MY friend, who is the chief risk officer of a major international bank in Singapore texted this message in our chat group: “Dear bros, preparing for a global recession.
That’s best case scenario assuming pandemic contained by summer. Governments world over doing whatever it takes to preserve productive capacity for resumption of normal economic activities.”
Singapore has called on its reserves to spend 10% of its GDP like most European countries and now the United States to preserve productive capacity which means keeping workers employed, supporting livelihoods and stabilising businesses.
I have just texted: “Friend – not all governments preserve productive capacity. Certainly not Malaysia after the announcement of the economic stimulus programme by our PM.”
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