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Weekly News Select
                                                                                                Jun 18, 2021 / Issue 24

Top News for the Week
        •   New launches, looser Covid-19 restrictions may boost new home sales ahead:
            analysts
        •   URA releases two land parcels at one-north's Slim Barracks Rise for sale
        •   Million-dollar HDB flats: Half of S'pore's 24 towns have them, including Hougang,
            Geylang and Ang Mo Kio
        •   Are $1m HDB resale flats going to be ‘normal’ from now on?
        •   Singapore evaluating timing, scope of next stage of reopening
        •   Singapore GDP tipped to grow 6.5%, led by manufacturing and exports: MAS survey
        •   Slower population growth, ageing need not be alarming: economists
        •   Strong external outlook likely to benefit Singapore's exports
        •   S'pore's labour market continues recovery into 1st quarter; total employment grows
            by 12,200
        •   Singapore loses top spot in global competitiveness ranking on unfavourable
            geography

Residential
New launches, looser Covid-19 restrictions may boost new home sales ahead: analysts
Developers in Singapore sold nearly 30 per cent fewer private homes in May compared with April,
with sales dampened by stricter safe-distancing measures meant to curb rising Covid-19 cases here,
as well as fewer launches.
But analysts expect new home sales to pick up as restrictions are easing.
Mark Yip, CEO of Huttons Asia, said there is room for sales in June to match May’s numbers.
"The relaxed Covid-19 measures of up to five in a group may see pent-up demand translate into
actual sales,” he said.
In May, the number of new private homes sold stood at 891, down from April's 1,268, URA data
showed.
Phase 2 (Heightened Alert), which took place from May 16 to June 13, saw a reduced occupancy
capacity for galleries to one person per 16 square metres, and restricted social gatherings to groups
of two including the property agent.
Huttons' Mr Yip noted that the difference in sales before and after the added restrictions were not
significant, as the industry was more prepared to cope with disruption.
Analysing caveats before and after the tighter measures were introduced, he noted that 55.3 per
cent of sales were in the period from the first half of May, while 44.7 per cent of sales took place
from in the second half of the month.
After adjusting for the launches of One Bernam and Park Nova, the sales split is 51.2 per cent in
the first half of May and 48.8 per cent in the second half of May.

Links to the story:
https://www.businesstimes.com.sg/real-estate/new-launches-looser-covid-19-restrictions-may-boost-new-home-
sales-ahead-analysts

               Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
              3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                             www.huttonsgroup.com

Weekly News Select
Jun 18, 2021 / Issue 24

https://www.straitstimes.com/business/property/singapore-new-private-home-sales-drop-30-in-may-on-heightened-
alert-restrictions

URA releases two land parcels at one-north's Slim Barracks Rise for sale
Two residential with commercial at first storey land sites at Slim Barracks Rise were released for
sale, under the confirmed list of the first half 2021 government land sales (GLS) programme,
announced the Urban Redevelopment Authority (URA).
Lee Sze Teck, director of research at Huttons Asia, said that the sites' "palatable size" will attract
around 10 developers to bid for the land parcels, but at an estimated price range of between
S$1,200 and S$1,300 psf ppr.
He added that Slim Barracks Rise (Parcel A), with a regular plot size and closer location to Buona
Vista MRT station, would be the more attractive of the two land plots, though both are appealing
for their ideal location in the one-north precinct, very close to the future One Holland Village.
"The bunching of two sites in the same area for sale is probably to temper land bids by developers,"
Mr Lee said.
Together, the two land parcels can potentially yield a total of about 405 residential units. Slim
Barracks Rise (Parcel A) spans 7,957.3 sq m with a maximum gross floor area of 23,872 sq m;
Slim Barracks Rise (Parcel B) possesses a site area of 5,936.6 sq m and a maximum gross floor
area of 12,467 sq m.
Mr Lee believes that as both plots of land are not next to each other, it will prevent the situation of
one developer securing both plots and achieving economies of scale and monopoly in the area.
The tender for an earlier residential site at Slim Barracks Rise closed in September 2019 after it
drew nine bids. The site was developed into one-north Eden, whose units command a median
transacted price of about S$2,000 per sq ft.
According to Mr Lee, the development sold more than 80 per cent of its units on launch day and,
as at end-May 2021, is almost 90 per cent sold.
"There is demand for homes in one-north precinct which is unsatisfied," he said.

Links to the story:
https://www.businesstimes.com.sg/real-estate/ura-releases-two-land-parcels-at-one-norths-slim-barracks-rise-for-
sale-0
https://www.straitstimes.com/business/property/two-sites-for-private-housing-at-one-norths-slim-barracks-rise-
released-for-sale

IOI Properties said to have triggered Marina View plot
An entity linked to IOI Properties Group has been tipped as the party that triggered the white site
in Marina View from the reserve list of the first-half 2021 Government Land Sales Programme.
The 0.78-hectare (about 84,000 sq ft) site, with 99-year leasehold tenure, can be developed up to
1.09 million sq ft of gross floor area (GFA). The plot can generate some 905 private homes, 540
hotel rooms and 21,528 sq ft GFA of commercial space.
IOI Properties, listed on Bursa Malaysia, declined to comment on the Marina View site when
approached by The Business Times.

Link to the story:
https://www.businesstimes.com.sg/real-estate/ioi-properties-said-to-have-triggered-marina-view-plot-0

Weekly News Select
Jun 18, 2021 / Issue 24

Plum site near Botanic Gardens stirs buyer interest as GCB market continues to sizzle
Amid the current sizzling Good Class Bungalow (GCB) market, a plum property just a stone's
throw from the Singapore Botanic Gardens has been generating much interest.
Sitting on nearly 90,000 sq ft of freehold land at 2 Lermit Road, within the Cluny Park GCB Area,
the property could be worth S$300 million (S$3,340 psf) or more, according to market watchers.
A transaction at this level would be a record in absolute price terms for a GCB Area, surpassing
the S$230 million that a Nassim Road bungalow was sold for by Wing Tai Holdings chairman
Cheng Wai Keung two years ago.
The Lermit Road property is held by a privately-owned vehicle of Stamford Land executive
chairman Ow Chio Kiat and his family. Currently on site is Botanic Lodge, an old low-rise
apartment development, but market watchers say the highest and best use for the site would be to
redevelop it into bungalows, or possibly a grand mansion fit for a billionaire. The site, with triple
road frontage, including along Cluny Road, is big enough to be carved into as many as five
bungalow plots based on the 1,400 sq m (or about 15,070 sq ft) minimum plot size stipulated by
the Urban Redevelopment Authority (URA) as the planning norm for newly-created bungalows in
GCB Areas.

Link to the story:
https://www.businesstimes.com.sg/real-estate/plum-site-near-botanic-gardens-stirs-buyer-interest-as-gcb-market-
continues-to-sizzle

Singapore property agents expect to benefit from relaxed Covid measures
Singapore property agents are optimistic about the effects of relaxed Covid-19 measures.
The Multi-Ministry Taskforce (MTF) announced on Thursday that social gathering group sizes
will increase from two to five persons, effective June 14.
Occupancy limits of shopping malls and show galleries will also increase to one person per 10
square metres (sq m) of gross floor area, up from the current one person per 16 sq m.
This brings the occupancy rule back to pre-Phase 2 (Heightened Alert) levels. However it is still
stricter than the one person per 8 sq m limit implemented when Singapore first entered Phase 3 on
Dec 28, 2020.

Link to the story:
https://www.businesstimes.com.sg/real-estate/singapore-property-agents-expect-to-benefit-from-relaxed-covid-
measures

Property market sees rise in spoof messages from purported agents
The stronger property market in Singapore may have unleashed a new trend - that of text spoofing.
There has been a rise in spoofing cases, in which scammers pose as property agents asking
homeowners if they want to rent out their spaces, said analysts.
While the messages sent initially do not come with clear call-to-action or attached links, that
confirmation and access to a "live" number opens up an opportunity for scammers to eventually
access a victim's personal data, credit card information, log-in data and other details, said analysts.

Weekly News Select
Jun 18, 2021 / Issue 24

Industry observers said that not all such messages are scams or phishing attacks; some cases could
be instances of "rogue marketing practice", done cheaply.

Link to the story:
https://www.businesstimes.com.sg/real-estate/property-market-sees-rise-in-spoof-messages-from-purported-agents

Million-dollar HDB flats: Half of S'pore's 24 towns have them, including Hougang,
Geylang and Ang Mo Kio
While The Pinnacle @ Duxton is arguably the "poster boy" for million-dollar Housing Board flats
in Singapore, such flats are not exclusively located in the central area.
Half of Singapore's 24 Housing Board towns are home to million-dollar HDB flats, official HDB
data shows.
Among them is a 177 sq m executive maisonette in Block 851 Hougang Central in the non-mature
estate of Hougang that sold for $1 million in January 2018.
To date, it remains the only unit in a non-mature estate out of the 389 flats to hit the $1 million
mark.
The remaining 388 units were spread across 11 mature estates: Ang Mo Kio, Bishan, Bukit Merah,
Bukit Timah, Central area, Clementi, Geylang, Kallang/Whampoa, Queenstown, Serangoon and
Toa Payoh.
A total of 389 HDB resale flats have changed hands for more than $1 million as at May 31 this
year.
At present, the central area takes the top spot with 118 million-dollar flats - with all transactions
coming from The Pinnacle @ Duxton on Cantonment Road.
In second place is Bishan with 74 units, with the majority of the units coming from Natura Loft, a
Design, Build and Sell Scheme (DBSS) project in Bishan Street 24.
Queenstown takes third place with 55 units, and is followed by Toa Payoh with 40 units.

Link to the story:
https://www.straitstimes.com/singapore/housing/million-dollar-hdb-flats-half-of-spores-24-towns-have-them-
including-hougang

Are $1m HDB resale flats going to be ‘normal’ from now on?
A record number of Housing Board resale flats changed hands for at least $1 million so far this
year - and we are only half way through 2021.
This performance would have been remarkable in any year, let alone a pandemic-stricken one that
saw an upswing in property prices, which has set off concerns about home affordability.
A total of 87 million-dollar HDB deals were inked from January to May this year, surpassing the
82 units sold for at least that amount in 2020.
As at May 31, 389 HDB resale flats have sold for more than $1 million since the first such
transaction occurred in 2012.
All 11 priciest transactions took place in 2020 and 2021, official HDB data shows.
If the current trend continues, twice as many million-dollar HDB flats could change hands this
year, compared with 2020.

Weekly News Select
Jun 18, 2021 / Issue 24

A recent report by real estate firm Huttons Asia showed that the price gap between HDB resale
flats in mature estates and non-mature estates has narrowed in recent years.
A further reduction of the price gap could very well see another million-dollar HDB flat deal - now
a rarity - inked in non-mature estates soon, said Huttons Asia director of research Lee Sze Teck.
In March, a two-storey, 147 sq m five-room nine-year-old HDB loft in Treelodge@Punggol was
sold for $910,000.
Analysts called it a significant transaction that could pave the way for future $1 million deals in
the north-east new town.
Is this kind of price tag for HDB resale flats going to be "normal" from now on?
Yes and no.
Yes, because it is statistically likely that more flats will fetch more than $1 million in the coming
months. In fact, 2021 will be a record year, unless the Government intervenes with cooling
measures.
But also no, because these transactions make up a small proportion of total resale deals.
This means overall resale flat prices are unlikely to increase by too much.
So while million-dollar deals may make headlines from time to time, there will still be many
affordable resale flats in the market to pick from.

Link to the story:
https://www.straitstimes.com/singapore/housing/are-1m-hdb-resale-flats-going-to-be-normal-from-now-on

Commercial
Low Keng Huat to sell Westgate Tower stake, buy remaining 45% of Paya Lebar
Square in shift to retail
Property player Low Keng Huat has entered agreements to sell its interests in Westgate Tower for
S$97.1 million, while buying the remaining 45 per cent of Paya Lebar Square that it does not
already own for S$90.5 million.
Low Keng Huat hopes to focus on retail instead of commercial office developments, as it has more
experience in managing the former, the mainboard-listed company said.
Low Keng Huat's interests in Westgate Tower to be sold comprise a 40 per cent stake in each of
Westgate Tower Pte Ltd (WTPL) and Westgate Commercial Pte Ltd (WCPL). Both entities
collectively own 295 office units in Westgate Tower, a commercial office development at 1
Gateway Drive.
In the other transaction, Low Keng Huat will acquire shares of Paya Lebar Square Pte Ltd
(PLSPL), which owns the Paya Lebar Square commercial office and retail development at 60 Paya
Lebar Road, with 159 retail units and one office unit. Low Keng Huat already owns 55 per cent of
PLSPL.

Link to the story:
https://www.businesstimes.com.sg/companies-markets/low-keng-huat-to-sell-westgate-tower-stake-buy-remaining-
45-of-paya-lebar-square

Weekly News Select
Jun 18, 2021 / Issue 24

Some employers plan to make hybrid work arrangement permanent; office spaces
still in demand
Some employers plan to make hybrid work arrangements permanent even when Covid-19
restrictions are eased in the future, but this has not led to a spike in office space vacancies.
Several major office building owners and co-working spaces said they are continuing to see
healthy demand, with little to no drop in occupancy rates.
The shift towards adopting a hybrid working model is evident even in companies where some staff
are unable to work from home.
Six companies that The Straits Times spoke to said many of their employees have indicated a
preference for a flexible working policy.
Other companies interviewed are holding on to office spaces, as many say they see value in having
a physical space for staff to meet to foster closer bonds and better collaboration.

Link to the story:
https://www.straitstimes.com/business/some-employers-plan-to-make-hybrid-work-arrangement-permanent-office-
spaces-still-in-demand

Suntec Reit sells 30% stake in new 9 Penang Road building
Suntec Real Estate Investment Trust (Suntec Reit) has sold its 30 per cent interest in 9 Penang
Road, formerly known as Park Mall, to Haiyi Holdings.
The buyer will pay about S$89.9 million for the 15 million ordinary shares and 678 redeemable
preference shares that Suntec Reit held in the joint venture (JV) company, which indirectly owns
the property.
Net proceeds are expected to be around S$88.2 million, Suntec Reit's manager said in a filing on
June 16.

Link to the story:
https://www.straitstimes.com/business/companies-markets/suntec-reit-sells-30-stake-in-new-9-penang-road-building

Retail
Ion Orchard to close for 4 days from June 12 due to Covid-19 cases; visitors to mall
to get free swab tests
Ion Orchard will be shut for four days from June 12 for cleaning and disinfecting works after the
Ministry of Health (MOH) confirmed a number of Covid-19 cases linked to the shopping mall.
It is the first mall in the popular Orchard Road shopping belt to do so amid the pandemic. The mall
will be closed from 7am on June 12 till 7am on June 16.
However, both Ion Orchard Link and Ion Paterson Link, which are underground pedestrian
networks, will remain accessible round the clock.

Link to the story:
https://www.straitstimes.com/singapore/ion-orchard-to-be-closed-for-four-days-for-cleaning-disinfecting-works

Weekly News Select
                                                                                                 Jun 18, 2021 / Issue 24

F&B outlets may rethink real estate footprint as online sales grow
The surge in online sales of food and beverage (F&B) is likely to slow down but prime mall space
may, nonetheless, fall out of favour as cloud kitchens become more popular.
F&B retailers will probably have to rethink their operations and real estate footprint, said an
analyst.
He foresees greater reluctance by tenants to pay high rents for prime spaces in malls, "especially
if it becomes a norm for social distancing to be implemented from time to time", as the Phase 2
(Heightened Alert) restrictions have dealt yet another blow to dine-in revenues.
Food establishments may want to relocate to cheaper locations and use the rental savings on more
aggressive digital marketing to expand their outreach, Dr Lee said. Besides malls, alternatives
where rents are lower include HDB shops.
The leasing of cloud kitchens could also gain pace, while businesses open fewer full-service
eateries.

Link to the story:
https://www.businesstimes.com.sg/real-estate/fb-outlets-may-rethink-real-estate-footprint-as-online-sales-grow

Government
Singapore evaluating timing, scope of next stage of reopening
The multi-ministry task force tackling Covid-19 is reviewing the timing and scope of the second
stage of the economy's reopening, in the light of the emergence of a major Covid-19 cluster in
Bukit Merah and other new Covid-19 cases, Finance Minister Lawrence Wong said.
In an Instagram and Facebook post, Mr Wong noted that Singapore is now in the first stage of its
reopening following the phase two (heightened alert) restrictions, and that further relaxation of the
rules was due to take place on June 21, including allowing dine-ins at eateries.
"Unfortunately we now have new cases breaking out and a major new cluster in Bukit Merah.
Given these developments, we are evaluating the timing and scope of the next stage of reopening.
The multi-ministry task force is studying the situation carefully with public health experts, and
will provide further updates soon," said Mr Wong in his post.

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-evaluating-timing-scope-of-next-stage-of-
reopening
https://www.straitstimes.com/singapore/spore-evaluating-timing-scope-of-next-stage-of-reopening-amid-latest-
outbreak-of-covid-19

New cyber-security and information centre to be set up in S'pore for Asean defence
exchanges
A new Cybersecurity and Information Centre of Excellence will be set up in Singapore, to better
allow exchanges among Asean defence establishments against the threats of cyber attacks,
disinformation and misinformation.

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
Jun 18, 2021 / Issue 24

The establishment of the centre was approved at the 15th Asean Defence Ministers' Meeting
(ADMM) held virtually on June 15, said the Ministry of Defence.
In its statement, Mindef said the centre will complement the Asean Cyber Defence Network in
promoting regional exchanges, interactions and cooperation on cyber-security matters.
The ADMM-Plus involves the 10 Asean states and eight dialogue partners, namely Australia,
China, India, Japan, New Zealand, South Korea, Russia and the United States.

Link to the story:
https://www.straitstimes.com/singapore/new-cyber-security-centre-to-be-set-up-in-singapore-for-asean-defence-
exchanges

Lawrence Wong downbeat about the return of air travel anytime soon
While supply chains and trade have shown resilience during the Covid-19 pandemic, the outlook
is gloomier for air travel, said Finance Minister Lawrence Wong at CNBC's Evolve Global
Summit.
The minister, who co-chairs the multi-ministry taskforce on Covid-19, said he was "somewhat less
sanguine about the prospects for air travel" compared to trade.
The region is still facing waves of infection, and vaccination rates in many countries are not high
enough, he said, "so I don't think we will be able to see open and free travel in the region, in
particular, anytime soon".
There might perhaps be some travel arrangements among countries with low and stable infections,
and perhaps shorter quarantine times for vaccinated travellers, he added. "But for the most part,
all of that is not going to add up to what we used to have pre-Covid. So air travel, I'm afraid, will
take some time to recover."

Link to the story:
https://www.businesstimes.com.sg/government-economy/lawrence-wong-downbeat-about-the-return-of-air-travel-
anytime-soon

P1 to 3 pupils to do one-week HBL when school reopens as MOE gradually allows
students back to school
Primary 1 to 3 pupils will continue with a week of home-based learning (HBL) from June 28 when
Term 3 begins, said the Ministry of Education (MOE) on June 14.
They will return to school on July 6, as July 5 is a school holiday.
Secondary 1 and 2 students will be on HBL for three days till June 30, and return to school on July
1.
This is part of a move to progressively allow students back to school after the June holidays to
keep students and staff safe from Covid-19.
Students in Primary 4 to 6, Secondary 3 to 5, junior colleges and the Millennia Institute will return
to school on June 28, when the new term begins.

Link to the story:
https://www.straitstimes.com/singapore/parenting-education/p1-to-p3-pupils-to-continue-with-one-week-hbl-in-
term-3-as-moe

Weekly News Select
Jun 18, 2021 / Issue 24

Largest integrated transport hub in Singapore opens in Woodlands
Commuters in Woodlands can look forward to a smoother and more comfortable journey with the
opening of the Woodlands Integrated Transport Hub (ITH) on June 13.
The ITH - a term for fully air-conditioned bus interchanges linked to MRT stations and nearby
shopping malls - connects a new bus interchange below Causeway Point shopping mall with
Woodlands MRT station, which serves the North-South Line and Thomson-East Coast Line.
Operated by SMRT, Woodlands ITH is the 11th such hub in Singapore. At41,500 sq m, it is also
the largest so far. The other 10 ITHs are in Ang Mo Kio, Bedok, Boon Lay, Clementi, Joo Koon,
Sengkang, Serangoon, Toa Payoh, Bukit Panjang and Yishun.

Link to the story:
https://www.straitstimes.com/singapore/transport/largest-integrated-transport-hub-in-singapore-opens-in-woodlands

Economy
Singapore GDP tipped to grow 6.5%, led by manufacturing and exports: MAS survey
The strong global economic recovery is fuelling optimism among private-sector economists, who
have further raised their full-year Singapore outlook to 6.5 per cent, the central bank's survey of
professional forecasters showed.
In the previous March edition of the survey published by the Monetary Authority of Singapore
(MAS), economists had predicted full-year gross domestic product (GDP) to expand 5.8 per cent.
The June survey was sent out on May 25, and drew 24 responses.
The survey found that economists appear most bullish about manufacturing and non-oil domestic
exports. The former is now expected to expand 8.3 per cent instead of 4.7 per cent in 2021, and
the latter, 7.5 per cent instead of 6.9 per cent.
Construction is now tipped to grow 19.3 per cent, lower than the 22.5 per cent expansion predicted
in the earlier survey. The overall optimism persists despite Singapore's recent setback with the
pandemic, as a fresh wave of infections seeded by the Delta variant from India prompted tighter
restrictions and border controls.
Accordingly, for the second quarter, survey respondents are expecting the economy to grow 15
per cent year on year, coming off the low base during Q2 last year, when Singapore was in the
middle of a "circuit breaker" or partial lockdown.
Economists are expecting headline inflation to reach 1.4 per cent, up from their earlier prediction
of 0.9 per cent. Core inflation, which excludes accommodation and private road transport costs, is
set to hit 0.8 per cent, up from 0.7 per cent in the March survey.
The labour market is expected to continue its recovery, with respondents expecting unemployment
rate to reach 2.7 per cent by year-end, down from 2.9 per cent in the March survey.
However, a further deterioration of the Covid-19 pandemic remains respondents' most-cited
downside risk, followed by geopolitical tensions and a slower-than-expected labour market.
On the flip side, effective containment of Covid-19 was the most frequently-cited upside risk to
Singapore's growth outlook. More respondents also flagged the stronger-than expected
manufacturing sector performance as a possible upside.
As for 2022, GDP is projected to grow 4 per cent, said respondents.

Weekly News Select
Jun 18, 2021 / Issue 24

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-gdp-tipped-to-grow-65-led-by-manufacturing-
and-exports-mas-survey
https://www.straitstimes.com/business/economy/economists-raise-singapores-2021-gdp-growth-forecast-to-65-
from-58-mas-survey

Singapore business sentiment remains positive for Q3: SCCB survey
Business sentiment in Singapore has remained expansionary for the second consecutive quarter in
Q3 2021.
The Singapore Commercial Credit Bureau's (SCCB) latest overall quarterly Business Optimism
Index (BOI) was at +4.07 percentage points for Q3 2021, up from +3.94 percentage points in the
previous quarter, and -5.16 percentage points in Q3 2020.
That said, only three of the six of the studied indicators improved quarter on quarter, compared to
all six in Q2 2021.
Business expectations for employment saw the most improvement, rising to +3.05 percentage
points from its previous quarter's zero.
Selling price shifted up to +2.29 percentage points from its previous +1.53 percentage points, while
inventory levels inched up to -6.11 percentage points from -7.64 in the quarter ago.
Meanwhile, new orders remained unchanged at +9.92 percentage points in Q3 2021, while both
volumes of sales and net profit fell to +7.63 from the previous quarter's +9.92 percentage points.

Links to the story:
https://www.businesstimes.com.sg/sme/singapore-business-sentiment-remains-positive-for-q3-sccb-survey
https://www.straitstimes.com/business/economy/singapore-business-sentiment-improves-slightly-but-construction-
and-transportation

Slower population growth, ageing need not be alarming: economists
Singapore’s population growth over the last decade slowed to 1.1 per cent per year, less than half
of the 2.5 per cent annual rate in the decade before that, the latest Census of Population showed.
While the trend of an ageing population persists, the economic implications are not necessarily
that alarming, said economists.
But pivoting away from non-resident labour might be harder, notwithstanding a year on year fall
in 2020 due to Covid-19 curbs, they said.
In 2020, Singapore's total population was 5.69 million, up from 5.08 million a decade before,
according to data released by the Department of Statistics.
Residents - that is, citizens and permanent residents - accounted for 4.04 million.
There were 3.52 million citizens, forming about 62 per cent of the total population, compared to
3.23 million and 64 per cent a decade ago.
Permanent residents numbered 521,000, down from 541,000. The non-resident population rose to
1.64 million, from 1.31 million previously.
In a media briefing, Minister in the Prime Minister's Office Indranee Rajah noted the need to
supplement the resident population with some immigration, so as to support the economy and
ensure that Singapore has the required skillsets, but added that "that has to be very carefully
calibrated".

Weekly News Select
                                                                                                 Jun 18, 2021 / Issue 24

Recalling public concern back in 2013 over the speed of Singapore's population growth, she said
the government has to ensure that "the growth is at a pace that is not uncomfortable", while also
making sure that "we can continue to achieve the economic outcomes that we want".

Links to the story:
https://www.businesstimes.com.sg/government-economy/slower-population-growth-ageing-need-not-be-alarming-
economists-0
https://www.businesstimes.com.sg/government-economy/expat-flows-may-stabilise-later-this-year
https://www.straitstimes.com/singapore/politics/more-singles-fewer-babies-slowest-population-growth-since-1965-
5-highlights-of
https://www.straitstimes.com/singapore/politics/fewer-sporeans-marrying-and-having-children-population-census
https://www.straitstimes.com/singapore/spore-population-better-educated-across-age-ethnicity-women-make-
greater-strides
https://www.straitstimes.com/singapore/more-sporeans-have-no-religious-affiliation-population-census
https://www.straitstimes.com/singapore/politics/race-based-data-in-population-census-needed-for-spore-to-help-
ethnic-groups

Strong external outlook likely to benefit Singapore's exports
Singapore’s exports stayed resilient in May despite tightened Covid-19 restrictions, and
economists believe the Republic is likely to continue riding on the global trade recovery despite
some uncertainty ahead.
Non-oil domestic exports (NODX) in May rose 8.8 per cent year on year, extending the previous
month's 6 per cent rally, according to Enterprise Singapore (ESG).
Electronic exports rose 11 per cent, extending April's 10.9 per cent growth, while non-electronic
exports expanded 8.1 per cent, following gains of 4.7 per cent the previous month.
While NODX to Singapore's top markets as a whole rose in May, exports to the United States,
Japan and the European Union declined.
Exports to China had the biggest gains at 36.9 per cent, followed by Hong Kong at 30.2 per cent
and Malaysia at 27.1 per cent.

Links to the story:
https://www.businesstimes.com.sg/government-economy/strong-external-outlook-likely-to-benefit-singapores-
exports
https://www.straitstimes.com/business/economy/singapore-exports-growth-pick-up-pace-in-may-but-came-lower-
than-expected

S'pore's labour market continues recovery into 1st quarter; total employment grows
by 12,200
Singapore's labour market continued its recovery in the first quarter, with total employment
growing for the first time since the start of the Covid-19 pandemic.
A report by the Ministry of Manpower (MOM) on June 17 showed that the total employment,
excluding foreign domestic workers, rose by 12,200 in the first three months of the year, after four
consecutive quarters of decline. This far surpassed the preliminary estimate of 4,800 released in
April.
Resident hires continued to rise, outpacing the decline in non-resident employment, which is partly
due to restrictions on the inflow of foreign workers.

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Weekly News Select
Jun 18, 2021 / Issue 24

More retrenched residents here have also found jobs within six months, while job vacancies have
risen to nearly match the unemployed population, according to the report.
But the labour market is still not fully back to its pre-pandemic state, said MOM.
Moreover, uncertainties in the economy and the recent tightened measures during phase two
(heightened alert) are expected to weigh on the pace of labour market recovery in the second
quarter.
Unemployment rates continued to ease, after peaking in September last year at 3.5 per cent for the
overall workforce, 4.9 per cent for citizens and 4.8 per cent for residents.
In March, this dropped to 2.9 per cent overall, 4.2 per cent for citizens and 4 per cent for residents.
The rates are still higher than pre-pandemic unemployment levels.
Retrenchments, however, fell for the second consecutive quarter to pre-pandemic levels, said
MOM. The re-entry rate of retrenched residents into employment also rose for two consecutive
quarters, to 66.2 per cent.

Links to the story:
https://www.straitstimes.com/singapore/jobs/spores-labour-market-continues-recovery-into-first-quarter-but-not-
back-to-pre-covid
https://www.straitstimes.com/singapore/jobs/youth-unemployment-rate-climbed-higher-last-year-amid-covid-19-
mom-report
https://www.businesstimes.com.sg/government-economy/re-entry-rate-of-retrenched-workers-up-job-vacancies-
grew-in-first-quarter

Singapore loses top spot in global competitiveness ranking on unfavourable
geography
Singapore is no longer the world's most competitive economy, a spot it has held for the past two
years.
In the latest Institute for Management Development (IMD) World Competitiveness Ranking 2021,
Singapore now ranks as the fifth most competitive economy globally, while Switzerland took its
place at the top. Sweden, Denmark and the Netherlands followed in second, third and fourth place
on the ranking respectively.
Researchers attributed Singapore's fall in rankings to an unfavourable geography, among other
reasons.
Though not the first worldwide, Singapore still retains its place as the most competitive country in
Asia, even as most Asian economies had declined in ranking.

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-loses-top-spot-in-global-competitiveness-
ranking-on-unfavourable
https://www.straitstimes.com/business/economy/singapore-loses-its-top-spot-in-global-competitiveness-study-now-
ranks-5th

Citibank Singapore's SME unit to close in August
Citibank Singapore is closing its CitiBusiness arm, which serves small and medium-sized
enterprises (SMEs).

Weekly News Select
                                                                                                 Jun 18, 2021 / Issue 24

The move comes after Citigroup said it would exit from its consumer franchises in 13 markets -
Australia, Bahrain, China, India, Indonesia, South Korea, Malaysia, the Philippines, Poland,
Russia, Taiwan, Thailand and Vietnam - where it does not "have the scale" needed to compete.
A Monetary Authority of Singapore (MAS) spokesman told The Straits Times that it has been
notified of retrenchment exercises by financial institutions undergoing business restructuring and
transformation.
Between 20 and 30 staff will be affected by the CitiBusiness closure, which was disclosed to clients
last month.

Link to the story:
https://www.straitstimes.com/business/companies-markets/citibank-singapores-sme-unit-to-close-in-august

Industrial
New $18m lab in S'pore to boost digital manufacturing, aiming to make factories
more efficient and productive
Digital manufacturing in Singapore got a boost on June 17 with the launch of a $18 million
laboratory that would pave the way for higher-quality, more user-friendly goods that get to
consumers quicker.
The facility set up jointly by the Agency for Science, Technology and Research (A*Star) and local
manufacturing software company Arcstone will also look into ways of making the environmental
footprint of a product more transparent.
Digital manufacturing is essentially about using technology to help factories become more
productive and efficient, and reduce human error.

Link to the story:
https://www.straitstimes.com/singapore/environment/new-18m-lab-in-spore-to-boost-digital-manufacturing-look-
into-better-tracking

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
                                                                                                                   Jun 18, 2021 / Issue 24

Contact:
Lee Sze Teck
Head, Research
(65) 6500 6510
szetecklee@huttonsgroup.com

This document has been prepared by Huttons Asia for general information only. Huttons Asia does not guarantee warrant or represent that the
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