Much to gain despite economic doldrums

Despite the rather displeasing thought of a depreciation in currency and rather languid growth in China putting a chink in the armour of Singapore's economy, we still have a lot to gain, owing to the possibility of integration with the Baltic Exchange, coupled with recovering oil prices ("More ups than downs expected this week"; May 30).

An integration with the Baltic Exchange is a strategic move that will go hand in hand with global developments ("SGX in exclusive talks to buy Baltic Exchange"; May 26).

It will definitely bolster the Singapore Exchange's position, as the sluggish growth in China is cause for concern. Growth must certainly not stagnate.

Additionally, a future hike in United States interest rates could act as a multiplier effect, as the propensity to invest would rise.

Meanwhile, recovering oil prices have spearheaded recovery in many Asian economies.

The rising prices will, therefore, counteract the slow growth Singapore has had. The competitiveness of oil as an export is imperative for Asean as a whole.

Overall, our economy can become a lot more self-sufficient, and poor growth in other countries and unpredictable consumer behaviour will do little to cripple it in the future.

Singapore's encouragement of the growth of start-ups will be very effective in boosting self-sufficiency.

The global situation has become very precarious, and having a foothold in Europe is vital.

It is better to take precautions when faced with the gallows of economic uncertainty.

Shivani Ekkanath (Ms)

A version of this article appeared in the print edition of The Straits Times on June 07, 2016, with the headline 'Much to gain despite economic doldrums'. Print Edition | Subscribe