an expensive singapore: an attitude prob

Matthias Lim

Charis Joy

Sidharth Nair

12 Feb 2023

An Expensive Singapore: An Attitude Problem?

Things in Singapore are expensive. MATTHIAS LIM, SIDHARTH NAIR, and CHARIS JOY find out more about why people think so.

A student in shock after seeing incredibly high prices for food in a hawker centre. (Photo credit: SIDHARTH NAIR)

Imagine this: As you step into the coffee shop at your void deck, you’re greeted by the sight and scent of your favourite char kway teow and kopi O coming from your patronised stalls, while listening to the chatter of aunties and uncles in the background. It’s a coming-of-age experience that many Singaporeans will feel nostalgic about.

But now, instead of gossiping about a handsome Mediacorp artiste or discussing the outcome of the latest football match, all you’ll hear is people complaining: “Aiya, why this food so expensive?”

In recent years, the price of food has increased tremendously. That char kway teow or chicken rice you’ve been fantasising about has probably increased by at least $1 to $2 in the last five years.

“Chicken rice used to be what, $2.50? $3? But nowadays, even with student prices, it’s $4 to $5, and it’s just chicken rice. It (feels) like we’re being forced to be thrifty instead of being allowed to even have the choice to live a more luxurious lifestyle,” said Ms Hummaria Sirajutheen, 19, a student.

Data suggests that there are many factors stressing Singaporeans out financially. The more concerning ones seem to be necessities in life. (Photo Credit: The Visionary)

But here’s the thing: This doesn’t just apply to food. Prices of everyday needs, like water and electricity, have soared. However, despite these increasing costs, many Singaporeans still insist on living lavish lifestyles. They often eat at restaurants, buy new clothes and go out with friends, adding many unnecessary expenses to their budget.

“I see my life right now as lavish to a certain extent. I go out with friends and buy new clothes, but I know that I don’t really need these things. But I still spend on these things and indulge in lavish experiences because it’s my youth, and I want to enjoy it,” said Ms Sirajutheen.

Although the majority of Singaporeans are aware of the increasing costs of everyday needs, many Singaporeans have neither changed their spending habits nor started saving more for the future.

In 2022, DBS Bank found that its customers were spending 22.2 percent more than they did in 2021, despite their income only growing by 11.1 percent.

“I think many people aren’t feeling the effect of the (increased costs) yet. I know some students who don’t even know that prices are rising. To them, the market hasn’t changed at all,” said Mr Seah Em Ray, 19, a Nanyang Junior College Financial Literacy Club member.

Currently, according to a study by Singapore Business Review, a business website about Singapore’s finances, 81 percent of Singaporeans prefer going to restaurants and fast food joints for meals, despite it being more expensive than eating at home or at hawker centres.

If Singaporeans keep up their current spending habits, many of them will find it increasingly more difficult to sustain their lifestyles.

These spending habits are more commonly found among younger Singaporeans. Although everyone has been affected by the increasing prices, many older Singaporeans have learned to adapt their spending habits to fit the current economic situation. However, the majority of younger audiences have remained oblivious to the root of the problem, which is their spending habits.

“From what I see, many young adults only start to save more when they have very little money left. I know some youths who have less than $10 in their bank account by the end of (each) month,” said Mr Yeo Yong Huat, 58, who’s lived in Singapore his whole life.

According to an article by TODAY on May 23, 2019, and another article by TheSmartLocal on Aug 13, 2021, the average Singaporean senior only spends about $1300 a month to meet basic needs, whereas the average Singaporean youth spends about $2400 to fulfil the same purposes.

“I think we just need to give it some time. Most people will only notice the increased costs after a while, so I believe that they will change their spending (habits) after some time,” said Mr Seah.

As more time passes, more and more Singaporeans, especially younger ones, will have to change their spending habits in order to keep up with the increasing prices in Singapore. Eating out at restaurants with friends will have to be a less frequent occurrence, while more people will have to start finding alternative ways to solve their food woes.

“If the prices continue to increase, I think I will have to start to reduce my expenses. Things being expensive in other countries is one thing, but in Singapore, it’s a whole other ball game,” said Ms Sirajutheen.