Shipyards' funding need to get more acute with bigger projects
Clifford Capital, which provides financing for the maritime sector, says some banks are withdrawing from the sector altogether
Singapore
SINGAPORE shipyards' need for financing support for projects will become more acute as projects get larger and Basel III capital requirements for banks get stricter, said Audra Low, head of origination and structuring at Clifford Capital, a company majority owned by Temasek Holdings which provides structured finance solutions for the infrastructure and maritime sectors.
Ms Low noted that with increasing cost of capital brought about by stiffer banking regulations, some banks have shied away from extending long tenor financing of 10 years or more.
"What's worse is that in the offshore & marine sector, ever since the downturn, banks have also become very much more restrained …
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Cordlife’s independent auditor to retire after issuing disclaimer of opinion on FY2023 financials
Cordlife customers push for legal action
SK Hynix expects full chip recovery after Q1 earnings surprise on AI boom
Singapore shares retreat at Thursday’s open; STI down 1.1%
Malaysia weighs casino licence to revive Forest City
Frasers Centrepoint Trust posts 1.8% drop in H1 DPU to S$0.06022