- July 27, 2020
- Posted by: avantconsulting
- Category: Singapore Economy
Banks in Singapore like to still strongly finance trade – The world economy is facing a slowdown from the reduction in activity across the major economic centre.
Singapore is also badly hit by the Covid-19 outbreak that saw the quarter on quarter GDP reduce by 40 over percent.
During the Covid period, we are still likely to see the Singaporean banks actively involved in the funding of trade and how trade is a major part of Singapore’s GDP, we will likely see a recovery over time.
The three local banks, Development Bank of Singapore (DBS), Overseas Chinese Banking Corporation (OCBC) and United Overseas Bank (UOB). This three banks which are highly trade reliant are likely to see recover with the stricter lockdown around the world stopping and economies jump starting again. A new import and export cycle will start to go on when communities resume buying.
China’s economy is still going strong and with the country producing much of the needed medical equipment and the low cost units mostly still within China, we are likely to see that the trade of China recover along with its internal consumption keeping the world second largest economy moving along.
Singapore also has a strong strategic location and political stability that gives it the extra edge over its closest peer, Hong Kong. Due to the instability in Hong Kong, there has also been a huge flow of capital moving into the Singaporean markets.
Singapore is also the gateway to South East Asia that is a booming region with one of the youngest and most populous countries in the world.
Thank you for your interest in reading our article on “Banks in Singapore like to still strongly finance trade”.
Avant Consulting is a leading SME Loan Brokerage company in Singapore. We assist customers with acquring loans and financing from Singapore based Banks and major Financial Institutions to assist with cash flow as well as business growth. We work with bankers and financiers to provide high quality services and bring in products that will help you finance your business and trading needs. We also work closely with those that need invoice financing services in Singapore.