Why Singapore Has Zero Net Debt

Singapore's is one of the only few nations out there that have zero net debt, and here's why.
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[@BehindAsia]

Do you think Singapore's debt management is amongst the world's best?

[@Khairulzaman96]

Theres are pro & Cons of debt management by goverment

[@crazyeconomicsprofessor]

I think a lot of what Singapore does is amongst the world's best.

[@MinJun-f4w]

Singapore is the best country amongst all ❤️❤️🇸🇬

[@bengchiatseah3908]

Check how Singapore classify her debts. A foreigner’s assets in Singapore is considered as debts. Having 40% foreigners forming the residents, and with most big corporations being foreign owned, it is only normal that the debts are high. This is a very prudent accounting practise. Your video on the other hand….

[@shadowj3311]

I seriously doubt any of the comments here understand what he is saying juggling by all their comments.😂😂

[@catmatism]

All pretend they know 😂

[@Khairulzaman96]

Despite singapore small populations than malaysia but singapore is asian financial & business hub such Tokyo,Hong Kong,Shezhuan,New York City,Lonfon Taipei

[@sungjane]

Hong Kong is not free

[@Woo-b9l]

Singapore debts are productive, while many other countries have bad debts.

[@kornhead8]

SG 🇸🇬 is smart in many ways managing debts & liabilities than most countries 🥸

[@MarkChan-id6hi]

You need to show us how much GIC's assets are worth, so we know the total amount of asset Singapore holds

[@kageyamareijikun]

There is also Temasek Holdings but it's not mentioned here. The government is also very secretive about its reserves and till date no one really knows the true figure, not even the president.

[@jaryRim]

What about Temasek Holdings though? GIC gets all the attention.

[@samchan3240]

Singapore GIC ,MAS, CPF, TEMASEK TOTAL ASSETS SGD 2.5 trillions

[@kornhead8]

Just look at big companies like SIA, DBS & others are owned by G 🇸🇬

[@IAmNoobzxc]

@@samchan3240 total assets, not total net asset. these entities have debt too

[@ssangyongA230]

This video is stupid to state sg people don't know. If sg people don't know, we be like the 3rd world country. It's an AI bot talking in this video.

[@kageyamareijikun]

I'm early! Finally a video that is not Japan

[@crazyeconomicsprofessor]

good video... Singapore had corruption under control early on, that's why they developed so fast.

[@kengleetan63]

I am not concerned about whether Singapore has ZERO DEBT. I make sure I HAVE ZERO NET DEBT!😆😆

[@save7043]

Are you trying to make a joke?

[@Khalid-sr5zp]

​@save7043 think he being realistic

[@bensgoodeats1493]

Large amount of money deposited here in Singapore from overseas are counted as liabilities . This point was not mentioned

[@deviladvoc]

explain

[@bensgoodeats1493]

@ kzbin.info/www/bejne/i6WuiKONj71krtUsi=ATTpqKY3cLyBjpC7

[@craakhun]

That's why Singapore stays as one of the most powerful country in Southeast Asia

[@siewpoh5]

You need more than a 16 minutes video to understand comprehensively the story to understand this topic,

[@misterbig9025]

Why can't The Philippines have zero net debt?

[@tudung348]

Because of trade deficit. The PH can't save foreign reserves when it has to use them for imports.

[@bradzander1972]

Different economies have different problems. As a Singaporean, we fail to recognise differences in the countries because we are so small. Phillipines generally speaking is a logistical nightmare along with Indonesia. It is very difficult to support sporadic small city development when logistical costs increase alongside any greater development. We also cannot forget that different parts have different cultures and it isn’t so easy to just uproot them and make them work in cusy modern jobs. You can see the same effects albeit on a smaller scale in Singapore with Malays working vastly different jobs from Indians and Chinese.

[@sungjane]

Southeast Asia has the largest population growth in the world.

[@hiroyukishinichi9873]

Simple visualisation to sum up👇 Just think of an actually cash rich and wealthy (has both not so liquid assets and liquid cash) guy. It’s not about “I don’t have money so I must borrow”. Some other countries are like that, they borrow because they don’t have money. This rich guy borrows, meaning to leverage other people’s money first, to BUILD wealth creating projects. Not spending on recurring expenses for example buying a shiny new car only to take on recurring auto loans or even recurring expenses like daily necessities. It is to start a business or build a shop front, which will be used to generate more wealth. Be rich. Be smart with money. 😘

[@MsCorydorus]

Singaporeans mostly know they have zero net debts. Many people buy Singapore Saving Bonds snf got interests from the Pension funds. So is not true we do not know. The gov has enough reserve and probably do not even need SGS to raise funding for investment. SGS is needed for getting pricing to facilitates trades.

[@sulner9997]

So they are running a margin account

[@Black_Sun_Dark_Star]

It isall inn the balance sheet. and also, look closely at what the debts are. I agree with any comment: this video is dumb.

[@rentzi3834]

I would see it this way. All those methods are of the past...with everything collapsing by Feb 2025 in the world....Sigapore debts will be fully detrimental to paying anything...maybe collapsed as well for good...of few years..

[@armbrustroy9137]

Very interested to know the facts for CIC china

[@MuhammadAhmad-db6sf]

Singapore are so developed economy as we know there democracy and capitalism are on peak one man lee changed the country where peoples just smokeing or poorness and every where just worries than one responsible man changed everything or then now Singapore are so happy people nation where least corruption and high living of standard and every facilities given by government to peoples and there GDP across 500 billion dollars yes they can hold and secure there near future problem🦾 🇸🇬 Great Singapore

[@gypseeman]

Assets rich.. Cash poor ??? How much cash in country “pocket” ?

[@lxcites]

If you understand how money works, 'Cash' is the most worthless transactional vehicle (don't even call it an asset) throughout history. The value of cash decreases literally on the daily - due to inflations, political, social climates. Any country that knows how to quickly convert cash into tangible assets, via commodities, precious materials, technology etc, are the 'Smart' and rich nations. Though similarly, any country that are full of resources but doesn't create an ideal environment to utilise the resources, will still remain 'poor'.

[@tskuan32]

Having non productive cash today is a burden. We are in an inverse yield environment. Long term interest rates are worse than short term interest rates, the risk of not investing is higher than investing. Cash is no longer king

[@gypseeman]

@@lxcites what happen when u get sanctioned

[@lxcites]

@@gypseeman That's precisely the reason why you want to be assets rich and hold other nations/partners liable. Cash on the other hand, means nothing and hold no power when you're being sanctioned. :)

[@lxcites]

​@@gypseeman Then all the more it proves that having assets all over the world helps in holding nations/partners accountable. By the time you're sanctioned, it'll be too little too late for your cash to hold any value to save your ar$e.

[@clementihammock7572]

So many AI narrated clips just to earn miserable living. MAS will tell us, not a dumb AI bot.

[@harrymal8141]

Great explanation, Thanks. Well done Singapore, smart Government strategies, LKY RIP

[@lim6204]

Welcome to Singapore

[@allenpoh556]

Keen to know the wealth of USA😂

[@말라유]

singapore is huge money laundry country. we all know

[@kv9016]

By your logic, at least 30 other countries are also "money laundering". Just admit you're a dummy tr0ll🤣

[@eilselgna7208]

Prove it

[@samchan3240]

Anwar said Malaysia national debts 1.24 trillion RM

[@ivancen5020]

says sour grapes from Ma****** lol. Actually what we really know is how police from your country collects bribes for both real and fake traffic offenses ;)

[@sontoloyo-zo9er]

dont assumed if you dont know precisely his/her nationality... in the column section... anyone from any country can wrote like that... if you dont like malaysia well dont step a foot through causeway or second link...just stay in your cramped island

[@ElEl-ns3pk]

Singapore is clearly an overly risky economy. It seems to be typical of a financial center.

[@JacksonWong-pw4zq]

This is why pap are extrenely worried if opposition becones ruling party , all pap hides will be totally exposed , this is why pap have been working extremely hard not in serbing singaporeans but to remain in power

[@Rod-bp8ow]

It is not in debt, it has a lot of payables to reconcile in its books of Accounts, Inventories classification, TAXATION measures as a means of QUALITY, QUANTITY CONTROL, protected from counterfeit, fake or fraudulent products, goods, and services while Cost of living also is to be at PAR reconciled with its yearly realization of entries in its books of Accounts, attested by both sectors Private and Public Sectors.****Patents, Trademarks, Copyrights, LLCs, Registrations are owned by its respective brand owners. ALL RIGHTS RESERVED.*******

[@lompanglompang6628]

🥱🥱🥱😴😴😴Singapore economy and wealth again … pls talk abt something else.

[@ilhamrj2599]

I work for a bank, we usually dont ever use term “net debt”. Because, debt usually can only be cancelled out if the counterparties involved both in assets and liabilities side are the same. And netting agreement legally is quite difficult to withhold should there be any event of default…. Most courts would only allow settlement be done separately for asset side and liabilities side. And if those reserves are in “Cash”, that doesnt mean that the creditor automatically bears the right on that cash when The Singaporean government failed to pay its due😂. Thats not what you get by buying government bonds actually mean if you are an investor.. What you get is the “goodwill” that Singaporean government would force themselves to sell that asset to pay for its dues….l And to exectute that The Singaporean government need to consult with its own parliament,,, and not to mention the resistent from the citizen. The only option would be issuing new debt with higher coupon rates to pay for the old due ones. Yet by doing that meaning, more Singaporean needs to pay higher taxes, and pushed for more others national revenue😂. This video is so dubious that it says the Singaporean govt issued bonds to funnel their money to GIC… in which an investment body (meaning that it can go wrong because it might invest in private sectors in some foreign nation). This makes it sound so much worse, I mean what could possibly go wrong, right???😅 The national debt supposed to be done to cover for the genuine national expense…. not some “strategic” way to gaining more investment return. I dont believe Singaporean govt does that …. because if it does, it is like taking a loan from a bank to buy a stock in Wall Street and betting for the investment gain to repay those debts. That sounds insane😂😂

[@cky4831]

Singapore Reserves Revealed kzbin.info/aero/PLbnMTcZEga8SQpk1tO3NQjP79rIqkj2Iv

[@kv9016]

It takes on debt to fund investments to hopefully make a profit as well as repay the previous debt, many other countries have been doing this for years. Are you living under a rock? I suggest you read up more on how sovereign wealth funds work. That's exactly why the government and the people running GIC have to be competent, with strict regulations so this can work.

[@OnMusicSoon1]

@@kv9016 he is the bank's security. His bank doesn't give loans to business to make profit.

[@PranicEnergy]

Perhaps only low level employees in banks don't ever use the term "net debt". But I have an uncle in high level management in a local bank and I have heard him use that term. No kidding.

[@danielc2701]

"Sounds insane" and "happens" are two different things. Singapore DOES use its savings to generate returns strategically. They call it the NIRC or Net Investment Returns Contribution and it pays for a lot of the government services. Their ex-Prime Minster even once said on TV that those investments contribute more than what some government departments even cost, so those departments are actually running "for free" in terms of maintenance costs. kzbin.info/www/bejne/e6WUe4yQZbeleZofeature=shared&t=2610

[@Ken-g8p]

while Singapore's approach to maintaining zero net debt has clear financial benefits, it also poses certain disadvantages that could affect economic growth and flexibility in a rapidly changing global environment.

[@danielc2701]

Can't deny that. At least recognizing that Singapore is taking a lot of risks by how it runs things is better than the guy that said it can never happen because it is risky lol. Singapore's investments does give it good returns when times are good, but makes it a lot more at risk when there is a financial crisis and economies take the hit. So high risk, high returns.

[@hiroyukishinichi9873]

@@danielc2701errrrr a financial crisis hits everyone. Investment has always been about risk management. Risky? Considered very well managed risk. GIC less risk taking has been making returns. Temasek more risk taking has also been making returns. Relax. They know wad they doing. Just make sure we continue to vote PAP to continue this. Let Oppo govern, we will all be f***ed