Irvin Seah News
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Malaysian Prime Minister Najib Razak’s election victory yesterday gives the 59-year-old leader his first mandate to push ahead with restructuring of the nation’s finances to balance the budget.
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At Singapore’s Fullerton Bay Hotel, Prime Minister Lee Hsien Loong and Malaysian counterpart Najib Razak smile and toss yusheng, a raw-fish salad symbolizing prosperity, and in this case a thaw in five decades of feuding.
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When dozens of Chinese bus drivers held Singapore’s first strike in 26 years last week, the island deported the perpetrators. Getting rid of the soaring prices that are emboldening calls for higher wages won’t be as easy.
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Malaysia held interest rates unchanged for an 11th straight meeting as a strengthening global recovery reduced the need for monetary stimulus.
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Singapore’s growth will weaken further this year after slowing in 2011, constrained by a “difficult” global environment and government efforts to cut foreign-worker inflow, Prime Minister Lee Hsien Loong said.
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Singapore’s export growth slowed more than economists expected in February as electronics shipments fell after the Lunar New Year holidays curbed demand from China for manufactured parts.
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Singapore’s inflation held at 5 percent in March as housing and transportation costs surged, supporting the central bank’s decision this month to allow further currency appreciation.
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Singapore’s inflation rate rose to the highest in three months in December, reducing the central bank’s scope to ease monetary policy to boost growth.
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Singapore’s inflation accelerated to the fastest pace since January as transportation and housing costs increased, maintaining pressure on the central bank to allow the currency to strengthen even as growth falters.
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Singapore’s inflation held at a 14- month high in May as the island’s economic rebound boosted food, housing and car prices.
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