Singapore Navigating Uncertainty with Digitalisation

Deputy Prime Minister Heng Swee Keat graced the 2023 FutureChina Global Forum, emphasising the critical significance of digitalisation and forward-thinking in navigating the dynamic landscape of global change.

The event itself, which has its roots in the visionary thinking of Singapore’s founding Prime Minister Lee Kuan Yew, served as a fitting platform to explore the intricacies of the current global landscape and chart a course for a more sustainable and collaborative future.

He began by acknowledging the unmistakable volatility of the current global environment. Geopolitical tensions, soaring inflation rates, and a host of long-term structural challenges, including technological advancements, climate change, and ageing populations, cast a formidable shadow over the world’s future.

The DPM added that while free trade spreads benefits broadly, it also upends industries and displaces jobs. Workers in sectors hit hard by competition, like the automotive industry, often bear the brunt of these disruptions. The allure of protectionist policies promising to bring back jobs holds sway among those adversely affected.

The Deputy Prime Minister continued by outlining three crucial takeaways for determining the future:

• Prioritise Long-term Interests: Nations, especially major powers, must prioritise long-term strategic interests over short-term political gains. Heng Swee Keat recounted the sagacity of Lee Kuan Yew in building bridges between leaders of the US and China, emphasising the importance of understanding each other’s perspectives and focusing on long-term priorities to surmount immediate frictions.
• Collaboration and Collective Action: Tackling the significant challenges and grasping emerging opportunities require cross-border collaboration. In the realm of technology, the breakthroughs in digitalisation, robotics, and artificial intelligence (AI) offer immense potential, but they also necessitate global norms and safeguards. Addressing climate change, energy transition, and mobilising capital for humanity’s existential challenges demands collective efforts.
• Structural Reforms: Structural reforms are imperative to enhance citizens’ lives. In a region marked by active regional integration, structural changes are vital for the green and digital economy transition. The recent launch of negotiations for an ASEAN Digital Economy Framework Agreement can potentially propel the digital economy’s value to S$2 trillion by 2030.

Singapore’s unwavering dedication to the digital economy positions it as a beacon of progress on the global stage. The city-state’s strategic investments in digitalisation have not only transformed its landscape but have also enabled it to be a leader in embracing cutting-edge technologies and fostering innovation.

At the heart of Singapore’s success is its robust digital infrastructure. The nation boasts world-class connectivity, data centres, and communication networks. This strong foundation has attracted global corporations, tech startups, and research institutions, fostering an environment where ideas are translated into groundbreaking technologies.

Singapore champions innovation and entrepreneurship as the government actively supports research and development, providing grants and incentives for tech companies and startups. This supportive ecosystem has given rise to a vibrant community of innovators who are constantly pushing the boundaries of what is possible in various sectors, from fintech to healthcare.

From smart city initiatives that optimise traffic management and energy consumption to the ease of accessing government services online, citizens benefit from increased efficiency and convenience. The government’s commitment to enhancing public services, healthcare, and education through digital means ensures that residents enjoy a high quality of life in a tech-savvy environment.

Deputy Prime Minister Heng Swee cited that Singapore’s prowess in the digital economy is not limited to its borders. The nation actively participates in international collaborations, sharing knowledge and expertise, and contributing to global conversations on digitalisation, “This commitment to technology not only drives economic growth but also cements Singapore’s reputation as a forward-looking and innovative nation on the global stage.”