SICC Post-Budget Seminar
21 February 2023 @ 3:00 pm - 5:00 pm
ANZ Institutional Office
You had to be there. We had a terrific post budget seminar on 21 February all thanks to our expert speakers Mr. Khoon Goh, Head of Asia Research for ANZ, Mr. Irvin Seah, Executive Director, Group Research for DBS Bank and Mr. Mark Addy, Tax Partner with KPMG.
Here is what we learned:
- First, the good news on the macro front. While uncertainty is ever present, a soft landing in the USA now looks more likely, Europe is no longer depressed and China’s reopening offers many opportunities for business growth. ASEAN, and especially Vietnam, is where the focus should be for Singapore’s businesses. ASEAN opportunities represent our collective economic future – something this Chamber has been saying for years.
- Now, for the not so good news here in Singapore. Inflation looks set to stay elevated for the next two years and manufacturing is in recession. However, the services sector remains resilient. Not so Singapore’s total fertility rate which remains dismal.
- All the measures to help tackle the cost of living issues are impressive in terms of their number and quantum. They are not fiscally sustainable, however, something DPM Wong made clear in his budget statement.
- Budget 2023 continues the targeted support for SMEs to grow capabilities and go global and the fair and progressive tax regime for which Singapore is well known.
- On BEPS Pillar 2 the implementation date of 1 Jan 2025 may move depending on what other jurisdictions do. The Singapore Brand ensures the future of foreign investment remains bright. The Singapore government has adapted its policy and taxation systems to promote economic transformation and agility.
- Current high rentals for residential and commercial property are concerning but there is little the Government can do to tame market forces. Our speakers did not believe a form of rent control would be even considered. As mortgage interest rates rise, landlords will look to increase rentals. This factor coupled with increased demand have moved rentals closer to those in Hong Kong than ever before.
The Chamber thanks our speakers for sharing their insights and knowledge and our host, Chamber member ANZ Bank as well as the audience for its participation.