The Merlion Baller

If you’ve been living in Singapore the last few years, chances are you’ve heard this phrase a lot:

“Everything also expensive now.”

And you wouldn’t be wrong.

Interest rates shot up.
Mortgage payments hurt.
Cost of living climbed faster than kopi prices.
Markets felt uncertain, volatile, messy.

But here’s the thing many people are missing while being stuck in today’s pain:

2026 is shaping up to be a very interesting year – in a good way.

Not hype.
Not hopium.
But real macro shifts that are quietly lining up.

Let’s talk about why.

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The Interest Rate Cycle Is Turning (Finally)

One of the biggest headwinds over the past few years was aggressive interest rate hikes.

Central banks had no choice:

• inflation was sticky
• supply chains were broken
• liquidity from the COVID era had to be drained

But cycles don’t last forever.

By the time we head into 2026:

• inflation is expected to normalise further
• economic growth is moderating, not collapsing
• central banks have room to cut rates gradually

And when rates come down?

Things that benefit:

• mortgages
• businesses
• equities
• risk assets
• investment sentiment

For Singaporeans especially, lower rates directly translate to:

• lower home loan stress
• more disposable income
• better cash flow

That alone changes the national mood.

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Liquidity Is a Funny Thing (When It Returns)

Markets don’t move just on fundamentals.

They move on liquidity.

When money is tight:

• people hoard cash
• investments get delayed
• risk-taking disappears

When liquidity returns:

• capital starts moving again
• valuations re-rate
• opportunities suddenly appear “everywhere”

Singapore, being a global financial hub, benefits disproportionately when:

• global capital loosens
• funds reallocate
• investors look for stable, well-regulated markets

We are boring – and boring is attractive in uncertain times.

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Asia Is Still Growing (Quietly, Steadily)

While Western economies argue about politics and debt ceilings, Asia keeps doing what it does best:

• build
• trade
• manufacture
• consume

Singapore sits right in the middle of this.

As regional growth continues:

• trade flows increase
• capital passes through
• businesses expand regionally from SG

You don’t see this on TikTok.
But it’s happening.

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Technology Isn’t Slowing Down — It’s Maturing

AI, automation, and digitalisation didn’t disappear just because markets were choppy.

What changed is this:

• hype cooled
• implementation accelerated

By 2026:

• companies that actually integrated tech will show results
• productivity gains will start reflecting in earnings
• efficiency improvements compound quietly

This is the boring, profitable phase.

And Singapore companies tend to thrive here – disciplined, pragmatic, no nonsense.

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Property: Not Exploding, But Stabilising (Which Is Good)

Forget moonshot expectations.

What a lot of Singaporeans actually want is:

• stability
• predictability
• affordability

As rates ease and incomes catch up:

• property stress reduces
• forced selling becomes less likely
• confidence returns gradually

That’s healthy.

A stable property market supports:

• consumption
• household confidence
• long-term planning

Which feeds back into the broader economy.

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The Psychological Shift Matters More Than Numbers

Markets and economies don’t just run on data.

They run on confidence.

When people feel:

• less squeezed
• less anxious
• less “everything also die”

They:

• spend a bit more
• invest a bit more
• take calculated risks again

2026 feels like a year where:

People stop bracing… and start planning again.

That’s powerful.

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A Singaporean Perspective (Very Important)

We are trained to be cautious.
To save.
To worry.
To plan for worst case.

That’s not a bad thing.

But sometimes it also means we:

• miss opportunities
• stay defensive too long
• underestimate recoveries

Being hopeful doesn’t mean being reckless.

It means recognising when conditions are improving – and positioning accordingly.

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Final Thought

2026 doesn’t look like a miracle year.

It looks like something better:

• gradual improvement
• easing pressure
• renewed confidence
• opportunities for those paying attention

After years of tightening, stress, and uncertainty, that’s already a big win.

So maybe it’s time we allow ourselves to say:

“Eh… maybe things getting better already.”

And start planning not just to survive — but to grow.

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