HDB’s sale of balance flats nearly nine times oversubscribed

HDB’s sale of balance flats nearly nine times oversubscribed

By Joanne Chan

SINGAPORE: The Housing & Development Board (HDB) has seen strong demand for the 2,100 flats being offered under its “Sale of Balance Flats” exercise.

The HDB received more than 19,000 applications, just a day before the exercise closes, which means that the flats are nearly nine times oversubscribed.

Demand was high for the flats - ranging from studio apartments to executive flats - in estates such as Bedok, Bukit Batok, Choa Chu Kang, Bukit Panjang and Woodlands.

Balance flats are those unsold in previous Build-to-Order exercises, surplus flats under the Selective En bloc Redevelopment Scheme, as well as repurchased flats.

These flats are either completed or nearing completion - so owners do not have to wait long before moving in.

The exercise, which is the largest to date, replaces the existing balloting exercise, quarterly sales and half-yearly sales exercises.

The HDB said that the rationale behind this move is to simplify the flat application process, and to provide buyers with a wider choice of flats across a range of locations in one exercise.

- CNA/sc

Source : Channel NewsAsia - 14 October 2009

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Core investment principles still hold

Core investment principles still hold

What investors should do in these uncertain times is to adopt a disciplined, consistent approach that is well-suited to their personal circumstances

By THOMAS KAEGI

THE global investment climate has improved since the collapse of the credit markets in 2008 with the evident green shoots of recovery pushing global asset markets higher. However, risk aversion amongst the investor community remains and capital preservation is still paramount. The severity of the financial crisis has challenged long-held investment principles such as the relationship between risk and return and the value of portfolio diversification.

While Warren Buffett (above) adheres to a strict value-driven ‘buy and hold’ strategy, George Soros takes large speculative positions and tries to benefit from short-term trading. What both have in common is an acute awareness of their strengths and weaknesses.
Higher-risk assets that were intended to compensate investors adequately over longer periods of time saw any outperformance that they had accrued over the preceding decade wiped out. Diversification across different asset classes, countries, sectors and currencies was supposed to offer protection against adverse market moves but instead, every asset class, except cash and government bonds, slumped during the crisis.

But this once-in-a-lifetime shock does not invalidate the universal ideas that have guided the investment world since the Modern Portfolio Theory was developed nearly 60 years ago. What the crisis has revealed is some investors lost sight of their leverage levels and shifted a significant amount of their risk exposure to assets that did not match their financial goals. As such, instead of discarding these core investment principles, investors should take a fresh look at their risk attitudes and profiles, and adopt an investment approach that is disciplined, consistent and well-suited to their personal circumstances.

There is, of course, no one-size-fits-all approach to investing. Ultimately, what makes an approach right or wrong is whether it is consistent with the behaviour and temperament of the investor. Warren Buffett and George Soros have completely different investment styles, yet both renowned investors have been enormously successful. While the former adheres to a strict value-driven ‘buy and hold’ strategy, the latter takes large speculative positions and tries to benefit from short-term trading.

What both have in common is an acute awareness of their strengths and weaknesses. Mr Buffet opted not to invest in technology stocks during the tech bubble of the late-1990s, adhering to his principle of buying only what he understands. Mr Soros exhibits similar tendencies by actively limiting his investment universe. ‘I don’t discuss Russia, because I don’t want to invest there,’ he writes in his latest book. The lesson for investors is that chasing every investment opportunity is not a hallmark of successful performance.

The current market opportunities may encourage investors to engage in short-term trading in the hopes of quickly recovering some of the losses they may have suffered during the crisis. This is a dangerous emotional response. Investors should not lose track of their long-term financial goals because of short-term market fluctuations. A short-term focus can cost dearly in the long run.

Another important characteristic shared by Mr Buffet, Mr Soros and other successful investors is an ability to distance themselves from their emotions, an attribute lacking in many private investors. Emotional investing explains why many are reluctant to sell an asset even after its investment case has materially changed. As Mr Buffet famously said: ‘A stock doesn’t know you own it.’ Investment discipline and having a clear set of rules are integral to successful investing. In stock orders, for example, predefined rules such as ’stop-loss’ exist to help investors avoid biting off more than they can chew. Use them.

Maintaining a diversified portfolio and incorporating a comprehensive approach towards selecting the right asset mix remain powerful investment concepts. Now more than ever, private investors should work out a portfolio aimed at achieving lifetime financial goals while accommodating specific personal circumstances with shorter time horizons, such as providing capital to start a business, educating children at private universities, or purchasing a vacation home.

To best capture the emerging post-crisis opportunities, investors should design a strategic asset allocation that suits their risk profiles. A professional private banker can assist inexperienced investors in doing this. They can also help devise tactical asset allocation to exploit asset classes and markets that are expected to outperform the rest of the portfolio over a shorter period of time. UBS advises investors to buffer their portfolios by holding 5-10 per cent of their assets in readily accessible cash. Beyond cash, bonds and equities, investors today have options in alternative assets such as commodities, real estate, private equity and hedge funds.

Portfolio rebalancing

Most portfolios should be rebalanced on a regular basis, but not in a clockwork manner. As a rule of thumb, less frequent rebalancing tends to work better during upward-trending markets, while more frequent rebalancing may work better in periods of frequent reversals.

One of the most important lessons of the crisis is to always take uncertainty about the future seriously. To this end, we cannot overemphasise the importance of a disciplined and consistent investment approach, and one of the most effective ways of accomplishing this is to draw a personal Investment Policy Statement. An established practice among institutional investors, such a statement can also benefit private investors by formalising their investment process, thus helping them avoid emotion-driven decisions that can endanger their cherished goals.

The statement requires investors to first fully understand their financial situation. Then they can set their financial goals, return objectives and risk tolerance that best suit their personal circumstances. The statement can encompass the elements of a financial plan, clarify the investment universe and portfolio constraints, and outline what an investment manager is allowed and not allowed to do. Investors can seek help from specialists at private banks to formulate an Investment Policy Statement.

An Investment Policy Statement is not unlike Mr Buffett’s annual letter to shareholders, which allows him to formally review his investment decisions, evaluate their success or failure, and restate his views on investing. Properly thought out, a written statement tracks investment thinking, keeps investors on course and protects them from investment trends that may be driven by emotions, not fundamentals.

No matter how the current investment climate may turn out in the long run, investors should not make the mistake of missing out on the opportunities which are now emerging. Another common pitfall that investors should be wary of is to lose sight of their financial goals. The investment approach that investors choose to reach their goals depends on many factors including their temperament and personal circumstances. While many roads lead to Rome, it is important for private investors to have their own personal roadmap that guides them how to get there - and stick with it.

The writer is head, Macroeconomic Research Asia Pacific, UBS Wealth Management

Source : Business Times - 14 October 2009

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Super rich count the cost

Super rich count the cost

Asia-Pacific’s high net worth individuals harder hit than global average. GENEVIEVE CUA reports

THE wealth of high net worth individuals (HNWIs) in the Asia-Pacific took a harder knock than the global average, falling below 2006 levels at end-2008. And while the sharp rebound in markets this year would have restored some of this wealth, it is estimated that aggregate wealth is still about 25 per cent below the peak in 2007.

But the ultra HNWI segment suffered an even bigger dent in wealth and numbers. This segment is defined by Merrill Lynch and Capgemini as people with investible assets of at least US$30 million excluding their home.

Based on data crunched by Merrill Lynch and Capgemini, the region’s HNWI population fell 14.2 per cent to 2.4 million individuals, compared with a global drop of 14.9 per cent. This segment has investible wealth of at least US$1 million. But in terms of the value of assets, HNWI wealth in the Asia-Pacific sank 22.3 per cent to US$7.4 trillion, below the 2006 level of US$8.4 trillion. Aggregate HNWI wealth hit US$9.5 trillion in 2007.

The number of ultra-HNWIs plunged 29.6 per cent in the Asia-Pacific, compared to a fall of 24.6 per cent globally. And the value of their assets fell 35 per cent, compared to the global average decline of 24 per cent.

Kong Eng Huat, Merrill Lynch Global Wealth Management’s head of South Asia advisory, said: ‘Asian investors are more aggressive in their profiles and tend to allocate to volatile assets. In a down market, their wealth tends to drop more.’

‘Asian investors are more aggressive in their profiles and tend to allocate to volatile assets. In a down market, their wealth tends to drop more.’

- Kong Eng Huat,
Merrill Lynch Global Wealth Management’s head of South Asia advisory

As for the ultra HNWI segment, he said their exposure to ‘more aggressive products and higher leverage’ accounted for some of the damage. The average ultra HNWI holds an estimated US$120 million in assets.

A case in point was businessman Oei Hong Leong, who said he lost $1 billion on margin trading. His lawsuit against Citibank was settled recently for an undisclosed sum.

Singapore’s HNWI population has fallen 21.6 per cent to 61,000, from 78,000 in 2007. Aggregate wealth fell to 29.4 per cent to US$272 billion. Singapore’s average HNWI has US$4.4 million in net investible assets, down from US$4.9 million in 2007. The region’s average HNWI wealth was estimated at about US$3.1 million in 2008.

Hong Kong’s HNWI segment suffered the sharpest drop, as its ranks thinned 61 per cent to 37,000 and aggregate wealth shrank 65 per cent to US$181 billion.

Outlook still bright

Still, the outlook for wealth in the region remains bright as Asian economies are expected to grow at a faster pace than the global economy. China and India, in particular, are expected to lead the charge, as more individuals join the HNW ranks, buoyed by strong domestic consumption. The wealth of HNWIs in India and China is forecast to burgeon by over US$4 trillion over the next decade.

The combined wealth of the region’s HNWIs is estimated to grow 8.8 per cent a year until 2018, faster than the global average of 7.1 per cent.

‘We expect the Asia-Pacific to be a significant driver of global HNWI wealth,’ said Antony Hung, Merrill Lynch’s head of Asia-Pacific wealth management. ‘The region’s diverse economic landscape presents tremendous growth opportunities for wealth management firms.’

Asset allocation is becoming more conservative assets. Merrill Lynch research head (Singapore and Malaysia) Melvyn Boey said: ‘Because of market uncertainty and tighter credit, (Asian HNWIs) favour investments closer to home. We expect them to maintain a cautious approach, focusing on capital preservation and liquidity as prime objectives.’

Mr Kong said that while investors have begun to get into equities, the mood remains ‘very cautious’. ‘We’re also seeing more investments into fixed income.’

Singapore’s HNWIs held 33 per cent in cash and 14 per cent in fixed income, compared with the regional allocation of 29 per cent in cash and 20 per cent in fixed income. In terms of alternative investments - a 7 per cent allocation among Singapore millionaires - clients favoured foreign currency and structured products with capital protection. This allocation is expected to be shaved by one per cent in 2010 as clients seek ’safer’ investments.

Singapore HNWI’s allocation of 24 per cent to real estate is higher than the regional average of 22 per cent. But it has fallen substantially from the 2006 allocation of 36 per cent. Merrill said HNWIs took profits from increased values in 2007 and shifted money into other asset classes.

Singaporeans’ allocation to real estate is forecast to fall further to 19 per cent by 2010 as investors are expected to be sidelined by market uncertainty and economic risks. Other investment opportunities may arise in other asset classes, diverting money away from property.

In terms of wealth managers, Capgemini Financial Services vice-president Bhalaji Raghavan said 42 per cent of advisers reported client attrition. ‘Trust was the key reason to move assets. Asia-Pacific advisers also did not have the experience to effectively deal with the crisis.’ Of the advisers that lost clients, 63 per cent operated on an individual model and 37 per cent had a team-based model.

Some 62 per cent of those who lost clients were less than 41 years old. The average years of experience among relationship managers in the region was 9.7 years, compared with the global average of 13.3 years.

Source : Business Times - 14 October 2009

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SRC’s shelved cogen project to go ahead

SRC’s shelved cogen project to go ahead

When new partner PetroChina comes on board, plant will get support it needs

By RONNIE LIM

SINGAPORE Refining Company’s (SRC) shelved US$400 million clean gasoline and cogeneration plant on Jurong Island is expected to get the go-ahead shortly, once new partner PetroChina comes on board, sources say.

Sailing on: SPC and US oil giant Chevron are equal partners in the SRC refinery on Jurong Island, and PetroChina, with its financial muscle, is expected to grow its refinery foothold here
In January, SRC placed the upgrading project - to produce ultra-low sulphur gasoline at the 290,000 barrels per day (bpd) refinery - ‘under review’ because of falling product demand and the global credit crunch.

But global economies are starting to recover. ‘We expect to move ahead with the clean gasoline investment as it is a strategic project, given growing environmental pressure and customer demand for clean fuels,’ a source said.

A decision by the SRC partners is likely to come soon, once Singapore Petroleum Company - now owned by Chinese oil giant PetroChina - is officially delisted from the Singapore Exchange on Oct 20.

SPC and US oil giant Chevron are equal partners in the SRC refinery on Jurong Island, and PetroChina, with its financial muscle, is expected to grow its refinery foothold here.

As an industry source earlier said when Keppel Corporation sold its SPC stake to PetroChina: ‘What is certain is that PetroChina can grow SPC, which is something KepCorp realises it cannot do unless it is prepared to invest much more in the SRC refinery.’

The clean gasoline project follows SRC’s recent US$81 million revamp of its hydro-sulphuriser to produce ultra low sulphur or so called ‘green’ diesel.

SRC’s catalytic cracker produces about 25,000 bpd of gasoline. And the clean gasoline investment will further treat this to produce ‘green’ gasoline for environmentally-conscious markets.

With the clean gasoline plant, SRC also plans to build its own cogeneration plant to supply power, steam and cooling water to the refinery. The planned 60-70 megawatt cogen plant will supplement its current turbo alternator, which delivers only 7-8 MW of power.

Groundwork, such as basic engineering, for the clean gasoline and cogen investment has already been completed, so SRC should be able to get the project back on track quickly once the green light is given.

Apart from the clean gasoline project, SRC has apparently indicated to JTC Corporation that it needs more land at its Merlimau site to expand.

In June, JTC called a tender for soil investigation at the Chawan/Merlimau sectors of Jurong Island. This usually precedes reclamation, which takes about 18 months to two years to complete.

SRC is not the only company that may be re-starting projects.

As BT reported recently, Jurong Aromatics Corporation looks set to start work on its US$2 billion petrochemical investment on Jurong Island once it completes project financing shortly.

Source : Business Times - 14 October 2009

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Central banks shunning dollar in favour of euro, yen

Central banks shunning dollar in favour of euro, yen

Statistics point to growing diversification among nations

(LONDON) Central banks flush with record reserves are increasingly snubbing US dollars in favour of euros and yen. The greenback has already suffered its biggest two-quarter rout in almost two decades.

Policymakers boosted foreign currency holdings by US$413 billion last quarter, the most since at least 2003, to US$7.3 trillion, according to Bloomberg data.

Nations reporting currency breakdowns put 63 per cent of the new cash into euros and yen in April, May and June, the latest Barclays Capital data show. That is the highest percentage in any quarter with more than an US$80 billion increase.

World leaders are acting on threats to dump the US dollar while the Obama administration shows a willingness to tolerate a weaker currency in an effort to boost exports and the economy as long as it does not drive away the nation’s creditors.

The diversification signals that the currency will not rebound anytime soon after losing 10.3 per cent on a trade-weighted basis the past six months, the biggest drop since 1991.

‘Global central banks are getting more serious about diversification, whereas in the past they used to just talk about it,’ said Steven Englander, a former Federal Reserve researcher and now the chief US currency strategist at Barclays in New York. ‘It looks like they are really backing away from the dollar.’

The US dollar’s 37 per cent share of new reserves fell from about a 63 per cent average since 1999. Mr Englander concluded in a report that the trend ‘accelerated’ in the third quarter. He said in an interview that ‘for the next couple of months, the forces are still in place’ for continued diversification.

America’s currency has been under siege as the Treasury sells a record amount of debt to finance a budget deficit that totalled US$1.4 trillion in fiscal 2009 ended Sept 30.

Intercontinental Exchange’s Dollar Index, which tracks the currency’s performance against the euro, yen, pound, Canadian dollar, Swiss franc and Swedish krona, fell to 75.77 last week, the lowest level since August 2008 and down from the high this year of 89.624 on March 4. The index, at 76.104 on Monday, is within six points of its record low reached in March 2008.

Foreign companies and officials are starting to say that their economies are getting hurt because of the US dollar’s weakness.

Yukitoshi Funo, executive vice-president of Toyota Motor, called the yen’s strength ‘painful’. Fabrice Bregier, chief operating officer of Airbus said last week that the euro’s 11 per cent rise since April was ‘challenging’.

The economies of both Japan and Europe depend on exports that get more expensive whenever the greenback slumps. European Central Bank president Jean-Claude Trichet said in Venice last week that US policymakers’ preference for a strong US dollar is ‘extremely important in the present circumstances’.

‘Major reserve-currency issuing countries should take into account and balance the implications of their monetary policies for both their own economies and the world economy with a view to upholding stability of international financial markets,’ China President Hu Jintao told the Group of 20 leaders in Pittsburgh on Sept 25. China is America’s largest creditor.

Developing countries have likely sold about US$30 billion of euros, yen and other currencies each month since March, according to strategists at Bank of America-Merrill Lynch.

That helped reduce the US dollar’s weight at central banks that report currency holdings to 62.8 per cent as at June 30, the lowest on record, the latest International Monetary Fund data show.

The quarter’s 2.2 percentage point decline was the biggest since falling 2.5 percentage points to 69.1 per cent in the period ended June 30, 2002. — Bloomberg

Source : Business Times - 14 October 2009

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Jobs Credit extension not surprising

Jobs Credit extension not surprising

Lower payouts not expected to spark unemployment spike

By FELDA CHAY

(SINGAPORE) The decision to extend the Jobs Credit Scheme (JCS) by six months beyond December is no surprise and reflects the government’s cautious approach to the sustainability of economic recovery, economists say.

‘The move is consistent with the base scenario that recovery has started but there are questions about its strength and sustainability,’ said Robert Prior-Wandesforde, senior Asia economist at HSBC Holdings in Singapore.

Save for a double-dip recovery curve, the government is unlikely to extend the scheme again, he said.

Yesterday, Prime Minister Lee Hsien Loong said at an NTUC conference that the JCS will be extended for half a year, with payments made to companies under the scheme gradually reduced.

The first payment under the extension will be based on 6 per cent of an employee’s monthly wage, based on the number of employees on the payroll in January next year. The second payment will be made at 3 per cent of an employee’s monthly wage based on the number of employees on the payroll next April.

Currently, payments are made at 12 per cent of an employee’s salary on the first $2,500 of their monthly wage. The extension will cost the government $675 million, which it will fund out of its budget.

The reduced payouts are unlikely to trigger a spike in unemployment, said Citigroup economist Kit Wei Zheng. ‘While the phased withdrawal of the JCS may impute some upward pressure on unit labour costs (ULC) in 2010, modest growth in labour productivity and wages should keep ULC growth fairly contained into early next year.’

Citigroup estimates the JCS alone likely reduced overall labour costs per average worker by 6.7 per cent - equivalent to a 7.7 per cent cut in employer CPF contribution rates - in 2009.

‘Assuming no change in monthly wages, the phased withdrawal of JCS next year will probably restore only two-thirds of the 2009 fall in labour cost per worker,’ Mr Kit said.

On Monday, the Ministry of Trade and Industry (MTI) said advance estimates of third-quarter economic growth suggest a 0.8 per cent year-on-year rebound - the first expansion after three quarters of contraction. MTI also said gross domestic product (GDP) grew 14.9 per cent in Q3 from Q2, when it grew 22 per cent from Q1.

The Q3 quarter-on-quarter growth was attributed to the continued expansion of biomedical and electronics output, and improvements in tourism and trade-related industries.

While the latest figures from MTI show Singapore is technically out of a recession, the global backdrop remains uncertain, in particular within developed economies, said OCBC economist Selena Ling.

‘They have to strike a balance between the recovery story and the lack of clarity as to how strong private demand will be especially in developed countries, and from the policy-maker’s point of view, it’s better to lean on the cautious side,’ she said.

The large amount of public spending in most economies is also clouding the picture on how strong private demand is.

‘Public spending is propping up a lot of the spending currently,’ Ms Ling said. Although fiscal stimulus has done a big part in propping up Asian economies, it’s not going to go on forever, she said.

CIMB-GK economist Song Seng Wun said uneven growth across sectors reinforces the need to be cautious.

‘We must be mindful that headline GDP may be much better over the last few quarters, but underlying growth is not as dramatic as the headline figures,’ he said. ‘Growth is not even. Not all industries are doing better.’

Mr Song said the government is unlikely to extend the JCS again, adding that its proposal to fund the coming extension from the budget - and not by dipping into past reserves, as it is currently - is ‘an indication that the government is confident that the worst of the crisis is indeed behind.’

Meanwhile, business associations welcomed the extension of the JCS. The Singapore Chinese Chamber of Commerce and Industry (SCCCI) said it ‘will allow local enterprises to do their forward planning and effective budgeting with a greater sense of trust and confidence in both the government and work force’. Feedback from members indicates they have yet to see a full recovery, SCCCI said.

The Association of Small and Medium Enterprises (ASME) said: ‘As the businesses slowly recover, every bit of assistance accorded will be helpful. The stepped-down approach will be a good way of easing them back to their own feet again.’

ASME said it will monitor the situation to ascertain the impact of the changes made to the JCS.

Source : Business Times - 14 October 2009

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Job done, but Jobs Credit given time to wind up

Job done, but Jobs Credit given time to wind up

6-month extension to help employers cope before more targeted measures kick in

By CHUANG PECK MING

(SINGAPORE) The Jobs Credit scheme has served its purpose and kept retrenchment numbers low, but the government will not abruptly yank it away from employers. Instead, the scheme has been extended for another six months though its payouts will be stepped down before being phased out.

Touching base: Mr Lee with participants at the NTUC Ordinary Delegates’ Conference yesterday.
Eventually, the scheme will give way to more targeted measures to support economic restructuring and boost productivity. These will be revealed in next year’s Budget, Prime Minister Lee Hsien Loong said yesterday at the opening of a three-day NTUC Ordinary Delegates’ Conference.

The Jobs Credit scheme has encouraged employers to retain their workers by giving them a cash grant based on the CPF contributions they make for their employees. Till now, the payout was pegged to 12 per cent of a worker’s salary, capped at $2,500. This will be scaled back and employers will get two further payouts - the first pegged to 6 per cent of workers’ salaries, and the second to 3 per cent.

‘Strictly speaking, after the Q2 and Q3 (economic growth) numbers, it (Jobs Credit) is no longer needed,’ said Mr Lee. ‘The economy is now recovering, and some companies are hiring again. But if we withdraw Jobs Credit completely and suddenly, companies may have difficulties adjusting.’

Jobs Credit was, in Mr Lee’s words, ‘an extraordinary response to a grave economic crisis’, aimed at helping companies cut costs and save jobs.

‘It has done its work and held retrenchment and unemployment numbers down,’ he said. ‘Despite sharp declines in GDP, unemployment went up only moderately, from 2.5 per cent (in December 2008) to 3.3 per cent (in June 2009).’

His comments came a day after the Ministry of Trade and Industry (MTI) announced preliminary figures showing Singapore’s gross domestic product jumped 15 per cent quarter-on-quarter in the July-September period.

Compared to the same quarter last year, before Lehman Brothers went bust and sparked a global panic, GDP crept up 0.8 per cent - the first positive number after three negative quarters.

Mr Lee said the extended scheme will cost the government another $675 million. It will be funded by the normal government budget, unlike the current Jobs Credit which is paid out of past reserves and approved by the President.

Manpower Minister Gan Kim Yong told reporters later that the savings from the current $4.5 billion Jobs Credit scheme - estimated to be around $500 million - will be returned to the reserves, and not used to finance the extended scheme.

While the extension of Jobs Credit came as no surprise, some - including NTUC chief Lim Swee Say - had worried it would encourage dependency, become a fiscal drag and hamper skills upgrading and productivity growth.

Mr Lee himself agreed with a Japanese businessman he met on a recent trip to Japan, who was concerned that keeping Jobs Credit for too long would delay the necessary restructuring and deter labour and other resources from being redeployed more productively to new activities.

‘In the longer term, we cannot prosper again and sustain our growth by keeping workers underemployed and unproductive,’ Mr Lee said. ‘We have to foster restructuring, not try to hold it back.’

He said not all companies are out of the woods - and it will still take a while for unemployment to come down, but these issues must be seen in totality.

‘Jobs Credit is not meant to help specific industries or companies,’ Mr Lee said. ‘Nor is it meant to help weaker companies instead of stronger ones. It is an across-the-board relief to lighten the burden of all, necessary during an exceptional crisis.’

With the worst of the crisis over, he said Singapore needs more targeted measures to support restructuring and boost productivity.

Details of these measures are being worked out by the Economic Strategies Committee headed by Finance Minister Tharman Shanmugaratnam - and they will be ready in time for Budget 2010, according to Mr Lee.

‘The Budget will introduce enhanced programmes to support companies’ efforts to grow, innovate and compete, based on improved productivity,’ he said. ‘They will reward firms which are best able to spur job creation in the economy over the medium to longer term.’

Source : Business Times - 14 October 2009

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