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Weekly News Select
                                                                                                  Mar 5, 2021 / Issue 9

Top News for the Week
       •   Midtown Modern: Living in a forest in the midst of the city
       •   Development charge rates up 0.3% for non-landed residential use, 1.5% cut for
           commercial use
       •   Singapore lays out plans for green and sustainable future
       •   Further scope to review wealth taxes: Heng
       •   Covid-19 HealthCerts to ease travel; Smart Nation push continues with new cloud
           migration target
       •   Safe-management measures for workplace to be reviewed after Chinese New Year
           period
       •   S'pore is world's freest economy: US think-tank
       •   Singapore needs 1.2m more digital workers by 2025 to remain competitive: report
       •   Global chip shortage should buoy Singapore factory output in H1 2021, watchers say
       •   Singapore's unemployment rates continue to decline in January: MOM

Residential
Midtown Modern: Living in a forest in the midst of the city
Singapore-listed property group GuocoLand has steered away from the tried and tested at its
upcoming high-end condo, Midtown Modern, at Tan Quee Lan Street. Instead of developing
predominantly small apartments, the 558-unit Midtown Modern will have a wide spectrum of one-
to four-bedroom apartments, with sizes ranging from 409 to 1,808 sq ft, and two penthouses of
3,272 and 3,520 sq ft each.
“We believe there will be demand from the affluent, and we must therefore have large sized
apartments to cater for them,” says Cheng Hsing Yao, group managing director of GuocoLand
Singapore, who is one of the nine Nominated Members of Parliament appointed in January.
Large apartments will also appeal to families with children attending secondary schools or tertiary
institutions. “Midtown Modern will break with convention and be one of the first family-oriented
residential developments in the CBD,” notes Dora Chng, GuocoLand Singapore general manager
(residential).
Midtown Modern’s landscaping is another point of difference. Deviating from the trimmed,
manicured approach of most residential developments, Midtown Modern has adopted the concept
of “a forest in the middle of the city”, says Cheng. A total of 186 species of trees and shrubs will
be planted across a 1ha garden at Midtown Modern.
Midtown Modern will preview on the weekend of March 6 and 7. Prices range from $1.1 million
($2,689 psf), for a 409 sq ft, one-bedroom unit, to $14.98 million ($4,256 psf) for the bigger
penthouse of 3,520 sq ft. In terms of psf prices, they start from $2,400, and go well above $4,000
psf for the penthouses, given that there are only two. Huttons Asia is one of the appointed
marketing agencies.
GuocoLand’s Cheng wants to create a “Midtown identity”. He says: “The [Guoco Midtown]
mixed-use development has all the characteristics of a midtown; and will eventually be associated
with innovative companies, high-end housing, interesting retail and F&B tenants.”

              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
Mar 5, 2021 / Issue 9

Indeed, Midtown Modern should not be seen as just another project. “It is part of a larger integrated
development where you can live, work, play all in one place,” says Lee Sze Teck, director of
research at Huttons Asia. “It is envisaged as a City of the Future — future trends in living and
working are all here, at Midtown.”

Links to the story:
https://www.edgeprop.sg/property-news/midtown-modern-living-forest-midst-city
https://www.businesstimes.com.sg/real-estate/guocolands-midtown-modern-to-draw-more-families-retirees-into-
city-area
https://www.straitstimes.com/business/property/guoco-midtowns-second-condo-to-launch-in-two-weeks

Development charge rates up 0.3% for non-landed residential use, 1.5% cut for
commercial use
In tandem with the improving Singapore private housing market, the government has upped
development charge (DC) rates for the landed and non-landed residential use groups for the half-
year period starting March 1.
However, it is trimming DC rates for commercial use for the second consecutive time, albeit by a
moderated 1.5 per cent on average, following the 3.6 per cent reduction during the previous
revision that took effect Sept 1, 2020.
On average, DC rates have been raised by 1.5 per cent for landed residential use and 0.3 per cent
for non-landed residential use.
DC rates for all the other use groups remain unchanged: hotel/hospital, industrial, place of
worship/civic and community institution, open space, agriculture, and roads/railways.
The increase for non-landed residential rates is the first since rates began trending down in March
2019.
For non-landed residential use, DC rates were increased in eight sectors by 3 per cent to 6 per cent,
while the DC rate for one sector was cut by 4 per cent. Rates have been left unchanged for the
remaining 109 sectors.
The 4 per cent cut is for Sector 34 which includes the Sophia Road area. Market watchers say the
chief valuer probably took into account the price for the collective sales of Fairhaven and Sophia
Ville.

Links to the story:
https://www.businesstimes.com.sg/real-estate/development-charge-rates-up-03-for-non-landed-residential-use-15-
cut-for-commercial-use
https://www.straitstimes.com/business/property/development-charges-down-for-commercial-use-up-for-residential-
0

Asia's ultra-rich rank S'pore as region's top pick for luxury homes
Singapore has become one of the world's most sought-after locations for buying investment homes
as its safe-haven reputation has been further strengthened by moves to successfully manage the
pandemic and support businesses.
Singapore's luxury residential market is the top Asian territory of choice for the ultra-wealthy in
Asia, after Britain, the United States and Australia.

Weekly News Select
Mar 5, 2021 / Issue 9

This could augur well for luxury home prices, with 26 per cent of those surveyed planning to buy
a new home this year, up from 21 per cent last year.

Link to the story:
https://www.straitstimes.com/business/property/asias-ultra-rich-rank-spore-as-regions-top-pick-for-luxury-homes
https://www.businesstimes.com.sg/banking-finance/singapores-ranks-of-the-ultra-wealthy-grew-last-year-despite-
pandemic-report

Fortune Park near Kovan MRT station up for collective sale
A freehold 10-storey residential block along Tampines Road has been put up for collective sale
with an indicative price tag of between S$115 million and S$118 million.
Fortune Park, comprising 68 apartments, has a land area of 44,878 sq ft; its price per square foot
(psf) works out to between S$1,140 and S$1,170 after factoring a 7 per cent bonus gross floor area
(GFA) scheme incentive.
The developer will not have to pay a development charge because of the existing high base line.
The site has a gross plot ratio of 2:1, which will allow redevelopment into an 88-unit property, and
a proposed GFA of nearly 94,245 sq ft.
Fortune Park is up for public tender, which will close at 2.30 pm on April 22.

Link to the story:
https://www.businesstimes.com.sg/real-estate/fortune-park-near-kovan-mrt-station-up-for-collective-sale

Monthly record of 23 million-dollar HDB resale flats sold in February
The Housing Board resale market continued to perform strongly in February as 23 million-dollar
flats changed hands - a new monthly record - and prices rose for the eighth straight month.
Resale prices climbed 1.4 per cent last month compared with January 2021, according to flash data
from a real estate portal.
Year on year, resale prices are up 8.3 per cent from February 2020, though they are still 5.7 per
cent lower than their peak in April 2013.
The flats which went for at least S$1 million make up about 1 per cent of the total number of units
resold.
With 13 million-dollar flats sold in January, the number of such buys total 36 for the first two
months of the year - compared to just eight for the same period in 2020.

Links to the story:
https://www.businesstimes.com.sg/real-estate/monthly-record-of-23-million-dollar-hdb-resale-flats-sold-in-february
https://www.straitstimes.com/singapore/housing/hdb-flats-remain-hot-with-23-million-dollar-units-sold-last-month

HDB flat-buying process to be further streamlined
Flat buyers can soon submit their documents and be assessed for grants and loans in one
application, instead of having to send multiple applications.
Buyers can also apply for housing loans from participating financial institutions directly on the
Housing Board flat portal, without having to submit separate applications, said National
Development Minister Desmond Lee.

Weekly News Select
                                                                                                     Mar 5, 2021 / Issue 9

These are among the new initiatives to be rolled out this year to further streamline the process of
buying and selling a HDB flat, said Mr Lee during the debate on the Ministry of National
Development's budget.

Link to the story:
https://www.straitstimes.com/singapore/politics/hdb-flat-buying-process-to-be-further-streamlined

Resale curbs and longer occupation period among ideas for prime BTO flats
Limiting the pool of resale buyers or imposing a longer minimum occupation period beyond the
five years now are some of the ideas being looked at for future public housing projects in prime
locations, said National Development Minister Desmond Lee.
Another suggestion being considered for a new housing model is to implement restrictions on
home owners when renting out such flats.
This is to ensure that public housing remains inclusive for all Singaporeans, he said in Parliament.
For upcoming public housing estates in prime locations, Mr Lee reiterated that a diverse range of
flat types will be built where possible.
This would include rental housing so that lower-income households can also benefit.
The new housing model will come with additional subsidies, on top of the existing subsidies for
BTO flats, said Mr Lee.

Link to the story:
https://www.straitstimes.com/singapore/politics/resale-curbs-and-longer-occupation-period-among-ideas-for-prime-
bto-flats

Singles can apply for public rental flats without first finding flatmate in pilot
Singles will be able to apply for public rental flats without having to first find a flatmate, under a
new pilot that will be rolled out later this year, Minister of State for National Development
Muhammad Faishal Ibrahim said.
This is to help those who may not be able to find a flatmate on their own, Dr Faishal said during
the debate on his ministry's budget.

Link to the story:
https://www.straitstimes.com/singapore/politics/singles-can-apply-for-public-rental-flats-without-first-finding-
flatmate-in-pilot

Over 2,000 BTO flats in Bidadari estate completed
More than 2,000 Build-To-Order (BTO) Housing Board flats in Singapore's newest large estate,
Bidadari, have been completed, with families progressively moving into their new homes.
These flats are spread across three projects - Alkaff Vista, Alkaff LakeView and Alkaff CourtView
- which were launched for sale by the HDB in 2015.
All 12 public housing developments in Bidadari have been rolled out, with the final three projects
- Bartley GreenRise, ParkEdge @ Bidadari and Alkaff Breeze - launched in February 2021’s BTO
sales exercise.

                 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
Mar 5, 2021 / Issue 9

Link to the story:
https://www.straitstimes.com/singapore/housing/over-2000-bto-flats-in-bidadari-estate-completed

Two-room HDB flexi flats a big hit with seniors
Two-room flexi flats have proved popular with seniors, with more than half of the buyers aged 55
and above, figures revealed.
Singles have been the second largest group purchasing the units since they were introduced six
years ago, the Housing Board said.
As at Dec 31 last year, about 34,700 two-room flexi flats had been launched for sale since they
were rolled out in 2015.
And 84 per cent - or 25,189 - of the 29,924 units offered have been booked by buyers, said the
HDB. Selections are still ongoing for the remaining 4,700 units.

Link to the story:
https://www.straitstimes.com/singapore/housing/two-room-hdb-flexi-flats-a-big-hit-with-seniors

Upgrading of most pre-1987 flats done
The majority of the 320,000 eligible flats built before 1987 have undergone upgrading works under
the Housing Board's Home Improvement Programme (HIP).
Of these, about 215,000 flats, spread across 230 projects, have completed upgrading works, while
works are currently under way for about 96,800 flats, spread across 101 projects, said the HDB in
an update.
Works on the remaining flats will be implemented progressively.
Next in line for upgrading will be a newer batch of 230,000 flats built between 1987 and 1997.
The HDB said that the first batch of about 56,000 units have been selected for the Extended HIP
programme, but did not specify a time frame for the roll-out.

Link to the story:
https://www.straitstimes.com/singapore/housing/upgrading-of-most-pre-1987-flats-done

1,700 flats surrendered to HDB over past five years
About 1,700 flats were surrendered to the Housing Board over the past five years, including 700
that were given up due to reasons such as break-ups or divorces.
These figures were revealed by Senior Minister of State for National Development Sim Ann in
Parliament, in response to Mr Gan Thiam Poh (Ang Mo Kio GRC).
The most common reasons for the surrender of these flats were divorce, break-ups between
engaged couples, and the annulment of marriage, Ms Sim said.
The remaining 1,000 or so of the surrendered flats were those with short leases, comprising studio
apartments, two-room flexi flats bought on a short lease, and flats whose owners had opted for the
Lease Buyback Scheme.

Link to the story:
https://www.straitstimes.com/singapore/1700-flats-surrendered-to-hdb-over-past-five-years

Weekly News Select
Mar 5, 2021 / Issue 9

Commercial
Futu sets up SE-Asia HQ in Singapore as springboard into the region
NASDAQ-listed Futu Holdings has set up its South-east Asia headquarters in Singapore, where
the tech-oriented online broker will soon officially launch its services and use the city-state as a
springboard into the region, founder, chairman and chief executive officer Leaf Hua Li says.
Futu, which raised US$90 million from its initial public offer (IPO) on Wall Street in 2019,
operates an application for trading in stocks, warrants, options and exchange-traded funds (ETFs).
The app, called moomoo, allows investors to trade in Hong Kong, mainland China, New York and
now, Singapore. It also offers enterprise services, among which are pre-IPO solutions and
employee stock ownership plan (ESOP) management services. At the end of its fiscal third quarter,
it has about 420,000 paying clients.
It has about 10 people here, most of whom are involved in finance and marketing, while the bulk
of the research and development (R&D) is done in Shenzhen, China.
"We have set up an office in Singapore as the HQ for South-east Asia. We want to use Singapore
as a springboard into the broader South-east Asia market," the Tencent alumnus said, adding that
the group is looking to venture into Vietnam, Thailand and the Philippines, where demand for
online trading is huge.

Link to the story:
https://www.businesstimes.com.sg/asean-business/futu-sets-up-se-asia-hq-in-singapore-as-springboard-into-the-
region

Government
Singapore lays out plans for green and sustainable future
Singapore is setting out towards a sustainable future as it recovers from Covid-19, with seven
ministers detailing the country's green plans in Parliament during an omnibus session yesterday.
Over about five hours, they announced sweeping new measures that will change the way people
live, learn and play - building on the Singapore Green Plan 2030 framework that was announced
last month to inform the Republic's sustainability journey.
For instance, buildings, which contribute more than 20 per cent to national emissions, will be made
more energy-efficient under a new edition of the Singapore Green Building Masterplan.
A renewed push for electric vehicles looks set to reduce emissions from the land transport sector,
which is now responsible for 14 per cent of Singapore's emissions.
Park spaces will be increased and more green infused into the grey cityscape, while even
recreational spaces, such as Sentosa, will be transformed into a carbon-neutral destination by 2030.
In schools, environmental education will be strengthened and deepened, with learning resources
featuring sustainability initiatives within the school developed to help make the learning come
alive.
These initiatives come on top of strategies to beef up the nation's resilience to the impact of the
changing climate - including shoring up of coastlines to buffer against rising sea levels and
investing in local production to increase food security.

Weekly News Select
                                                                                                    Mar 5, 2021 / Issue 9

Links to the story:
https://www.straitstimes.com/singapore/environment/singapore-lays-out-plans-for-green-and-sustainable-future
https://www.straitstimes.com/singapore/climate-change-trade-offs-stark-but-spore-trying-to-break-out-of-constraints
https://www.straitstimes.com/singapore/environment/public-sector-aims-to-peak-carbon-emissions-five-years-
before-2030-national
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/singapore-to-stop-registration-of-
diesel-cars-and-taxis
https://www.straitstimes.com/singapore/transport/no-new-diesel-cars-or-cabs-from-2025
https://www.straitstimes.com/singapore/transport/road-tax-for-mass-market-electric-cars-to-be-lowered-from-next-
year-0
https://www.businesstimes.com.sg/companies-markets/singapore-budget-2021/push-for-greener-buildings-under-
refreshed-masterplan
https://www.straitstimes.com/business/property/new-buildings-must-meet-tighter-standards-for-energy-efficiency
https://www.straitstimes.com/business/property/new-scheme-to-support-alliances-in-built-environment-sector
https://www.straitstimes.com/singapore/politics/130ha-of-new-parks-for-spore-in-next-six-years
https://www.straitstimes.com/singapore/315m-to-set-up-new-trails-expand-and-enhance-parks
https://www.businesstimes.com.sg/companies-markets/singapore-budget-2021/pandemic-to-shape-singapores-land-
use-plans-amid-ongoing
https://www.straitstimes.com/business/property/pandemic-will-change-spores-land-use-plans-and-designs-indranee
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/coastal-protection-measures-to-be-
carried-out-in-phases
https://www.straitstimes.com/singapore/environment/coastal-protection-strategies-in-four-areas-to-be-ready-by-
2030

Further scope to review wealth taxes: Heng
There is scope for Singapore to further review its wealth taxes - though this will not replace the
need for a hike in the goods and services tax (GST) rate, Deputy Prime Minister and Finance
Minister Heng Swee Keat said in his round-up speech at the end of the three-day debate on Budget
2021.
Singapore is in a new phase of development, where it cannot expect the buoyant gross domestic
product (GDP) growth rates of the past, yet has growing expenditure needs and must keep
investing, he said, reiterating the justification for the GST rate hike. He noted that Members of
Parliament have asked about other taxes, such as Foo Mee Har's suggestion of a one-off wealth
tax, akin to what Argentina did to fund Covid-19 measures.
Said Mr Heng: "The impact of the crisis has been uneven. I believe Ms Foo's intent is for those
who came out on top of the crisis to do more for our community, and I share her sentiment. So we
will indeed continue to review our wealth taxes."
While Workers' Party (WP) MP Leon Perera suggested raising the Buyer's Stamp Duty and
Additional Buyer's Stamp Duty, the latter is a property market measure, not a revenue-raising one,
said Mr Heng.
But he added: "But I agree that there is a role for property-related taxes. The government will
continue to review this to ensure that it remains progressive."
Estate duty is another option that has been considered, but it affected middle- and upper-middle
income groups disproportionately compared to the wealthy, he said. Singapore must also "balance
between progressivity and staying competitive", and must "remain attractive to those who work
hard and those who invest to create good jobs".

                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
                                                                                                    Mar 5, 2021 / Issue 9

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/further-scope-to-review-wealth-
taxes-heng
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/property-taxes-are-likely-first-
stop-for-wealth-tax-review
https://www.businesstimes.com.sg/government-economy/singapores-wealth-related-taxes
https://www.straitstimes.com/singapore/spore-must-press-on-with-plans-for-next-growth-phase-dpm
https://www.straitstimes.com/singapore/politics/raising-productivity-only-way-to-improve-jobs-and-lives-heng
https://www.straitstimes.com/singapore/politics/wealth-taxes-cant-replace-raising-of-gst-dpm
https://www.straitstimes.com/singapore/politics/gst-hike-needed-for-rising-health-social-safety-spending

Petrol duty increase meant to set price signals and change behaviour: DPM Heng
Raising the petrol duty is a move meant to set price signals and change behaviour as part of a
deliberate decision to protect the environment, Deputy Prime Minister Heng Swee Keat said.
Wrapping up the three-day Budget debate in Parliament, Mr Heng said this in response to questions
from MPs on why the government is raising the petrol duty with immediate effect, even though
infrastructure for electric vehicles (EV) is not ready yet.
"This is not the case. The petrol duty adjustments are to set price signals and change behaviour,"
said Mr Heng, who is also finance minister.
"Just like how we have made deliberate decisions to protect our environment, we want people to
make conscious choices about how to drive, how much to drive, and whether to even drive at all."
He added that EVs are not the only alternatives to driving, and that hybrid vehicles are another
alternative that are already widely available today.

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/petrol-duty-increase-meant-to-set-
price-signals-and-change
https://www.straitstimes.com/singapore/petrol-duty-hike-intended-to-set-price-signals-heng

Covid-19 HealthCerts to ease travel; Smart Nation push continues with new cloud
migration target
The government has developed a new global standard, called HealthCerts, to ease cross-border
verification of Covid-19 test records, Minister-in-Charge of the Smart Nation Initiative Vivian
Balakrishnan announced in Parliament.
Speaking during the Committee of Supply debate, he said that the government will also look into
extending this technology to vaccine certificates.
This comes as other nations are exploring the use of "Covid-19 vaccine passports" - or digital
documents that can certify Covid-19 immunisation - to facilitate the resumption of global travel.
From March 10, all who undergo a Covid-19 pre-departure test (PDT) at an authorised clinic in
Singapore will receive their results in a digital PDT certificate, in line with the HealthCerts
standard.
This could take the form of a digital document or web link to the document.
Travellers can then visit the Notarise website, at notarise.gov.sg, to upload the document and get
their digital PDT certificate notarised. They will receive the notarised certificate via e-mail or the
SingPass Mobile app.

                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
                                                                                                    Mar 5, 2021 / Issue 9

At airports and immigration checkpoints, travellers can present the QR code of the notarised
certificates for verification. By scanning the QR code, airline staff and authorities can check the
authenticity of the PDT certificate via another platform by GovTech, called Verify.

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/covid-19-healthcerts-to-ease-
travel-smart-nation-push-0
https://www.straitstimes.com/singapore/pre-departure-covid-19-test-certs-to-go-digital

Safe-management measures for workplace to be reviewed after Chinese New Year
period
Safe-management measures for the workplace may be adjusted, as Singapore's Covid-19 task force
monitors the situation after the Chinese New Year period, Senior Minister of State for Manpower
Zaqy Mohamad said.
"Adjustments to safe-management measures for the workplace will consider the public health risk,
level of community cases, as well as employee and business interest," he told Parliament in
response to an MP's question.
"As we have seen from the resurgence of infections in some countries in the region, we must
remain vigilant in our approach to managing the transmission risks," he added.
Work-from-home remains the default work arrangement for now, and employers must ensure that
no more than 50 per cent of employees who are able to work from home are at the workplace at
any point in time, he added. These employees should also work from home for at least half their
working time.

Links to the story:
https://www.businesstimes.com.sg/government-economy/safe-management-measures-for-workplace-to-be-
reviewed-after-chinese-new-year
https://www.straitstimes.com/singapore/no-plans-to-impose-vaccination-as-condition-for-entry-into-spore

New schemes to help SMEs speed up digitalisation and create new revenue streams
Small and medium-sized enterprises (SMEs) can expect three new initiatives this year to help them
quicken the development of their digital capabilities and create new revenue streams through
digitalisation.
Minister for Communications and Information S. Iswaran, speaking during his ministry's
Committee of Supply debate, said that this is to build on the progress of firms that have pivoted
towards hybrid online-offline business models as a result of the Covid-19 pandemic, and to scale
efforts so that more firms can benefit.
The first of the three initiatives is a scheme to help SMEs devise a digitalisation plan - the chief
technology officer-as-a-Service or CTO-as-a-Service initiative.
The second initiative, a Digital Leaders Programme to be launched in April, is a two-year pilot
programme under which firms will work on developing new digital capabilities, particularly for
the purpose of developing new business models.
The third initiative is the Better Data Driven Business (BDDB) programme, which will offer free
tools and resources aimed at helping businesses use data more effectively and responsibly.

                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
                                                                                                    Mar 5, 2021 / Issue 9

Links to the story:
https://www.businesstimes.com.sg/government-economy/new-schemes-to-help-smes-speed-up-digitalisation-and-
create-new-revenue-streams
https://www.straitstimes.com/singapore/politics/chief-technology-officers-for-hire-to-help-smes-digitalise

S'pore to strengthen status as global tech and business hub
Singapore will strengthen its status as a global business and technology hub to ensure a sustainable
recovery from the Covid-19 crisis, said Minister for Trade and Industry Chan Chun Sing.
Responding to MPs during the debate on his ministry's budget, Mr Chan said the plan to enhance
Singapore's value proposition within the class of the few high-quality, high-trust global business
hubs is part of a three-pronged strategy aimed at turning the challenges of the post-pandemic world
into opportunities.
The other two strategies involve entrenching Singapore as a critical and hard-to-replace node in
global value chains, and building unique capabilities in Singaporean enterprises and workers so
they can compete in a more globalised world.

Link to the story:
https://www.straitstimes.com/business/economy/spore-to-strengthen-status-as-global-tech-and-business-hub

Dependant's Pass holders need work passes from May
From May 1, 2021, Dependant's Pass (DP) holders who wish to work in Singapore must apply for
a relevant work pass, instead of being able to do so on a letter of consent (LOC), Manpower
Minister Josephine Teo said in the Committee of Supply debate for her ministry.
Mrs Teo said the work arrangements of DP holders are being "regularised" for consistency with
recent work pass moves.

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/dependants-pass-holders-need-
work-passes-from-may
https://www.straitstimes.com/singapore/dependants-pass-holders-will-need-work-pass-to-work

Hiring of local workers would have been slower without Jobs Growth Incentive:
Josephine Teo
The movement of workers into growing firms and industries would likely have been slower
without the Jobs Growth Incentive (JGI) "lubricating the process", Manpower Minister Josephine
Teo said.
Speaking in Parliament during her ministry's Committee of Supply debate, Mrs Teo signalled that
unemployment will not come down and may even creep up again, with longer-term consequences.
"A JGI extension of seven months is helpful, and we will assess what is needed after September,"
she said.
However, the minister said the JGI remains an "extraordinary measure", adding that employers
should not delay their local hiring in the hope that the JGI will be available indefinitely.

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Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/hiring-of-local-workers-would-
have-been-slower-without-jobs
https://www.straitstimes.com/singapore/jobs/no-drop-in-pay-for-over-60-hired-under-job-scheme

Skills funding to be tweaked as economy shifts post-pandemic
Government support for skills training schemes has been beefed up under the latest national
Budget.
But certain courses should be kept short, Minister of State for Education Gan Siow Huang said in
Parliament, as she stressed that trainees can then "transition to employment quickly, with the
support of our training partners".
Some observers hailed the plans to taper off support as signs of an economic and job-market
recovery.
The Ministry of Education (MOE) is extending the SGUnited Skills Programme and the SGUnited
Mid-Career Pathways Programme (Company Training) by a year until March 31, 2022.
MOE is also ramping up capacity for popular courses and those in sectors with "good hiring
opportunities", such as infocomm technology, professional services, healthcare and advanced
manufacturing.
Employers in Place-and-Train Work-Study programmes can also enjoy wage support of 45 per
cent until end-March 2022; MOE expects this to benefit about 4,300 trainees.
The Enhanced Training Support Package (ETSP) for industries badly hit by the Covid-19
downturn will be extended for another six months until Dec 31 this year.

Link to the story:
https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/skills-funding-to-be-tweaked-as-
economy-shifts-post

Economy
S'pore is world's freest economy: US think-tank
Singapore's economy has been ranked the most free in the world this year in The Heritage
Foundation's 2021 Index of Economic Freedom, the second year in a row it topped the list.
The Republic scored 89.7 points, with its overall score up by 0.3 point from last year, mainly due
to an improvement in points gained for government spending, the conservative Washington think-
tank said.
Its score placed it far ahead of both the regional average for 40 countries in the Asia-Pacific (60.2)
and the world average (61.6).
It was followed by New Zealand, Australia, Switzerland and Ireland, in that order, with scores
ranging from 83.9 (New Zealand) to 81.4 (Ireland).

Link to the story:
https://www.straitstimes.com/singapore/spore-is-worlds-freest-economy-us-think-tank

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Weekly News Select
                                                                                                   Mar 5, 2021 / Issue 9

Singapore needs 1.2m more digital workers by 2025 to remain competitive: report
Singapore will need 1.2 million additional digital workers by 2025 - a 55 per cent increase from
today's levels - to remain competitive, according to a new report commissioned by Amazon Web
Services (AWS).
This translates to 23.8 million digital skills training from 2020 to 2025, said the report, which noted
that digitally skilled workers currently represent 63 per cent of Singapore's workforce.
The report, which surveyed more than 500 digital workers in the Republic and interviewed
technology experts, business leaders and policymakers, identified cloud architecture design,
cybersecurity, software operations support, web/software/game development, and large-scale data
modelling as among the top five in-demand skills in Singapore by 2025.

Link to the story:
https://www.businesstimes.com.sg/asean-business/singapore-needs-12m-more-digital-workers-by-2025-to-remain-
competitive-report-0

Decline in services revenue in Singapore eases to -7.9% in Q4
The decline in service businesses' revenues eased in the fourth quarter of 2020, according to data
from the Department of Statistics' (Singstat) Business Receipts Index.
Business receipts fell by 7.9 per cent compared to the same period a year ago. But this marked an
improvement from the third quarter's decline, which was revised to -10.2 per cent - worse than the
-9.5 per cent earlier reported. This brought the full year's revenue decline to -8.3 per cent, compared
to growth of 3.2 per cent in 2019, and 7.5 per cent in 2018.
In the fourth quarter, larger declines were recorded by businesses in the recreation and personal
services industry (-37.6 per cent), as well as in transportation and storage (-22.4 per cent),
compared to the year before. Travel restrictions continued to weigh on the attractions, gaming and
air transport segments in these industries.
Revenues in administrative and support services also fell 22.5 per cent, a decline which Singstat
attributed mainly to firms that rent and lease machinery to the construction and air transport
industries.
On the other hand, turnover in the information and communications services industry grew 12.1
per cent, as business thrived for software publishers, including gaming firms.

Link to the story:
https://www.businesstimes.com.sg/government-economy/decline-in-services-revenue-in-singapore-eases-to-79-in-
q4

Global chip shortage should buoy Singapore factory output in H1 2021, watchers say
The global chip shortage helped to boost a low-base effect, taking Singapore's factory output to a
better-than-expected surge in the new year.
Industrial production rose by 8.6 per cent year on year in January, according to Economic
Development Board (EDB) figures released - more than twice the median forecast of 3.6 per cent
in a Bloomberg poll.

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              3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
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Weekly News Select
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Indeed, the electronics cluster, which expanded by 19.8 per cent, drove headline growth. It was
buoyed by semiconductors. The EDB noted that demand came from cloud services, automotive
and 5G markets.
Similarly, precision engineering, which produces semiconductor equipment and other machinery,
raised its output by 15.3 per cent.
The tech sector thus made up for an output drop in the volatile biomedical cluster, which shrank
by 8.6 per cent, as a different mix of active pharmaceutical ingredients weighed on pharmaceuticals
production.
Excluding biomedical output, overall manufacturing would have grown 12.1 per cent year on year
in January.

Links to the story:
https://www.businesstimes.com.sg/government-economy/global-chip-shortage-should-buoy-singapore-factory-
output-in-h1-2021-watchers-say
https://www.straitstimes.com/business/economy/singapore-factory-output-extends-rebound-rising-86

Singapore business loans in January up for 2nd month
Business loans in Singapore picked up for the second straight month in January as the economy
gradually recovers from Covid-19 this year.
Data from the Monetary Authority of Singapore showed that loans to businesses grew 0.9 per cent
month on month to S$422.73 billion in January.
Loans to the single-largest business lending segment - building and construction - inched up 0.3
per cent to S$150.40 billion to reverse a 0.6 per cent contraction in December.
Over the same period, loans to financial institutions grew 2.4 per cent to S$103.82 billion, while
loans to general commerce increased by 1.2 per cent to S$63.29 billion.
Loans to manufacturing rose 1 per cent to S$26.28 billion, while loans to the transport sector were
up 1.7 per cent to S$25.64 billion.
Loans to others bucked the trend, down 2.6 per cent month on month to S$30.49 billion in January.
Overall, loans through the domestic banking unit - which captures lending in all currencies, but
reflects mainly Singapore-dollar lending - climbed 0.7 per cent to S$683.59 billion in January,
compared with S$678.72 billion in December. This marks the third straight month of loan growth
in Singapore.

Link to the story:
https://www.businesstimes.com.sg/banking-finance/singapore-business-loans-in-january-up-for-2nd-month

Singapore PMI eases in Feb, but sentiment remains positive
Optimism appears to prevail among Singapore manufacturers, with the Purchasing Managers'
Index (PMI) in positive territory last month, although momentum appears to have tapered slightly.
February's PMI came in at 50.5, down 0.2 point from the previous month, according to the
Singapore Institute of Purchasing and Materials Management (SIPMM). This marks the eighth
straight month of expansion for the overall manufacturing sector.
The latest PMI reading was attributed to lower expansion rates in the indices of new orders, new
exports, factory output and a faster rate of supplier deliveries, SIPMM said.

Weekly News Select
                                                                                                    Mar 5, 2021 / Issue 9

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-pmi-eases-in-feb-but-sentiment-remains-
positive
https://www.straitstimes.com/business/economy/factory-activity-here-expands-for-8th-straight-month-but-at-slower-
pace

Singapore's unemployment rates continue to decline in January: MOM
Singapore’s overall and resident unemployment rates continued to fall in January, while citizen
unemployment held steady, according to latest figures released by the Ministry of Manpower
(MOM).
The overall unemployment rate edged down to 3.2 per cent, from 3.3 per cent in December, while
the resident unemployment rate was 4.3 per cent, down from 4.4 per cent.
The citizen unemployment rate was unchanged at 4.5 per cent, having earlier decreased from 4.7
per cent in November.

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapores-unemployment-rates-continue-to-decline-in-
january-mom
https://www.straitstimes.com/singapore/jobs/unemployment-rates-fall-again-in-jan-resident-employment-rebounds

ExxonMobil latest casualty in Big Oil layoffs as industry awaits recovery
Oil prices may be rebounding, but oil majors are still under pressure to restructure - as
ExxonMobil's latest layoffs announcement shows. Structural shifts, including a growing emphasis
on sustainability, require these companies to make changes to their operations. Nevertheless, some
industry watchers are optimistic that the worst of the job cuts are over.
ExxonMobil announced it would cut some 300 jobs at its Singapore affiliate, translating to about
7 per cent of its local workforce of more than 4,000. The Business Times understands that affected
employees will be informed from March 8.
An ExxonMobil spokesperson said the company will "provide support, including counselling and
outplacement services, to all our colleagues who will be impacted by this difficult decision".

Links to the story:
https://www.businesstimes.com.sg/energy-commodities/exxonmobil-latest-casualty-in-big-oil-layoffs-as-industry-
awaits-recovery
https://www.straitstimes.com/business/exxonmobil-to-cut-300-jobs-in-singapore-this-year

Goldman plans to swell to record size in Singapore with 100 tech hires
Goldman Sachs Group Inc plans to add about 100 staff in Singapore, taking its headcount in the
South-east Asian financial hub to a record, following a tumultuous period in the region.
All of the new positions will mainly be in technology, and the appointments will take the number
of employees in the city to more than 1,000, EG Morse, head of Goldman Sachs' regional
operations, said in an interview.

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About 60 per cent of existing staff work in support and technology roles. Part of the tech hiring
will support the bank's cash management operations, a new area of business for Goldman Sachs,
according to Mr Morse.
The firm also plans to hire more investment bankers as it faces its "strongest deal pipeline for many
years," he said. "We are looking to really grow our franchise here across all products," Mr Morse
noted. "It's a significant and major client hub from banking clients to asset managers."

Links to the story:
https://www.businesstimes.com.sg/banking-finance/goldman-plans-to-swell-to-record-size-in-singapore-with-100-
tech-hires
https://www.straitstimes.com/business/banking/goldman-to-expand-in-spore-with-100-new-hires

Hospitality
Fall in Singapore's January arrivals attributed to fresh flare-up of Covid-19
pandemic, seasonal factors
Singapore has recorded its first month-on-month decline in international arrivals since the Covid-
19 pandemic hammered global travel last year.
Some 23,150 visitors showed up in January, going by recent Singapore Tourism Board (STB) data.
In a setback to hopes of a travel recovery, the figure marks a 3.6 per cent dip from December's
24,010 arrivals.
The number of visitors had been on a gradual uptrend since the trough of 750 visitors last April.
Year on year, the number of visitors in January was down 98.6 per cent from the 1.69 million
guests in January 2020.

Link to the story:
https://www.businesstimes.com.sg/government-economy/fall-in-singapores-january-arrivals-attributed-to-fresh-
flare-up-of-covid-19

Sentosa to become carbon-neutral destination by 2030
Sentosa will be transformed into a carbon-neutral destination by 2030 as part of a long-term
sustainability plan.
Trade and Industry Minister Chan Chun Sing told Parliament yesterday that the initiative is in
keeping with efforts to capture opportunities in the green economy and to prepare for the rebound
in global tourism.
In the future, tourists would be more interested in sustainable travel options such as eco-friendly
hotels and attractions, he said, adding: "Through such efforts, we will strengthen Singapore as an
exemplary sustainable tou-rism destination."
The Sentosa Development Corporation (SDC) said it will work with technology partners to test-
bed sustainable technolo-gies and concepts and engage around 200 businesses on the island to
work towards its carbon-neutral ambitions.
Its key priorities include decarbonising energy systems, reducing food waste and introducing green
travel options.

Weekly News Select
Mar 5, 2021 / Issue 9

Link to the story:
https://www.straitstimes.com/singapore/politics/sentosa-to-become-carbon-neutral-destination-by-2030

Demand for hospitality courses rises as workers, companies eye recovery
The tourism industry has been hard-hit by Covid-19, with higher-than-average unemployment and
depressed wages in travel-related sectors such as accommodation services.
But that has not deterred Singapore residents from enrolling in training courses - although it has
been a divergent path between the polytechnics, which are seeing stable enrolment, and the private
education providers that rely on foreign students.
That's even as hospitality industry players take advantage of the downturn to retrain their workers
- a trend fuelled by fresh government funding.
The scheme covers up to 90 per cent of course fees for workers in hard-hit sectors such as food
and beverage services, retail and tourism.
There were about 155,000 training places under the ETSP as at end-2020. The bulk went to air
transport workers, who took up 59,000 spots, and tourism staff, who took up 44,000.

Link to the story:
https://www.businesstimes.com.sg/government-economy/demand-for-hospitality-courses-rises-as-workers-
companies-eye-recovery

Nearly 50 Mice events held in Singapore since last July
A business meeting by an American organisation was conducted in Singapore in January - one of
close to 50 events which the meetings, incentives, conventions and exhibitions (Mice) sector has
held since a framework to safely host such meetings here was announced in July last year.
The Professional Convention Management Association Convening Leaders event was attended by
about 3,000 online participants and 300 attendees at Marina Bay Sands.
Singapore Tourism Board (STB) chief executive Keith Tan said it was the first time in the event's
64-year history that it was held outside of North America.
Mr Tan also noted how Singapore's population is on track to be fully vaccinated by this year.
He said: "These signs give me optimism about the future of the Mice business.
"While virtual and digital tools will replace some of our more mundane interactions, nothing beats
the energy and excitement that comes from fruitful face-to-face meetings."

Link to the story:
https://www.straitstimes.com/singapore/consumer/nearly-50-mice-events-held-in-singapore-since-last-july

Industrial
Industrial site in Kampong Ampat being sold for S$41m
For decades until late 2011, the main Mazda showroom used to be at 1 Kampong Ampat.
The next change at the 67,000 sq ft site in MacPherson could well see a new light industrial
building come up there.

Weekly News Select
Mar 5, 2021 / Issue 9

The property is freehold and its owner, an entity controlled by Phng Hooi Chay - a member of the
family that held the Mazda distributorship in Singapore from 1964 to late-2011 - is selling a 41-
year leasehold interest for S$41 million to Singapore-incorporated Woodlands Smartisan Pte Ltd.
Buyer Woodlands Smartisan is understood to be part of Ding Zhou Group, a Singapore-based
organisation that has been around for more than a decade. Its key business is real estate
development and investment and it has a presence in Singapore, Cambodia and Australia.

Links to the story:
https://www.businesstimes.com.sg/real-estate/all-property-stakeholders-urged-to-avoid-stoking-sentiment
https://www.straitstimes.com/business/property/pandemic-forcing-relook-into-how-spore-is-built

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

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