What a Year

When 2020 started, we were oblivious of what was in store for us. We were welcoming the Year of Rat in January. There were hopes for a New Year leaving behind 2019. The Gross Domestic Product (GDP) growth rate for 2019 was not particularly exciting. Singapore just managed a low growth rate of just 0.7%.

We managed to place a few S$ fixed deposits (FD) with OCBC and DBS at the beginning of 2020 with interest rates of 1.45% to 1.65% per annum. Now the FD rates for one-year tenor with OCBC is mere 0.10% per annum.

The economy collapsed and it was forecasted that Singapore’s GDP for the whole year would be between -6 to -6.5%. This is a severe recession we have not seen before since the Independence of Singapore in 1965.

The reason for this downward spiral of the economy: Covid-19 coronavirus pandemic.

The nation of workers feel the pain of this recession with pay cuts, wage freeze, lost jobs and retrenchment. Nothing can be more stressful than someone losing his/her job and to worry about paying off debts and daily necessities.

Our lives have turned topsy turvy by Covid-19. 2020 is the Year of Covid-19, lockdowns and closures of geographical borders. It is hardly time to be in celebratory mood nearing Christmas and the end of the year.

The silver lining is that it is looking up with the possibility of vaccines to prevent contracting Covid-19. There is hope.