SINGAPORE (Jan 14): Despite the ringing warnings of slower growth globally, observers whom The Edge Singapore have spoken to seem not too worried about how the local economy will perform this year. This is because, for one, the government is “pre-emptive” and “prepared” for the slowdown, reckons Joanne Goh, regional equity strategist at DBS Group Research. She notes that the government has many policy tools on hand to weather the storm ahead. “While managing the cyclical downturn, long-term goals of upgrading the economy, infrastructure building, SmartNation initiatives, healthcare reform [and] flexible foreign worker policies should see the economy facing the global downturn in its stride,” she writes in a Jan 7 note.

Jamus Lim, associate professor at the economics department of the ESSEC Business School Asia-Pacific, points out that Singapore’s policymakers have long prepped for the slowdown, by focusing efforts on innovation, knowledge industries and technological capacity. “Public policy has already shifted to boost growth along this front,” he tells The Edge Singapore.

In addition to these policies, Asia’s long-term fundamentals would continue to support growth in Singapore. Michael Tan, partner and managing director at Boston Consulting Group, highlights that the region’s economic growth potential and favourable demographics provide “strong tailwinds” for the long term.

To continue reading,

Sign in to access this Premium article.

Subscription entitlements:

Less than $9 per month
3 Simultaneous logins across all devices
Unlimited access to latest and premium articles
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)

Stay updated with Singapore corporate news stories for FREE

Follow our Telegram | Facebook