Singapore’s currency manipulation derives primarily from CPF?

Photo: Narin BI/CC BY 2.0Photo: Narin BI/CC BY 2.0

Singapore’s currency manipulation derives primarily from its public pension system?

I refer to the Peterson Institute for International Economics’ report “Currency Manipulation Update for 2015-17” (Apr 3, 2018).

It states that “Although down from its peak about a decade ago, currency manipulation continues to occur. In recent years the largest manipulators have been Singapore and Switzerland, with average annual purchases in 2016 and 2017 of about $90 billion and $80 billion.

As a group, the financial centers are the largest and most consistent manipulators in recent years. In dollar terms, Switzerland had the world’s largest net official flows in 2016 and Singapore had the largest such flows in 2017.

Singapore’s manipulation derives primarily from its public pension system, which collects high payroll taxes from workers and invests them entirely overseas through a sovereign wealth fund to back future pension obligations.”

Leong Sze Hian

About the Author

Leong Sze Hian has served as the president of 4 professional bodies, honorary consul of 2 countries, an alumnus of Harvard University, authored 4 books, quoted over 1500 times in the media , has been a radio talkshow host, a newspaper daily columnist, Wharton Fellow, SEACeM Fellow, columnist for theonlinecitizen and Malaysiakini, executive producer of Ilo Ilo (40 international awards), Hotel Mumbai (associate producer), invited to speak more than 200 times in about 40 countries, CIFA advisory board member, founding advisor to the Financial Planning Associations of 2 countries. He has 3 Masters, 2 Bachelors degrees and 13 professional  qualifications.