Today-Feb 28

Energy costs will be one key area where the conflict in Ukraine will affect Singapore, with pump prices for petrol and diesel here expected to rise, along with electricity rates for both businesses and households. Mr Gan Kim Yong, Minister for Trade and Industry, touched on Russia’s invasion of Ukraine while speaking during the Budget debate in Parliament on Monday (Feb 28). He said that while the immediate and direct impact on Singapore’s economy and firms has been “manageable” for now, the crisis “has clouded our economic outlook” and downside risks “have also increased significantly”. “One key area we will be significantly impacted by the conflict in Ukraine is energy cost, as we import most of our energy needs.” Besides energy prices, the conflict will also further strain global supply chains, since Russia and Ukraine are major exporters of commodities such as wheat, and metals such as nickel and palladium. This would raise prices of goods that use these commodities as intermediate input, Mr Gan added. The manufacturing and construction sectors, as well as semiconductor industry and the wider technology goods market are areas that may be affected by these disruptions. “Make no mistake, that while Ukraine may seem far away from Singapore, the conflict there will have real and significant impact on all of us,” he said.

Read more at: https://www.todayonline.com/singapore/ukraine-russia-conflict-will-significantly-affect-energy-costs-singapore-gan-kim-yong-1830551