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Showing posts from September, 2018

Is another 1997-style emerging market crisis on the cards?

Is the global economy under threat once more? Leon Perera, CEO of Spire Research and Consulting shared his insights in The Business Times – Views from the Top section on 10 September 2018 on the risks facing the world economy. Some economists have pointed to signs of an imminent economic crisis similar to the emerging markets currency crisis of the late 1990s or the Lehman shock of 2008. Perera highlighted that the US continues to register strong growth in stock prices, jobs and Gross Domestic Product (GDP) with further Fed interest rate hikes likely. However, emerging market growth is slowing down and some countries have run into trouble, like Turkey. In this context, the biggest risk to the world economy may be the potentially destabilizing effect of a strong US dollar and US economy on emerging markets. This confluence of factors raises the risk of capital outflows from emerging markets, credit woes as well as currency depreciation and volatility. Geopolitica

Pets emerging as a growth industry in Asia

Asia’s burgeoning pet care industry is making its mark, with pet expenditure set to reach USD21 billion by 2022. Spire’s viewpoint on industry growth was cited in the South China Morning Post’s news portal. Pet owners increasingly treat their pets like family members. This has led to burgeoning spending on pet care. Companies are commercializing a variety of services and products to cater to the growing Asian fascination with pets. Rising disposable incomes in Asia have also affected the pet industry, with the emergence of luxurious spa, gourmet food and designer clothes options for Asian pets. Read here more: https://www.spireresearch.com/newsroom/media/pets-emerging-as-a-growth-industry-in-asia/

Confidence key to Singapore’s success

Can Singapore cultivate a culture of confidence as it turns 53? Leon Perera, CEO of Spire Research and Consulting shared his insights in The Business Times – Views from the Top section on 6 August 2018 on Singapore’s future. As Singapore ushers in another year of independence, more confidence needs to be instilled. Intelligent risk-taking will be key to the next phase of Singapore’s development. Perera highlighted that familiarity with past successes should not inhibit fresh, innovative thinking and experimentation with new strategies. Therefore, it is crucial for leaders to inspire trust and also for Singaporeans to cultivate greater trust in one another to be good citizens, thus engendering the social capital necessary for national success. The text of Perera’s comments are provided below. A comprehensive Korean peace treaty and denuclearization agreement are worthwhile goals to pursue. But it is unlikely that the North Korean leader will completely give up t

Spire explains market opportunities in Australia for Malaysian franchisors

Spire Research and Consulting was invited to speak at a Malaysian Franchise Association (MFA) symposium held jointly with the Ministry of Domestic Trade and Consumer Affairs on 7 August. Deric Yeo was the event moderator and Aqilah Binti Zamri (Analyst at Spire Malaysia), Terry Lim from Global Art, MATRADE’s Pn. Anisah Ali and Pn. Noor Asiah Mahmud were panel speakers. The speakers shared their insights on market opportunities and challenges in Australia facing Malaysian franchisors. The speakers shared insights on market opportunities in Australia for Malaysian franchisors. Australians are increasingly dining out. As much as two thirds of the population (over 14 years of age) dine out at least once a month. To put this into perspective, the average personal consumption stands at around USD11 for fast food, USD7-10 for casual dining and USD 5-10 for snacks or desserts. 1,089 business franchisors ply their trade in Australia, of which 10% are foreign brands and 90% lo

China’s New Silk Road Initiative - An integrated trade strategy for the 21st century

The Belt and Road Initiative (BRI), announced in 2013, is not only China’s most ambitious global infrastructure project but also one of the largest ever attempted anywhere. It aims to develop a free trade zone and improve global connectivity across the Eurasian landmass. With an estimated investment of USD4 to 8 trillion and affecting over 70 countries, can China successfully connect all these economies together? What is China's BRI? The BRI mega infrastructure project aims to cement links with Southeast Asia, Central Asia, Russia and the Baltic Region. It aspires to establish a free trade zone through infrastructure developments among countries and continents. The idea of the BRI was inspired by the ancient trade routes used by Chinese traders to boost connectivity with not only neighboring nations but with distant countries as well, such as the Roman Empire. Pan-Eurasian trade routes were opened in 130 B.C. during China’s Han Dynasty, ostensibly for interna

The Philippines - Asia's next economic powerhouse

The Philippines is emerging as one of Asia’s most dynamic economies, with a forecasted growth rate of 6.9 per cent in 2018 driven by investment and private consumption. The economy recorded growth of over 6 per cent in 2017, for the sixth straight year, thanks to buoyant government spending, exports and a recovery in the agricultural sector. Will this Southeast Asian tiger be able to maintain its momentum? A growing economy While advanced economies like the United States, Europe and Japan are growing at slow rate, a number of emerging economies like the Philippines continue to surge ahead. With annual growth expected to reach 6.9 per cent by 2018, the Philippines now ranks as the 10th fastest growing economy globally. Owing to strong domestic demand and government projects, the country’s economy is on the rise. The government’s expansionary fiscal policy has aided capital formation and credit growth, whereas low inflation has strengthened private consumption. Path

Innovation in agriculture - meeting global food security needs

Humankind’s future ability to feed itself is in jeopardy due to the concurrent degradation of land, water, climate and biodiversity on a global scale. The human population is set to reach 10 billion people by 2050, increasing the global demand for agricultural products by 70 per cent. By 2022, India will surpass China as the most populous country in the world. Will innovation in agriculture be able to feed the global population? The origins of agriculture Agriculture is derived from the late-Latin word Agricultura with ‘agri’ depicting land and ‘cultura’ meaning cultivation. Starting out as hunter-gatherers, humans have gradually learned to settle in fertile places for farming and later, started domesticating animals. The Fertile Crescent of the Middle East, which we now refer to as Egypt, Turkey, Israel and Iraq, is known as the earliest site of farming. While it is not without its detractors, the agricultural revolution has delivered benefits in term