2016 could be tricky year for Singapore economy: DBS CEO

[krafty]

"This is the trickiest and most sensitive time in Singapore’s economic transformation that we’ll see for a long time," says Mr Piyush Gupta, adding that China continues to be a key market to watch.

SINGAPORE: 2016 could be a tricky year for Singapore as it continues to restructure its economy amid weakness in major trading partners like China, said DBS CEO Piyush Gupta, who was speaking at the DBS' Private Banking Outlook for the first half of 2016 on Wednesday (Jan 6).

He said: "Singapore, I think, will be particularly challenged because in addition to the overall macro global outlook, we’re trying to do two things. One, we’re trying to deflate parts of the economy, particularly the housing market, including consumer demand. Secondly, we’re trying to restructure the supply side through the labour crunch, land... This is not an easy transition for us. So I continue to think this is the trickiest and most sensitive time in Singapore’s economic transformation that we’ll see for a long time."

Mr Gupta said China continues to be a key market to watch. The country is Singapore's largest trading partner, and its slowing economy has put investors on edge, with data released on Monday causing a sharp drop in stock markets across the region.

Mr Gupta believes China is on the right path at the broad policy level, but added that investors must be aware of risks such as market volatility and some companies going bust.

He said: "There will be a lot of volatility and the policy response we see from China will often times appear heavy-handed, and you could fall on the wrong side of that. You have to be thoughtful. I think China will be okay from a macroeconomic standpoint but you could fall on the wrong side of some massive market volatility.

“The second big risk in China which I pointed (out) last year and is more apparent this year, is that you will see a lot of corporate default in China. That is part of them squeezing out excess capacity - they’re going to let companies go."

http://www.channelnewsasia.com/news/business/singapore/2016-could-be-tricky-year/2404378.html

 

[winnipegjets]

When an Ah Neh speaks, you can dismiss it.

What is he saying that is new? Nothing.

 

[shittypore]

When an Ah Neh speaks, you can dismiss it.

What is he saying that is new? Nothing.

Ah Neh himself tricky, if not how to command million dollar Salary like our Ministars.

 

[frenchbriefs]

why is ceo of our banks shitskin?are sinkies good for nothing?

 

[frenchbriefs]

Indian banks among Asia Pacific's worst-performing banks

Sri Lank and Bangladesh lead the list.

Sri Lankan and Bangladeshi banks led the rankings of 15 top-performing Asia-Pacific bank stocks in the three months ended Sept. 30, while the list of laggards was heavily dominated by Indian banks.

According to a report from SNL Financial, Colombo, Sri Lanka-based Seylan Bank Plc was the best-performing bank during the third quarter, with a total return of 35.26%. Also on the list of 15 top performers were four other Sri Lankan banks and three Bangladeshi companies.

In the past several years, Seylan Bank's asset quality has improved significantly. The bank's nonperforming loan ratio dropped to 10.9% as of June 30 from its peak of 29.7% in 2009, according to Fitch Ratings.

Fitch recently affirmed the bank's national long-term rating at A-(lka), citing a high likelihood of extraordinary state support for the company, based on its systemic importance.

Following Sri Lanka and Bangladesh, Indonesia contributed two entries to the list. Bandung, Indonesia-based PT Bank Nusantara Parahyangan Tbk ranked fourth with a total return of 26.35%.

The other Indonesian bank, Jakarta-based PT Bank Rakyat Indonesia Agroniaga Tbk, is relatively cheap, with a price-to-tangible book ratio of 89.49%.

The largest bank by market value among the top 15 performers is Beijing-based Bank of Beijing Co. Ltd., which has a market capitalization of US$13.9 billion. The stock is also among the most inexpensive on the list, currently trading at 98.11% of its tangible book value.

Apart from these banks, one bank from each of Japan, Thailand, Pakistan and Taiwan were included on the list.

Here's more from SNL Financial:

On the other end of the rankings, 12 of the 15 worst-performing Asia-Pacific banks were Indian. Mumbai-based IDBI Bank Ltd. led the pack with a negative total return of 44.27% during the three months ended Sept. 30. The bank reported a 65.4% year-over-year drop in net income for the quarter ended June 30. The bank also faced an inquiry by the Central Bureau of Investigation over 9.5 billion Indian rupees of loans to troubled Kingfisher Airlines.

IDBI Bank is the cheapest stock on either end of the rankings. The bank's shares trade at 42.3% of its tangible book value, although the stock is not alone in trading at a low valuation among Indian banks.

The price-to-tangible book ratios of shares of the 12 Indian banks, all owned by the government, range from 42.3% to 73.6%.

Mumbai-based Bank of India is the largest company by assets on the list with total assets of US$96.44 billion as of March 31.

The bank reported a 16.44% decline in net profit for the quarter ended June 30 from the year-ago quarter, while the situation at other state-owned Indian banks was similar as they struggled with deteriorating asset quality and profitability.

The National Stock Exchange of India's CNX PSU Bank index dropped 13.0% in the third quarter.

The three non-Indian banks on the list include Jakarta-based PT Bank of India Indonesia Tbk, a majority-owned subsidiary of Bank of India.

The other entries are Makati City, Philippines-based Philippine Bank of Communications and Caloocan, Philippines-based Philippine Business Bank Inc.

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[yahoo55]

COE for cars drop in the first bidding of 2016, will probably continue declining further later this year.

Cat A: S$45,002;

Cat B: $54,920;

Cat C: S$42,036;