Trade minister flags 'wrong signals' in Singapore's economic policies

Trade and Industry Minister Chan Chun Sing calls for mindfulness in dealing with the global economic ecosystem.

Trade and Industry Minister Chan Chung Sing warned against “wrong things” that could hamper Singapore's economy as it crawls to recover from the pandemic.

In a speech on 2 March, Chan likened the Singapore economy to an ecosystem, one with a reputation to uphold. Thus, the government must take care to not do what he called "wrong things."

“'Wrong things' include inconsistent policies on business, taxation, manpower, and talent. They include sending the world the wrong signals that detract from our intent to enable companies to form globally competitive teams to compete with the world. We should be mindful,” Chan added.

He also outlined three broad strategies to emerge stronger after the pandemic: strengthening Singapore's position as a global business and technology hub, becoming a critical node in global value chains, and making enterprises and workers more competitive.

He also warned against solely pursuing “sunrise” industries, and instead advised strengthening Singapore's anchor on every industry it chooses to compete in.

“In a globalised world, we will be easily dis-intermediated and displaced by cheaper competitors or digital platforms unless we can add something unique and of value to others. We must become that exchange that adds value,” he said.

In a previous speech delivered 18 February, Chan said the government should be fluid and multifaceted in responding to the needs of the market.

“Regulatory agility is therefore key. How can we ensure that our regulations are consistent, predictable, and serve the public interest, while allowing new business ideas to germinate,” he said.

He attributed Singapore's current success to the trust between people and government.