Israeli army takes war against Hamas into Gaza

Israeli army takes war against Hamas into Gaza

GAZA CITY : Israeli tanks rolled into Gaza late Saturday and troops clashed with Hamas fighters in a step-up to an eight-day offensive that has killed hundreds of Palestinians and caused widespread destruction.

A burning fuel depot lit up the night sky soon after tanks and troops crossed the border and the air force carried out more raids in the biggest Israeli military operation since its 2006 war in Lebanon.

Dozens of Hamas fighters were killed in the initial battles, an Israeli military spokesman said. The Islamist group said on its television station that Israeli soldiers had also been killed and vowed to turned Gaza in a “cemetery” for the invading force.

The claims could not be immediately confirmed.

The Israeli government called up thousands of reservists to join the ground offensive aimed at ending rocket and mortar attacks by Hamas and its militant allies from the enclave sandwiched between Israel and Egypt.

Israeli tanks were reported to be in battles around Gaza City, and the northern towns of Beit Lahiya and Jabaliya. Hamas forces fired back with mortars and rockets, witnesses said.

Gaza emergency services said one child was killed and 11 other children were wounded in one tank attack.

“Large numbers of forces are taking part in this stage of the operation including infantry, tanks, engineering forces, artillery and intelligence,” a military spokesman said.

The military said a 20-nautical-mile naval blockade would be enforced along the coast.

In a statement, Prime Minister Ehud Olmert’s office said the army would take over sites in Gaza used to fired rockets at Israel and vowed to deal a “hard blow” at the Islamists.

“It will not be easy or short but we are determined,” Israeli Defence Minister Ehud Barak said.

Hamas remained defiant, vowing the Gaza would become a “cemetery” for the Israeli army that would pay a “high price” for its invasion.

“Your incursion into Gaza will not be a walk in the park and Gaza will become your cemetery God willing,” Hamas spokesman Ismail Radwan said reading a statement on Hamas television.

“You will not enjoy security as long as our people don’t have any,” he said, addressing Israelis.

Thousands of Israeli troops and tanks had encircled Gaza and artillery guns fired shells ahead of the offensive.

Militant rocket fire from Gaza into Israel on Saturday left three people slightly wounded. Six were fired after the start of the land offensive, the Israeli police said.

Hours before the ground offensive, in one of the deadliest strikes of the campaign, an Israeli jet hit a mosque in the northern town of Jabaliya, killing at least 16 people among more than 200 people at prayer, medics and witnesses said.

Four children — two brothers aged 10 and 12 and two cousins under 16 — were among the dead at the Ibrahim al-Maqadna mosque, medics said. Dozens of wounded were dragged from the rubble.

Two Hamas military commanders were also killed in air strikes earlier on Saturday.

Israel has staged nearly 800 air raids against Hamas leaders and targets since “Operation Cast Lead” began on December 27.

Gaza medics say more than 463 Palestinians have been killed — including 75 children — and 2,310 wounded.

Four people have been killed in Israel by more than 500 rockets fired from Gaza over the same period.

The United Nations Security Council announced it was to hold a special meeting on the situation at 0000 GMT.

Washington has given its key Middle East ally free rein to launch a ground operation.

In his weekly radio address, President George W. Bush called on Hamas “to turn away from terror” and rejected calls for a unilateral ceasefire that he said would allow the Islamists to continue hitting Israel with rockets.

US president-elect Barack Obama made no immediate comment. Many international leaders condemned the offensive however.

Palestinian president Mahmud Abbas said the offensive will have “grave consequences” for the Middle East, a senior aide said.

“President Abbas vigorously condemns this aggression and calls for an urgent meeting of the UN Security Council to put an end to it,” Saeb Erakat told AFP.

Abbas was to meet French President Nicolas Sarkozy at his Ramallah headquarters on Monday before flying to the Security Council to make a plea for a ceasefire.

Israel has kept Gaza virtually sealed off since Hamas seized power there in June 2007 from Fatah forces loyal to Abbas.

French Foreign Minister Bernard Kouchner called the ground invasion a “dangerous military escalation” which had damaged Middle East peace efforts.

“France condemns the Israeli ground offensive against Gaza just as it condemns the continuing firing of rockets,” Kouchner said in a statement.

British Prime Minister Gordon Brown urged Olmert to halt the military action, Brown’s office said.

“The prime minister has spoken again today to Prime Minister Olmert, and is pressing hard for an immediate ceasefire,” a Downing Street statement said.

Demonstrations against the Israeli action were staged around the world.

Up to 100,000 Arab-Israelis attended a rally in Fakhnin, north Israel, and tens of thousands joined demonstrations in London, Paris — where police fought demonstrators — and other European cities.

Concern mounted over how the ground operation would affect the humanitarian situation in Gaza.

Ahead of the invasion, UN agencies have said there is a “critical” emergency in Gaza, where 80 percent of the 1.5 million population relies on international food aid.

Jordan’s King Abdullah II told Quartet Middle East peace envoy Tony Blair that the world’s “silence” on the humanitarian crisis in Gaza was unacceptable.

- AFP/ls/ir

Source : Channel NewsAsia - 04 Jan 2009

Singapore Property - Buy, Sell, Rent, Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

Obama: Act quickly on recovery plan -Washington

Obama: Act quickly on recovery plan -Washington

He presses lawmakers for swift action, pointing to more challenges ahead

Washington - President-elect Barack Obama has said the struggling United States economy could face more challenges, and urged lawmakers to act quickly on recovery proposals even as some Republicans expressed concerns about plans for a huge stimulus package.
‘As we mark the beginning of a new year, we also know that America faces great and growing challenges - challenges that threaten our nation’s economy and our dreams for the future,’ Mr Obama said in his weekly radio and Internet address.

Both Mr Obama and Vice-President-elect Joe Biden will huddle with Democratic and Republican congressional leaders tomorrow to try to advance a huge economic stimulus Bill, which may include a ‘buy American’ provision.

Mr Obama said economists agreed that if the US does not act ’swiftly and boldly, we could see a much deeper economic downturn that could lead to double-digit unemployment and the American dream slipping further and further out of reach’.

Mr Obama gave few details of the plan, which has yet to be released by his transition team but has been estimated to cost between US$675 billion to US$775 billion (S$987 billion to S$1.1 trillion).

He said its No. 1 priority was to create three million jobs - more than 80 per cent of them in the private sector.

Mr Obama said the recovery plan should include strategic investments that would serve as a ‘down payment’ on America’s long-term economic future. In addition, as part of the plan, the government must demand strict accountability and oversight, and also must ensure the deficit be reduced as the economy recovers.

Democrats, who have a majority in Congress, want the economic stimulus to include tax relief for the middle class and spending on schools, roads and other infrastructure.

States, which are increasingly having difficulties paying health-care costs for the poor, would also get federal money.

One element of the plan could be a ‘buy American’ provision benefiting the US industry.

‘We are reviewing the buy American proposal and we are committed to a plan that will save or create three million jobs, including jobs in manufacturing,’ said Ms Jen Psaki, a spokesman for Mr Obama’s transition team.

The stimulus package must pass Congress, and Representative Chris Van Hollen, the Maryland Democrat who is a liaison between Congress and Mr Obama’s transition team, said ‘we obviously want to focus our investments in areas where American industry will benefit’.

The New York Times has reported that US steelmakers are counting on government spending to make up for sagging demand from automakers and other industries.

But Republicans on Capitol Hill have been warning that the economic recovery package should not spend too much on government-funded projects and should not be rushed through Congress without adequate review.

Democrats had hoped to deliver the plan to Mr Obama when he takes office on Jan 20, or shortly thereafter.

U.S. stocks advance on first day of trading
New York - United States stocks started the new year higher on Friday as investors looked beyond another piece of grim economic data and hoped that an economic recovery is on the horizon.
Analysts said investors are focusing on stocks such as industrials that often lead the eventual recovery, which has helped push the Nasdaq and broad S&P 500 indexes to their highest levels since mid-November.

‘The market has been taking bad news in stride, that is a very positive sign,’ said Mr Tim Ghriskey, chief investment officer of Solaris Asset Management in New York.

The Dow Jones Industrial Average was up 189.72 points, or 2.16 per cent, to 8,966.11. The Standard & Poor’s 500 Index gained 20.86 points, or 2.31 per cent, to 924.11. The Nasdaq Composite Index added 39.52 points, or 2.51 per cent, to 1,616.55.

All three key stock indices shot up at least six per cent in the week to Friday as investors banked on President-elect Barack Obama to push ahead with a mammoth plan to stimulate growth in the world’s largest economy.

Volume was light after the New Year’s holiday and ahead of the weekend, which analysts cautioned could exacerbate swings in the market.

The markets briefly turned negative after the Institute for Supply Management said US factory activity fell to a 28-year low in December, showing a more severe contraction than economists had expected.

Energy stocks gained with oil touching US$46 as the conflict in Gaza raised concern that Middle East supplies would be cut and that Russia would cut natural-gas shipments to Ukraine.

Big-cap tech stocks, including Apple and Microsoft Corp, which are seen as better positioned to withstand a weak economy due to large cash reserves, helped lift the Nasdaq.

Reuters, AFP

Reuters, Bloomberg

Source : Straits Times - 04 Jan 2009

Singapore Property - Buy, Sell, Rent, Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

Singapore HDB home loan defaults on the rise

Singapore HDB home loan defaults on the rise

Number of cases has jumped by 8,000 since year-end 2003, making up 8% of all such loans

By Jessica Cheam

HDB flat prices enjoyed a spectacular bull run in 2007, gaining 17.4per cent - the strongest growth in a decade. — ST FILE PHOTO: TAN SUAN ANN

The number of home buyers defaulting on their home loans for three months or more has risen significantly over the last five years.
Figures obtained by The Sunday Times from the Housing Board show that the number of these defaulters has jumped by about 8,000 since the end of 2003.

Also, such defaults have climbed from 5per cent to 8per cent of all HDB home loans.

The figures underscore what seems to be a growing problem. From one in 20 borrowers being in arrears, the proportion is now one in 12.

Parliament was told recently that 33,000 out of 420,000 HDB home loan borrowers were in arrears for more than three months.

When asked for historical data, HDB said that at the end of 2003, 25,000 flat owners out of the 517,300 households with HDB loans were in similar arrears.

At the end of 2002, the number was even lower - at 4per cent, or about 21,800 of the 540,000 households.

On the decreasing number of total HDB loans, market analysts say this is likely due to new rules that took effect on Jan1, 2003, which stated that those upgrading their flats for a second time, as well as all downgraders, must borrow from banks instead of the Housing Board.

HDB loans - which offer a concessionary rate - are available only for first-time buyers or first-time upgraders.

Analysts told The Sunday Times that the increase in defaulters was likely due to the fact that HDB flat prices were ‘very much lower in 2003′ than they were last year.

HDB flat prices have risen steadily over the last four years during Singapore’s property boom to a ‘new peak’, said ERA Asia-Pacific associate director Eugene Lim.

‘Incomes were also on the rise. During good times, it is possible that some home buyers overstretched in a rising market and may now be in a fix as the economy sinks into recession,’ he said.

HDB flat prices enjoyed a spectacular bull run with a 17.4per cent gain in 2007, the strongest growth in a decade.

Latest estimates last Friday showed that while private property prices fell 4.3per cent last year, HDB flat prices rose a further 13.9per cent.

Property agency PropNex’s chief executive officer, Mr Mohamed Ismail, said an increase in affluence and higher costs of living over the last five years could have contributed to the higher incidence of people being in arrears.

Finally, HDB rarely repossesses defaulters’ flats, leaving their numbers to accumulate in the system. Some home owners in arrears can take up to a few years to pay off debts.

Still, the number of HDB home owners in trouble is clearly on the rise.

Members of Parliament interviewed confirmed the trend, noting a rise in residents seeking help for home loan problems at their Meet-the- People sessions.

Dr Teo Ho Pin, Mayor of the North West District, MP for Pasir Ris-Punggol GRC Teo Ser Luck and Aljunied GRC MP Cynthia Phua are among those who have noticed the trend.

In many cases, said Dr Teo, home owners were retrenched or had to switch to lower-paying jobs and could not maintain their loan payments.

‘A lot of them are coming to me for help to find them jobs,’ added Mr Teo.

The MPs pointed out HDB’s various assistance measures, such as allowing for the restructuring of loans, postponing payments, and even helping borrowers to downgrade to smaller flats.

The HDB also said it has several comprehensive measures to help such cases.

Banks which give market-rate loans for HDB flat purchases say they have not yet seen a significant increase in the number of defaulters.

Maybank said there had been a slight increase ‘but nothing at an alarming rate’.

OCBC and DBS said there had been no significant increase in arrears.

Mortgage consultant Dennis Ng from portal www.HousingLoanSG.com said banks generally charge defaulting home owners higher interest, but will, on a case by case basis, help those facing difficulties to restructure their home loans.

Repossession of their flats is a last resort.

Looking ahead as the recession deepens, MPs said more HDB borrowers will probably have problems paying off their mortgages.

Madam Phua said the limited supply of smaller flat types could become a problem that needs fixing quickly as families start to downgrade.

The HDB is addressing this by beefing up the supply of two- to three-room flats to around 4,000 over the next two years for lower-income families and those home owners who need to downgrade.

These, however, will be ready only in two to three years. ‘We’ll have to explore other options in helping such default cases in the coming year,’ said Madam Phua.

Helping Home Owners

Two years ago, renovation contractor Ting Kah Ping was up to his neck in debt, owing the Housing Board more than $80,000 for his home loan. He was unable to meet the instalments.
Today, the father of four owns a flat without an outstanding loan - and he said it is thanks to the HDB.

Mr Ting, 54, and his wife bought a four-room flat in Tampines in 1998 for $112,800 but started having problems paying the instalments about five years ago.

Work as a renovation contractor was inconsistent and he was unable to service his loans regularly. He approached the HDB for help and it agreed to let him make smaller payments and, for a time, postpone his payments for half a year.

Still, despite his wife taking on part-time jobs while looking after their four children, now aged 11 to 21, they had difficulty paying their debts.

The HDB advised the couple to downgrade their flat and, earlier this year, they sold their home for $303,000. With the money, he bought a three-room home nearby and fully paid up his debt to the HDB.

‘I’m just glad the HDB did not force me to give up my flat or take it back. I think banks wouldn’t have had as much patience,’ Mr Ting said in Mandarin.

He is one of many home owners whom the HDB hopes to help with its various initiatives.

The board will consider allowing them to pay reduced loan instalments on a temporary basis and work out a solution to their financial situation.

Owners can also sublet a room to generate income, or include working family members as joint owners to help pay for the flat.

The board may also consider providing an additional HDB loan to help owners downgrade to a smaller, more affordable unit.

Source : Straits Times - 04 Jan 2009

Singapore Property - Buy, Sell, Rent, Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com