The latest budget announced by the Singapore government highlights the weakness of the Singapore economy due to the coonavirus outbreak that might affect different segments of the market. As Singapore is a export market and therefore dependent on many of the trade balance factors that is surrounding the city state, there might be a large impact on the Singapore economy.The national budget is announced to keep track of the expenses by the government and also to allocate funds who are more in need to keep the sector afloat. With the budget announcing soon, we can look at more details with regards to Penrose floor plans which will be released soon to the public. More info can be found here.
The increased economic threat can be felt as China’s consumption might be dropping due to the fact that many are now home bounded and thus unable to spend. There is also the thinking that the economy is dropping and hence more should save at home. The budget will also be used for some more resources on healthcare to deal with the coronavirus that is spreading in the city state. Previously, Sars relief package was introduced which allow property tax rebates as well as a bridging loan programme for small and medium sized companies to help them deal with cash flows with regards to rental as well as employee salaries.
Aside from specific sectors such as hospitality and tourism that have already weakened as countries limit travel into the city state, it is expected that broader consequences to the economy will be more severe. He noted that a hit on China’s economy will affect the global economy, with Singapore surely impacted.