Worst might not be over for Singapore’s investment activity: report

This followed the SVB collapse and Credit Suisse Group takeover which make it more challenging to get financing.

Investment activity in Singapore is expected to get worse before it gets better, Knight Frank projected, citing the Silicon Valley Bank collapse and Credit Suisse Group takeover. 

“The pace of investment activity in Singapore is expected to get worse before it gets better,” the report read.

“Financing has become more challenging for buyers, investors, developers, and banks, and will remain so until there are visible signs of the global economy and financial conditions stabilising.” 

Read more: Chart of the Day: Investment sales value at $24.7b in 2022

Investment sales are projected to range from S$20b to S22b for the whole of 2023, which is more conservative than earlier projections of S$22b to S$25b. 

Investment deals slowed in the first quarter of 2023 with total investment sales amounting to S$4.2b, a 61% year-on-year drop. 

This is the lowest quarterly total since the second quarter of 2020, when Singapore was placed under the circuit breaker.