Tuesday, September 3, 2013
More job opportunities expected with Changi's Terminal 5
More job opportunities expected with Changi's Terminal 5
By Dylan Loh
POSTED: 30 Aug 2013 11:34 PM
Singapore's Economic Development Board (EDB) said good job opportunities are expected with Changi Airport's expansion plans. However, the board said it is not just about that, as what is important is also enabling the aviation industry to be more productive.
SINGAPORE: Singapore's Economic Development Board (EDB) said good job opportunities are expected with Changi Airport's expansion plans.
However, the board said it is not just about that, as what is important is also enabling the aviation industry to be more productive.
Observers added that the airport expansion means positive spin-offs for Singapore in business and tourism-related areas.
With transport links to the region set to be improved with the air hub's future plans, more businesses may be lured into setting up shop in Singapore.
Lim Kok Kiang, executive director of transport engineering with the EDB, said: "An increasing number of third-party logistics providers and air express companies have chosen Singapore as their base to manage their growing Asian demand. And this due to primarily our strategic location."
Observers said plans to site Terminal 5 close to aviation and aerospace businesses is a good move that will draw investments to grow the sectors.
Beyond that, experts added that improved connectivity will likely boost Singapore's position as a cargo and logistics hub.
Selena Ling, head of treasury research and strategy at OCBC Bank, said: "When foreigners come and invest in Singapore, they will not only look at cost, or even manpower availability, they will also look at the efficiency of the infrastructure. Especially, how easy and affordable it is to get people and also goods in and out of the country."
Tourism-wise, economists estimate that Singapore can see in excess of 20 million visitors per year with a larger air hub.
Within Southeast Asia, airports in Kuala Lumpur and Bangkok are gunning to service 100 million passengers every year. Singapore's plans for airport expansion will take it well beyond that number -- spelling opportunities galore for the country.
However to seize the opportunities, experts said that expanding an airport is not enough. They said Singapore will have to continually market itself as a must-visit destination for tourists.
- CNA/ac
- wong chee tat :)
By Dylan Loh
POSTED: 30 Aug 2013 11:34 PM
Singapore's Economic Development Board (EDB) said good job opportunities are expected with Changi Airport's expansion plans. However, the board said it is not just about that, as what is important is also enabling the aviation industry to be more productive.
SINGAPORE: Singapore's Economic Development Board (EDB) said good job opportunities are expected with Changi Airport's expansion plans.
However, the board said it is not just about that, as what is important is also enabling the aviation industry to be more productive.
Observers added that the airport expansion means positive spin-offs for Singapore in business and tourism-related areas.
With transport links to the region set to be improved with the air hub's future plans, more businesses may be lured into setting up shop in Singapore.
Lim Kok Kiang, executive director of transport engineering with the EDB, said: "An increasing number of third-party logistics providers and air express companies have chosen Singapore as their base to manage their growing Asian demand. And this due to primarily our strategic location."
Observers said plans to site Terminal 5 close to aviation and aerospace businesses is a good move that will draw investments to grow the sectors.
Beyond that, experts added that improved connectivity will likely boost Singapore's position as a cargo and logistics hub.
Selena Ling, head of treasury research and strategy at OCBC Bank, said: "When foreigners come and invest in Singapore, they will not only look at cost, or even manpower availability, they will also look at the efficiency of the infrastructure. Especially, how easy and affordable it is to get people and also goods in and out of the country."
Tourism-wise, economists estimate that Singapore can see in excess of 20 million visitors per year with a larger air hub.
Within Southeast Asia, airports in Kuala Lumpur and Bangkok are gunning to service 100 million passengers every year. Singapore's plans for airport expansion will take it well beyond that number -- spelling opportunities galore for the country.
However to seize the opportunities, experts said that expanding an airport is not enough. They said Singapore will have to continually market itself as a must-visit destination for tourists.
- CNA/ac
- wong chee tat :)
HDB resale price index "could drop as early as Q4"
HDB resale price index "could drop as early as Q4"
By Wong Siew Ying
POSTED: 02 Sep 2013 8:40 PM
UPDATED: 03 Sep 2013 12:19 AM
The policy changes announced by the Housing & Development Board (HDB) last week could bring about a drop in HDB's resale price index as early as the fourth quarter this year, said analysts.
SINGAPORE: The policy changes announced by the Housing & Development Board (HDB) last week could bring about a drop in HDB's resale price index as early as the fourth quarter this year, said analysts.
If so, it will be the index's first quarterly drop in almost five years.
The new measures are also likely to have ripple effects on other segments of the property market.
On August 27, the HDB barred new permanent residents (PRs) from buying resale flats till three years after obtaining their PR status.
PRs account for about 20 per cent of transactions in the HDB resale market.
Analysts said the move will hurt transaction volume in the near term and expect HDB resale price growth to be largely flat in the third quarter, or a negative growth as early as the fourth quarter.
Eugene Lim, key executive officer for ERA, said: "More and more larger flats are now being sold at valuation, and some of them are even sold below valuation.
“Based on market data, the median is about S$20,000, down from S$35,000 at the beginning of the year (2013). When COV (Cash-Over-Valuation) comes down, resale prices will come down. All in all, that's why… you may see a negative in the HDB resale price index (at year-end)."
OrangeTee projected HDB resale prices to inch up by no more than 0.5 per cent in Q3 and a marginal contraction in Q4.
Meanwhile, Propnex is more optimistic, expecting prices to climb by up to 1 per cent in Q3 and 0.5 per cent in Q4.
The rental market is expected to get a lift and analysts said some HDB owners have shelved plans to sell their flats, choosing instead to rent them out to new PRs.
ERA also expected the private home resale market to bounce back in the next six months, supported by demand from new PRs. But they are likely to favour units in the suburban areas that are priced between S$800,000 and S$1.5 million.
To encourage financial prudence, the government has also further tightened housing loan terms.
The maximum tenure for HDB housing loans has been reduced to 25 years from 30 years, while the Mortgage Servicing Ratio has been cut to 30 per cent from 35 per cent of the borrower's monthly income.
Similar arrangements were also made for the tenure of new housing loans and re-financing facilities granted by financial institutions for the purchase of HDB flats.
New bank loans with tenures exceeding 25 years and up to 30 years will also be subjected to tighter loan-to-value (LTV) limits.
Some analysts believe these terms will drive demand for executive condominiums (EC).
Christine Li, Head of Research & Consultancy at OrangeTee, said: "A lot of buyers will actually go for new ECs in the market because they can get 30- to 35-year loan tenure as well as higher TDSR (total debt servicing ratio framework) -- 60 per cent of their monthly income. From the investment point of view, the capital appreciation, ECs seem to have more potential upside."
As the property market stabilises, there could be some downward pressure on land prices.
Mohamed Ismail, CEO of Propnex, said: "I don't think we are going to witness new record prices in the upcoming land sites. Most of these upcoming sites are in the outlying areas.
"I think the developers will take into consideration the current sentiment; the prices could be muted or similar to the last couple of land bids or maybe marginally lower.
"But I am not expecting the land bids to… come down by 10 to 20 per cent."
- CNA/gn
- wong chee tat :)
By Wong Siew Ying
POSTED: 02 Sep 2013 8:40 PM
UPDATED: 03 Sep 2013 12:19 AM
The policy changes announced by the Housing & Development Board (HDB) last week could bring about a drop in HDB's resale price index as early as the fourth quarter this year, said analysts.
SINGAPORE: The policy changes announced by the Housing & Development Board (HDB) last week could bring about a drop in HDB's resale price index as early as the fourth quarter this year, said analysts.
If so, it will be the index's first quarterly drop in almost five years.
The new measures are also likely to have ripple effects on other segments of the property market.
On August 27, the HDB barred new permanent residents (PRs) from buying resale flats till three years after obtaining their PR status.
PRs account for about 20 per cent of transactions in the HDB resale market.
Analysts said the move will hurt transaction volume in the near term and expect HDB resale price growth to be largely flat in the third quarter, or a negative growth as early as the fourth quarter.
Eugene Lim, key executive officer for ERA, said: "More and more larger flats are now being sold at valuation, and some of them are even sold below valuation.
“Based on market data, the median is about S$20,000, down from S$35,000 at the beginning of the year (2013). When COV (Cash-Over-Valuation) comes down, resale prices will come down. All in all, that's why… you may see a negative in the HDB resale price index (at year-end)."
OrangeTee projected HDB resale prices to inch up by no more than 0.5 per cent in Q3 and a marginal contraction in Q4.
Meanwhile, Propnex is more optimistic, expecting prices to climb by up to 1 per cent in Q3 and 0.5 per cent in Q4.
The rental market is expected to get a lift and analysts said some HDB owners have shelved plans to sell their flats, choosing instead to rent them out to new PRs.
ERA also expected the private home resale market to bounce back in the next six months, supported by demand from new PRs. But they are likely to favour units in the suburban areas that are priced between S$800,000 and S$1.5 million.
To encourage financial prudence, the government has also further tightened housing loan terms.
The maximum tenure for HDB housing loans has been reduced to 25 years from 30 years, while the Mortgage Servicing Ratio has been cut to 30 per cent from 35 per cent of the borrower's monthly income.
Similar arrangements were also made for the tenure of new housing loans and re-financing facilities granted by financial institutions for the purchase of HDB flats.
New bank loans with tenures exceeding 25 years and up to 30 years will also be subjected to tighter loan-to-value (LTV) limits.
Some analysts believe these terms will drive demand for executive condominiums (EC).
Christine Li, Head of Research & Consultancy at OrangeTee, said: "A lot of buyers will actually go for new ECs in the market because they can get 30- to 35-year loan tenure as well as higher TDSR (total debt servicing ratio framework) -- 60 per cent of their monthly income. From the investment point of view, the capital appreciation, ECs seem to have more potential upside."
As the property market stabilises, there could be some downward pressure on land prices.
Mohamed Ismail, CEO of Propnex, said: "I don't think we are going to witness new record prices in the upcoming land sites. Most of these upcoming sites are in the outlying areas.
"I think the developers will take into consideration the current sentiment; the prices could be muted or similar to the last couple of land bids or maybe marginally lower.
"But I am not expecting the land bids to… come down by 10 to 20 per cent."
- CNA/gn
- wong chee tat :)
Modern Montessori International to open 29th centre at Spooner Road
Modern Montessori International to open 29th centre at Spooner Road
By Lip Kwok Wai and Ayesha Shaikh
POSTED: 03 Sep 2013 12:07 AM
One of Singapore's largest pre-school operators Modern Montessori International is on an expansion strategy to meet the rising demand for quality early childhood education.
SINGAPORE: Modern Montessori International, one of Singapore's largest pre-school operators, is on an expansion strategy to meet the rising demand for quality early childhood education.
The school’s 29th centre at Spooner Road is a refurbished bungalow with the latest teaching facilities, including a swimming pool and an eco-garden as part of environmental learning.
About 20,000 more places in pre-schools will be needed by 2015 and the centre will begin catering up to 100 children from the ages of three to six in October.
Dr T Chandroo, chairman of Modern Montessori International, said: "The response has been good; we have got about 220 parents who have registered their interest. So we are very optimistic."
- CNA/gn
- wong chee tat :)
By Lip Kwok Wai and Ayesha Shaikh
POSTED: 03 Sep 2013 12:07 AM
One of Singapore's largest pre-school operators Modern Montessori International is on an expansion strategy to meet the rising demand for quality early childhood education.
SINGAPORE: Modern Montessori International, one of Singapore's largest pre-school operators, is on an expansion strategy to meet the rising demand for quality early childhood education.
The school’s 29th centre at Spooner Road is a refurbished bungalow with the latest teaching facilities, including a swimming pool and an eco-garden as part of environmental learning.
About 20,000 more places in pre-schools will be needed by 2015 and the centre will begin catering up to 100 children from the ages of three to six in October.
Dr T Chandroo, chairman of Modern Montessori International, said: "The response has been good; we have got about 220 parents who have registered their interest. So we are very optimistic."
- CNA/gn
- wong chee tat :)
Havelock Rd hotel site triggered for sale by public tender
Havelock Rd hotel site triggered for sale by public tender
POSTED: 03 Sep 2013 3:54 PM
URA said the site on the government's reserve list was triggered for sale after a developer had committed to bid at a price of not less than S$18 million for the site.
SINGAPORE: The government will be launching a hotel site at Havelock Road for sale by public tender in two weeks’ time.
The Urban Redevelopment Authority (URA) said the site on the government's reserve list was triggered for sale after a developer had committed to bid at a price of not less than S$18 million for the site.
Under the Reserve List system, a site will only be put up for tender if the developer's minimum bid price is acceptable to the government.
The plot is on the Reserve List for the first half 2013 Government Land Sales (GLS) Programme, and was made available for sale through the Reserve List system on 27 June 2013.
The land parcel consists of three conserved warehouse buildings fronting the Singapore River.
The URA expects the conserved buildings to be developed into a boutique hotel.
Unlike the usual hotel land parcels, the plot has a land tenure of 60 years, compared to the usual 99 years.
With a land area of about 1,536.2 square metres, the hotel site can generate a maximum permissible gross floor area of 2,145 square metres.
URA said it will announce the launch date later and the tender period will be about eight weeks.
- CNA/xq
- wong chee tat :)
POSTED: 03 Sep 2013 3:54 PM
URA said the site on the government's reserve list was triggered for sale after a developer had committed to bid at a price of not less than S$18 million for the site.
SINGAPORE: The government will be launching a hotel site at Havelock Road for sale by public tender in two weeks’ time.
The Urban Redevelopment Authority (URA) said the site on the government's reserve list was triggered for sale after a developer had committed to bid at a price of not less than S$18 million for the site.
Under the Reserve List system, a site will only be put up for tender if the developer's minimum bid price is acceptable to the government.
The plot is on the Reserve List for the first half 2013 Government Land Sales (GLS) Programme, and was made available for sale through the Reserve List system on 27 June 2013.
The land parcel consists of three conserved warehouse buildings fronting the Singapore River.
The URA expects the conserved buildings to be developed into a boutique hotel.
Unlike the usual hotel land parcels, the plot has a land tenure of 60 years, compared to the usual 99 years.
With a land area of about 1,536.2 square metres, the hotel site can generate a maximum permissible gross floor area of 2,145 square metres.
URA said it will announce the launch date later and the tender period will be about eight weeks.
- CNA/xq
- wong chee tat :)
Teletext to end service
Teletext to end service
POSTED: 03 Sep 2013 4:31 PM
MediaCorp will discontinue the analogue service Teletext, with effect from 30 September 2013.
Singapore: Teletext, an analogue information service provided by MediaCorp will be discontinued from 30 September.
“Given the antiquated technology, the availability of alternative sites for information and the declining usage of Teletext, we have decided to discontinue the service and channel resources to newer services to better serve our customers and reach a wider audience” said Mr Philip Koh, Managing Director for Convergent Media, MediaCorp.
Teletext provides general information on news, stock prices, airport,weather and other text-based information.
Over the years, technological advancements have enabled information to be readily accessible online, via mobile devices and tablets as well as connected TV and outdoor screens, said a MediaCorp statement.
MediaCorp and other organisations which provide such information on the newer digital platforms have seen growth in usage.
Conversely, the number of users of the non-interactive Teletext service has declined over the years.
- CNA/sf
- wong chee tat :)
POSTED: 03 Sep 2013 4:31 PM
MediaCorp will discontinue the analogue service Teletext, with effect from 30 September 2013.
Singapore: Teletext, an analogue information service provided by MediaCorp will be discontinued from 30 September.
“Given the antiquated technology, the availability of alternative sites for information and the declining usage of Teletext, we have decided to discontinue the service and channel resources to newer services to better serve our customers and reach a wider audience” said Mr Philip Koh, Managing Director for Convergent Media, MediaCorp.
Teletext provides general information on news, stock prices, airport,weather and other text-based information.
Over the years, technological advancements have enabled information to be readily accessible online, via mobile devices and tablets as well as connected TV and outdoor screens, said a MediaCorp statement.
MediaCorp and other organisations which provide such information on the newer digital platforms have seen growth in usage.
Conversely, the number of users of the non-interactive Teletext service has declined over the years.
- CNA/sf
- wong chee tat :)
22 years jail for sexual assualt involving Taiwanese starlets and models
22 years jail for sexual assualt involving Taiwanese starlets and models
POSTED: 03 Sep 2013 6:59 PM
One of Taiwan’s biggest sex scandals in recent years involving a rich playboy and several victims including models and starlets, has closed with a 22 year jail term for assaulting nine women and filming the acts
Taipei: Socialite Justin Lee, the son of former Yuanta CEO Lee Yueh-tsang, has received a jail sentence of some 22 years for sexually assaulting nine women and filming the acts.
A host of Taiwanese starlets and models had been named among Lee's victims.
According to Taiwan media, Lee who's also known as Li Zongrui, had 27.5GB files of sex videos and nude pictures found by police in his apartment.
A total of 93 videos (883mins) and 176 photos were apparently found on the hard-drive of Lee's computer and a few has since been leaked online.
The graphic images show Lee having sex with different women, some of whom appear dazed or struggling with him.
Lee who faced 45 counts of rape, aggravated rape, and violation of privacy, turned himself in last month after hiding from authorities.
The court chided Lee, saying "Lee should have collaborated with the authorities to clarify the case".
The Taipei district court went on to sentence Lee to jail for 18 years and six months for nine counts of assault.
He was sentenced to another three years and ten months for making sex videos without the women's consent and invading their privacy.
In addition, Lee will also have to pay a total of NT$14.25 million (S$610,200) in damages to 12 of his victims.
As previous hearings of the case were closed to the public, Taiwan media turned up in force for the sentencing of Lee, who appeared relieved when his sentence was read out.
The court said there was not enough evidence to convict Lee of aggravated sexual assault by drugging some victims, as prosecutors had requested.
The 28-year-old was originally accused of drugging, raping as well as secretly filming as many as 30 women, among them models and actresses – crimes which carry a combined maximum penalty of 30 years jail - in one of Taiwan’s biggest sex scandals in recent years.
Lee who plans to appeal the sentencing has claimed that all the women in the videos had agreed to the recordings. He has also denied drugging them.
In July 2011, two sisters filed a complaint against Lee for drug rape and recording sexual activity without consent.
Amidst a year-long police investigation, the scandal took another turn when Next Magazine claimed in August last year,that Taiwanese celebrities Maggie Wu, Terri Kwan, Bianca Bai, and Ruru Lin were featured in the videos.
- CNA/ha/sf
- wong chee tat :)
POSTED: 03 Sep 2013 6:59 PM
One of Taiwan’s biggest sex scandals in recent years involving a rich playboy and several victims including models and starlets, has closed with a 22 year jail term for assaulting nine women and filming the acts
Taipei: Socialite Justin Lee, the son of former Yuanta CEO Lee Yueh-tsang, has received a jail sentence of some 22 years for sexually assaulting nine women and filming the acts.
A host of Taiwanese starlets and models had been named among Lee's victims.
According to Taiwan media, Lee who's also known as Li Zongrui, had 27.5GB files of sex videos and nude pictures found by police in his apartment.
A total of 93 videos (883mins) and 176 photos were apparently found on the hard-drive of Lee's computer and a few has since been leaked online.
The graphic images show Lee having sex with different women, some of whom appear dazed or struggling with him.
Lee who faced 45 counts of rape, aggravated rape, and violation of privacy, turned himself in last month after hiding from authorities.
The court chided Lee, saying "Lee should have collaborated with the authorities to clarify the case".
The Taipei district court went on to sentence Lee to jail for 18 years and six months for nine counts of assault.
He was sentenced to another three years and ten months for making sex videos without the women's consent and invading their privacy.
In addition, Lee will also have to pay a total of NT$14.25 million (S$610,200) in damages to 12 of his victims.
As previous hearings of the case were closed to the public, Taiwan media turned up in force for the sentencing of Lee, who appeared relieved when his sentence was read out.
The court said there was not enough evidence to convict Lee of aggravated sexual assault by drugging some victims, as prosecutors had requested.
The 28-year-old was originally accused of drugging, raping as well as secretly filming as many as 30 women, among them models and actresses – crimes which carry a combined maximum penalty of 30 years jail - in one of Taiwan’s biggest sex scandals in recent years.
Lee who plans to appeal the sentencing has claimed that all the women in the videos had agreed to the recordings. He has also denied drugging them.
In July 2011, two sisters filed a complaint against Lee for drug rape and recording sexual activity without consent.
Amidst a year-long police investigation, the scandal took another turn when Next Magazine claimed in August last year,that Taiwanese celebrities Maggie Wu, Terri Kwan, Bianca Bai, and Ruru Lin were featured in the videos.
- CNA/ha/sf
- wong chee tat :)
Malaysia ringgit hits 3-week high after fuel subsidies cut
Malaysia ringgit hits 3-week high after fuel subsidies cut
Reuters
* Ringgit outperforms some SE Asia currencies
* Immediate chart resistance seen at 3.2600/dlr for now
SINGAPORE, Sept 3 (Reuters) - The Malaysian ringgit hit a three-week high on Tuesday, outperforming some Southeast Asian currencies, as offshore funds bought it after the government cut fuel subsidies to reduce the country's fiscal deficit.
The ringgit advanced 0.29 percent to 3.2645 as of 0307 GMT, after hitting 3.2590, its strongest since Aug. 13.
That compared with a 0.23 percent gain for the Thai baht and 0.27 percent appreciation of the Philippine peso .
Malaysian government bond yields slid.
Late Monday, Malaysia Prime Minister Najib Razak looked to sidestep political opponents and temper market jitters by cutting fuel subsidies to beef up the country's fiscal position, which had spurred capital outflows.
The cuts in petrol subsidies, effective from Tuesday, will save the government an estimated 1.1 billion ringgit ($336 million) this year and another 3.3 billion ringgit in 2014, he said.
Saktiandi Supaat, head of FX research for Maybank in Singapore, said the subsidy cut "will help support the ringgit in so much as it will reduce the fiscal deficit."
"The intensity of support will depend on the budget announcement in October. Still, it is a good start as it will help allay concerns until the budget," he said.
Supaat said the ringgit may outperform other Southeast Asian currencies after the 2014 budget plan and especially if the government takes additional steps such as smaller public spending.
In 2012, Malaysia's budget deficit was 4.5 percent of gross domestic product, the second highest in emerging markets after India. Ratings agency Fitch cited the high budget deficit as one factor when it lowered the outlook on Malaysia's A-/A credit ratings to negative from stable in late August.
The commodity-dependent country's fiscal gap slowing exports and high foreign ownership of government bonds has highlighted its vulnerability to market sell-offs amid the recent currency rout.
The ringgit has suffered monthly losses since May when Najib's coalition extended its 56-year rule but had its worst-ever election performance.
During the four months, it lost 7.4 percent against the dollar, according to Thomson Reuters data. One factor putting pressure on the ringgit in those months was an absence of reforms to reduce the fiscal deficit.
The local unit is seen facing an immediate chart resistance at 3.2600, its session lows of early August, traders and analysts said.
The next level would be 3.2461, the 23.6 percent Fibonacci retracement of its depreciation between May and August.
Still, the ringgit is not free from expectations that the Federal Reserve may start reducing bond-buying programme as soon as this month, traders and analysts said.
"I don't think the ringgit will break 3.25 even, unless Fed tapering is postponed to December," said an Asian bank trader in Singapore.
(Reporting by Jongwoo Cheon and Reuters FX Analyst Rick Lloyd; Editing by Richard Borsuk)
- wong chee tat :)
Reuters
* Ringgit outperforms some SE Asia currencies
* Immediate chart resistance seen at 3.2600/dlr for now
SINGAPORE, Sept 3 (Reuters) - The Malaysian ringgit hit a three-week high on Tuesday, outperforming some Southeast Asian currencies, as offshore funds bought it after the government cut fuel subsidies to reduce the country's fiscal deficit.
The ringgit advanced 0.29 percent to 3.2645 as of 0307 GMT, after hitting 3.2590, its strongest since Aug. 13.
That compared with a 0.23 percent gain for the Thai baht and 0.27 percent appreciation of the Philippine peso .
Malaysian government bond yields slid.
Late Monday, Malaysia Prime Minister Najib Razak looked to sidestep political opponents and temper market jitters by cutting fuel subsidies to beef up the country's fiscal position, which had spurred capital outflows.
The cuts in petrol subsidies, effective from Tuesday, will save the government an estimated 1.1 billion ringgit ($336 million) this year and another 3.3 billion ringgit in 2014, he said.
Saktiandi Supaat, head of FX research for Maybank in Singapore, said the subsidy cut "will help support the ringgit in so much as it will reduce the fiscal deficit."
"The intensity of support will depend on the budget announcement in October. Still, it is a good start as it will help allay concerns until the budget," he said.
Supaat said the ringgit may outperform other Southeast Asian currencies after the 2014 budget plan and especially if the government takes additional steps such as smaller public spending.
In 2012, Malaysia's budget deficit was 4.5 percent of gross domestic product, the second highest in emerging markets after India. Ratings agency Fitch cited the high budget deficit as one factor when it lowered the outlook on Malaysia's A-/A credit ratings to negative from stable in late August.
The commodity-dependent country's fiscal gap slowing exports and high foreign ownership of government bonds has highlighted its vulnerability to market sell-offs amid the recent currency rout.
The ringgit has suffered monthly losses since May when Najib's coalition extended its 56-year rule but had its worst-ever election performance.
During the four months, it lost 7.4 percent against the dollar, according to Thomson Reuters data. One factor putting pressure on the ringgit in those months was an absence of reforms to reduce the fiscal deficit.
The local unit is seen facing an immediate chart resistance at 3.2600, its session lows of early August, traders and analysts said.
The next level would be 3.2461, the 23.6 percent Fibonacci retracement of its depreciation between May and August.
Still, the ringgit is not free from expectations that the Federal Reserve may start reducing bond-buying programme as soon as this month, traders and analysts said.
"I don't think the ringgit will break 3.25 even, unless Fed tapering is postponed to December," said an Asian bank trader in Singapore.
(Reporting by Jongwoo Cheon and Reuters FX Analyst Rick Lloyd; Editing by Richard Borsuk)
- wong chee tat :)
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