Singapore Consumer Lending Sector, Consumer Landing Forecast Singapore - ken Research

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Potential in Singapore Financial Sector-Driving
Housing Loan Demand Ken Research
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The gloomy headlines concerning the economic
position of Singapore in recent years will
revolutionize in 2017 which will bring brighter
prospects. These positive sentiments are
restricted only to few sectors in the economy.
Consumer credit maintained positive growth rates
and is supported by increase in mortgages and
credit card interest payments.
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According to research report, Consumer Lending
in Singapore, consumer lending conditions may
tighten further along with efforts to control and
risk in the financial systems. Regardless of the
depressing economic position in Singapore,
consumer lending maintained a positive growth
rate in current terms. On a national perspective,
there were increase in mortgages and credit card
interest payments. Consumer credit lending has a
current value growth but the number of incomplete
loans saw a slower repayment option and total
consumer credit outstanding balance
declined. The new private vehicle registrations
increased when the government reduced
restrictions on vehicle financing in 2015. This
led to a strong growth in consumer auto lending.
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The year 2016 saw a positive recover in auto
lending outstanding balance. However, a strong
demand from app-based private rental cars, it
slowed down the growth in car loans and consumer
auto lending showed signs of slowdown in
2016. Consumer lending is expected to see
minimum value growth in 2016 due to the less
positive economic outlook. The real GDP forecasts
by analysts was disappointing and rising
unemployment rate contributed to the sluggish
forecast in consumer lending. The Singaporeans
became more risk-adverse and avoided higher
interest rates on consumer loans. Consumer
lending by Singapore banks strengthened in
February 2017. However, weak lending growth to
still haunt Singapore banks in 2017. The consumer
lending growth varies between 1 to 2 for the
year 2017.
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Latest banking data confirms that the analysts'
negative view on the financial sector shows
declining growth to 11 and the asset quality
continues to worsen. In general, the loan growth
for the year 2018 will very much depend on the
job market pickup. Business loans will continue
to dip along with the uncertain economic
environment. According to research firm, Ken
Research, consumer loan growth was steady, with
total lending up 3 from November 2016. Housing
and bridging loans increased drastically. Credit
card lending increased and car loans dipped. The
financial sector has taken a series of specific
measures to strengthen financing channels for
next-generation Asian growth companies and to
build technology infrastructure to drive
innovation.
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Singapore aspires to be the financing hub for the
next-generation companies. These companies range
from small start-ups to medium enterprises or
early-stage large enterprises and often have a
strong focus on innovation or technology. In
the coming years, the financial sector will work
with industry players to study successful private
market structures and engage potential platform
and market operators to unlock capital so that
they can go on to start new and innovative
businesses. The government has taken interest in
developing Know-Your-Customer (KYC) utility. This
is a process by which a financial institution
identifies and verifies the credentials of their
clients for any type of loan.
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This is a crucial process for all the financial
services industry worldwide. The Singapore
government is working closely to study the
feasibility of developing an industry KYC utility
that perform KYC processes on a centralised
basis. Key Topics Covered in the
Report Consumer Lending In Singapore Singapore
Consumer Lending Sector Singapore Financial
Sector Singapore Banking and Financial
Market Consumer Landing Forecast Singapore
Singapore Financial Sector Growth Singapore
Financial Sector Outlook Singapore Financial
Sector Development Singapore Consumer Lending
Sector Research
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• To know more about the publication
• https//www.kenresearch.com/banking-financial-serv
  ices-and-insurance/loans-and-advances/consumer-len
  ding-singapore/100760-93.html
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