Daily Briefing: oBike and Ofo struggle amidst cash crunch; $1.34b Singapore-Johor transit project weighs more than HSR project

And here's what the US and North Korea can learn from Singapore's public sector.

From Bloomberg Finance:

US President Donald Trump and North Korean leader Kim Jong have a lot to learn from Singapore this week. Bloomberg shares how Singapore's public sector has raised its economy and put Singapore at the top wealthy nations of the world, with a per capita income of about US$90,000.

"Singapore has many features shared by other wealthy countries, such as a high capital stock, a predictable legal environment and a well-educated workforce, but what are some of the less common factors behind its success?

Strikingly, Singapore is one of the few countries where there is brain drain into the public sector. This stems partly from the high salaries paid. Top bureaucrats typically receive more than their American equivalents, and cabinet level pay may exceed $800,000, with bonuses attached that can double that sum for excellent performance."

Read more here.

From PropertyGuru:

The RM4b ($1.34b) Rapid Transit System (RTS) connecting Singapore with Johor Bahru is "more viable and practical" than the High Speed Rail (HSR) that is estimated to cost RM110b ($37b).

"'We need the RTS more than the Singapore-Kuala Lumpur HSR that has been axed,' said Johor Indian Business Organisation president P. Sivakumar.

He is also urging the authorities to expedite the implementation of the RTS as it is anticipated to help reduce congestion at the causeway and the second link, as well as reduce pollution levels.

On 1 June, Malaysia’s Transport Minister Anthony Loke announced that the new government will not cancel the RTS."

Read more here.

From Tech in Asia:

Users of Singapore ride-hailing firm oBike put heat on the company after finding out their deposits were repurposed to sign them up to subscriptions without their knowledge.

"Meanwhile, Chinese rival Ofo is also said to be facing difficulties in Singapore, with a warehouse-load of its bicycles reportedly being put up for sale.

The rumours about the two firms come amidst reports of increasingly serious cash shortages at bike-sharing companies across Asia Pacific.

Citing Reddit threads, personal finance site Seedly said that oBike had apparently “converted” some deposits into 1,095-day “Super VIP” (SVIP) subscriptions."

Read more here.