Weekly News Select Jul 16, 2021 / Issue 28

Top News for the Week • Singapore's 'nouveau riche' drum up luxury home demand in first half of 2021 • UOL's The Watergardens at Canberra launches this month on hopes of 'pent-up demand' • Four-bedroom unit at Shun Tak's Les Maisons Nassim sold for S$39m • 42 of 56 new cases linked to KTV cluster; no change to Covid-19 measures 'for now' • 34 more cases in growing KTV cluster; Covid-19 task force considering extra curbs • Singapore endorses G-20 tax reforms, paving way for overhaul of tax system: Lawrence Wong • Q2's GDP rebound hints at upgrade to official growth outlook in August • Ultra-rich still drawn to S'pore as wealth hub • Singapore retains spot as world's top maritime centre for eighth consecutive year

Residential Singapore's 'nouveau riche' drum up luxury home demand in first half of 2021 Demand for luxury and prime-area private housing picked up in the first half of this year, reflecting the gains from the nouveau riche in the finance, technology and pharmaceutical sectors, analysts said. Based on current numbers, some analysts expect overall sales volume for 2021 to cross the 10,000- mark. The Urban Redevelopment Authority (URA)’s monthly developer sales data released indicated that 1,529 new private homes were sold in the Core Central Region (CCR) in the first half of this year. This is the highest half-year sales for CCR homes recorded since 2010, when 2,506 units were transacted. Overall, developers in Singapore sold 872 new private homes in June, easing 2.6 per cent from May's 895, according to data from the URA. Analysts billed the sales figures as fairly healthy and resilient, given the absence of new launches. June's transactions, excluding ECs, were led by the Outside of Central Region (OCR) and Rest of Central Region (RCR), which accounted for 38.6 per cent and 37.7 per cent of new private home sales, respectively. The CCR made up 23.6 per cent of the sales. A total of 6,530 private homes were sold in the first six months of this year, which is the strongest first half since 2013, noted Mark Yip, chief executive officer of Huttons Asia. He said: “This puts the new-sales market on course to set a record of 10,000 to 12,000 units in 2021. We estimate prices to rise by as much as 8 per cent for the whole year.” “The Watergardens at Canberra and Pasir Ris 8 are the first two mass-market launches in 2021, and are widely expected to do very well on the back of the buoyant HDB resale market and attractive price points. Klimt Cairnhill, an ultra-luxury project in prime District 9, offers the well- heeled an opportunity to own a large floor plate unit, a rarity among new launches,” added Mr Yip.

Links to the story: https://www.businesstimes.com.sg/real-estate/singapores-nouveau-riche-drum-up-luxury-home-demand-in-first- half-of-2021 https://www.straitstimes.com/business/property/singapore-new-private-home-sales-dip-26-in-june-amid-viewing- restrictions

UOL's The Watergardens at Canberra launches this month on hopes of 'pent-up demand' UOL Group is banking on pent up demand for its upcoming project along Canberra Drive, the 448-unit The Watergardens at Canberra, with prices to start from S$1,380 per sq ft. A two bedroom-unit will start from below S$920,000, while a three-bedroom unit will be priced at below S$1.3 million and a four-bedroom unit from below S$1.8 million, the developer said on July 15. The 99-year leasehold project will launch for preview on July 17 while balloting for units will take place on July 31. The low-rise project comprises 16 five-storey buildings, offers a mix of two to four-bedroom units, ranging in size from 646 square feet (sq ft) to 1,528 sq ft. It is a joint venture between UOL, Singapore Land Group and Kheng Leong Company. The Watergardens at Canberra is slated for completion in the second quarter of 2026.

Link to the story: https://www.businesstimes.com.sg/real-estate/uols-the-watergardens-at-canberra-launches-this-month-on-hopes-of- pent-up-demand

Four-bedroom unit at Shun Tak's Les Maisons Nassim sold for S$39m A four-bedroom unit at Shun Tak Holdings' luxury 14-unit Les Maisons Nassim at Nassim Road was snapped up in early May for S$39 million, or S$5,930 psf. The 6,577-sq-ft unit, which appears to be the first transaction for the project, was bought by a buyer from overseas, The Business Times understands. In response to queries from BT, developer Shun Tak said that "a few units" have been reserved, and are pending finalisation of sales documentation. Located in the coveted Nassim enclave, the low-rise freehold project in district 10 sits on a 66,453 sq ft site and consists of three blocks, with 14 units in total. Eight are simplexes, four are duplexes and two are penthouses. It is expected to reach its temporary occupation permit (TOP) in H1 of 2023.

Link to the story: https://www.businesstimes.com.sg/real-estate/four-bedroom-unit-at-shun-taks-les-maisons-nassim-sold-for-s39m

Grab CEO Anthony Tan's family grabs Bin Tong Park good class bungalow for $40m The family of Grab co-founder and chief executive Anthony Tan has bought a freehold property in the Bin Tong Park Good Class Bungalow (GCB) area for $40 million. Mr Tan's wife, Chloe Tong, bought the home from a doctor, according to media reports. A title search names the seller as Lau Chee Chong.

The couple are expected to redevelop the Bin Tong Park property, which has a bungalow on site said to have been built in the 1990s.

Link to the story: https://www.straitstimes.com/business/property/grab-ceo-anthony-tans-family-grabs-bin-tong-park-good-class- bungalow-for-40m

Razer's Tan Min-Liang latest digital economy entrepreneur to scoop up a GCB Digital economy entrepreneurs continue to buy Good Class Bungalows (GCBs). Gaming company Razer co-founder and chief executive Tan Min-Liang is in the early stage of buying a property along Third Avenue for S$52.8 million. The price works out to S$1,706 per sq ft on the freehold land area of 30,954 sq ft. The property is a short distance from the Sixth Avenue MRT station on the Downtown Line. The transaction is understood to be at the option-grant stage. The property is being sold by three members of the Pang family behind Catalist-listed offshore marine services group Pacific Radiance, which is undergoing restructuring. The family's two-storey Third Avenue bungalow is said to have five bedrooms, a pool and a large car park space.

Link to the story: https://www.businesstimes.com.sg/real-estate/razers-tan-min-liang-latest-digital-economy-entrepreneur-to-scoop- up-a-gcb

Two bungalows in Cluny Road in early stage of being sold for S$91m The buzz in the Good Class Bungalow market continues. The Business Times understands that recent deals include two adjacent old freehold bungalows on Cluny Road opposite the Singapore Botanic Gardens for which options to purchase have been granted by their respective owners at about S$3,000 per sq ft on land area totalling about S$91 million. One bungalow, on land area of nearly 15,430 sq ft, is owned by lawyer Laurence Wee. Ronald Ooi of Kim Eng Securities fame is the owner of the other bungalow, on 15,075 sq ft of land. Word on the grapevine is that both bungalows are being bought by a family of Indonesian Chinese origin. One generally has to be a Singapore citizen to be allowed to buy a landed property in a GCB Area. Meanwhile, BT understands that another GCB for which an option was granted recently is along Second Avenue, a stone's throw from the Sixth Avenue MRT station on the Downtown Line. On the site is an old bungalow that is expected to be torn down for redevelopment. The price of S$30 million reflects S$2,045 psf on land area of 14,667 sq ft. This is a record psf price for GCB redevelopment land in the locale, BT understands. In Chatsworth Park, an old house on 22,462 sq ft of freehold land is changing hands for S$30 million. The price reflects S$1,336 psf, which is deemed lower than the current price levels.

Link to the story: https://www.businesstimes.com.sg/real-estate/two-bungalows-in-cluny-road-in-early-stage-of-being-sold-for-s91m

S'pore condo resale prices up by slower rate of 0.1% in June; volume falls 12.6% Resale prices for non-landed private homes grew at a slower pace in June as the number of transactions fell for the second straight month amid tighter Covid-19 measures. Condominium resale prices edged up 0.1 per cent month on month in June, easing from a 0.9 per cent increase in May, according to flash data from a real estate portal. Year on year, resale prices were up 6.8 per cent from June last year, with increases across all regions. Prices rose 6.2 per cent in the core central region or prime areas, while prices in the rest of central region or city fringes climbed 6.5 per cent. Prices in the outlying areas or outside central region rose 7.1 per cent. An estimated 1,510 units were resold last month, a 12.6 per cent drop from 1,727 units in May. Mr Mark Yip, chief executive of Huttons Asia, called the decline in transactions "surprising as the other segments of the market have seen a rebound in activities after the lifting of viewing restrictions". "We suspect it could be due to price resistance from buyers resulting in lower volume and flattish prices and lower capital gains in June," he said.

Links to the story: https://www.straitstimes.com/business/property/singapore-condo-resale-prices-up-by-slower-rate-of-01-in-june- volume-falls-126 https://www.businesstimes.com.sg/real-estate/singapore-condo-resale-volume-falls-13-in-june-prices-up-01-srx

Condo rents unchanged in June while HDB rents rise 1%; rental volumes increase Rents for private apartments were unchanged in June, while those for Housing Board flats edged up by 1 per cent from the previous month, according to flash data from a real estate portal. Rental volumes for both condominium units and HDB flats rose for a third consecutive month in June, after tighter Covid-19 curbs were eased in the later half of the month. HDB rents, on the other hand, rose for the 12th consecutive month, with a 1 per cent increase in June over May. Huttons Asia senior director of research Lee Sze Teck said the upward trajectory of the HDB rental market was likely supported by tenants who are waiting for the completion of their Build-To-Order flats, many of which have been delayed for up to one year. "There may have been some spillover demand from the condo market as some tenants look for cost-competitive alternatives," he added. Huttons Asia chief executive Mark Yip said condo rents remained flat in June as tenants are increasingly unwilling to pay higher rents in the private market. Mr Yip said: "Demand was robust probably due to tenants extending their lease while waiting for their new homes to be completed. Some owners could have cashed out of their home and are renting while waiting for an opportune time to re-enter the market."

Link to the story: https://www.straitstimes.com/business/property/condo-rents-unchanged-in-june-while-hdb-rents-rise-1-rental- volumes-increase

1 in 3 HDB resale flat buyers paid cash over valuation this year, up from 1 in 5 in 2020 Around one in three buyers of a Housing Board resale flat paid above market valuation this year, an increase from one in five last year. The increase came against the backdrop of steadily rising prices for such flats. The median cash over valuation (COV) paid by buyers remained at $0 each year, figures released by the Ministry of National Development (MND) as part of a written parliamentary reply last on July 5 showed. But the proportion of buyers who paid a COV increased, reflecting the current broad-based demand for housing, including in the private housing market, supported by the low interest rate environment, said MND. Among these, about six in 10 buyers paid a COV of not more than $20,000, while the remaining four paid more than $20,000, data from MND showed.

Link to the story: https://www.straitstimes.com/singapore/housing/1-in-3-hdb-resale-flat-buyers-paid-cash-over-valuation-this-year- jump-from-1-in-5

Commercial Singapore office landlords embrace flexibility and tech as they spruce up properties Owners of Grade A office properties in Singapore are injecting more flexibility, tech innovation and refurbishments into their offerings, to vie for tenants seeking higher-quality spaces and agile workplace leasing. Tenants are requesting flexibility due to hybrid working and evolving space requirements. Suntec Reit and Keppel Reit are among those that have allowed for greater flexibility in lease tenures, rent structures and lease terms for some tenants, their spokespeople separately told The Business Times (BT). More landlords, including CapitaLand and Keppel Reit, are also offering core-and-flex solutions. CapitaLand has partnered co-working operator The Work Project to provide flexible spaces in Capital Tower, Asia Square Tower 2, CapitaGreen, and the upcoming 51-storey CapitaSpring. The manager of OUE Commercial Reit (OUE C-Reit), which has co-working operators in most of its office properties, described flexible workspaces as complementary to traditional offices. "Having co-working operators as tenants within our portfolio has proven to be a competitive advantage as more tenants seek this flexibility," its spokesperson said. Meanwhile, City Developments Limited (CDL) told BT it has been taking a "nimble" approach to office lease renewal discussions, in tune with market conditions. "The emergence of work-from- home and hybrid working models during the pandemic continue to make the demand for office spaces more fluid," CDL said.

Links to the story: https://www.businesstimes.com.sg/real-estate/singapore-office-landlords-embrace-flexibility-and-tech-as-they- spruce-up-properties https://www.straitstimes.com/singapore/housing/bto-buyers-affected-by- delays-may-be-able-to-cancel-flat-booking-without-penalties

https://www.businesstimes.com.sg/real-estate/facelifts-for-office-buildings

Retail Restaurants rethink locations in CBD, Orchard Road as work from home becomes norm Old-school Cantonese eatery Swee Kee Eating House in the Central Business District (CBD) suffered monthly losses of about $30,000 for almost a year before it decided to shut its doors. The last straw was the phase two (heightened alert), when dining in was banned from May 16, said its third-generation owner Cedric Tang, 36. Daily yields were a mere $200 or so. Work-from-home once again becoming the default was the nail in the coffin for the family-run legacy restaurant which, like many restaurants in the area, relied heavily on business from the office crowd. Desperately trying to avoid the same fate, some food and beverage (F&B) establishments are rethinking locations in the CBD and Orchard Road district, observers told The Straits Times. Food delivery does not hold much promise for restaurants located in the CBD, due to the limited radius, said F&B players. Fine-dining restaurants have been hardest hit as the experience is different when the food is delivered to your home.

Link to the story: https://www.straitstimes.com/singapore/jobs/restaurants-rethink-locations-in-cbd-as-work-from-home-becomes- norm-0

Times Bookstores to close Marina Square branch on July 21 Bookstore chain Times will be closing its Marina Square branch on July 21, after its lease at the mall ends. It is the second Times store to close this year, after the outlet at Paragon mall shuttered in March. A Times spokesman said that both stores experienced weak sales and low foot traffic, adding: "This has been compounded by the onset of the Covid-19 pandemic since last year." Times has seven other outlets in Singapore: Times Jelita, Times Plaza Singapura, Times Waterway Point, Times Junior Jewel and three Kaboom stores at Changi Airport, which focus on toys, games and educational products. It also sells online at GoGuru.com.sg.

Link to the story: https://www.straitstimes.com/life/arts/times-bookstores-to-close-marina-square-branch-on-july-21

Government 42 of 56 new cases linked to KTV cluster; no change to Covid-19 measures 'for now' Of the 56 new local Covid-19 cases in Singapore on July 14, 42 are linked to the growing KTV cluster, with more expected to surface.

Asked whether the cluster would affect the relaxation of Covid-19 measures that kicked in on July 12, Health Minister Ong Ye Kung said that the multi-ministry taskforce had thought long and hard about it, but decided that given the high vaccination rate, "we are in a much more resilient position than before". "For now, we will keep the rules that have come into effect, and there will not be any reversal," he said in an online media doorstop, even as he urged the public to still exercise restraint and caution in socialising.

Links to the story: https://www.businesstimes.com.sg/government-economy/42-of-56-new-cases-linked-to-ktv-cluster-no-change-to- covid-19-measures-for-now https://www.straitstimes.com/singapore/health/ktv-covid-19-cluster-grows-to-54-after-1-more-case-linked-4-ktv- lounges-closed

34 more cases in growing KTV cluster; Covid-19 task force considering extra curbs Another 34 cases were added to the growing cluster linked to KTV karaoke lounges on July 15, as Singapore braces itself for what could be its biggest active cluster yet outside migrant worker dormitories. The cluster, which currently stands at 88, could have an impact far beyond just the nightlife industry, with knock-on effects on the wider food and beverage (F&B) scene, as well as the country's re-opening plans. Finance Minister Lawrence Wong, who co-chairs the multi-ministry task force (MTF) on Covid- 19 said that the MTF has also been deliberating on what additional measures to take, and will give an update soon.

Link to the story: https://www.straitstimes.com/singapore/34-more-cases-in-growing-ktv-cluster-covid-19-task-force-considering- extra-curbs

Singapore endorses G-20 tax reforms, paving way for overhaul of tax system: Lawrence Wong A landmark global agreement on new rules for international corporate tax has been endorsed at the Group of 20 (G-20) meeting in Italy. Besides the G-20, an overwhelming majority of the jurisdictions in the Inclusive Framework, including Singapore, have also endorsed the broad shape of the tax reforms, Singapore Finance Minister Lawrence Wong noted in a Facebook post over the weekend. "This paves the way for a major overhaul of the tax system, with the most significant changes in tax rules in over a century," said Mr Wong, who is attending the G-20 meetings in Venice. "There is still some work to be done, and several design parameters to be worked out. Singapore, like many others, looks forward to finalising these design elements by the next G-20 meeting in October."

Links to the story: https://www.businesstimes.com.sg/government-economy/singapore-endorses-g-20-tax-reforms-paving-way-for- overhaul-of-tax-system

https://www.straitstimes.com/world/europe/g-20-signs-off-on-tax-crackdown-warns-on-coronavirus-variants

Singapore to strengthen collaboration with China's Greater Bay Area: Ong Ye Kung Sino-Singapore collaboration will continue to strengthen, despite the disruptions that have been brought on by the ongoing Covid-19 pandemic, said Health Minister Ong Ye Kung at the FutureChina Global Forum. In his speech, he outlined several points for deeper bilateral collaboration as China further develops the Guangdong-Hong Kong-Macau Greater Bay Area (GBA) and the Yangtze River Delta regions. In the finance sector, investments and knowledge exchange will be key to ensuring sustainable development in both Singapore and the GBA. As climate change continues to threaten development, Singapore players who are more experienced in risk management solutions can tap these opportunities. On sustainable infrastructure development, Mr Ong noted that in Asia alone, about US$1.7 trillion in funding is needed each year until 2030.

Links to the story: https://www.businesstimes.com.sg/government-economy/singapore-to-strengthen-collaboration-with-chinas-greater- bay-area-ong-ye-kung-0 https://www.straitstimes.com/singapore/politics/build-on-solid-foundation-for-singapore-china-collaboration-in- greater-bay-area

Singapore's new trade-data platform aims to be game changer in digitalisation For years, several initiatives to digitalise supply chains have fallen flat due to difficulties in getting enough stakeholders to use digital platforms. Industry players often cite a lack of trust, cost considerations and insufficient volume for the failure of these platforms to take off. A new data exchange system, developed by the Singapore government in partnership with the private sector, aims to change this by offering a common data infrastructure and framework designed to be neutral and open. The Singapore Trade Data Exchange (SGTraDex) is expected to unlock over S$200 million in value annually when fully developed. The figure was derived from pilot projects that showed reductions in finance risks, and operational savings from efficiencies gained through digitalisation and asset optimisation. The initiative is yet another move by Singapore to position itself as a trusted hub for global trade and logistics, especially in a post-pandemic arena, where data is expected to flow seamlessly across borders and organisations. SGTraDex is expected to be fully rolled out in early 2022.

Links to the story: https://www.businesstimes.com.sg/government-economy/singapores-new-trade-data-platform-aims-to-be-game- changer-in-digitalisation https://www.straitstimes.com/singapore/politics/new-data-sharing-platform-for-shipping-industry-aims-to-reduce- inefficiency-heng

Economy Q2's GDP rebound hints at upgrade to official growth outlook in August An upgrade to Singapore's official growth outlook could come as early as next month, with the Republic having posted a stellar rebound in the second quarter, economists said. Gross domestic product (GDP) jumped 14.3 per cent year on year in Q2, benefiting from the low base last year, when the economy contracted a record 13.3 per cent due to the "circuit breaker" from April 7 to June 1, according to advance estimates by the Ministry of Trade and Industry (MTI). Sequentially though, GDP in Q2 contracted 2 per cent on a seasonally-adjusted basis, undoing the first quarter's gains of 3.1 per cent. In absolute terms, Q2's GDP is 0.9 per cent below its pre-pandemic level for the same period two years ago. The data places Singapore's economic growth in the first half of 2021 at 7.4 per cent, and economists believe this is paving the way for an official upgrade to the full-year growth forecast, currently at 4 to 6 per cent.

Links to the story: https://www.businesstimes.com.sg/government-economy/q2s-gdp-rebound-hints-at-upgrade-to-official-growth- outlook-in-august https://www.straitstimes.com/business/economy/singapore-economy-grows-143-in-q2-flash-data

Ultra-rich still drawn to S'pore as wealth hub The pandemic has failed to dent Singapore's status as a global wealth hub with well-off individuals continuing to put their riches here. Asset managers note that private banks like UBS, Citi and HSBC are expanding their wealth businesses despite the Covid-19 crisis. The Monetary Authority of Singapore (MAS) underlined the trend, telling The Straits Times: "We see continued growth of asset managers and family offices in Singapore, undeterred by the pandemic. "In addition, many private banks and asset managers have adjusted well to the new normal of digital working and have followed through with client acquisition, fundraising, new product development, investment and operational expansion plans through this crisis." A Credit Suisse report out last month ranked Singapore 11th globally in terms of millionaire density, with about 1,361 adults each with a net worth exceeding US$50 million in 2020. That gave the country's a millionaire density of about 5.5 per cent, the second highest in Asia after Hong Kong at 8.3 per cent. The millionaire population here is also expected to surge 62 per cent by 2025, the report said.

Link to the story: https://www.straitstimes.com/business/economy/ultra-rich-still-drawn-to-spore-as-wealth-hub

Singapore retains spot as world's top maritime centre for eighth consecutive year Singapore has maintained its lead in the Xinhua-Baltic International Shipping Centre Development (ISCD) Index as the world's top maritime centre for the eighth year running. Overall, 43 locations were rated. Singapore achieved a score of 97.2 points out of a maximum 100. The average score for a location was 58.8 points. London, in second position, had a score of 82.6 points. The index - published by Chinese news agency Xinhua and global maritime data provider the Baltic Exchange - is an independent ranking of the performance of 43 cities offering port and shipping business services. A release issued by the Baltic Exchange elaborated that Singapore has been rated as the top location in the 2021 ranking due to the size of its port, number of internationally-focused shipbrokers, financiers, lawyers and insurers based here and its supportive government policies.

Links to the story: https://www.businesstimes.com.sg/transport/singapore-retains-spot-as-worlds-top-maritime-centre-for-eighth- consecutive-year https://www.straitstimes.com/business/economy/singapore-retains-top-spot-as-international-shipping-centre-for-8th- consecutive

Retirees most affected by inflation in 2020, households with young kids saw largest drop in consumer prices Retiree households were the hardest hit by inflation among all the household groups last year, according to a Singapore Department of Statistics (SingStat) report released on July 13. Overall inflation for retiree households - those comprising only non-employed people aged 65 and above - rose marginally by 0.1 per cent last year. Higher food prices and accommodation costs more than offset lower costs of electricity and outpatient services for this group, said SingStat. Meanwhile, prices fell for all the other household groups - general households, those with young children, as well as the lowest 20 per cent, middle 60 per cent and highest 20 per cent income groups. Inflation ranged from minus 0.1 to minus 0.4 per cent for these groups.

Link to the story: https://www.straitstimes.com/business/economy/retirees-most-affected-by-inflation-last-year-households-with- young-kids-saw

Manpower Minister urges companies to grow their headcount with locals Manpower Minister Tan See Leng has urged employers to get on with hiring, as business confidence recovers and firms are adding to their local headcount. His call came on the news that the Jobs Growth Incentive (JGI) scheme supported the hiring of some 140,000 workers between December 2020 and February 2021. The figure is on top of the 130,000 locals hired in the three months prior. In his first Jobs Situation Report presentation since taking over the Manpower portfolio in May, Dr Tan described the JGI as "an extraordinary measure" but "not a permanent scheme".

He urged employers "not to delay their hiring plans in the hope that the scheme will be available indefinitely - but to take on the opportunities and to seize them now".

Links to the story: https://www.businesstimes.com.sg/government-economy/manpower-minister-urges-companies-to-grow-their- headcount-with-locals https://www.straitstimes.com/singapore/jobs/140000-more-locals-hired-under-jobs-growth-incentive-scheme-since- nov-2020

Industry 4.0 technologies key to advancing Singapore's manufacturing sector: Tan See Leng The successful adoption of the Industry 4.0 technologies, and the development of a higher skilled workforce, are key to advancing Singapore's goals of becoming the global innovation and talent hub for advanced manufacturing, said Manpower Minister Tan See Leng at a doorstop visit. To help companies achieve this, Dr Tan highlighted the few measures that have been put in place to encourage the adoption of Industry 4.0 technologies. These include the Industry 4.0 Human Capital Initiative (IHCI), which had gathered more than 90 companies' participation and identified more than 1,500 job roles to be redesigned. Launched by Workforce Singapore (WSG) and the Singapore Business Federation (SBF) in March last year, the initiative is targeted to help another 210 manufacturing companies, especially SMEs, to adopt the Industry 4.0 solutions to transform jobs and rescale the workforce by 2022. Earlier this year, WSG also launched the Professional Conversion Programme (PCP) for Professionals, Managers, Executives and Technicians (PMETs) and Operators, including mid- career switchers to undergo skills conversion and move into Industry 4.0 related job roles within the manufacturing sector.

Links to the story: https://www.businesstimes.com.sg/government-economy/industry-40-technologies-key-to-advancing-singapores- manufacturing-sector-tan-see https://www.straitstimes.com/singapore/jobs/more-manufacturing-firms-get-help-in-adopting-industry-40-tech- redesigning-jobs

Higher S Pass salary alone won't help local workers: economists Raising the minimum salary for S Pass holders is unlikely to benefit local workers, unless more action is taken, economists have told The Business Times. Still, watchers welcomed the proposal as a necessary step to wean Singapore employers off lower- cost foreign labour, in the shift towards a higher-skilled economy. The minimum salary for mid-skilled S Pass holders is already set to rise to S$2,500 in October, while the qualifying salary for foreign workers on higher-tier Employment Passes (EPs) will increase to S$4,500 in September. Economists cited potential concerns about locals' skills and productivity as barriers to higher resident wages, even when S Pass holders exit the workforce.

Link to the story: https://www.businesstimes.com.sg/government-economy/higher-s-pass-salary-alone-wont-help-local-workers- economists

Contact: Lee Sze Teck Head, Research (65) 6500 6510 [email protected]

This document has been prepared by Huttons Asia for general information only. Huttons Asia does not guarantee warrant or represent that the information contained in this document is correct. Any interested party should undertake their own enquiries as to the accuracy of the information. Huttons Asia excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damage arising directly or indirectly there-from. All rights reserved. *The Business Times (BT) Online and *The Straits Times (ST) Interactive are a subscribers-only website. As such, you will not be able to access the URL link to the articles unless you are registered as a subscriber.