments-Mitsui Fudosan joint venture for $1.1 billion.
The joint venture will explore a mixed-use project with 740 residential units for sale and 290 rental apartments, The Straits Times reported in April.
Another site in Upper Thomson, an integrated development with Springleaf MRT station that analysts said could yield 640 units, including 100 rental apartments, was launched for sale in December 2023.
The tender for the plot will close in June 2024.
The ULI report said that China, Australia and Bangkok have similar rental housing initiatives.

 

[k1976]

Singapore private homes still most expensive in Asia-Pacific; HDB flats most attainable: Report​

The median price of Singapore private homes stood at $1.7 million in 2023. ST PHOTO: LIM YAOHUI

Isabelle Liew

May 22, 2024

SINGAPORE – Private residential homes in Singapore continue to be the most expensive in the Asia-Pacific for the second year in a row, according to a report by the Urban Land Institute (ULI) released on May 21.
ULI said the median price of Singapore’s private homes stood at US$1.3 million (S$1.7 million) in 2023, the most expensive out of the 48 cities in 11 countries that the report studied.
It was followed by Hong Kong, which recorded an average home price of US$1.15 million. Homes in Sydney, the next highest market, had a median price of US$1.06 million.
However, the report also ranked public housing in Singapore as the “most attainable” in terms of home ownership in 2023. It noted that the country has a home ownership rate of nearly 90 per cent.
Home ownership is considered affordable when the ratio of the median home price to median annual household income is below 5.
The median price of Housing Board flats, which form 90 per cent of the total housing stock in Singapore, has a ratio of 4.7, it said.
In 2023, private home prices in Singapore rose 7 per cent despite property cooling measures implemented in April that year – when additional buyer’s stamp duty (ABSD) rates were raised and loan-to-value ratios were tightened, the report said.

It noted that demand from foreigners fell significantly as the ABSD rate was doubled from 30 per cent to 60 per cent, which contributed to a 20 per cent drop in total home sales.
In terms of price per square metre, however, Hong Kong was the most costly private housing market in the region with an average price of US$18,331 per sq m, or US$1,703 per sq ft.
This was followed by Singapore private homes, which had a median of US$11,749 per sq m, and Shenzhen in China with an average of US$10,142 per sq m.

Homes in Shenzhen had the highest price-to-income ratio of 32.3, followed by Beijing at 28.7. It was around 25 for Metro Manila, Ho Chi Minh City and Hong Kong. In Singapore, the ratio for private homes was 13.5.
Across the cities tracked by ULI, median annual household income was highest in Singapore at US$97,124. The median price of an HDB flat in 2023 was US$461,289, up from US$409,000 in 2022.
Renting is generally “significantly more affordable” than buying a home in the region, said the report.
For example, in Tokyo, where the price-to-income ratio for a home purchase was 14.3, the median monthly rent was 20 per cent of the median monthly household income. The ratio was below 30 per cent for mainland Chinese cities such as Chongqing and Tianjin.
In comparison, it was 36 per cent for private homes in Singapore.

The report showed that rent for two-bedroom private apartments in Singapore was the most expensive, with a median monthly rent of US$2,897.
This overtook Hong Kong (US$1,725), as well as other high-cost-of-living cities like Tokyo (US$613) and Seoul (US$677).
The report also noted a move by the Singapore Government to sell a plot of land to pilot a new class of long-stay serviced apartments, in contrast with its housing policy, which largely centres on home ownership.
“This unusual move was made after the Urban Redevelopment Authority determined that there is sufficient demand for long-term rental housing, especially among young professionals, students and families in transition, following consultations with the industry,” the report said.
In April, a Government Land Sales site in Zion Road was awarded to a City Developments-Mitsui Fudosan joint venture for $1.1 billion.
The joint venture will explore a mixed-use project with 740 residential units for sale and 290 rental apartments, The Straits Times reported in April.
Another site in Upper Thomson, an integrated development with Springleaf MRT station that analysts said could yield 640 units, including 100 rental apartments, was launched for sale in December 2023.
The tender for the plot will close in June 2024.
The ULI report said that China, Australia and Bangkok have similar rental housing initiatives.

Many many new kampongers wet wet on SG BTO Overnight Millionaires Dream

 

[LITTLEREDDOT]

Singapore ranked second most expensive city for expats by Mercer​

High rental costs saw Hong Kong and Singapore beating Swiss cities to the top of the list of most expensive cities for expats. PHOTO: ST FILE

Jun 18, 2024

HONG KONG – Regional finance hubs Hong Kong and Singapore have topped a global list of the world’s most expensive cities for expatriates, keeping Swiss destinations from the top spots for the second year in a row.
High rental costs saw Hong Kong beat Zurich, Geneva, Basel and Bern to the top of the table, with Singapore taking second place, according to Mercer’s 2024 Cost of Living report.
New York fell one spot to land in seventh place. London took eighth place, rising nine spots since last year’s ranking.
Mercer’s report said rising housing costs and “volatile inflation trends” were putting pressure on expat workers’ compensation packages.
“Cost-of-living challenges have had a significant impact on multinational organisations and their employees,” Mercer’s global mobility leader Yvonne Traber said in a press release.
“High living costs may cause assignees to adjust their lifestyle, cut back on discretionary spending or even struggle to meet their basic needs,” she said. “To offset these challenges, employers can offer compensation packages that include housing allowances or subsidies or provide other support services.”
Elsewhere on the list:

• Seven US cities made it to the top 20 list, including Los Angeles (10th spot), Honolulu (12th) and San Francisco (13th).
• Sydney was the Pacific region’s costliest place (58th).
• Toronto was Canada’s most expensive city (92nd).
• Mumbai was India’s priciest destination (136th).
• Nigeria’s Lagos (225th) and Abuja (226th) tumbled to the bottom of the table due to currency fluctuations.

Mercer measured the comparative cost of more than 200 items and services – including housing, transport, food, clothing and household goods – to come up with its ranking of 226 cities.
These are Mercer’s top 10 most expensive cities for expats:

1. Hong Kong
2. Singapore
3. Zurich
4. Geneva
5. Basel
6. Bern
7. New York
8. London
9. Nassau
10. Los Angeles

BLOOMBERG

 

[k1976]

https://www.bloomberg.com/news/videos/2023-09-14/what-china-s-real-estate-crisis-means-for-the-world

 

[LITTLEREDDOT]

Top spot means the workers are being worked too hard, the students are being pushed too hard, and the citizens are too stressed?

S’pore reclaims top spot in world competitiveness ranking after three years​

Singapore posted robust performances across all four categories in the World Competitiveness Ranking. PHOTO: ST FILE

Colin Tan
Senior Business Correspondent
Jun 18, 2024

SINGAPORE – After being adrift for the past three years, Singapore climbed three rungs and regained the top spot in the IMD World Competitiveness Ranking in 2024 against a field of 67.
“Singapore’s performance marks a return to form; last occupying first place in 2020, it then fell to fifth, third, and finally fourth in the following years, while Denmark and Switzerland performed a tussle for power over the top spot,” said the Switzerland-based International Institute for Management Development (IMD), which produces the benchmark based on 333 competitiveness criteria.
Coming in ahead of Switzerland and Denmark, the Republic posted robust performances across all four categories that comprise economic performance, government efficiency, business efficiency and infrastructure.
Among these, Singapore stood out for business efficiency by clinching the top spot among its peers on the index for the underlying factors of labour market – up three spots – and attitudes and values with a 12-position climb. It also shot up 21 rungs to the No. 2 spot in terms of management practices.
The Republic also took pole position in technological infrastructure, boosting its standing to No. 4 in the overall infrastructure category, from No. 9 previously.
It ranked No. 2 in terms of government efficiency after climbing five spots from seventh place, boosted by societal framework (up nine spots to No. 11) and public finance (up five to No. 4).
On the flip side, the Republic’s economic performance stagnated at No. 3, dragged down by an 11-rung decline by prices to 62, and a three-spot fall in employment to No. 5.

Associate Professor Jamus Lim from Essec Business School noted that Singapore’s traditional strengths lie in “an efficient government, ease of doing business, and world-class infrastructure also continued to propel its overall performance”.
However, he said the high costs of living here is specifically an area of concern, “where Singapore placed 62nd out of the 67”.
“Many other areas where Singapore exhibits weaknesses – such as rental prices, cost of transport, compensation of management and employees, and health expenditures – are directly or indirectly linked to it,” Prof Lim said.

“This becomes the primary challenge for policymakers, not only because high prices and costs weigh on Singapore’s competitiveness, but also because of its implications on people’s confidence in the economy.”
On Singapore’s high prices, NUS Business School professor in strategy and policy Lawrence Loh said: “This is expected of a land-scarce country.”
With price levels just one of the inevitable constraints on the economy and with regional economies relentlessly continuing to advance and narrow the Republic’s lead, “Singapore cannot rest on its laurels”, he added.
IMD’s ranking analysed survey responses from more than 6,600 C-suite executives and mid-level managers from the 67 economies polled between March and May 2024, and 164 pieces of statistical data.


A key finding was that size did not matter in economic competitiveness, with the top 10 spots dominated by smaller economies.
Notably, second-placed Switzerland rose one rank from its third placing in 2023 amid better economic performance and business efficiency as well as its continued lead in government efficiency and infrastructure.
It was followed by Denmark, which slipped to third in 2024, down from first following a decline in economic performance, but researchers said the shift was “insignificant” as the country remained a poster child of competitive economies.
Ireland was No. 2 in 2023, but fell to fourth spot in 2024.
NUS’ Prof Loh noted that Singapore stood out on sub-factors “related to policy and cultural aspects”. For example, Singapore’s labour market shines in aspects such as remuneration management, worker participation and foreign talent attraction, he said.
“The country also does extremely well in terms of attitudes and values, which include accommodating views on globalisation, flexibility and adaptability, along with a value system that supports competitiveness.”
Prof Lim noted: “Wage growth has barely kept pace with overall inflation, and if anything, I would like to see real wages continue to rise this year and next, to offset the loss in purchasing power of the population.
“But productivity needs to pick up the slack, hopefully from gains that emerge from a wider roll-out of artificial intelligence into the economy.”
He cautioned that the takeaway from this report should not be to conclude that the solution to keeping costs down is by suppressing wages.

 

[laksaboy]

Top spot means the workers are being worked too hard, the students are being pushed too hard, and the citizens are too stressed?

To the technocrats, you are nothing more than human resource. Less human, more resource.

They don't get a squirrel's arse about your so-called well being.

 

[LITTLEREDDOT]

Singapore, Hong Kong are costliest cities for luxury spending: Report​

Singapore has continued to attract the ultra-wealthy by maintaining its reputation for political and economic stability, alongside a pro-business environment. PHOTO: ST FILE

Jun 25, 2024

Singapore remains the most expensive city in the world for spending on luxury goods, such as jewellery and shoes, and services including dining, healthcare and education.
Rival Hong Kong climbed one spot from 2023 to second, while London rose one place to third, according to an annual report by Swiss wealth manager Julius Baer Group.
Singapore has continued to attract the ultra-wealthy by maintaining its reputation for political and economic stability, alongside a pro-business environment. Hong Kong is the most expensive city for engaging a lawyer and the second most for buying property.
London rose partly on the strength of the British pound and “some normalisation” post-Brexit. Meanwhile, Shanghai dropped to fourth, likely due to challenges in the real estate market and softening consumer confidence, the report said.
Tokyo plummeted to 23rd due to the weakening yen. Many of the biggest changes in the index are due to currency fluctuations as index prices are converted to US dollars for global comparison, the report said.
Santiago in Chile is now a more expensive place to live than Tokyo in US-dollar terms – a situation that would once have been “unimaginable”, the report said.
Zurich climbed to sixth and was the year’s biggest gainer, largely due to the strength of the Swiss franc.

Julius Baer’s Lifestyle Index ranks the world’s 25 most expensive cities by analysing residential property, cars, business-class flights, school, degustation dinners and other luxuries. The bank surveyed high-net-worth individuals with bankable household assets of US$1 million (S$1.35 million) or more from February to March 2024.
Europe, the Middle East and Africa went from being the most affordable region in 2023 to the most expensive, with “significant price increases” and every European city moving up the rankings. Strong exchange rates prompted a change in the region’s fortunes.
There are “pockets of affordability” though, according to the report. The region is the cheapest place to buy champagne and whisky. France is home to the Champagne region and Scotland boasts more distilleries than anywhere else, the report said.
Dubai dropped to 12th from seventh place in 2023. While Singapore and Hong Kong took the top spots, other Asian cities, notably Tokyo, Bangkok and Jakarta, fell in the rankings.
In Singapore, wealthy individuals are favouring “discreet over more overt expressions of wealth”, with sales of watches, cars, apartments and other luxury goods dropping.
There was also a slight 0.46 per cent decline in the average price of luxury goods year on year in Singapore-dollar terms, the report noted.
Prices in the Republic fell the most in Singapore dollars for bicycles (25.2 per cent), business-class flights (18.4 per cent) and whisky (16.2 per cent).
Conversely, prices climbed the most for cars (13.4 per cent), private schools (12.4 per cent), women’s handbags (10.3 per cent) and women’s shoes (9.1 per cent).
Globally, price increases slowed to 4 per cent from 6 per cent in 2023 across the index of goods and services in US-dollar terms.
The cost of bicycles fell almost everywhere, almost certainly down to the glut of bikes after the Covid-19 pandemic, while others with price falls included business-class flights, with travel returning to normal after post-pandemic demand sent prices skyrocketing, the report said. Jewellery, women’s shoes and men’s suits showed the biggest gains. BLOOMBERG

 

[LITTLEREDDOT]

Makes the Singapore passport more attractive to forgery.

Singapore passport reclaims sole position as world’s most powerful, after sharing title with 5 others​

Singapore citizens have visa-free entry to 195 out of 227 travel destinations. PHOTO: LIANHE ZAOBAO FILE

Sarah Koh

Jul 24, 2024

SINGAPORE – The Republic has trumped five other countries to become the only one in the top spot in a world ranking of passports, with Singaporeans now enjoying visa-free entry to 195 out of 227 travel destinations.
According to the latest data published by the Henley Passport Index on July 23, the five countries – France, Germany, Italy, Japan and Spain – have dropped to second place, with visa-free entry to 192 destinations.
These countries and Singapore previously shared the top spot with visa-free entry to 194 out of 227 travel destinations, according to rankings published by Henley in January 2024.
The index includes 199 passports and 227 travel destinations.
In the latest rankings, an “unprecedented seven-nation cohort” occupies third spot with access to 191 destinations without a visa.
The countries are Austria, Finland, Ireland, Luxembourg, the Netherlands, South Korea and Sweden.
Former passport powerhouses Britain and the US have slid down the list since 2014, when they shared the joint top spot on the index.


Britain is fourth with 190 destinations, sharing the spot with Belgium, Denmark, New Zealand, Norway and Switzerland. The US is eighth, with visa-free entry to 186 destinations.
Afghanistan’s passport retains its position as the world’s weakest, with its citizens having access to 26 countries visa-free. The country lost visa-free access to one destination in the past six months, leaving it with the lowest score ever recorded since the index was created 19 years ago.
The Henley Passport Index is based on exclusive data from the International Air Transport Association.
The general trend over the past two decades has been towards greater travel freedom, said Dr Christian Kaelin, chairman of Henley & Partners, and creator of the passport index concept.
The global average number of destinations that travellers are able to access visa-free has nearly doubled from 58 in 2006 to 111 in 2024.
“However, the global mobility gap between those at the top and bottom of the index is now wider than it has ever been, with top-ranked Singapore able to access a record-breaking 169 more destinations visa-free than Afghanistan,” said Dr Kaelin.
The United Arab Emirates made it into the top 10 for the first time, with visa-free entry to 185 destinations, after having added 152 destinations to its portfolio since the index was created.

 

[LITTLEREDDOT]

This makes Singapore a major money-laundering hub as well as the most expensive city in the world.

Singapore places fourth in world financial centres ranking, ahead of San Francisco, Shanghai​

Singapore placed fourth in a ranking system that evaluates the competitiveness of financial centres around the world. ST PHOTO: GIN TAY


Sep 25, 2024

Singapore placed fourth in a ranking system that evaluates the competitiveness of financial centres around the world, trouncing other cities including San Francisco, Shanghai and Geneva.
New York and London took the top two spots in the latest Global Financial Centres Index released on Sept 23. Hong Kong ranked third, reclaiming the position of Asia’s top financial centre from Singapore, which had held the spot for the last four editions of the index.
It is good news for Hong Kong’s finance sector, which was battered by pandemic restrictions that prompted many workers to leave the city. The property market, which has failed to recover, has slowed activity and consumer demand. The government is betting that its initiatives and lower interest rates may revive economic activity.
Dublin, Chicago and Dubai moved up in the rankings, while Shanghai, Beijing and Geneva moved down.
The index, compiled twice-yearly by London-based think-tank Z/Yen Partners and Shenzhen-based think-tank China Development Institute, assesses 121 financial centres using data and survey results from thousands of financial services professionals responding to an online questionnaire.
The latest report noted that 58 locations fell in the rankings, while 46 improved. It also highlighted geopolitical challenges as the most pressing risk, being mentioned by more than one-fifth of respondents.

Here are the top 20 financial centres:​

1. New York
2. London
3. Hong Kong
4. Singapore
5. San Francisco
6. Chicago
7. Los Angeles
8. Shanghai
9. Shenzhen
10. Frankfurt
11. Seoul
12. Washington DC
13. Geneva
14. Dublin
15. Paris
16. Dubai
17. Zurich
18. Beijing
19. Luxembourg
20. Tokyo

BLOOMBERG

 

[LITTLEREDDOT]

How much reserves is enough?
By not spending more of the reserves now, the PAP government is depriving the current generation of its share of national wealth, and is instead saving the reserves for future generations.

Abu Dhabi tops trillion-dollar sovereign wealth league, ahead of Oslo and Singapore​

Abu Dhabi’s funds include multiple entities, such as the Abu Dhabi Investment Authority, Mubadala Investment Company, and ADQ. PHOTO: REUTERS
Renald Yeo

Oct 09, 2024

SINGAPORE – Abu Dhabi has claimed the top spot in a new global ranking of cities based on the capital managed by their sovereign wealth funds, with US$1.7 trillion (S$2.2 trillion) in assets as at October.
This positions the United Arab Emirates’ capital as the largest hub for sovereign fund capital, according to a report released by Global SWF on Oct 8.
The ranking – which for the first time assesses sovereign fund assets at the city level – places Abu Dhabi ahead of Oslo, Beijing and Singapore.
Singapore, home to GIC and investment company Temasek, ranks fourth, managing over US$1.1 trillion in such assets. The Singapore Government does not publicly disclose the full size of its reserves managed by GIC.
The report noted that Abu Dhabi’s funds include multiple entities, such as the Abu Dhabi Investment Authority (Adia), Mubadala Investment Company and ADQ.
These funds are managed under separate mandates, allowing the city to maintain distinct investment strategies, the report said.
Combined, the three institutions have invested US$36 billion globally in the first three quarters of 2024, accounting for 26 per cent of all sovereign fund investments in that period.

“Sustained high oil prices have meant healthy fiscal surpluses for Abu Dhabi since 2020, when it experienced its last stress test,” the report noted.
“According to Fitch’s forecasts, if things stay the way they are, the emirate will benefit from US$60 billion in surplus in the next two years – which would flow into the already massive Adia.”
Apart from its financial assets, Abu Dhabi leads in human capital employed by its sovereign wealth funds, with 3,107 personnel across institutions, according to the report.
Other major cities, including Singapore, Riyadh, Kuala Lumpur and Dubai, follow closely, with each hiring more than 1,000 staff within their respective funds.
Globally, sovereign wealth funds managed US$12.5 trillion in assets. Six cities – Abu Dhabi, Oslo, Beijing, Singapore, Riyadh and Hong Kong – account for over two-thirds of this total.
“The world ranking confirms the concentration of sovereign wealth funds in a select number of cities, underscoring the significance of these financial hubs on the global stage,” said founder and managing director of Global SWF Diego Lopez. THE BUSINESS TIMES