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Profit predictions for Singapore-listed firms are falling at a super fast rate

2017 forecasts have dropped by 4% on average.

As a regional centre for trade, oil services and wealth management, Singapore's $300 billion economy punches above its weight and serves as a barometer for Asia's other export dependent economies.

China's slowdown has hit the city-state's manufacturers and shippers, the slump in commodity markets is weighing on its oil and gas sector, while a rise in bad debts and a regulatory crackdown has hurt its financial services industry.

The result: earnings forecasts for Singapore-listed companies are falling at among the fastest rates in the world.

Projections for next year's net income have come off by 4% on average over the past three months versus a 0.2% fall for the rest of Asia Pacific, according to data from Thomson Reuters.

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Companies are also struggling with debt burdens that have ballooned since the financial crisis, even as bottom lines have shrunk.

While net incomes are down almost 40% since June 2008, net debt has more than doubled, according to Thomson Reuters data, as commodity markets boomed and companies took advantage of cheap credit.

Read more from here.



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