This article appeared on the Straits Times on the 31st March.

Economists say the combined pressures of a deepening recession and collapsing exports mean the MAS will probably allow the currency to fall further in value against other currencies. A weaker Singdollar would make exports more attractive, but would also mean that imports and trips overseas for Singaporeans may become more expensive.

The MAS conducts monetary policy through exchange rate adjustments, which it carries out by trading the Singdollar within an undisclosed band.

Points to ponder on:
1. What is the term used to describe the fall of the currency in value against other currencies?
2. How will the weaker Singdollar affect our terms of trade and balance of payment?
3. How is exchange rate adjustments made by the MAS?

The leaders of the world’s largest economies came together in London to deal with the global financial crisis. Read more about it on http://www.londonsummit.gov.uk/en/.

The focus of the G20 summit was on Stability, Growth and Jobs.
The members are: Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, South Africa, South Korea, Turkey, the UK, the US and the EU.

Gordon Brown's closing speech at the G20 summit - headlines by BBC live broadcast on 2 April 2009 :

• Global problems require global solutions
• Agreed $1 trillion extra for IMF and other - increased liquidity
• Protectionist countries will be named and shamed - commitment to fight all forms of protectionism and maintain open trade
• Exchange of tax information - End to tax havens that aren't open to international scrutinity
• Banking secrecy of the past must end
• Sorting out problems of the banking system. Establish more confidence with the banks - people secured with homes and jobs. Regulatory system to deal with restructuring of banks.
• New rules on pay and bonuses globally
• Injection of $5 trillion to boost world economy - largest fiscal stimulus
• A new world order is emerging

French President Sarkozy: Conclusions are more than we could have hoped for..there will be more scrutiny and strighter regulation on funds.