Singapore must pursue national interests in consistent, principled manner: DPM Lawrence Wong

SINGAPORE: Singapore is entering uncharted territory as it enters the next phase of its development, said Deputy Prime Minister Lawrence Wong.

While the unpredictable geopolitical environment poses some challenges, there are also silver linings for the nation to tap on, including its position as a trusted player in the Southeast Asian region, said Singapore's next Prime Minister.

Mr Wong, who is also Finance Minister, was speaking in an interview with local media ahead of his May 15 swearing-in, in which he also shared about his journey into politics and how he has been preparing to assume the prime ministership.

The head of Singapore’s fourth-generation leadership said that the country has to maintain a principled and consistent approach when navigating such headwinds.

He also emphasised that Singapore’s approach to US-China tensions is not to find a balance between the two superpowers, but to first and foremost be guided by Singapore’s own national interests.

IN UNCHARTED TERRITORY

Singapore is entering the next phase of its development “at a much higher level” than it used to be, and will have to “break new ground”, Mr Wong said.

“We are in a much stronger position today than ever in the past. Our economy is already at a high level of development.

“And if you look at any area of society, housing, healthcare, education, transport, and you find indicators to benchmark, we probably rank quite high in each one of these.”

In education, Singapore’s 15-year-olds were ranked top in the world for mathematics, science and reading in the Programme for International Student Assessment 2022, an international benchmarking study to measure how well students use their knowledge and skills to solve real-world problems.

Singapore also has one of the highest home ownership rates in the world, with every nine in 10 public housing dwellers in the country owning their flats.

“In the past we could come up with a broad statement like (the) Swiss standard of living. It is very hard to identify one single benchmark today. So in this new phase, we are in uncharted territory,” said Mr Wong.

“We have to find our way forward. We have to still learn from the best, find best practices, but we have to break new ground.”

SILVER LININGS

In the interview, Mr Wong also said the external environment is a big concern as Singapore undergoes a leadership transition and enters the next phase of its development.

“We are doing so at a time when the world is changing, and it is going to be a new global order, which is likely to be very messy and unpredictable, because the world is in flux,” he said.

“The unipolar moment for America has ended. Everybody talks about going into a multipolar world but it is not quite at a stable equilibrium yet.”

Mr Wong said this period of transition in geopolitics will be very messy, and marked by excessive nationalism – he noted that “nationalism itself is not a bad thing” – and protectionism, along with rivalry between the major powers.

The pattern of globalisation that Singapore has benefited from in the last 30 years will also be very different, he noted.

Singapore will certainly be impacted by developments, said Mr Wong, as it is an open economy with trade three times the size of its gross domestic product.

“But it does not mean that it is all doom and gloom, because amidst this challenging environment, there will be opportunities and there will be silver linings in the dark clouds because Asia is still where, I think, the centre of gravity of the global economy will be.” 

Asia is the region where most of the growth for the global economy will come from, and therefore a lot of companies want to be sited here, said Mr Wong.

International multinational firms still want to have a presence in Asia and to diversify their exposure in this region, and not just in China or any one single country, he added.

The Association of Southeast Asian Nations (ASEAN) bloc hence becomes an attractive proposition, he said.

“And within ASEAN, Singapore also has a very high level of international reputation today.

“We are admired, we are trusted. And companies do want to do business out of Singapore to service not only ASEAN but the wider Asian region.”

If Singapore makes the right moves and strengthens ASEAN integration and unity, it would continue to thrive and excel even in a dark and troubled world, said Mr Wong. “We still can make a good living for ourselves.”

CONSISTENT AND PRINCIPLED APPROACH

Mr Wong stressed that navigating this new global environment will require Singapore “to be more thoughtful, quite careful to be nimble and to find ways to not get caught up in the geopolitical currents”.

“At the end of the day, we have to be guided by what is in Singapore's national interest and do so in a way that is consistent and principled,” he said.

This includes saying or doing things that some countries may not be so happy with from time to time, including China and the United States, said Mr Wong.

Singapore’s approach is not to find a balance between the two superpowers, he said.

“So if one day I take a position against one country, the next day I have to find another thing to say or do for the other countries so that I can somehow achieve some perceived balance. That is not our approach. 

“But I think if we continue with this approach, it will make us a more credible and trusted partner over time, because people know what we stand for, people know what Singapore means. And I think they will be better prepared to partner with us and work together with us.”