Making connections: Liow (left) speaking with Liu Yunshan, secretary of the Secretariat of the Communist Party of China Central Committee. - By Patrick Lee The Star/Asia News Network
KUALA LUMPUR: China is confident that it can build the Kuala Lumpur-Singapore High-Speed Rail (HSR) line by 2020.
China embassy’s economic and commercial counsellor Wu Zhengping expressed confidence that the original target date could be met – within certain parameters.
“Technically, it’s possible if Chinese companies are awarded the contract. We will be able to achieve that by 2020. We’ve still got five years,” he told The Star in an interview.
He was commenting on reports that the HSR line would not meet its original target date.
Wu pointed out that it took a mere three years to build the 1,318km Beijing-Shanghai HSR line, which was completed in 2010. It opened to the public in June 2011.
The 350km Kuala Lumpur-Singapore line is expected to cost about RM40bil while there are matters between Malaysia and Singapore which are expected to be ironed out by year end.
Wu said China was determined to build the line, adding that it would fall in with its plans to link Kunming to Singapore via some 2,700km of rail.
Calling it the “Pan-Asian Railway”, he indicated that this would cut through Laos, Thailand and Malaysia.
He added that not all of this railway might be high-speed lines, especially in Laos, which has rough, mountainous terrain.
Wu said the HSR traffic might not be enough to justify building such a line but spoke of an economic “spillover effect” if it were to happen.
Chinese companies here, he added, might even start to develop areas near the Singapore-Kuala Lumpur line.
“If China is awarded the contract (in Malaysia), we’ll encourage Chinese companies to locate their factories and firms along the railway line,” he said.
He also said there were plans to build high-speed train cars in Malaysia should China be given the contract.
Asked what would China do if Chinese companies were unable to win the HSR bid, Wu said Malaysia had given assurance that this would be “open, fair and transparent”.
Transport Minister Datuk Seri Liow Tiong Lai, who is in Beijing on an official visit, said while he welcomed the offer from China, the open tender would only be called after details of the project had been thrashed out between Malaysia and Singapore.
He said a memorandum between the two countries would be signed by end of this year, adding that it would then take another year to complete the technical study.
“By then, only we would know what is the actual period (needed to build the line).
“It is too early to say that the project can be completed by 2020 when we do not have the details yet,” he said.
Singapore, Malaysia push back deadline for high-speed rail link -
Reauters
SINGAPORE - Singapore and Malaysia have decided to push back an initial deadline of 2020 for the completion of a high-speed rail link between the wealthy city state and Kuala Lumpur, their prime ministers said on Tuesday, citing the complexity of the project.
The Southeast Asian neighbours said they hoped to reach agreement by the end of the year on a new timeline for the railway link, which will cut travel time between the cities to 90 minutes.
"We looked at the original timeline of 2020, and think it is not really realistic," Singapore Prime Minister Lee Hsien Loong told a news conference, adding that the project was very challenging to carry out.
"We have to take a bit more time to do it well, but to do it without delay."
Singapore and Malaysia set a completion date of 2020 when they announced plans for the high-speed rail link in February 2013, but gave no estimate of the project cost.
Hailed at the time as a major breakthrough by some analysts, the announcement reflected an improvement in ties between the neighbours. Singapore was once part of Malaysia but they separated acrimoniously in 1965, clouding diplomatic and economic dealings for decades.
On Tuesday, Malaysian Prime Minister Najib Razak said construction of the link with the Malaysian capital would take five years, design one year and the tendering process another year. "We both decided that bilateral issues pertaining to the high-speed rail project will be settled by the end of the year," Najib said.
BEING a teenager, my granddaughter started to pick up interest on how the economy works, what are the real assets and liabilities in one’s financial planning. As the topic itself can be slightly “dry”, I made an attempt to discuss it in a way that was easier for her to digest.
“Our national household debt to GDP ratio edged up to 87.9% last year. Is the number alarming?” she asked one day.
“It depends. We have good debts and bad debts in life. For example, 10 years later, our new cars may have depreciated more than 80% and our new clothes would have been worn out. Those are liabilities. On the other hand, houses are assets as they will appreciate in the long run. Debts which are backed by appreciating assets are considered good debts,” I said.
As she nodded in agreement with my simple explanation of good debts and bad debts, her question has piqued my curiosity to look into the details of our household debt.
Overall, is our nation having more good debts or bad debts?
Bank Negara report shows that our household debt was at RM940.4bil or 87.9% of GDP as at end of 2014. Residential housing loans accounted for 45.7% (RM429.7bil) of total debts, hire purchase at 16.6%, personal financing stood at 15.7%, non-residential loans were 7.7%, securities at 6.5%, followed by credit cards and other items at 3.9% respectively.
At first glance, our residential housing loans were the highest among all types of household debts. However, a recent McKinsey Global Institute Report highlighted that in advanced countries, mortgages or housing loans comprise 74% of total household debt on average. As a country that aspires to be a developed nation by 2020, our housing loans that stand at 45.7% is considered low. In other words, we are spending too much on other depreciating items instead of appreciating assets like houses.
If advanced economies, which are usually consumer nations, have only 26% debts on non-housing loans, we shouldn’t have as high as 54% loans on items such as hire-purchase (which are mostly cars), personal loans, credit cards and others.
If we were to follow the household debt ratio of advanced economies, our housing loans of RM429.7bil should be at 74% of total household debts, and other loans should be reduced from 54% to 26%, i.e. from RM510.7bil to RM150.9bil. With such reduction, total household debt would be slashed significantly from RM940.4bil to RM580.6bil (existing housing loans plus reduced non-housing loans), the amount would be at 54.2% of GDP instead of 87.9%.
I am wondering why we can’t have a household debt to GDP ratio of 54.2% as illustrated above. Are we spending too much on depreciating items?
Non-housing loans comprise mainly borrowings for cars, personal loans and credit cards. Car value depreciates about 10% to 20% per year based on insurance calculation and accounting practice. Borrowings for personal loans and credit card are also likely to depreciate over time which can be dubbed as “bad debt”.
Perhaps it is time for the Government to introduce massive cooling off measures for non-housing loans in order to curb bad debt in our household debt.
According to our Deputy Urban Wellbeing, Housing and Local Government Minister, our homeownership rate currently stands at 50% and the Government strives to increase the number with more affordable homes. As a comparison, almost 85% of Singaporeans are homeowners.
We can expedite the above vision if more stringent measures are imposed on non-housing loans, it will free up more resources for household financial planning. The rakyat should be encouraged to secure a roof over their heads with effective execution of affordable housing policy by the Government.
It is time to re-look our debt categories and reallocate our resources appropriately. If we are willing to cut back on cars, clothes, shoes and other depreciating items, reducing a household debt to GDP ratio of 54.2% is not only an aspiration, but an achievable reality.
By ALAN TONG Food for Thought
And the more beneficial effect is, more rakyat will have the financial resources to own a house, which is both a shelter and an appreciating asset.
■ FIABCI Asia-Pacific regional secretariat chairman Datuk Alan Tong has over 50 years of experience in property development. He is also the group chairman of Bukit Kiara Properties. For feedback, please email feedback@fiabci-asiapacific.com.
I
know, I know... it doesn't matter, really, that households are being
tasked with funding Government debt first, their own debt later. All is
sustainable.
A class for mothers carrying babies here. Singapore was ranked ahead of the next-best Asian countries South Korea and Japan in the latest Mothers' Index. This rates countries based on five indicators relating to maternal health, children's well-being, education, income levels and the political status of women. -- ST PHOTO: KUA CHEE SIONG
Singapore is the best country in Asia to be a mother.
The Republic came out tops in the region in an annual index released by international aid agency Save the Children and was also ranked 14th worldwide, well ahead of the next-best Asian countries South Korea and Japan in 30th and 32nd spots.
Singapore moved up from 15th spot worldwide last year but short of its 2002 best of 13th.
Norway topped the international chart, beating last year's winner Finland, while the United States was 33rd.
The 16th annual Mothers' Index, released on Monday, rates 179 countries based on five indicators relating to maternal health, children's well-being, education, income levels and the political status of women.
Singaporean women have a one in 13,900 risk of dying in childbirth while the infant mortality rate here is 2.8 deaths per 1,000 live births.
Gross national income per capita is US$54,040 (S$72,000). For these three measures, Singapore was placed among the top 10 countries globally.
But its ranking was pulled down by weaker performance in the educational and political arenas.
Children are expected to complete about 15.4 years of formal schooling here and a quarter of seats in the government are held by women.
In comparison, Norway recorded a national income of US$102,610. Political participation of its women is close to 40 per cent and children are expected to finish 17.5 years of school.
The US' poor showing is partly due to its high risk for maternal death - one in 1,800, the worst level in any developed country.
Ms Sylvia Choo, director of the National Trades Union Congress (NTUC) Women's Development Secretariat, said Singapore has done well because of its strong investment in education and in ensuring that medical care remains accessible.
Since 2000, Singapore has cut its risk of maternal death by over 75 per cent, from one in 3,500 to one in 13,900.
Other experts say the findings, while commendable, should not be a reason for complacency.
They pointed out that the index tracks only parameters such as wealth, education and healthcare and does not take into account other pertinent issues specific to developed economies.
"It does not address the parent-friendliness of workplace policies, culture and practice," said Ms Jolene Tan from the Association of Women for Action and Research (Aware). "Some countries ranked lower on the index such as the United Kingdom and Ireland have much more generous parental leave than Singapore.
"It also doesn't consider security of employment. A mother who returns from maternity leave to find her position terminated has little recourse in Singapore, but she can invoke legal protection such as unfair dismissal claims in jurisdictions such as Canada, the UK and Ireland - all ranked less highly in this report."
Save the Children's chief executive Carolyn Miles said the data confirmed that a country's economic wealth is not the sole factor leading to maternal happiness, but also that policies must be put in place to support mothers.
In the case of Norway, "they do have wealth, but they also invest that wealth in things like mothers and children as a very high priority", said Ms Miles.
Ms Yeo Miu Ean, president of Women Empowered for Work and Mothering, said the fertility rate here remains low because some women want to avoid the dilemma of having to choose between work and children.
"They do not want to give their children the time or energy that is left over from work," she said.
National University of Singapore sociologist Tan Ern Ser agreed.
"Compared with the Nordic countries, we still need to catch up on gender inequality in terms of shared childcare responsibilities and work-life balance."
By Janice Tai The Straits Times/Asia News Network, jantai@sph.com.sg
Singaporeans back to being courteous, survey shows
AFTER two years in which it seemed Singapore was becoming a less gracious country, one social barometer suggests it is back on its best behaviour.
The Singapore Kindness Movement (SKM), which has been releasing the annual Graciousness Index since 2008, revealed yesterday that the country scored 61 out of 100 this year, matching the highs it hit in 2010 and 2012.
It is a big jump from last year’s score of 55 and the record low of 53 in 2013.
The index measures “behaviour consistent with social standards and expectations based on the time, place and people around” and polled 1,850 people, including foreigners, between last December and February.
SKM general secretary Dr William Wan said: “If we as a nation continue this positive trend, kindness and graciousness can become part of our norms and national identity.”
He added that more stories of kindness were being reported on social media, while mainstream media had been highlighting disaster relief efforts.
Scores for people’s experience and perception of graciousness told different stories in the index.
They were asked if they had received, done or witnessed “a random act of kindness” in the six months before they were polled.
Scores in this component fell but were offset by improvements in the perception ratings, with respondents rating themselves and others higher when it came to being considerate, courteous and showing appreciation.
About 44% polled felt Singapore had become more gracious, up from 28% last year.
Asked who was responsible for making Singapore a gracious place to live in, more than seven in 10 respondents pointed to the Government, while six in 10 said themselves.
Dr Wan said the Education Ministry had an important role in fostering character development.
“I’d like to see 80% or 90% of people saying ‘kindness can start with me’,” he said. “We must take ownership.”
The SKM also studied attitudes towards neighbourliness and parenting.
Over 40% wanted more neighbourliness in their communities but among this group, fear and awkwardness were cited as stumbling blocks.
Nearly six in 10 respondents, including non-parents, felt parents did not lead by example when it came to being gracious.
Senior marketing manager Joyce Teng, 53, agreed that it was important for parents to be good role models.
Her daughter Emily founded Blessings in a Bag, which sends donated clothes and school supplies to the needy in Asia.
Teng said: “Instilling the qualities of kindness and giving is our responsibility as parents. I’m proud to see that Emily is now leading by example.” — The Straits Times / Asia News Network
How can Singapore improve its graciousness? Chief of Singapore Kindness Movement has some tips By Priscilla Goy, The Straits Times, 6 May 2015
Public debate -
It appears to me that we have not learned to engage each other in real
constructive debate. In choosing our sides of an argument, we neglect to
listen and seem unable to consider viewpoints that run contrary to our
own, and the next inevitability follows: name-calling, abusive
statements, or worse. And to say the least, that is most ungracious!
This behaviour is also not unique to the online space, but can also
spill over into everyday life.
Road users -
Other than giving up seats on public transport which has improved every
year, every other behaviour related to transport or road usage falls
below 6. Our partners like the Land Transport Authority and the public
transport organisations have now taken the lead in continuing to
encourage more improvement in public transport behaviour, and we have
gladly taken a supportive back seat.
Our
plans going forward include seeking out partnerships with bodies or
associations dealing with private road users such as motorists,
cyclists, pedestrians.
Cleanliness/environment -
We should treat our shared public spaces (our nation!) in the same way
we treat our own homes. It's not just about litter, it can even be as
basic as the unhygienic scraps we tend to leave behind at hawker centre
tables. We wouldn't do that in our own homes, would we? Even if we had a
domestic helper, we would ensure that the mess is cleaned up
immediately.
And when asked what is one area that could help Singapore make a big improvement in its graciousness index score?
Neighbourliness -
While our findings are quite positive about the current state, we also
see the desire for more neighbourliness, but some uncertainty, fear or
awkwardness on how to get started. If we live in comfortable and
positive neighbourhood environments, it will be just so much more
pleasant for us. And we will take that positivity and pleasantness to
other people in other shared public spaces.
The Graciousness Index has continued to move up, from 53 in 2013 to 55
in 2014, and to 61 in 2015. This year’s rise is led by a growing sense
of positive perceptions about kindness and graciousness in Singapore,
with respondents rating both themselves and others higher when it comes
to being considerate, courteous and showing appreciation. Read more: http://kindness.sg/blog/2015/05/05/graciousness-index-shows-further-improvement/
Making connections: Liow (left) speaking with Liu Yunshan, secretary of the Secretariat of the Communist Party of China Central Committee. - By Patrick Lee The Star/Asia News Network
