Factors influencing level of investments in Singapore

Factors influencing level of investments in Singapore

Economics News by Econs Tutor Anthony Fok
Topic: Investments

Singapore firms expect business conditions to worsen from October till next March, though the gap between pessimists and optimists has been closing, according to official quarterly surveys on Friday. The difference was clearest in the services sector, where a net-weighted balance of 5 per cent of firms expect worse conditions – an improvement from 31 per cent in the previous quarterly survey, which covered expectations for July till December 2020. In manufacturing, a net-weighted balance of 3 per cent expect the operating environment to worsen in the next six months compared to the third quarter of 2020, improving from 7 per cent in the previous quarterly survey. This was with a weighted 18 per cent of firms seeing a better business outlook, while a weighted 21 per cent expect a worse one, according to the Singapore Economic Development Board.

Question for discussion during JC 2 economics tuition classes:

  1. Explain the various factors influencing level of investments in Singapore
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