SINGAPORE - Despite continuing uncertainty created by the Covid-19 pandemic, the Government has decided to implement new property cooling measures to reduce the risk of a self-reinforcing cycle of price increases in the private and Housing Board resale markets, which will impact housing affordability, Minister for National Development Desmond Lee said. Speaking at a briefing on Thursday (Dec 16), he noted that there is a clear upward market momentum in prices and transaction volumes, despite the near-term uncertainty about the Covid-19 situation, including the prospect of the Omicron variant spreading here. "Left unchecked, prices are likely to run ahead of economic fundamentals. This will increase the risk of a destabilising correction later on that will hurt many households," he added. "Borrowers will also be vulnerable to the likely rise in interest rates in the next year and beyond, as major central banks look to tighten monetary policy to respond to inflation as well as the recovery in their economies. A combination of rising prices and higher interest rates will risk a significant increase in debt servicing costs for future buyers." His remarks come the day after property coo...