| National Affairs
Modern-Day Singapore Pays a Price for Globalization Time 28th May 2014
On the event of its 50th anniversary as an independent nation, Singapore’s defining achievement is summed up in the title of its longtime leader Lee Kwan Yew’s memoir, From Third World to First. When it split off from Malaysia a half-century ago, Singapore had little going for it, other than a determination to become whatever it needed to be—assembly plant, container port, trustworthy banking and logistics center, semiconductor hub, oil refinery, mall developer, you name it. But the brilliance of its founding fathers—OK, it was mostly one father, Mr. Lee—was in realizing that the precondition for all of this was good governance. Over a recent week of briefings with Singaporean business and government leaders sponsored by the nonprofit Singapore International Foundation, I heard one business leader say that he has never had to pay a bribe in his lifetime. To an American audience, that may seem like a fairly modest boast, but as this speaker noted, it’d be a difficult claim to make in neighboring Southeast Asian countries (or developing nations anywhere). Like Americans, Singaporeans worship the concept of meritocracy. Unlike Americans, Singaporeans entrusted their society to an all-knowing one-party technocracy that has delivered the goods across two generations—including affordable, publicly built housing for a majority of the population and a system of private lifetime savings vehicles that are the envy of policy wonks the world over.
Singapore emerges as third most competitive economy in the 2014 IMD Yearbook DNA 28th May 2014
Singapore was ranked as the third most competitive economy in the world, and the most competitive economy in Asia last week, in the World Competitiveness Yearbook 2014. The report, which was compiled by the IMD World Competitiveness Center, found that Singapore rose to the third position, up two spots from last year, after the U.S. and Switzerland. Hong Kong slipped to fourth position and Sweden to the fifth. The Methodology The World Competitiveness Yearbook ranks and analyzes the ability of nations to create and maintain an environment in which enterprises can compete. It assumes that countries enhance or hinder the ability of enterprises to compete effectively domestically or internationally. Based on this premise, the national environment is measured across four main factors namely economic performance, government efficiency, business efficiency and infrastructure. Singapore's strengths Robust growth in exports, business efficiency and innovation were cited as the factors that contributed to Singapore's position this year. In addition, IMD`s Executive Opinion Survey, conducted with a pool of 4,300 executives across the 60 ranked economies, found that Singapore's executives perceived their country as most encouraging of business development. The city-state supercedes Germany, Ireland, United Arab Emirates, Canada and Switzerland.
Constructive politics will help S'pore scale new height: PM Straits Times 28th May 2014
It is very important for Singapore to get its politics right because constructive politics will help it scale new heights, but wrong politics will doom it, said Prime Minister Lee Hsien Loong on Wednesday. He joined the ongoing debate in Parliament over constructive politics, first mentioned in the President's Address on May 16. Mr Lee criticised Workers' Party chief Low Thia Khiang's speech delivered on Monday and responded to Mr Low's point "that whatever way 'politics' is described and coloured, it is still politics". Calling this a "breathtakingly cynical view of politics", Mr Lee said: "Politics cannot just be about politics alone. Singaporeans' lives and Singapore's future are at stake." He went on to lay out how he defined constructive politics. First, constructive politics should develop effective policies and improve the lives of Singaporeans. It is also about putting forward capable people of integrity and character to be Ministers and Members of Parliament, he said. Having robust and open debate and not just engaging in "soundbite politics" is also critical, he said. Proposals should be examined and debated. Politicians must also be subject to scrutiny - but "not through anonymous innuendos and insinuation, especially online, that deter good people from entering politics".
Govt Calling for S$2.2 Billion in New Infocomm Projects, Including MOM Contact Centre The Straits Times 27th May 2014
Some $1.2 billion worth of new infocomm tenders will be called by the Government in financial year 2014, including one for a new Manpower Ministry (MOM) contact centre that will have an automated system to analyse and categorise phone calls. More than 90 per cent of the tenders are less than $5 million in value, said Mr Chan Cheow Hoe, the Infocomm Development Authority of Singapore (IDA)'s assistant chief executive. Projects under $5 million could mean smaller companies are not excluded from tendering projects, he said at an industry briefing on Tuesday. The tenders called by the Government will cover areas such as cyber-security, infrastructure and system development and maintenance, data analytics, cloud computing and mobile services. The total value of the contracts is about the same as that for the previous financial year.
Singapore in push to become “smart” nation CNA 27th May 2014
Singapore is pushing to become a “smart” nation by using technology to enhance transport, eldercare and other public services. A “Smart City” is defined as one that has a forward-looking approach to the use of technology. IT firm NEC has fitted one of the five World Cup stadiums in Brazil with information and communications technology which allows the stadium management to monitor the crowd and control public safety – and it is also test-bedding some of those solutions in Singapore. Keiji Yamada, senior vice president and head of NEC Laboratories Singapore, said: "We introduce certain kinds of surveillance technologies -- camera surveillance, audio surveillance and the monitoring of social media. “Those technologies can be applied together to realise public safety. We can extract some of the symptoms of some accidents or some crimes, then we can alert the government agencies." An NEC-led consortium is one of four groups participating in Singapore's Safe City Test Bed. Initiated by the Ministry of Home Affairs and the Economic Development Board, the test bed looks at how technology and analytics can aid urban management and public safety.
New Singapore political party, Singaporeans First, formed Yahoo! 25th May 2014
Former presidential candidate Tan Jee Say unveiled Singapore's newest political party, Singaporeans First, on Sunday. The party's manifesto — "Fair Society, Strong Families and Esteemed People” — was announced along with a list of 11 founding members, which include 60-year-old Tan himself as well as members of the medical profession, architects and company directors. They include Dr Ang Yong Guan, psychiatrist and former grassroots leader, who along with Tan ran under the Singapore Democratic Party banner at the 2011 elections; Michael Chia, retired engineer and volunteer social worker; Fahmi Rais, communications professional and former Young PAP member; Fatimah Akhtar, architect; Dr David Foo Ming Jin, chemist and former Young PAP member; Jamie Lee Swee Yan, IT professional; Winston Lim, architect; Loke Pak Hoe, company director; and Tan Peng Ann, retired army colonel and former PAP grassroots leader. Speaking at the party's unveiling on Sunday at a media conference, Tan said discussions about forming a new party first began last year, and that joining a current opposition party instead of starting a new one was the "easy way out".
Singapore to restructure public bus sector through shift to 'contract' model www.yahoo.com.sg 22nd May 2014
Singapore’s government will contract bus operators to run bus services through a competitive tendering process as part of a restructuring of the public bus sector, the Land Transport Authority (LTA) said on Wednesday. In a press release, the agency said that starting from the second half of this year a “government contracting model” would be adopted that should make public bus services more responsive to changes in ridership and commuter needs. The change should also inject more competition in the industry and thereby raise service levels for commuters over time, LTA said.
Singapore Q1 economy beats expectations NST 21st May 2014
Singapore’s economy grew faster than initially estimated in the first quarter, handily beating expectations, with solid manufacturing activity and a recovery in developed markets set to underpin growth over the year. The latest numbers released yesterday by the Ministry of Trade and Industry were complied after rebasing effects, with the base year for the national accounts now set to 2010 instead of 2005. The data showed the trade-dependent economy expanded an annualised and seasonally adjusted 2.3 per cent in the January-March period from the previous three months.
Defense & Security
Empowering changes will strengthen NS for generations Straits Times 24th May 2014
Standing in front of a life-sized statue of an infantry soldier carrying a Singapore Armed Forces flag a year ago, Defence Minister Ng Eng Hen made a pledge to listen to the concerns and wishes of national servicemen. It was a fitting backdrop to the start of a year-long journey by the Committee to Strengthen National Service, which Dr Ng leads, to find ways to increase Singaporeans' motivation for national service and boost buy-in from the community and employers. Not that commitment to the rite of passage was flagging, cautioned Dr Ng. An Institute of Policy Studies survey on NS had shown that 98 per cent of respondents supported NS and agreed it was necessary for the defence of the country. Rather, the review was more about how to sustain the commitment to NS among a new generation of servicemen. From the raft of 30 recommendations announced yesterday, Dr Ng and his panel seem to have delivered on many fronts. For the working NSmen, the committee is proposing to give them more time and leeway to train and prepare for their Individual Physical Proficiency Test, addressing their perennial grumbles of juggling work, family and their NS obligations. It is even prepared to ease restrictions on those who go overseas, requiring only those whose trips are longer than 14 days to notify the authorities.
RSAF Participates in Air Combat Exercise with USAF's F-22 Fighter Aircraft in Alaska Defense Studies 22nd May 2014
The Republic of Singapore Air Force (RSAF) is participating in the United States Air Force (USAF)-hosted Exercise Red Flag - Alaska at Eielson Air Force Base, Alaska, United States from 8 to 23 May 2014. The RSAF has deployed nine F-16C/D fighter aircraft and about 100 personnel from its Peace Carvin II Detachment in Arizona, United States, to engage in this air combat operations exercise together with 67 other aircraft, including the USAF's F-22, F-15 and F-16 fighter aircraft and the E-3 airborne early warning aircraft. This is also the second time that the RSAF is participating in Exercise Red Flag together with the USAF's F-22, a fifth-generation fighter aircraft. Highlighting the significance of the RSAF's participation in the exercise, Lieutenant Colonel Maximillion Goh, the RSAF Exercise Director for Exercise Red Flag - Alaska, said, "We are pleased to train and operate alongside our USAF counterparts in this large-scale exercise. It hones our operational competencies and allows us to forge closer co-operation and stronger friendship among the participants."
Energy
Singapore-based firm seals S$25b LNG, crude oil deal Channel News Asia 22nd May 2014
Global Oil 57, a Singapore-based oil and gas firm, sealed a S$25 billion deal on Thursday with Al Qudra Marketing and Business Services and China's Ocean Century Energy Group (OCE). The pact will see Al Qudra provide liquefied natural gas (LNG) to Global Oil 57 and OCE. Under the deal, OCE will award Global Oil 57 a refinery crude oil supply contract. Global Oil 57 and Al Qudra also signed a joint venture agreement for project management of two oil refineries. Global Oil 57 executive chairman Thana Balan P Jaganathan said the deal is crucial in securing LNG and crude oil for the company's customers. It has chosen Singapore to conduct these transactions due to its stable trading infrastructure, he added.
Financial Services
Global banks shrink S’pore office space Today Online 23rd May 2014
More and more international banks are giving up office space in Singapore, as revenue and profitability come under pressure amid stricter global banking rules and foreign labour restrictions that increase competition for local workers and make it more expensive to hire them. Global banks have vacated about 500,000sqf of leased space since 2011, enough to seat 3,800 employees, estimates by Jones Lang LaSalle Property Consultants showed. About 80 per cent of that is in the central business district, data tracked by the real estate broker revealed.
Singapore: First family cyber risk policy to be launched soon Asia Insurance Review 21st May 2014
Singapore is the first country outside of France in which French insurer AXA will be introducing a new insurance plan to help individuals and families mitigate cyber risks, including the damage to one's "electronic reputation". While businesses already have access to cyber risk insurance, the plan is a first for individuals and families. Under the cyber-protector indemnity policy to be available in Singapore by the end of this month, AXA will pay for the losses incurred over things like the loss of one's "e-reputation", identity theft, unauthorised Web transactions, and disputes with online merchants. This means, for instance, that consumers can get compensation for damaged or undelivered goods bought online or if excess funds had been deducted from their bank accounts as a result of online theft. It also covers things such as psychological assistance and even "information removal service" in cases of online defamation. The cyber-protector policy will cost S$148 (US$118) a year per person.
ICT
SingTel to offer 300Mbps 4G service in Singapore Asia One 28th May 2014
SingTel 4G customers with compatible devices will be able to surf at speeds up to 300Mbps in popular shopping malls, the central business district and Changi Airport by the end of 2014. This is double the speed of current 4G services available. The first live site at Expo is ready for service, said SingTel. Nationwide coverage will be rolled out by the end of 2015. The first compatible device, the Huawei E5786 MiFi dongle, will be available from SingTel in mid-July. Smartphones and tablets are expected to be available soon after. In addition, SingTel will be the first Singapore mobile operator to offer 4G data roaming in China, via China Mobile, the country's largest mobile operator. This service is currently available only for iPhone 5S and 5C smartphones, which are compatible with the 4G mobile frequencies used by China Mobile. Other handsets will be supported in the coming months.
Singapore No. 2 in infocomm tech ranking Asia One 28th May 2014
Singapore has been ranked No. 2 - for the fifth year - for using infocomm technology to improve economic productivity and social development. In a ranking of 148 countries and territories by business school Insead, it came second behind Finland and ahead of the United States (No. 7), Hong Kong (No. 8) and South Korea (No. 10), the only other Asian location in the top 10. The 13th edition of the Global Information Technology Report said: "Singapore has become one of the most knowledge-intensive economies globally, and is an infocomm technology-generation powerhouse." The nation's high ranking was due in part to the Government's strong showing in the use of infocomm technology, said Mr Bruno Lanvin, co-editor of the report. Mr Lanvin, who is also executive director of the Insead European Competitiveness Initiative, told The Straits Times that another reason was the high level of education among its people, especially in mathematics, science and technology. "Singapore has shown a remarkable ability to anticipate what the next challenge would be for IT (information technology)," he said.
Infrastructure
Tiong Seng Unit's JV wins $316 Contract for Work on Thomson Line The Straits Times 28th May 2014
SINGAPORE - Construction group Tiong Seng said on Wednesday that a joint venture involving one of its units has won a $316 million contract. The venture between Tiong Seng Contractors and Dongah Geological Engineering (Singapore branch) has been awarded the contract to build the Great World MRT Station and tunnels for the Thomson Line, Tiong Seng said. Work on the project, awarded by the Land Transport Authority, is expected to start in May this year. The project is not expected to have a material impact on the net tangible assets and earnings per share of the group for the current financial year.
Underpass to Link MRT with Capitol From Early Next Year The Straits Times 28th May 2014
Commuters will have a new underpass to get to the redeveloped Capitol Singapore from City Hall MRT station by early next year. The underground link will be funded and constructed by Capitol Investment Holdings, the developer of the $1.1 billion project on North Bridge Road. The Land Transport Authority (LTA) will create a new entrance at City Hall station that will connect it to Basement 2 of Capitol Singapore, an integrated development with residences, a hotel, retail mall and a theatre. In a statement yesterday, the LTA said the link will "improve pedestrian access and comfort". It called for tenders to construct the new entrance at City Hall.
Singapore to delay S$2 billion worth of construction as manpower shortage bites Reuters 28th May 2014
Singapore's prime minister said on Wednesday that the government will defer S$2 billion ($1.59 billion) worth of public construction projects in order to reduce demand for foreign workers in the city-state. An influx of low-wage workers from overseas has caused growing resentment among citizens of the small city-state, riled by the strains that a rapidly growing population have posed on its infrastructure and services. The population expanded by 35 percent from 4.0 million to 5.4 million between 2000 and 2013. Lee Hsien Long's government has responded by raising levies companies have to pay in order to bring in low-wage construction workers. Lee said in parliament that they would continue to limit the inflow of foreign labour, despite the difficulties such curbs cause to small and medium-sized businesses. "We cannot ease up on the foreign worker limits," he said. Lee added that the government will now delay certain construction projects in order to further reduce the need for workers. Projects which are urgent such as new public housing and the expansion of its rail network will continue, but projects such as building new government ministry buildings and the construction of a new science centre will be delayed.
LTA Awards Four Thomson Line Contracts Worth S$1.13 Billion The Straits Times 27th May 2014
Another four civil contracts for the Thomson Line, running from Woodlands to Gardens by the Bay, have been awarded to the tune of around $1.13 billion. The Land Transport Authority (LTA) awarded a contract to build Orchard Boulevard station to KTC Civil Engineering & Construction for about $143 million. The construction firm has undertaken numerous civil engineering projects here, and is currently involved in building Tampines station on the Downtown Line 3. A joint venture by Tiong Seng Contractor and Dongah Geological Engineering Co won a $316 million contract to construct Great World station and its associated tunnels. Tiong Seng Contractor is currently involved in the construction of Downtown Line 2's Hillview and Cashew Stations, while their partner Dongah was involved in several LTA projects including the Marina Coastal Expressway.
Bus Contracting Model Will Improve Efficiency, Services: WP Channel News Asia 23rd May 2014
Opposition Workers’ Party (WP) said on Thursday (May 22) that it hopes the new bus contracting model will promote greater efficiency and service quality improvements, adding that it will be watching its implementation closely. Responding to TODAY’s queries, Mr Gerald Giam, who chairs the WP’s media team, said the model “will inject greater contestability and competition among operators compared to the present duopoly of SMRT and SBS Transit”. He also noted that the WP had earlier proposed for the MRT and public buses servicing major trunk and inter-town routes to be brought under the management of a National Transport Corporation (NTC). Stressing the need for proper implementation of the new model “to ensure affordable public transport fares, cost-saving efficiency and high service standards for commuters”, he called on the Government “to be fully transparent about the costs of nationalisation”.
Manufacturing
KKR to Acquire Singapore's Goodpack Ltd. for $1.1 Billion WSJ 27th May 2014
KKR KKR +0.04% & Co. plans to buy Singaporean packaging company Goodpack Ltd. G05.SG +4.27% for roughly 1.4 billion Singapore dollars ($1.1 billion), in what would be one of Asia's largest private-equity acquisitions so far this year. KKR is offering to pay S$2.50 a Goodpack share and plans to delist the Singaporean group once its takeover is complete, the companies said on Tuesday. Goodpack's executive chairman and largest shareholder, David Lam, has pledged to sell his entire 32% stake to KKR, they added. The acquisition will be KKR's largest investment in Southeast Asia and is subject to approval by Goodpack's shareholders. Singapore-listed Goodpack's shares ended Friday priced at S$2.34 each, before the company called for a trading halt early Monday. KKR's offer is 6.8% higher than the stock's last traded price and marks a roughly 23% premium to its closing value on March 18, the day before Goodpack announced it had been approached by prospective buyers. Goodpack makes containers and boxes the chemical, food and rubber industries use as an alternatives to wooden boxes and metal drums. Its containers are used in more than 60 countries. It has operations in Africa, Asia, the Middle East and North and South America.
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