February 14th, 2008

- Malaysia PM dissolved govt and will announce date for a new election on Wed; should be by mid-March
- while ruling Barisan National Coalition should win question is to what extent
- rift b/w Pro-Badawi and Pro-Mahatir segments


- Japan economy expanded at 3.7% in 4th quarter
- US court froze $300mm in assets belonging to PDVSA, Venezuela's nationalized oil company
- Singapore Q4 GDP softer at 5.4% vs. mktxp of 6.0%
- full year growth was at 7.7% vs. 7.5% which was better
- decoupling theories somewhat worn nowl US factoring in
- strengthening SGD because of weaker USD and high inflation should further hurt exporters
- 2008 growth revised down from 4.5 - 6.5% to 4-6%
- GIC might put $2-3bn into a fund set up by PE firm TPG to invest in troubled financial firms; goal is for a $6bn including SAFE money
- PE fund would act as a neutral proxy to allay investor suspicion of hidden agendas, etc.
- outflows should prop up USD/SGD
- Afer FM and BoT meeting; FM Surapong said interest rates should be at levels conducive to stimulating growth
- final decision