An International Conversation: The Next 50 Years for Singapore and the World

What lies ahead for Singapore? In 2015, the country will celebrate its 50th National Day, a significant milestone. But will Singapore prosper over the next 50 years? To help answer this question, the Singapore Institute of International Affairs (SIIA) has started its Future50 (F50) programme to map out “The 50 Year Future for Singapore in Asia and the World”.

The official launch of F50 was held on 27 August 2013, with a discussion panel featuring Guest-of-Honour Mr. Heng Swee Keat, Minister for Education.

“It is exciting and important to put this [Future50 programme] in the proper context of the world in the next 50 years,” said Mr. Heng, who chaired the recently-concluded Our Singapore Conversation (OSC). He is also chairman of the government’s newly-announced Singapore50 (SG50) committee, which is planning activities for the country’s 50th National Day.

The discussion panel was followed by small interactive breakout sessions on Singapore’s future, with invited participants from the government, private sector, academia and civil society. The following is an executive summary of the sessions.

This was the first of a series of events the SIIA will conduct under F50, culminating in a final comprehensive report in conjunction with Singapore’s 50th National Day in 2015.

Dr. Parag Khanna, Senior Research Fellow at the SIIA and Co-Director of F50, encouraged participants to be forward-thinking, rather than be only critical of current policies. Before the audience broke up into their different groups, he said: “I urge us to think not only of the negative scenarios, but also the positive scenarios – not just to issue warnings, but to have a roadmap.”

The breakout sessions each focused on areas relevant to the background of participants, including political, economic, social and environmental issues.

Discussions were conducted under the Chatham House Rule, where points raised can be shared, but the identity of participants is kept strictly confidential to encourage a free exchange of ideas.

This summary looks at how Singapore has done so far, emerging trends and directions, and finally, visions for the country’s future. Key issues brought up by participants have also been pulled out and highlighted.

HOW HAS SINGAPORE
DONE SO FAR?

During the interactive sessions, participants said that Singapore has done well in most key areas – it is already a hub in many fields, such as finance, medicine and aviation. But the Republic has not succeeded in all areas. There have been missteps.

For instance, in the last decade, housing and transport policies have not kept pace with the growth of Singapore’s population, due to migration into the country.

“If you can access Asia from Kuala Lumpur or Bangkok, why do you need Singapore?”

The Republic’s “hub” status is also not a given, and could be eroded in the future. Although Singapore is a financial centre, it is not as well-developed as cities like London, Geneva or Zurich.

It is very likely that the European centres will retain their place as banking and investment hubs for the foreseeable future. But Singapore’s position is not as secure.

“Where does our strength lie? You can’t do everything well.”

As other countries in South-east Asia catch up with Singapore in terms of infrastructure, education and professional standards, the Republic must figure out core areas where it can distinguish itself as the Asian leader – perhaps in specific areas of finance or certain fields of technology.

“Foreigners should not be made to feel as though they are part of the problem.”

A common refrain throughout the discussion sessions was the idea that Singapore is a nation of immigrants, and has traditionally remained open due to its small size.

This outward orientation has been crucial to the country’s success in being able to do business with everyone. Singapore has also become a regional hub in part because it is seen as an attractive place for people to settle in and raise families.

But this openness may be under threat. As a result of tightened immigration policies and changing attitudes, many foreigners are starting to feel unwelcome.

Singapore cannot run away from the reality that its native population is small. The Republic must continue to bring the best talent here.

TRENDS AND DIRECTIONS

The tightening of foreign labour supply in Singapore and efforts to boost productivity have also had adverse side effects on the economy.

Labour conditions in Singapore have changed so fast that many firms, especially small and medium enterprises (SMEs), cannot react quickly enough.

“The government should take responsibility. It has turned off the tap so fast that companies can’t adapt.”

If labour costs continue to increase, entire industries may be killed off. That said, some participants argued that sectors should be left “to die” if they are not economically viable. Singapore can only afford to back industries that can scale up and achieve success, potentially at the regional or global level.

“Singapore has to inculcate a spirit of boldness and encourage risk-taking.”

In addition, the country will also need to continue developing its talent base. Other than increasing the quality of education and skills upgrading, Singapore must find ways to foster innovation, entrepreneurship and creative thinking. Participants suggested that more Singaporeans should be encouraged to venture overseas for greater exposure and to develop their expertise.

“A city of the world, open, welcome and relevant.”

Linkages to the region cannot be taken for granted. There is already a degree of resistance in some countries about closer integration with Singapore. The ASEAN Economic Community is due to be established in 2015, but critics argue that Singapore will gain the most from integration, while not giving enough in return. Building trust and strong relationships with Asian neighbours needs to be a top priority of the Republic’s foreign policy.

VISIONS FOR THE FUTURE

“Singapore should not pretend to be Paris, London or New York. Singapore should be Singapore, and develop its own identity.”

All participants agreed that Singapore needs to strengthen its own identity. This was a view expressed not only by Singaporeans, but also non-citizens participating in the F50 sessions.

The country’s growth to date has been based on bringing MNCs here and emulating foreign models, but the Singapore brand could become stronger than the foreign ones.

“We need to build greater international partnerships and integrate into the bigger East Asian region.”

However, one participant argued that Singapore’s long-term survival as an independent nation is not certain in the long term – a merger with Malaysia or Indonesia may eventually be necessary. Even if such an extreme scenario does not come to pass, it is clear that Singapore needs closer social, political and economic links across borders.

“Manufacturing industries should aggressively adopt robotics, 3D printing, and other disruptive technologies.”

In terms of reforming Singapore’s economy, several participants recommended that the country move away from infrastructure-heavy to higher-value industries.

But others were optimistic about the continued growth of the Republic’s manufacturing sector, if firms can boost productivity via good workforce management and embracing the latest technologies.

However, technology should not be seen as the only key criterion for success. For instance, environmental sustainability has become a growing concern in recent years.

But encouraging people to change their diets and behaviour could potentially have a far larger impact on the environment than the sale of hybrid and electric vehicles. Beyond technology, it is important that society promotes the idea of shared responsibility.

CONCLUSION: SINGAPORE AS
A TRUE ASIAN GATEWAY

What should Singapore’s international positioning be? Participants expressed hope that Singapore could be a true gateway to Asia, focused on the broader collective good and not only its own national interest.

This view was reflected in the makeup of the F50 sessions themselves – a cosmopolitan group of citizens, permanent residents and foreigners, all concerned about the future direction of the country.

Summing up the discussions, Mr. Nicholas Fang, Executive Director of the SIIA, Co-Director of the F50 programme, and Nominated Member of Parliament, said: “It is not just Singaporeans, but people living in Singapore, regardless of where they came from, who are also motivated to think and to share ideas for the good of Singapore.”

Source: Future 50

PROPERTY LAUNCHES & INVESTMENTS

Property Launches & Investments

An International Conversation: The Next 50 Years for Singapore and the World

HOW HAS SINGAPORE
DONE SO FAR?

TRENDS AND DIRECTIONS

VISIONS FOR THE FUTURE

CONCLUSION: SINGAPORE AS
A TRUE ASIAN GATEWAY

Comments

Leave your comment

PROPERTY LAUNCHES & INVESTMENTS

Property Launches & Investments

An International Conversation: The Next 50 Years for Singapore and the World

HOW HAS SINGAPOREDONE SO FAR?

TRENDS AND DIRECTIONS

VISIONS FOR THE FUTURE

CONCLUSION: SINGAPORE ASA TRUE ASIAN GATEWAY

Comments

Leave your comment

HOW HAS SINGAPORE
DONE SO FAR?

CONCLUSION: SINGAPORE AS
A TRUE ASIAN GATEWAY