The economic times have been dire. Even the so called super powers are living on borrowed times. Debt and efforts to service them has been the major headache of most of these countries. The co-corporate world is not finding it easy as well. Tell me then, with all these rolled together, how can a new launch Condo be your priority?
Government debt is growing without showing any signs that things will turn around for good. In fact, this debt is on annual compound increment. The growth of GDP is way below debt growth. This indeed is confusing times in the world economy and the Singaporean real estate market is in a deafening lull; Condo for sale is in real time comatose.
What about the finance sector? The situation is only a bit fair on that sector of the economy. The global economic meltdown is not helping matters. Debt servicing is killing businesses both in the government, corporate and the private set-ups in the world. Are you to look up to them to refinance you in times like this?
When there is debt, high debt for that matter, the growth of GDP will be hampered. The available resources are used to service these debts that keep on increasing with every incoming year. With that scenario, there will be no room for any meaningful development in every sector of the economy; investments in real estate such for example in Kingsford water bay are hampered.
The pre-occupation the world over is debt servicing. Corporate debt is also increasing at a rate that is crippling economic growth. The corporate world for now is thinking about survival rather than anything that has to do with expansion. The heat is that intense.
The equation of things is so lopsided that the supper rich are not compelled to pay the commensurate tax that would have helped the lot of the GDP. They pay ridiculously low tax far below their net worth. Now let us face it realistically, can any investment in thrive under such conditions?
What about the so called super powers of the world? Everything seems tilted to favor a single currency- the American dollar; every other currencies of the world have been devalued and the American dollar now has an undue advantage over the currency of other nations put together.
The U.S dollar for a very long time until the advent of 2013 is responsible for 60% of the whole wide world’s foreign reserves. The dollar has so strong a vice grip over other currencies that people do say: it is the U.S dollar versus the rest.
How will the above scenario not affect you negatively? Do you still have the means to participate in the gloomy state of events? Debt financing is taking a heavy toll.
There is no running away from the truth of the matter, the government is handicapped; the banks will be of no help. You want to know the way out? Re-adjust yourself to a low and stable rate.