Singapore, World Highest External Debt Per Capital : Each Singaporean Owes S$580,000
#11
8-10-2019 9:12 PM
Oneworld said:
No risk? Instead of subject to property loan risk, now also dont know what and who is being loan to.


That means that much of the so-called gross debts reflected in the Wiki article are, in fact, deposits kept in Singapore banks by overseas banks and depositors.

This money is then recycled by the banks to lend to big overseas borrowers when they take up loans from Singapore-based lenders. Once that happens, it becomes part of Singapore's external assets.

After all these putting in and taking out.

Singapore still enjoyed an External Debt of US$ 1.766 trillion with no risk.
Why other countries cannot do it?
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#12
8-10-2019 9:23 PM
maipenrai said:
I don't know what they do with the money but then got people can deposit their money here is an indication of how much they trust our system.

Instead of subjected to internal property market, now subject to external factors, asset price, foreign exchange, foreign economic risk etc. Banks should be taking up more risk to get more return.
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#13
Laughing
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#14
Where are we?
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The money is stuck in a small circle of people.
Who are those people?
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#15
At the end of 2017, the IMF measured Singapore’s national debt to GDP ratio as 110.86%. This is the 13th highest in the world when expressed as a percentage of GDP.

However, no one seems to be worried about the country’s national debt. This is because, the headline figure reported by the IMF was gross national debt.

When economists examined Singapore’s net national debt, they discovered that the country owes nothing at all. The difference between gross national debt and net national debt is that the first just takes account of what the country has borrowed. The second deducts the cash, shares, debentures, and bonds that the country holds and deducts those values from the gross debt figure. As the Singaporean government’s assets outweigh its debts, the country has a net debt to GDP ratio of 0%

If the government of Singapore has so much money in the bank, why does it need to borrow money? That gross national debt figure wasn’t invented. Singapore has borrowed a lot of money and continues to do so.

The answer is that the government does not borrow to fund its running of the country. Instead, it borrows for specific infrastructure projects. Once those projects are completed, they result in assets, which have a value. So, all of the debts that the government carries are matched by assets of equal or greater value.

Thus, despite having that large gross debt, the country has a very good credit rating.



Read more at: https://commodity.com/debt-clock/singapore/.
[+] 1 user Likes Levin's post
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#16
8-10-2019 5:59 PM
sukhoi35 said:
Reported Singapore External Debts of US$ 1.766 Trillions.
Probably is making Singapore as "The World Highest Debt Per Capital."

Each Singaporean Owes S$ 580.00.

Huh ? I no owe anyone mony
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#17
I don't too, no debt lah.
My liquidity vs debt is very good

9-10-2019 8:20 AM
CanBeDone said:
Huh ? I no owe anyone mony
PRC ktv* hostess once told me "台湾人无情, 香港人无义,新加坡人无稚" dance dance
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#18
9-10-2019 8:20 AM
CanBeDone said:
Huh ? I no owe anyone mony

When the crunch comes, everyone will have to pay the price

9-10-2019 8:38 AM
Tangsen said:
I don't too, no debt lah.
My liquidity vs debt is very good

Any major financial crisis start squeezing liquidity would cause the govt to introduce series of sudden reforms and austerity measures that will led to impoverishment and loss of income and property.
Possibly, hundreds or thousands highly educated and professionals may leave the country too.
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#19
9-10-2019 8:16 AM
Levin said:
At the end of 2017, the IMF measured Singapore’s national debt to GDP ratio as 110.86%. This is the 13th highest in the world when expressed as a percentage of GDP.

However, no one seems to be worried about the country’s national debt. This is because, the headline figure reported by the IMF was gross national debt.

When economists examined Singapore’s net national debt, they discovered that the country owes nothing at all. The difference between gross national debt and net national debt is that the first just takes account of what the country has borrowed. The second deducts the cash, shares, debentures, and bonds that the country holds and deducts those values from the gross debt figure. As the Singaporean government’s assets outweigh its debts, the country has a net debt to GDP ratio of 0%

If the government of Singapore has so much money in the bank, why does it need to borrow money? That gross national debt figure wasn’t invented. Singapore has borrowed a lot of money and continues to do so.

The answer is that the government does not borrow to fund its running of the country. Instead, it borrows for specific infrastructure projects. Once those projects are completed, they result in assets, which have a value. So, all of the debts that the government carries are matched by assets of equal or greater value.

Thus, despite having that large gross debt, the country has a very good credit rating.

Read more at: https://commodity.com/debt-clock/singapore/.


It grew to 2 Trillion SGD in second quarter to 2019... this present Government really know how to spend

https://tradingeconomics.com/singapore/external-debt

[Image: singapore-external-debt.png?s=singaporee...2=20191231]
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#20
9-10-2019 8:16 AM
Levin said:
At the end of 2017, the IMF measured Singapore’s national debt to GDP ratio as 110.86%. This is the 13th highest in the world when expressed as a percentage of GDP.

If the government of Singapore has so much money in the bank, why does it need to borrow money? That gross national debt figure wasn’t invented. Singapore has borrowed a lot of money and continues to do so.

The answer is that the government does not borrow to fund its running of the country. Instead, it borrows for specific infrastructure projects. Once those projects are completed, they result in assets, which have a value. So, all of the debts that the government carries are matched by assets of equal or greater value.

Thus, despite having that large gross debt, the country has a very good credit rating.

Read more at: https://commodity.com/debt-clock/singapore/.

The fact is that both GIC and Temasek own substantial share holdings in various major foreign banks overseas in countries where Temasek linked GLCs are operating.

Allowing those o'seas branches either Temasek linked GLCs or subsidiaries easy access financing and borrowed heavily from those banks in foreign currencies to fund building of multi billions $$$ infrastructure projects, commercial buildings, telco, internet, electricity power station, solar and wind renewable energy, ports, oil rigs and other startup businesses etc etc.

Everyone goes on a borrowing spree and borrowing substantially

Whether they are fully guaranteed by SG govt or not, all these outstanding loans adding up in total are considered as Singapore Govt external debts I.e. Total Country External Debts.

As for "AAA" rating, Singapore pays yearly commission to both S&P and Moody for rating which no other OECD countries will do.
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