Imbalance? The word 'imbalance' must be Minister Mah's euphemism for 'shortage'. Still, I think it is a step forward for Minister Mah to admit something is amiss[Imbalance in resale market]. There has already been months of waiting by ordinary Singaporeans and flood forum letters, complaints to HDB, discussions on the Internet and many many signs that something is not right. Yet the minister made numerous denials that something more needs to be done before the shortage worsens.
Admitting there is some kind of problem is a first and necessary step to start fixing the problem....but it is not a sufficient step to address the issue completely. Minister Mah still has not demonstrated that he understands the cause of this 'imbalance' (maybe he just doesn't want to admit it). One just have to look at his proposed solution:
'HDB has launched almost 9,000 new flats in the first half of the year, and it will launch another 7,200 in the second half to meet growing demand. Another 4,700 new flats under HDB's design, build and sell scheme (DBSS) and recently sold executive condo sites will also add to the supply. In the short-term, Mr Mah said it was hard to tell if prices would continue to rise' - Straits Times Report [Link].
Strangely, Mr Mah said 'it was hard to tell if prices would continue to rise'. Why is it so hard to tell when the PM just said that 100,000 foreigners will be needed in the coming months. How can the shortage (a.k.a imbalace) be fixed when HDB is only offering 11,900 new flats? ...and these flats take time to build before people can live in them!
The truth is the PAP GDP growth strategy has now become highly dependent on foreigner labor and this imported labor is brought in at a faster rate than what our infrastructure can support. Trains become overcrowded, housing costs spiraled up and there was even a shortage of hospital beds a few months ago. To keep the GDP rising, the benefit of which is very unequally distributed with much of it going to the profits of corporations many of which are linked to the PAP govt, ordinary Singaporeans have to shoulder a disproportionate amount of the pain and burden of PAP policies.