The rising risks of Europe seeing a recession given its high dependence on Russian energy supplies could have a domino effect on Singapore’s economy and corporates in terms of downsides to sales, he reiterates.
As the Russia-Ukraine conflict drags on, Maybank Securities analyst Thilan Wickramasinghe sees risks of the prolonged conflict dragging Europe into a recession.
As Singapore’s GDP has a sizeable 7.7% exposed to the European Union, a slowdown on the continent could have negative impact on revenues, costs and returns for Singapore’s corporates, says the analyst.
