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https://www.msn.com/en-sg/money/top...ctices-in-singapore/ar-BB15thTH?ocid=msedgdhp
The head of Gunvor, one of the world’s largest independent oil traders, has blamed loose lending practices in Singapore for a string of scandals that have rocked the commodity trading industry.
Torbjörn Törnqvist, chief executive of Switzerland-based Gunvor, said the fallout from a series of company collapses in the city state, including the spectacular implosion of Hin Leong Trading, was a concern as it risked tarnishing the reputation of the entire sector.
“The sheer size of the failures is surprising — it's a concern that the banks are taking so many hits from the sector,” Mr Törnqvist told the Financial Times. “But this is a Singapore problem. One needs to differentiate between the local companies and the international traders like us.”
Mr Törnqvist said small traders had received too much financing due to “a combination of competition and excess banking liquidity in the Singapore market” that he said had led to a “spiralling cycle of loosely structured credit facilities”.
The head of Gunvor, one of the world’s largest independent oil traders, has blamed loose lending practices in Singapore for a string of scandals that have rocked the commodity trading industry.
Torbjörn Törnqvist, chief executive of Switzerland-based Gunvor, said the fallout from a series of company collapses in the city state, including the spectacular implosion of Hin Leong Trading, was a concern as it risked tarnishing the reputation of the entire sector.
“The sheer size of the failures is surprising — it's a concern that the banks are taking so many hits from the sector,” Mr Törnqvist told the Financial Times. “But this is a Singapore problem. One needs to differentiate between the local companies and the international traders like us.”
Mr Törnqvist said small traders had received too much financing due to “a combination of competition and excess banking liquidity in the Singapore market” that he said had led to a “spiralling cycle of loosely structured credit facilities”.
