Singapore's Builders Seen Facing Debt Troubles Amid Curbs
- Construction firms face tight liquidity, higher rates, EY says
- Bonds of listed Oxley Group and Chip Eng Seng under pressure
A worker walks near piles of construction materials at the construction site of a residential property development in Singapore, on June 5, 2017.
Photographer: Sanjit Das/BloombergThis article is for subscribers only.
Singapore’s small construction firms are likely to face more difficulties repaying debt as a clampdown on property speculation worsens their already tight liquidity.
The island’s economy grew at a slower pace in the second quarter than initially projected as construction plunged. Singapore increased stamp duties for developers in July, and also tightened borrowing limits for individuals taking up their first housing loan, after property prices jumped this year.