Forbes Article - Why Singapore's Economy Is Heading For An Iceland-Style Meltdown

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We heard Forbes, MAS's views. Now is the third parties' view, the economists, not those in US, but local insiders...

Local economy, banking system resilient: Economists

SINGAPORE — Economists have chastised a widely circulated Forbes article which warned that Singapore is at risk of an Iceland-style meltdown, saying that the report displayed a lack of understanding of the situation here and is outdated.

The comments follow a statement by the Monetary of Authority of Singapore (MAS) on Tuesday, which rejected suggestions in the Forbes article that a credit bubble, fuelled by extremely low interest rates, was brewing in the Republic.

Singapore’s economy and banking system are resilient against potential risks from rising household debt and property prices, said economists.

While an increase in interest rates might cause problems, the tight regulatory control would minimise the risk of Singapore facing a dangerous credit bubble, they added.
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http://www.todayonline.com/singapore/loc...economists

this is the one thing to worry about from the article above

“The normalisation of interest rates will be a clear risk to the Singapore economy and borrowers … But, unless Singapore slips into an unexpected recession with (many jobs lost), the impact is expected to be well absorbed.”

Recession is a possibility in these days & times ..i dont know why they call it unexpected recession.