New Cabinet's priority is to secure Singapore ‘an assured place in this changed world': PM Wong
[SINGAPORE] The new government's priority is to secure for Singapore 'an assured place in this changed world', said Prime Minister Lawrence Wong at the swearing-in of his Cabinet on Friday (May 23) evening.
Beyond navigating this uncertain world, Singapore's goal is to help shape it for the better, by 'upholding shared principles and values so that small nations too have a place under the sun', he said.
At the ceremony at the Istana, PM Wong laid out the priorities for the new term of government, following the May 3 general election (GE).
Singapore will deepen relations with major powers, especially the United States and China, to stay friends with both without getting caught in their rivalry.
'Where our interests align, we will work with them,' he said. 'Where they do not, we will stand firm and protect Singapore's security and sovereignty.'
The Republic will also strengthen ties with friends and seek new ones elsewhere, such as Africa and South America.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Sign Up
Sign Up
'In a world of shifting alliances, we will be a steady and constructive partner – one willing and able to contribute to peace and stability, to advance dialogue and fraternity, and support a rules-based global order.'
At the same time, the government will steer Singapore's economy through the challenges ahead, reviewing and updating economic strategies. It will work with tripartite partners to develop a blueprint for the next phase, to keep Singapore competitive and create good jobs.
In the near term, it will help businesses and households 'weather the storm' as global growth slows, and work with the labour movement to support workers and jobseekers.
Singapore has an advantage as the international community and investors would have noted the strong mandate obtained in the GE, said PM Wong.
'They would see a nation that is united – standing firmly behind its leaders, and placing confidence in a government with the strength... to secure Singapore's place in an unpredictable world.'
He highlighted the ruling People's Action Party's 'strengthened majority' of over 65 per cent, an improvement of more than 4 per cent in his first electoral outing as prime minister.
Singaporeans voted for 'a strong and stable government', while re-electing opposition MPs in the constituencies they held, he noted.
'In these uncertain times, you understood what was at stake – our vulnerability and our future,' he said. 'You chose leaders you could trust, a government you could rely on, and a steady course for our nation's next phase of development.'
Strong team
PM Wong said his new Cabinet, announced on Wednesday, represents 'the strongest team' he could assemble.
'My new team comprises both experienced ministers who will provide steady hands and new ministers who will provide fresh perspectives and ideas.'
He highlighted a core team comprising Deputy Prime Minister Gan Kim Yong and three coordinating ministers: K Shanmugam for national security, Chan Chun Sing for public services and Ong Ye Kung for social policies.
They bring 'a wealth of experience and leadership', and will serve as a 'steady anchor' for the government, said PM Wong.
While several ministers are continuing in existing roles – 'especially in key areas where continuity and stability are critical' – others will get new roles to broaden their experience.
'At the same time, I have reinforced the team with nine new office-holders,' he added. Seven are first-time Members of Parliament, including new acting ministers David Neo and Jeffrey Siow.
Press on with Forward Singapore
Meanwhile, the government will continue efforts to refresh and strengthen Singapore's social compact as part of the Forward Singapore agenda, said PM Wong.
'This is critical not only because seeking an ever fairer and just society is the right thing to do. But it's also because a society torn by inequalities cannot possibly stand resilient in the face of a turbulent world.'
This policy agenda by the fourth-generation leadership features seven key shifts, such as enhancing social support, creating more diverse pathways to success and deepening racial and religious respect.
Beyond immediate concerns, the government will prepare Singapore for the future – in particular, by accelerating the transition to cleaner energy and adapting to 'the realities of climate change'.
'We will transform our infrastructure, and create smarter, more connected and greener homes for all Singaporeans,' he said.
In all this, the government will keep engaging Singaporeans from all walks of life and reflect their voices in its policies, pledged PM Wong.
'This is how my team and I will govern – in partnership with Singaporeans. Everyone will have a say in shaping our way forward and building our shared future.'
He added: 'I firmly believe that a more open and engaged society will strengthen, not weaken, Singapore'.
The government welcomes 'constructive debates' which push it to 'think harder, plan better, and serve Singaporeans more effectively', he said. 'But at the same time, we must always respect one another, and remember that even with our differences, we share more in common with each other.'
Earlier in the ceremony, President Tharman Shanmugaratnam said he was heartened that Singapore's democratic process remained decorous and respectful.
'Unlike many other places where political divisions have hardened and even turned people against each other, we have upheld a tone of mutual respect and serious engagement,' he said.
'Singaporeans showed that while we may hold different views, we are all fellow citizens who want the best for our nation.'
Highlighting Singapore's spirit of solidarity, he urged MPs to debate 'with conviction, but always with respect'; to never compromise on honesty and integrity; and to provide alternatives while critiquing policies.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Times
an hour ago
- Business Times
Japan's wholesale inflation slows, taking pressure off BOJ
[TOKYO] Japan's annual wholesale inflation slowed in May on falling import costs for raw materials, data showed on Wednesday, taking some pressure off the central bank to raise interest rates. But the rise in wholesale prices for food and beverages gathered pace in May in a sign global uncertainties and soft consumption are not discouraging firms to pass on higher costs. The corporate goods price index (CGPI), which measures the price companies charge each other for their goods and services, rose 3.2 per cent in May from a year earlier, data showed, falling short of a median market forecast for a 3.5 per cent gain. It followed a revised 4.1 per cent increase in April and marked the slowest year-on-year rise since a 3.1 per cent gain in September. 'As wholesale inflation slows, consumer prices will also come under downward pressure with a lag,' said Masato Koike, senior economist at Sompo Institute Plus. 'The BOJ may have lost the opportunity to raise interest rates because inflation will have slowed significantly by the time the fog hanging over Japan's tariff talks (with the US) clears,' he said. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Prices of steel goods fell 4.8 per cent and those of chemical products were down 3.1 per cent, while non-ferrous metals products saw prices slide 2.1 per cent, the data showed. The yen-based import price index fell 10.3 per cent in May from a year earlier after a 7.3 per cent drop in April, indicating the currency's rebound was pushing down raw material import costs. By contrast, prices of food and beverages rose 4.2 per cent in May, accelerating from a 4.0 per cent increase in April in a sign of simmering inflationary pressure, the data showed. Japan is struggling to reach a deal with Washington in tariff negotiations, clouding the outlook for its economy, which is heavily reliant on automobile shipments to the US. The uncertainty over US trade policy forced the BOJ to cut its growth forecasts on May 1, suggesting the timing of its next rate hike may be delayed despite steadily rising inflation. Japan's core consumer inflation hit 3.5 per cent in April, marking the fastest annual pace in more than two years and exceeding the BOJ's 2 per cent target for more than three years, due largely to a surge in food costs. While the BOJ expects food inflation to moderate later this year, it has signaled its readiness to raise rates again once the economy resumes a recovery on solid wage gains. The BOJ ended a decade-long stimulus programme last year and in January raised interest rates to 0.5 per cent on the view Japan was on the cusp of durably hitting its 2 per cent inflation target. A Reuters poll, taken on May 7-13, showed most economists expect the BOJ to hold rates steady through September with a small majority forecasting a hike by year-end. REUTERS
Business Times
3 hours ago
- Business Times
The next growth engine
AS FAR as nation states go, Singapore is relatively young at 60 years old but has achieved a lot in a short timeframe. It has emerged as a regional leader in business, financial services, shipping, air transportation and logistics, developing these advancements within a generation. As the Republic celebrates its diamond jubilee this year, it is worth having a look at how Singapore proactively leveraged technology to drive its growth and leadership, and how it can continue to do so, especially with the advent of rapid improvements to artificial intelligence (AI). Singapore's transformation into a digital leader began decades ago with strategic economic planning. Following independence in 1965, the government prioritised industrialisation by focusing on creating a conducive business environment and building a manufacturing base for global export markets, leveraging the country's strategic location as a free port. However, Singapore's visionary leaders recognised early on that the country faced strategic limitations in terms of its small land area and labour force. They therefore prioritised investing in technology, education and workforce development. This shift paved the way for transitioning into a high-value economy, fuelled by greater value manufacturing, services, finance and innovation. By the late 1990s, Singapore had repositioned itself as a financial and business hub, supported by world-class telecommunications and logistics, as well as a pro-business environment. These pillars are now enabling the country to take the lead in digital transformation, particularly in AI. A smart nation built for AI Singapore's digital economy began to emerge in the early 2000s, but it advanced significantly with the Smart Nation initiative in 2014. This strategy – framed as a whole-of-nation transformation – was focused on the integration of digital technologies into transport, healthcare, urban planning and public services. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up High-speed broadband, nationwide 5G, and advanced cloud infrastructure were all developed as public goods to enable faster growth. These efforts laid the groundwork for practical AI deployment across sectors. Singapore's more recent AI aspirations are centred around its 2023 National AI Strategy 2.0. This more recent strategy seeks to position the country as a global leader in AI by focusing on five critical areas: innovation, talent, infrastructure, governance and partnerships. It also provides guidelines for ethical use, ensuring that AI deployment benefits society at large. The government has committed plenty of funding to support AI research and development, and nurture a 15,000-strong AI talent pool. This includes new degree programmes, research fellowships and technical certifications that are relevant to industry needs. Solving AI's structural weaknesses Despite its potential, AI poses well-known risks, and Singapore has been upfront about confronting them head-on. Distorted and gap-filling outputs from AI models are one critical concern – especially in sectors where accuracy is paramount. These false outputs often stem from poor data quality or gaps in training sets. In Singapore, regulators and developers are encouraged to implement strict data governance protocols, such as structured validation, augmentation from many different sources, and human review during the training phase. Bias in AI is another issue, particularly in high-stakes use cases such as hiring, credit scoring and healthcare diagnostics. Models trained on historical data can replicate – and even amplify – existing inequalities. To address this, Singapore encourages inclusive data practices, the use of bias-detection algorithms, and the involvement of multidisciplinary review boards to assure fairness before models go live. Transparency is therefore central to the trust needed to ensure AI accuracy. Many advanced models, especially large language models, operate like black boxes. This minimises accountability. Singapore encourages explainable AI (XAI) – tools and frameworks that provide clarity on how and why an AI system made a decision. XAI is increasingly being embedded into regulatory requirements, particularly in industries such as finance and healthcare. These principles – transparency, fairness, and accuracy – are critical to building AI that society can trust. Singapore recognises the importance of trust as a core pillar of its digital strategy. The Personal Data Protection Act guarantees high standards for data handling and consent, fostering business confidence and enabling data flows with major economies. The Republic is also advancing international cooperation through frameworks such as the Asean Guide on AI Governance and Ethics, promoting cross-border trust and ethical norms. Singapore's path forward As Singapore advances, AI can play a role in developing systems that can scale responsibly and provide concrete advantages throughout the economy. As automation improves over time, agentic AI is gaining attention for its ability to function independently. Unlike conventional AI, these systems can diagnose issues, resolve problems and adapt based on real-time data. Singapore's robust IT infrastructure and governance framework provide a strong foundation for deploying such technologies, especially in mission-critical fields such as cybersecurity and smart infrastructure. In tandem, the country is making sustained efforts to close the digital skills gap. SkillsFuture provides a national framework for lifelong learning, offering credits and subsidies for citizens to pursue AI-related courses. More than just classroom training, the initiative also supports on-the-job learning and industry-recognised certifications. TechSkills Accelerator works closely with employers to co-develop workforce strategies. These include company-led training schemes as well as tech immersion and placement programmes, which are designed for real-world job roles. These initiatives are part of a broader move to ensure that AI growth does not widen inequality. Instead, they strengthen economic mobility and national resilience, giving every citizen a pathway to participate in the digital economy – whether through mid-career conversion or enhanced technical specialisation. The investment landscape reflects growing global confidence in the Republic's ability to be a global AI leader. Today, Singapore is home to more than 1,100 AI startups, many of which specialise in deep tech, medtech and enterprise software. It also hosts over 150 AI-focused research and development teams, including those from Google, Nvidia and Alibaba. OpenAI's new office opening is another signal of increasing interest in Singapore from players all around the world. To scale this ecosystem, the government is backing AI Centres of Excellence, working with more than 100 firms to embed the technology across logistics, manufacturing, finance and professional services. These collaborations aim to increase AI adoption, improve productivity and create new job categories. With its world-class intellectual property protection and transparent regulations, Singapore offers a highly competitive base for AI-driven growth across South-east Asia. Singapore is building an AI ecosystem grounded in trust, talent and technology. Its mix of strong regulations, workforce readiness and infrastructure makes it a strategic AI hub, not just in Asia, but globally. As the country looks ahead to its next 60 years, AI is poised to play a major role in its continued economic leadership and distinctiveness in the region. The writer is regional director at ManageEngine
Business Times
3 hours ago
- Business Times
UK's Reeves to make £2 trillion bet on ‘Britain's renewal'
[LONDON] British finance minister Rachel Reeves will divide up more than £2 trillion of public spending on Wednesday in a speech she hopes will foster a sense of national renewal and make clear the year-old Labour government's political priorities. In an address to parliament due after 1130 GMT, Reeves will set out day-to-day budgets for government departments from 2026 to 2029 and investment plans out to 2030. Reeves set the overall total for spending in an October budget, financing her plan with the biggest tax rise in a generation and looser fiscal rules that make it easier for her to borrow to cover long-term investment. The choices she announces on Wednesday must start paying off quickly if Labour is to achieve its goals of boosting Britain's growth rate and improving the quality of overstretched public services. 'This government is renewing Britain. But I know too many people in too many parts of the country are yet to feel it,' Reeves is expected to tell parliament, according to speech extracts released by the finance ministry. Reeves said the government would 'invest in our country's security, health and economy so working people all over our country are better off.' BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Among the projects announced on Wednesday was likely to be a £39 billion 10-year programme to build lower-cost housing - almost doubling the annual amount spent on this compared with existing support, the finance ministry said. Since its sweeping election victory last July, Labour has seen its popularity slide. The right-wing Reform Party led by former Brexit campaigner Nigel Farage is now ahead of it in the polls and outperformed it in English local elections last month. While Britain's economy recorded the fastest growth of the Group of Seven advanced economies in the first quarter of this year, the International Monetary Fund has forecast that in coming years it will lag behind the United States and Canada and barely outperform the euro zone. Official data on Tuesday showed the jobless rate had hit its highest in nearly four years - which the opposition Conservatives blamed on Reeves' October decision to place the main burden of tax rises on employers and boost workers' rights. Spending battle Discussions between Reeves and government ministers have continued into this week over how big a slice their departments will receive of a pie whose size was set last year. Plans announced so far include £86 billion on research and development, £16 billion on public transport, £4 billion on a new nuclear power station, £6 billion on nuclear submarines and £4 billion on prisons. The final spending increases are unlikely to be shared out equally. Capital-intensive plans to raise defence spending to 2.5 per cent of gross domestic product, announced by Starmer in February, mean other departments will see no real-terms increase in the pace of investment after this year, the Institute for Fiscal Studies think tank estimates. Day-to-day spending on public services is due to rise by an average of 1.2 per cent a year on top of inflation between 2026-27 and 2028-29, while capital budgets will increase by an average of 1.3 per cent in real terms through to 2029-30, according to the IFS. Both rates of growth are much slower than in the current financial year, when investment spending is set to jump by 11.6 per cent and current spending rises by 2.5 per cent. For day-to-day spending, increasing the health budget by 2 percentage points more than the average - as was typical when Labour was last in power before 2010 - would mean real-terms cuts of 1 per cent a year for other departments, the IFS said. Chris Jeffery, head of macro strategy at Legal & General, Britain's largest asset manager, said the fact that the overall spending total was known limited the impact for investors. Instead, financial markets would be most focused on whether any proposed cuts looked realistic for the departments affected. 'If they're imposing really large real-terms cuts in spending, then I think the market will come to the conclusion that these are less likely to be delivered than if they are less aggressive,' he said. REUTERS
