Swiss banking giant Credit Suisse has noted in a report that Singapore household debt is rising, while more inclined to the side that although household debt is rising alongside with a sharp rise in borrowing, it was not to be alarmed.
This was generally the perception that there was no alarm as households are wealthy enough to pay off their liabilities with their cash assets in the event that there is a macroeconomic downtown. Also, a report by Credit Suisse from 300 locals indicated that Singaporean households have not over-stretched themselves.
Machael Wan, Credit Suisse economist note that household balance sheets are strong on the aggregate and that the risk of a household debt crisis is very small. This is because household liquid assets like stocks and shares comfortably exceed fix liabilities like car and property and that in the event of a crisis, these liquid assets can be encashed to pay off the mortgage loans in The Hillford Condo in Jalan Jurong Kechil.
Also, not only household liquid assets are aplenty, household income are also increasing too, this make managing any mortgage loan in The Hillford condo more comfortable.
Despite the fact from the report from Credit Suisse, the Monetary Authority of Singapore (MAS) has noted that about 5-10% of the household in Singapore might be over-stretching themselves. This remains to be debated.