AGAIN... inflation, biz close shop, we suffer

[Singer]

July 22, 2008

Rising cost of living worries US firms based here

 

Cost of housing and inflation key concerns among senior executives

 

By Nicholas Fang

 

SINGAPORE'S rising cost of living continues to be a major concern for American companies doing business here, according to a new survey.

 

The American Chamber of Commerce in Singapore (AmCham) conducted its Business Outlook Survey for the year last month and it showed that a growing number of US firms are concerned about inflation.

 

Respondents to the survey, which is into its seventh year, comprised AmCham members who are senior executives working with a firm held by, or with, an American interest.

 

According to the survey, which received responses from 130 AmCham members here and 535 throughout the region, 74 per cent of the respondents here said they are dissatisfied with office lease costs.

 

This compares with 45 per cent last year, said AmCham acting executive director Andrew Benbow yesterday.

 

'Costs of living and housing are major concerns for most respondents in Singapore,' he said at a press conference.

 

'Not a single respondent expects the cost of living...to decrease this year, whereas 69 per cent expect housing costs to increase while 95 per cent expect the cost of living to increase.'

 

More people expect the world economy to fare worse this year.

Read the full story in Wednesday's edition of The Straits Times

 

http://www.straitstimes.com/Latest%2BNews/...14.html?vgnmr=1

 

[/color]

FT comes, FT goes

 

Inflation up, economy kaboom

 

Biz close shop, local suffers

 

These peeps at least are decent enough to admit that inflation has taken place and its affecting them, albiet all forms of assistance extended to their biz, yet our million dollar gahment evades this subject, how we, the peasant citizen suffer...

Edited July 23, 2008 by Singer

[Chisiang]

lol! the reason behind this is that peasant wants more pay then wanna go for 1 year paternity leave

[Jermy]

perhaps it'll be a good thing that our FTs raise this up & then start to pack up & leave our little island country

 

Then maybe our garment will take notice & do something to curb inflation in order to retain these 'talents' & persuade them from leaving

[Typhoonz]

I'm sure that our gahmen knows about how the peasants are suffering... Just whether they want to do anything or not... So even if they take action now that companies are leaving, they are just reacting and not becoming pro-active... And they are doing it for the companies, not for the peasants like you and me...

[Nkps]

Free liao ah?

[Typhoonz]

Going to log off liao... Tow kay lai liao...

[Kwchan]

Give FT housing subsidy and rebate? Else singapore will be in trouble if these FT pack up and go back

[Try_conti]

of course inflation lah ... their USD drop like birdsh1t. When they report their figures back to HQ, have to convert from SGD to USD mah. With that kind of exchange rate, sure ....

[Singer]

true....

 

but point driven is a little, if not the same, help ought to be extended to locals to tide tru this period - like how gahment pamper FTs

[Singer]

the situation on the land of opportunities is a given case bro

 

sad thing, our gahment tries to siam this matter

[Scenic98]

actually sometimes I wonder if the FTs are also contributors to rising inflation. To them, raising ERP is nothing...company pay. Food prices...cheap...compared to back home. at Orchard Towers...cheap.

 

Then all of sudden, a whole plane load of these FTs from ang mo land come in. International schools start asking for hundreds of thousands of booking fee. Rental start to go up.

 

But...our MIW machiam SPG..loves these FTs so much..if more and more of them go home, don;t be surprise for more tax incentives to the FTs companies. You be surprise....to learn shipping companies set up here in S'pore attract 0% tax as long as they flag some of their vsls in Singapore.

[Singer]

the truth is out there...

 

 

 

 

July 23, 2008

S'pore June inflation holds at 26-year high of 7.5% Lower car prices halted climb to new record level By Bryan Lee, Economics Correspondent

LOWER car prices put the brakes on inflation last month, which clocked in at a lower-than-expected 7.5 per cent pace.

 

Food, fuel and road use costs were widely expected to drive the consumer price index (CPI) to its biggest jump this year but the final figure merely matched the 26-year highs registered in the prior two months.

 

While headline inflation numbers should start to fall from this month, economists warned that this is largely a technical effect and that rising living and business costs remain a key threat to the economy.

 

'Although inflation has now peaked, barring a renewed spike in commodity prices, the government's 5 to 6 per cent year average inflation projection for 2008 remains under considerable threat and we continue to look for a 6.5 per cent outturn', said HSBC economist Robert Prior-Wandesforde.

 

From the previous month, the consumer price index rose 0.4 per cent after seasonal adjustments, the Department of Statistics said in a statement on Wednesday.

 

On a three-month moving average, the CPI rose by 0.4 per cent in June - slightly lower than May.

 

Compared to a year ago, inflation was 7.5 per cent due higher primarily to higher costs of food, housing and transport and communication.

 

Food prices rose by 9.2 per cent as a result of dearer cooked food, rice & other cereals, milk products, cooking oils, seafood, fresh poultry and vegetables.

 

Housing costs increased by 13.4 per cent because of higher accommodation costs and electricity tariffs.

 

With costlier petrol and higher taxi fares more than offsetting lower car prices and road tax, costs of transport and communication rose by 5.1 per cent.

 

Healthcare costs rose by 5.8 per cent because of increases in hospitalisation fees, charges for medical consultation and specialist services, and more expensive Chinese herbs.

 

Excluding accommodation costs, the CPI rose by 6.5 per cent in June against a year ago.

The consumer price index for the first half year was 7.1 per cent higher compared with the same period last year.

 

Compared to May, housing costs fell by 1.7 per cent due mainly to lower service and conservancy charges - thanks to the rebates given out by the Government in June.

 

Prices of clothing and footwear dropped by 3.2 per cent because of cheaper ready-made garments and footwear during the Great Singapore Sale.

 

The costs of transport and communication also fell by 0.2 per cent due mainly to lower car prices.

 

In contrast, food prices rose by 0.6 per cent over May because of dearer cooked food, rice and fresh fish. Recreational costs also went up by 0.3 per cent because of more expensive holiday travel.

 

Excluding accommodation costs, the CPI edged up by 0.1 per cent over May 2008.

 

 

http://www.straitstimes.com/Latest%2BNews/...ory_260524.html

 

 

http://www.channelnewsasia.com/stories/sin.../362177/1/.html

[Try_conti]

I'm not at all surprise.

 

SG will do whatever it takes to be #1, that's the culture and theme in the education system, isn't it ? Everything has to be #1, regardless of sacrifices ......

 

Everything else is collateral damage ....

[Route88]

I tot seagate just make new factory? So fast wanna close shop

[Scenic98]

but today how come certain 2nd tier MIW still say inflation will moderate 2nd half of year? Obviously he was reading off old reports...neber get update from scholars before anyhow say things.

[Solar]

foreigners come in will need to spend $$$ on house, lodging, furniture and so on. these constitute demand.. with demand, economy remain vibrant, and yes, possibly a contributing factor to inflation..

[Singer]

honest mistake...