According to Heng Swee Keat, Deputy Prime Minister and Coordinating Minister for Economic Policies, digitalisation plays a pivotal role in achieving a sustainable economy across various industries. He highlighted four dimensions of sustainability, and these are environmental, social, economic, and resilience.
Digitalisation offers ways to lessen the global impact of economic activity in terms of environmental sustainability. Businesses and individuals can adopt sustainable practices, maximise resource use, and reduce waste by utilising digital technologies.
Singapore’s dedication to programmes like the One Million Trees programme exemplifies how digitalisation is incorporated into efforts to preserve the environment. Additionally, digitisation can assist in addressing how climate change is affecting the biosphere and ecosystem of the world, which has an impact on food security and calls for international cooperation.
The effects of digitalisation on social sustainability are substantial. DPM Heng emphasised that technological advancement and innovation will drive future economic growth while the development of artificial intelligence (AI) and digitisation raises concerns about the future of work and skill sets.
He added that adopting digitalisation ensures adaptation to changing technology environments in industries like education, where professors may use AI systems. The development of digital skills and literacy must be encouraged if people are to be able to flourish in a world driven by technology.
Global economic digitisation has significant benefits and the potential for economic sustainability. Businesses now have access to previously inaccessible global markets because of digitisation.
According to DPM Heng, the phrase “unicorn” serves as an example of the possibility for substantial economic growth due to a digital economy. Discussions of ideas like universal basic income come up, underscoring the importance of carefully considering economic sustainability considering the effects of digitalisation.
In addition, the impact of technology on the labour market and the widespread adoption of digitalisation were acknowledged by DPM Heng as significant challenges in the years to come. While Singapore, with its tiny and ageing population, would embrace technological advancements, developing nations with young populations might confront greater difficulties.
The potential for economies to change because of robotics and AI breakthroughs raises concerns about employment loss and other economic changes.
DPM Heng emphasised that digitalisation contributes to the capacity to withstand accelerated change. During times of crisis, financial resources are crucial for sustaining economic growth. Thanks to prudent financial management and accumulated savings, Singapore was able to survive the COVID-19 pandemic without borrowing.
Likewise, social resilience emerged during the pandemic, highlighting the significance of trust, caring, and collective action in times of crisis.
DPM Heng cited that multiple dimensions of a sustainable economy are facilitated by digitalisation. It provides solutions to environmental problems, transforms the future of employment and skills, presents economic opportunities, and challenges, and strengthens resilience.
He furthered that to ensure a sustainable future, societies embrace digitalisation, promote digital literacy, and adapt to an ever-changing technological landscape, all while resolving the social, economic, and environmental dimensions of sustainability.
Also, utilising digitalisation is essential for Singapore to create an economy that can withstand and adapt to the challenges of a world that is rapidly changing. By embracing technological advances and innovation, Singapore harnesses the power of digitalisation to generate sustainable economic growth and ensure long-term economic stability.
Utilising data-driven insights, implementing agile strategies, and fostering a culture of innovation, digitalisation enables the nation to strengthen its resilience. By leveraging digitalisation, Singapore is poised to flourish in a constantly shifting economic environment while promoting sustainability and resiliency.
