Committee of Supply – Head N (Ministry of Foreign Affairs)
Ministry of Foreign AffairsSpeakers
Summary
This motion concerns Singapore’s strategic foreign policy response to the intensifying US-China rivalry and the global shift toward protectionism and transactional diplomacy under a new United States administration. Members of Parliament highlighted the erosion of the rules-based multilateral order and the risks posed to small states by major power contestation in trade, security, and emerging technologies like artificial intelligence. They argued for the necessity of maintaining strategic autonomy, diversifying economic partnerships through ASEAN and the European Union, and upholding international law to safeguard national sovereignty. The discussion emphasized the importance of national unity and public communication to prepare Singaporeans for a more volatile and fragmented "New World Order." Ultimately, Members called on the Ministry of Foreign Affairs to outline its efforts in future-proofing Singapore’s relevance and protecting its long-term economic and security interests.
Transcript
The Chairman: Head N, Ministry of Foreign Affairs, Mr Vikram Nair again.
2.58 pm
Singapore's Relations with Major Powers
Mr Vikram Nair (Sembawang): Chairman, I seek to move, "That the sum to be allocated for Head N of the Estimates be reduced by $100".
In the Committee of Supply (COS) last year, the United States (US)-China relationship was described as the "most consequential" for international affairs. It appears that this year, one of the most consequential factors is not just this relationship, but the new US administration's recalibration of almost all its international relationships.
Other than US and China, the major powers of the world may be considered the developed world countries, the nuclear powers as well as the G20 economies.
Following the last election in the US, the new administration in its first month in office included plans to impose tariffs on Canada and Mexico, the US' closest neighbours and important trading partners under the North American Free Trade Agreement (NAFTA). Around the same time, tariffs were also threatened against the European Union (EU) countries, hitherto a close ally of the US in both economic and security matters.
Indeed, US is Europe's largest trading partner and most EU countries are also a security ally of the US through the North Atlantic Treaty Organization (NATO). Traditionally, US and Western Europe had been regarded as the "West", a group of generally philosophically aligned developed nations. It appears though that this alliance is now under pressure.
The differences on security matters have played out most starkly in positions on the war in Ukraine, with most European NATO allies condemning Russia's attack and supporting Ukraine's right of self-defence.
The US, which was hitherto, being an important supporter of the effort with provision of weapons to Ukraine, seems to now be more focused on a mineral deal with Ukraine and pressuring Ukraine to negotiate a peace deal that may involve giving up large parts of its territory, which was illegally conquered. The most obvious evidence of this rift was US voting along with Russia and North Korea against a resolution in the United Nations (UN) put forward by its Western allies condemning the invasion of Ukraine.
3.00 pm
I would like to ask the Minister what impact these shifts in major power alliances will have for Singapore and whether there are any opportunities for Singapore in what appears to be a much less certain world.
In relation to China though, the US position does not seem to have changed significantly between the administrations in terms of direction. The new administration has announced a further increase in tariffs against selected goods from China. These may have less of a dramatic effect as the two countries' economies have already been decoupling since the initial round of tariffs launched more than a decade ago.
At the same time, contestation between the two, especially on the technology front, has intensified. The launch of DeepSeek has demonstrated China's artificial intelligence (AI) capabilities, developed at a much lower cost than its counterparts in the US. It appears the race is very much on between these two great powers on the technology front.
As US-China contestation intensifies, how has Singapore's ties with these major powers changed, and how has our role in the global landscape been affected? What can Singapore do to manage these tensions? Finally, how would Singapore respond to the risks of being caught in this contestation between the US-China in the tech space and on other fronts?
Question proposed.
Ms Poh Li San (Sembawang): Chairman, both the US and China are important partners of Singapore. We have had a long history of friendly relationships with both countries, with strategic cooperation in almost every sector.
The US has been Singapore's largest foreign direct investment partner, with investments in manufacturing, wholesale trade, finance and insurance. China is Singapore's biggest trading partner and Singapore is its largest foreign investor.
The US-China political and trade relations are at their lowest points in years. They have disagreements on many issues and in addition, rivalry has led to a very tense situation.
How should Singapore chart our foreign policy amidst the US-China rivalry, given our close ties with both countries? How can Singapore remain a relevant and trusted partner to both major countries?
US-China Rivalry
Miss Rachel Ong (West Coast): Chairman, Singapore stands at a pivotal moment in our foreign relations, particularly in balancing our ties with the US and China.
As a small nation reliant on global stability, we must carefully navigate the intensifying competition between these two major powers.
Our relationship with the US remains robust. In 2024, we renewed a long-standing agreement that grants US military access to our facilities, further cementing our security partnership. Economically, the US is also our largest foreign investor, with over US$600 billion invested in Singapore in 2023.
At the same time, our ties with China are deepening and continue to grow. In 2023, the China-Singapore Free Trade Agreement was updated, enhancing cooperation in critical areas such as the digital economy and green technology. Singapore is also China's largest foreign investor and plays a pivotal role in the Belt and Road Initiative.
However, challenges persist. The intensifying US-China rivalry over technologies like semi-conductors and artificial intelligence (AI) is creating significant uncertainty for businesses here. Companies in Singapore are grappling with the complexities of navigating regulations and trade restrictions from both sides.
Geopolitical concerns are also rising. China's actions in the South China Sea and its economic practices have sparked apprehension among some Association of Southeast Asian Nations (ASEAN) countries. At the same time, despite initiatives like the Indo-Pacific Economic Framework, uncertainties persist regarding the US' long-term commitment to the region.
Given the increasingly complex global landscape, how can Singapore continue to strengthen our bilateral relations with both the US and China, while safeguarding our independence and advancing our national interests?
Big Power Contestation
Mr Alex Yam (Marsiling-Yew Tee): Chairman, there is a troubling resurgence of big power contestation and the rising possibility of a hot war with leaders who appear increasingly dismissive of international laws and norms.
History reminds us that powerful nations have always vied for influence. But the speed and intensity of today's power plays are unprecedented. In this volatile environment, smaller states like Singapore cannot afford to be complacent. Just look at what happened in the Oval Office last week. We must remember that when great powers collide, smaller nations must keep their wits, or risk being trampled.
Why does all this matter to Singapore? Singapore thrives because of the integrity of global trade routes and rules-based norms. Any unilateral tariff or sanction, imposed on a whim by the major powers, can batter our economy. For a small but open economy like ours, every disruption at sea, in the air, or even in boardrooms, echoes across our island.
Our sovereignty depends on the global community honouring international laws. If might becomes right, smaller states will find themselves squeezed. The gradual erosion of long-standing norms casts an ominous shadow over our national security. Peace, after all, is delicate; we cannot let the heavy footprints of great powers tread on our Independence.
Amid the shifting calculus of the circles of power in Washington, Beijing, Moscow and beyond, we must stand ready for sudden turns in policy, whether in technology alliances or strategic supply chains. Because in a fluid world where alliances can form and fracture overnight, vigilance and self-reliance are our strongest shields.
Singapore's reliability stems from abiding by international law and seeking peaceful resolution of disputes. This steadfast posture bolsters our credibility. Simply put, we pick no sides; we pick principles.
We continue to nurture strong ties with our partners, while fortifying ASEAN unity. A cohesive regional bloc protects our shared interests and dampens external pressures. A united ASEAN is our best bet against the crosswinds of big power rivalries. However, we have our share of problems.
Mr Chairman, Singaporeans must also realise how vital it is to avoid reflexively choosing sides. That could serve another power's agenda rather than Singapore's. A well-informed, united citizenry is our frontline in foreign policy. When we collectively understand the rationale behind our diplomatic stances, we become a nation that speaks with one voice and stands firm amidst the chaos.
In this epoch of renewed big power contests, Singapore's path must be clear: remain steadfast in our principles, unwavering in our commitment to international law, and yet astute in balancing relationships with all of our partners, big or small. We may be small, but we must stand tall, guided by the power of principle over the principle of power.
I therefore support the Ministry's budget. We must stand behind our Ministry of Foreign Affairs (MFA) officers who work tirelessly to secure Singapore's place in a world increasingly turned on its head.
How do we therefore navigate the complex global landscape becomes ever more important. How does MFA assess our place in this contested landscape? And how do we prepare Singaporeans for the New World Order? Because when the storms of geopolitics rage, Singapore will and must stay resolute, for that is how small states like ours stand our ground.
US-China Tension
Mr Mark Lee (Nominated Member): Chairman, as tensions between the US and China remain unresolved, businesses and Singaporeans are concerned about the broader implications on trade, investment and security. Could the Ministry provide an update on Singapore's efforts to navigate these challenges, particularly in maintaining our relevance as a neutral and strategic partner to both the US and China, ensuring continued trade access and investment flows? How is MFA strengthening diplomatic and economic engagements to safeguard Singapore's interests amidst increasing global fragmentation?
Navigating US-China Relations
Mr Gerald Giam Yean Song (Aljunied): Sir, Singapore's most pressing foreign policy challenge today is managing escalating rivalry between the US and China. As a small state with an open economy, Singapore is highly vulnerable to disruptions from this great power competition. Balancing strong military and economic ties with the US with deep economic links with China requires careful diplomacy, strategic autonomy and economic adaptability.
To mitigate these risks, Singapore should diversify its economy by strengthening trade investment ties with ASEAN and the EU, as well as with India, Japan, South Korea and other growing economies, ensuring that these relationships are based on stable and predictable legal and institutional frameworks.
Changes in US engagement in Asia and rising military tensions with China create new security challenges for Singapore. To strengthen its defence resilience, Singapore should strengthen its defence partnership with the US while expanding security cooperation with more countries, including some of our neighbours in Southeast Asia.
At the same time, Singapore must continue building up the capability and competence of the Singapore Armed Forces to ensure it remains a credible deterrent against emerging threats.
Building diplomatic goodwill through bilateral engagement and assistance will also be important in winning international support for Singapore in times of crisis. MFA should expand efforts to educate businesses, non-governmental organisations (NGOs) and the public about our strategic interest through town halls and closed hall closed door briefings.
It can also make better use of social media, podcasts and short videos to ensure foreign policy messaging reaches wider domestic and international audiences. Could the Minister outline what MFA is doing in these areas and how it plans to strengthen its such efforts?
Erosion of Multilateralism
Mr Vikram Nair: Chairman, multilateralism has been the cornerstone of our world since the end of World War II. The United Nations, along with the Bretton Woods institutions of the International Monetary Fund (IMF) and World Bank were the key pillars of a world where major powers acknowledged that this was the best hope for a more prosperous and secure world for everyone.
This was followed by a proliferation of multilateral treaties on a wide range of matters over the decades as countries found more and more areas to cooperate on. Singapore, like many other countries, prospered against this backdrop and is party to a large network of multilateral and bilateral treaties.
In my opening cut, I had discussed how the US seems to be redefining its relationships with both its NAFTA and NATO allies. More troublingly, the US has also announced it will withdraw from the World Health Organisation and the Paris Climate Agreement.
What is the impact of these moves on international co-operation to tackle issues such as pandemics and climate change, and how can small states like Singapore prevent a weakening of the international rules-based order?
Multilateralism and Rules-based Global Order
Mr Mark Lee: Chairman, Singapore's prosperity depends on a stable and rules-based international system. As global discussions evolve in areas like AI, cybersecurity, and climate change, how is Singapore ensuring that our national interests are protected at multilateral fora? What steps are we taking, to stay actively engaged with key international partners so that we remain influential in shaping policies that impact us?
Given that international law is crucial for a small trade-dependent nation like ours, how is Singapore contributing to efforts to uphold global rules and safeguard our long-term security and economic interests?
3.15 pm
Mr Chong Kee Hiong (Bishan-Toa Payoh): Chairman, since the end of World War II, the world has benefited from a stable rules-based international order. As a result, the relative peace and order in most parts of the world have enabled development and economic growth, uplifting millions from poverty and raising the standards of living for people around the globe.
As a small state with no natural resources and whose economy is highly dependent on trade, Singapore has benefited greatly from the conducive global environment brought about by the rules-based international order too. Since our Independence 60 years ago, Singapore has been a keen supporter of globalisation and free trade. We have also participated actively in international organisations, such as the UN and the World Trade Organization. These have fostered Singapore's economic advances and national development over the years and contributed to higher living standards and prosperity for many Singaporeans.
However, the global environment is now changing, with the rules-based international order under immense stress from developments, such as the ongoing Russia-Ukraine war, tensions in the Middle East and recent tariff conflicts. These developments are detrimental to the interests of small states like Singapore.
Against this backdrop, what is Singapore doing to support the upholding of the rules-based international order which is under tremendous stress? With declining support for globalisation, how are we supporting international bodies that promote globalisation which is critical for Singapore's survival and prosperity?
Mr Liang Eng Hwa (Bukit Panjang): Mr Chairman, since the World War II, countries around the world have largely operated under a set of principles, norms, rules and agreements and where nations' sovereignties are respected.
The current state of international affairs and the worrying recent developments have, however, severely threatened this rules-based global order and thrust countries like Singapore into this unchartered territory. Are we seeing the erosions of multilateralism and fraying of the rules-based global order?
In September last year, at the Summit of the Future, under the auspices of the UN, world leaders adopted the Pact of the Future. This aims to reinvigorate and better position multilateral institutions to address complex challenges at a time when multilateralism itself is under pressure. How has Singapore contributed to the Pact for the Future and how will Singapore continue to contribute to strengthening multilateralism?
Singapore's Foreign Policy
Mr Kwek Hian Chuan Henry (Kebun Baru): Chairman, since 1965, our core foreign policy has served us well through three distinctive periods in the international world order. The first was the Cold War, a time when global world power was divided into fixed blocs of influence, with parts of Southeast Asia mired in active conflicts. The second came after the fall of the Berlin Wall, ushering in a unipolar world dominated by the United States, where globalisation and free trade became the defining aspects of international relations. And the third part, which emerged from the mid-2010s, has been marked by increasing economic decoupling and geopolitical tensions, with global affairs shaped largely through the lens of US-China rivalry.
Now, with the incoming Trump Administration triggering off tectonic shifts in both global trade and geopolitics, we could be entering a disorderly interregnum. As we celebrate SG60, how can we ensure that Singapore's foreign policy is sufficiently future-proofed for the challenges ahead?
Mr Chong Kee Hiong: Chairman, the world is going through a phase of greater contestation, fragmentation and bifurcation on the global stage. This was born out of a fundamental lack of strategic trust between the major powers. A number of countries are also turning to protectionist and nationalist policies, as they become more insular in their outlook and transactional in their foreign policy. These developments are detrimental to international trade, relations and cooperation among nations, especially for important issues which we need to work together on, like climate change.
Singapore has consistently sought to play a constructive and relevant role on the global stage. As a small nation-state and open economy highly dependent on global trade, we need to do our best to join hands with countries with similar outlooks on mutual cooperation and partnerships.
To better safeguard Singapore's interest, can MFA share how we have been able to build ties with like-minded partners to expand our common interest and amplify our voice and impact in the international arena?
Fate of Small States in New Global Order
Mr Xie Yao Quan (Jurong): Chairman, not too many years ago, it was put to us that "a small nation has no foreign policy". The corollary, of course, is that "might makes right"; big countries will do what they can, while small countries will suffer what they must.
Fast forward a few years, these cardinal instincts of big countries are manifesting more and more in our geopolitical realities. Where there was once polite restraint and a basic respect for rules tempered by enlightened self-interest, we now find increasingly naked, unbridled hegemony and hubris.
We now see a big country invading a small country on the basis of historical errors. We see big countries laying claim on the resources and territories of small countries. We see a big country reminding a small country of its place in life, putting a small country in its place in front of world media in the most public of settings.
And we see big countries dealing with one another, bargaining with one another on the fate of a small country, where the small country is on the table, not at the table.
Sometimes, it feels like the world order, as we have known it for the last three decades, is not fraying at the edges; but rather, breaking down from the centre. So, how is a small state like Singapore to face and survive in this new world order? How can we go about maximising strategic space for ourselves in this jungle? And how do we secure our destiny going forward?
Specifically, how can Singapore work even more closely with fellow small states around the world to find strength in numbers and secure our collective future, together?
US Relations
Mr Vikram Nair: Chairman, the US has been an important ally of Singapore on multiple fronts, including on trade, investments and defence. We have been a reliable ally of the US in this region since our Independence.
On the trade front, the US-Singapore Free Trade Agreement was signed in 2004. According to data from MFA, we have over 5,800 US companies based in Singapore. Our bilateral trade and Singapore's investments in the US in more than 30 states have supported over a quarter million jobs for Americans.
In relation to defence, we have signed several important defence agreements with the US and have training detachments in Idaho, Arizona and Texas, which make us the second largest permanent foreign military contingent in the US. Our forces have regular training exercises with the US.
According to MFA, we have cooperation on many other fronts with the US, including people-to-people exchanges, cooperation on climate, space, critical technologies and cybersecurity. Have any of these wide-ranging areas of cooperation been affected by the change in the US administration?
Recently, the US expressed concerns that some US technologies, specifically, Nvidia chips, may have been moved through Singapore to China, in breach of US trade restrictions on such chips. This incident has cast Singapore in a negative light as a potential backdoor for US tech leakage. What is Singapore doing to manage and correct such perceptions?
Singapore's Relations with US
Mr Kwek Hian Chuan Henry: Chairman, as the second Trump administration takes shape, Singapore must navigate an evolving geopolitical landscape while maintaining our strong and longstanding partnership with America.
We host significant US fixed asset investments, with many US companies using Singapore to serve the region. Our deep economic interests, ties, defence cooperation and collaborations in areas like finance, trade and technology, have provided a strong foundation for bilateral relations. However, the US' shifting global priorities, differing approaches to trade and taxation, and increasing competition in critical technologies introduce new complexities.
As global supply chains and digital infrastructure become even more strategically sensitive, ensuring continued trust and cooperation will be key. What are some of the areas that we hope to continue to pursue? How can Singapore maintain the trust of the US, especially in potentially sensitive areas, such as cybersecurity, advanced technologies and innovation?
Ms Jessica Tan Soon Neo (East Coast): Mr Chairman, Singapore and the US share a strong and multifaceted relationship, and this has grown over many decades. The bilateral ties between our two countries are defined by strong economic, defence, innovation and people-to-people connections. The US is one of Singapore's largest trading partners.
In line with its current trade policy, the US has demonstrated a readiness to impose new tariffs on various countries. Singapore's economy is highly dependent on trade and any disruption to global trade can have significant impact on Singapore's economic growth and stability. As a small and open economy, Singapore is susceptible to global supply chain disruptions and trade tensions. What potential impact can such tariffs, direct or indirect, have on Singapore? How can we strategically position ourselves to mitigate this impact?
The Chairman: Order. I propose to take a break now.
Thereupon Mr Speaker left the Chair of the Committee and took the Chair of the House.
Mr Speaker: I suspend the Sitting and will take the Chair at 3.50 pm.
Sitting accordingly suspended
at 3.26 pm until 3.50 pm.
Sitting resumed at 3.50 pm.
[Deputy Speaker (Ms Jessica Tan Soon Neo) in the Chair]
Debate in Committee of Supply resumed.
[Deputy Speaker (Ms Jessica Tan Soon Neo) in the Chair]
Head N (cont) –
3.50 pm
The Chairman: Mr Sharael Taha.
Navigating Uncertainties – US-Singapore
Mr Sharael Taha (Pasir Ris-Punggol): Mdm Chairperson, with the evolving landscape under the current US administration, how is the Government assessing its potential impact on Singapore-US bilateral relations? In particular, how might shifts in US foreign policy, especially its intensifying rivalry with China, along with changes in economic priorities and trade policies, affect key areas of cooperation, such as defence, trade and technology partnerships?
As a small but globally connected nation, Singapore must carefully balance its relationships with key partners, including the US, China, Europe, ASEAN and other major economies, amidst global fragmentation.
How is the Government ensuring that Singapore strengthens its international ties while upholding a calibrated, independent foreign policy that safeguards our national interests?
Singapore's Relations with China
Mr Kwek Hian Chuan Henry: Mdm Chairperson, since China's opening in the late 1990s, Singapore and China's economies have grown in tandem, deepening cooperation across multiple sectors. Singapore was an early investor in China's rapid urbanisation, with landmark projects like the Suzhou Industrial Park project and later, the Tianjin Eco-City project.
Financial collaboration is also expanded, with Singapore becoming a key offshore hub for RMB internationalisation and Singapore being the host of Chinese companies as a gateway for Southeast Asian expansion.
Today, as China shifts towards high-tech innovation and sustainable growth, Singapore's expertise in finance, governance and smart city solutions offers new synergies.
What are the areas where Singapore and China share complementary advantages and can work together to benefit the region?
Unity and Singapore-China Relations
Mr Edward Chia Bing Hui (Holland-Bukit Timah): Mdm Chairperson, strong national unity and domestic support must underpin Singapore's foreign policy. In a multicultural society like ours, differing perspectives on foreign affairs can easily upset our hard-won racial harmony. As the global geopolitical landscape grows more complex and fragmented, it is more important than ever for Singaporeans to stay cohesive in our approach.
Also, in recent times, information is increasingly consumed through social media and messaging apps whose algorithms reinforce specific viewpoints. As a result, the public is less exposed to diverse perspectives than in the past, when traditional media offered a broader range of views.
Can MFA share how it fosters public understanding and national consensus on Singapore's foreign policy priorities? How is MFA adapting its public engagement strategies to make foreign policies more accessible and relevant to Singaporeans and ensure unity in approach?
This year marks 35 years of diplomatic ties between Singapore and China, a relationship built on mutual trust, respect for international norms and adherence to global principles. Despite the growing US-China rivalry, Singapore has remained consistent and principled in our engagement with both powers. However, these international norms are increasingly being challenged and tensions between the two major economies continue to escalate.
Given this shifting geopolitical climate, how is Singapore working to deepen our cooperation with China while maintaining our strategic autonomy? What are our strategies to strengthen bilateral cooperation and people-to-people ties amidst these geopolitical uncertainties?
Safeguarding Singapore's Interests
Ms Poh Li San: Mdm Chair, with global tensions between major powers and an increasing number of countries becoming more nationalistic and protectionist, the mutual cooperation of a rules-based international order is under pressure. At the same time, competition for both material and non-material resources, like highly skilled manpower in specialised fields, has intensified.
Against this backdrop, how can we safeguard Singapore's interests on the international stage and secure the necessary resources, maintain ties, mutual support and cooperation with our partners? How can Singapore ensure that we remain at the forefront in emerging areas, such as AI, cyberspace, digital economy, green economy and outer space, and promote cooperation in these areas?
Competitive Edge on Frontier Issues
Mr Neil Parekh Nimil Rajnikant (Nominated Member): Mdm Chair, as we navigate the rapidly changing global landscape, Singapore's continued success hinges on our ability to maintain a competitive edge, especially in frontier issues and emerging technologies. But we must be wondering what MFA got to do with all these?
As MFA plays a crucial role in global diplomacy, strengthening international partnerships in critical areas of technology is vital. By engaging with like-minded countries and multinational corporations, we can create avenues for knowledge sharing, joint ventures and access to new markets.
How can we maintain Singapore's competitive edge on frontier issues, especially on critical and emerging technologies, and ensure that we continue to be an attractive hub for investment and R&D?
Critical and cutting-edge sectors, such as AI, biotechnology and quantum computing, will define the future of industries worldwide. Our challenge, therefore, is not only to keep pace with these developments but to position ourselves as a global leader in these fields.
To achieve this, we must focus on three key areas – fostering innovation, strengthening international partnerships and creating a conducive environment for investment and R&D.
Chairman, maintaining our competitive edge on frontier issues is essential to Singapore's future success. Let us continue to be a global leader in technological innovation and an attractive hub for investment and research.
Singapore's Relations with Malaysia
Ms Joan Pereira (Tanjong Pagar): Mdm Chair, Prime Minister Lawrence Wong and Malaysian Prime Minister Dato' Seri Anwar Ibrahim co-chaired the 11th Annual Malaysia-Singapore Leaders' Retreat in January 2025. It is one of our numerous bilateral events to strengthen our ties. It is heartening to note that our countries are committed to deepening our cooperation across more areas which will benefit citizens of both nations, including connectivity, trade, investment, culture, education, digitalisation and sustainability.
Would the Ministry provide an update on the current state of Singapore-Malaysia relations and what are some of the key initiatives to further enhance bilateral cooperation, especially as both sides commemorate the 60th anniversary of bilateral relations this year?
Mr Chong Kee Hiong: Mdm Chair, Singapore and Malaysia celebrate the 60th anniversary of our diplomatic ties this year. As close neighbours, our relations with Malaysia are built on a strong foundation of mutual trust and win-win cooperation.
At the 11th Malaysia-Singapore Leaders' Retreat co-chaired by Prime Minister Lawrence Wong and Malaysian Prime Minister Anwar Ibrahim in January 2025, a host of agreements was signed, including an MOU on higher education and an exchange of letters on the Malaysia-Singapore English Volunteers Programme. Both prime ministers also witnessed the exchange of an agreement on the Johor-Singapore Special Economic Zone, which will harness the complementary strengths of Singapore and Johor to attract new investment projects globally.
Could MFA share what are some of the other key areas covered at the 11th Malaysia-Singapore Leaders' Retreat and what other areas are both sides committed to cooperate on?
Singapore's Relations with Indonesia
Mr Vikram Nair: Mdm Chairperson, Indonesia, one of our immediate neighbours, is the largest country and economy in ASEAN. We have had a long-standing and close historic relationship with Indonesia and were both founding members of ASEAN.
4.00 pm
In 2024, three landmark agreements were signed with Indonesia covering areas, such as airspace, extradition and military training. These agreements were negotiated between teams led by Senior Minister Teo Cheen Hean for Singapore and Indonesia's Coordinating Minister for Maritime Affairs and Investments, Mr Luhut Binsar Pandjaitan. This was signed at the leaders retreat and witnessed by then-Prime Minister Lee Hsien Loong and President Jokowi. These agreements resolved and provided clarity on some long-standing matters in our bilateral relationship.
In October last year, President Prabowo was sworn-in as Indonesia's new President. He met with Prime Minister Lawrence Wong in November 2024 and both leaders agreed on several areas of cooperation, including, according to a Straits Times report —
The Chairman: Mr Nair, could you round up?
Mr Vikram Nair: Yes, thank you. In areas like defence, digital technologies, healthcare and trade. Will the Minister elaborate on the plans for the bilateral relationship with Indonesia in the coming year?
Mr Chong Kee Hiong: Mdm Chair, Singapore and Indonesia enjoy warm ties and has had a long history of strong cooperation across a range of sectors, including health, defence, education, culture and the environment. Singapore has been a top foreign investor in Indonesia in the last decade. We had several high-level exchanges with Indonesia last year, under the new administration of Indonesian President Prabowo Sudianto. Prime Minister Lawrence Wong visited Indonesia twice and met with President Prabowo.
During Prime Minister Wong's last visit in November 2024, both sides discussed deepening cooperation in defence, trade and investments, digital technologies and healthcare in addition to Indonesia's priority sectors, such as food security, energy security and human capital development.
Will the Ministry provide an update on the major initiatives for bilateral cooperation following the entry into force of the agreements under the expanded framework in March 2024 and what are the next major initiatives for bilateral cooperation that we can look forward to?
Singapore's Relations with Brunei
Mr Zhulkarnain Abdul Rahim (Chua Chu Kang): Madam, Singapore and Brunei share a deep and enduring friendship. Our ties go beyond diplomacy. We have close defense, economic and cultural connections that continue to strengthen over the years. From the Currency Interchangeability Agreement, which has linked our economies since 1967, to regular defense collaborations and warm people-to-people ties, our relationship is a model of trust and partnership.
As we look to the future, we must continue to support each other, ensuring that our friendship remains as strong and as steadfast as ever. Last year, in 2024, President and then-Prime Minister Lee Hsien Loong and Prime Minister Lawrence Wong each had successful visits to Brunei, which underscored our special relationship with Brunei. How are both sides continuing to deepen our partnership, especially between our younger generations?
Singapore's Relations with ASEAN
Mr Don Wee (Chua Chu Kang): Mdm Chairperson, Singapore was one of the founding members of ASEAN when it was established on 8 August 1967, along with Indonesia, Malaysia, the Philippines and Thailand. Can the Minister outline Singapore's efforts to strengthen ties with Malaysia, Indonesia, Vietnam, Thailand, Laos and Cambodia?
Singapore strongly supports ASEAN's goal of building a strong, prosperous and rules-based ASEAN. Will the Ministry share an update on the recent initiatives of the ASEAN Community, comprising the ASEAN Political-Security Community (APSC), the ASEAN Economic Community (AEC) as well as the ASEAN Socio-Cultural Community (ASCC)?
ASEAN has been projected to be one of the fastest-growing regions of the global economy. Domestic demand is expected to continue expanding. Foreign direct investment into ASEAN is expected to remain strong, as multinational companies seek to diversify their manufacturing supply chains towards Southeast Asian industrialised nations. What are some key areas for cooperation between Singapore and our ASEAN partners, including renewable energy imports as well as sustainability-related initiatives? In addition, how will the Johor-Singapore Special Economic Zone enhance opportunities for Singaporean businesses?
The Chairman: The next Member is not here. Miss Rachel Ong.
Singapore's Relations with ASEAN and ASEAN Partners
Miss Rachel Ong: Chairman, while ASEAN's economy grew by an estimated 4.5% in 2024, we are confronted with pressing challenges that demand immediate attention. Three key trends in the region are particularly concerning. First, the growing economic disparity among ASEAN nations threatens our regional integration efforts. While countries like Singapore and Malaysia advance in manufacturing and digital services, nations, such as Myanmar and Laos, require increased support in infrastructure and digital connectivity.
Second, the region faces increased pressure from global supply chain disruptions. The recent Red Sea shipping crisis, which caused freight costs to surge by up to five times, has severely impacted our export dependent economies.
Third, despite ASEAN's commitment to digital transformation, a 2023 survey of 750 SMEs across ASEAN-5 found that three in four SMEs remain in the early stages of digitalisation.
Given these challenges, I would like to ask: how can Singapore collaborate with fellow ASEAN member states and external partners to strengthen economic integration in the region?
ASEAN's Centrality and Relevance
Mr Liang Eng Hwa: Mdm Chair, global geopolitical situation today has changed substantially from the time of Committee of Supply last year. The global contestation has become more intense with major economic powers now engaging in tit-for-tat tariffs and increasingly troubling posturing and unilateral actions. Countries in the region are understandably worried and evaluating the implications under this new landscape. ASEAN has to manage its relationship with the new US administration and interrelated to that, is the new dynamics in the region. Under this new setting, how can we ensure that ASEAN's continues its relevance and centrality in the region? How can ASEAN respond to this new uncertain and unsettling global landscape?
Myanmar and ASEAN
Ms Sylvia Lim (Aljunied): Madam, the Myanmar civil war is now entering its fifth year. Causalities continue to mount. The United Nations for the Coordination of Humanitarian Affairs estimates that 15 million people face acute food insecurity and 3.5 million people are internally displaced due to the conflict. This comes on top of thousands killed and imprisoned. The break down in governance has created permissive conditions for organised crime to fester, including scam and fraud operations that affect Singaporeans.
Today's world is already unstable and dangerous enough as it is. To have one more area of insecurity that is so close to home, only makes already difficult circumstances complicated for Singapore. The current situation looks dire. ASEAN's Five-Point Consensus has been criticised for its slow implementation, which is not helped by the complex situation in Myanmar and the deep distrust between the warring parties.
It has been noted that the Five-Point Consensus does not have a formal way to engage all the major warring parties and seems to provide fuel, if any, incentives for the military junta to restrain from access or negotiate an end to violence with other parties. From time to time, reports point to Singapore-based firms having alleged complicity in the bloodshed in Myanmar even though the agencies here are reportedly trying to address the issue. Such conditions may even challenge the ability of ASEAN and its members, including Singapore, to work for a post-conflict Myanmar.
The Minister for Foreign Affairs repeated on multiple occasions that Singapore stands on principle. They include supporting a rules-based order, supporting international law, finding common cause with as many partners as possible and cooperating with our close neighbours. Doing so, according to the Minister, supports Singapore's survival and prosperity. Could the Minister elaborate on how he intends to apply these principles to working more effectively with various parties and strengthening ASEAN mechanisms to facilitate peace in Myanmar and support the country's future reconstruction?
ASEAN and Myanmar
Mr Sitoh Yih Pin (Potong Pasir): Mdm Chairperson, the members of ASEAN comprise of Singapore's closest and most important neighbour states. The ASEAN Charter serves as a firm foundation for an ASEAN Community with a legal status and institutional framework for ASEAN. ASEAN is important because as neighbour states, we share many common interests and, when we advocate and present ourselves as a regional bloc, we are able to navigate the international geopolitical arena as a stronger, collective force.
In this context, we have an obligation, as ASEAN member states, to support and look out for one another. It is, therefore, with much concern when we observe the current situation in Myanmar. While it is reassuring that ASEAN had quickly, in 2021, issued a Five-Point Consensus on the situation in Myanmar, it appears from the recent ASEAN Leaders' Review and Decision on the Implementation of the Five-Point Consensus last year that there has been an escalation of conflict with little improvement in the humanitarian situation in Myanmar.
In this context, can I invite the Minister to share whether and how Singapore, as an ASEAN member state, can facilitate the progress on the situation in Myanmar in light of the lack of progress in the implementation of the Five-Point Consensus on the Myanmar side?
The Chairman: Minister Vivian Balakrishnan.
The Minister for Foreign Affairs (Dr Vivian Balakrishnan): Mdm Chairperson, this is the 10th time I am addressing the Committee of Supply (COS) as the Minister for Foreign Affairs and I have never seen the world more disrupted, more volatile or more dangerous. So, this is a more sombre, a more careful and a brutally frank message this year. The common thread in all the intervention so far has been this big question: has the post-World War Two liberal world order come to an end? This is a world order which has prevailed for eighty years.
In 2025, Singapore celebrates our 60th anniversary, but it is also the 80th anniversary of the end of the Second World War. In these six decades, successive generations of hardworking and disciplined Singaporeans have built up our tiny city-state into an outstanding beacon of economic and social success. That we did so without any natural resources or past fiscal reserves is all the more remarkable. But we should also be realistic and humble enough to be cognisant that there were external factors that were very conducive to our success.
The post-World War liberal world order was characterised by first, the proliferation and the rise of free trade and global supply chains and multinational enterprises; second, the establishment of multilateral institutions, United Nations, the International Monetary Fund, the World Bank, the World Trade Organization (WTO) for trade, and the World Health Organization (WHO) for health; third, the development of international law and the treaties to protect the global commons, including, for instance, the United Nations' Convention on the Law of the Sea, the Paris Agreement on Climate Change, the Treaty for Biodiversity Beyond National Jurisdictions (BBNJ).
This world order was initially envisioned and underwritten by the US and supported by its transatlantic allies in Western Europe. In turn, it was boosted by the reform and opening (改革开放) in China, under Mr Deng Xiaoping, since 1978. The economic liberalisation of India under Prime Minister Narasimha Rao since 1991; and the integration of ASEAN economies, especially at the end of the Cold War, when Indochina joined us.
This global order was very favourable for a tiny city-state, which has a trade volume three times our gross domestic product (GDP); and Singapore's role as a global financial centre and our business ecosystem, with intensive interactions between local and foreign companies engaged in advanced manufacturing and the provision of sophisticated services for a global market. In a sense, the point I am making is that Singapore enjoyed the best of many worlds and we were able to go to fire on all cylinders.
Unfortunately, the world is now shifting from unipolarity to multipolarity, from free trade to protectionism, from multilateralism to unilateralism, from globalisation to hyper-nationalism, from openness to xenophobia, from optimism to anxiety. And this is a global change, not just in one place.
The big powers are taking a narrower view of their national interests and they are adopting a more transactional, frankly sometimes, even more coercive approach. And because there is a lack of strategic trust between the big powers, each of them has deep anxiety to stay ahead of each other.
These profound shifts have ushered in an era of sharper rivalry, autarky and the fracturing of global supply chains. Countries have turned inwards, ostensibly in the name of national security, resilience and de-risking in order to secure their individual interests in this turbulent environment. This is not merely a sudden temporary change in diplomatic weather. This is geostrategic climate change. A new world order is taking shape and is characterised by profound unpredictability, instability and volatility.
The question then is what does this portend for us in Singapore? This is a question on all your minds.
There are three broad sets of implications for Singapore.
First, on the economic front. The US, for a very long time, was the main advocate for freer trade globally. Post-World War II, the US had a disproportionate share of global gross domestic product (GDP) at 40%. Today, the US’ share of global GDP has declined to around 26%, although in absolute nomimal terms, its GDP has grown tremendously. It is a completely understandable political question for the domestic American voter to say, why should the US continue to unilaterally underwrite this liberal world order which, in fact, has brought peace and prosperity for so many other countries around the world.
And so, over the last decade, the US has progressively shifted to a more nationalist approach, in response to what it deems to be unfair trade measures and free riding. The new US administration clearly sees tariffs as a means to address non-trade-related policy objectives, including national security, local job creation, more resilient supply chains and bargaining leverage. Other major countries are also using similar restrictions on trade more frequently, and not always confining themselves to trade-related issues.
Tariffs are being applied to partners, competitors and adversaries alike. The US has announced tariffs on Canada, Mexico and China, and in turn, these countries have also signalled retaliatory measures. Tit-for-tat tariffs by other countries could easily escalate into a global trade war.
Singapore, so far, has not been targeted directly. But even if we are not, we will still be affected. These tariffs will have a major impact on the volume and patterns of world trade and significantly affect us. The first level, as a transshipment hub and with all the other global services that we provide to the world. There will be supply chain disruptions, there will be more volatile prices. And it is worth remembering, if you cast your mind back to the 1930s, the Great Depression, retaliatory “beggar-thy-neighbour” policies, in fact, slowed growth rates everywhere. So, we need to be prepared for this.
But the problems go beyond just trade and tariffs. Because, in fact, there are also implications on the global financial systems and the way frontier technology, which some of the Members have referred to, is being developed, is being shared and is being exploited. In a sense, all these levers, tariffs, financial systems and technology may be weaponised.
Because Singapore operates as an open economy that is deeply integrated with all the big powers around the world, we trade, invest and access technologies from all of them. We are a vital node in a global network. We connect and enable interoperability. The Singapore model is built on trust, openness and a level playing field. We allow companies from all over the world to operate here as long as they play by the rules. And that is how we have survived and thrived for six decades.
This open paradigm that has served us so well for six decades is now at risk.
Unfortunately, technology has become a focal point for strategic contestation between the big powers. And as countries bid to stay ahead, several have imposed restrictions and export controls on semi-conductor chips, critical minerals and on data.
For instance, the US’ AI Diffusion Rule, although not yet finalised and is still subject to changes, but this rule essentially will limit the export of advanced chips that are essential for AI. China’s retaliatory restrictions on its own export of critical minerals to the US will also disrupt supply chains, raise production costs and have an impact on global research and development and innovation.
And amidst the heightened scrutiny over advanced technology, Singapore may be criticised for working with or hosting companies and officials from one side or the other, or both. There will be centrifugal pressure from all sides that will make it increasingly hard for us to operate and it will threaten our raison d’être as an open hub.
The second set of implications is on war and peace.
The Russia-Ukraine war has now entered its fourth year. In its immediate aftermath, global energy and food prices surged, and this worsened global inflation in 2022. Russia cited “historical errors” and “crazy decisions” to justify an invasion and to annex territory of its smaller neighbour.
As a tiny city state that has been independent for only 60 years, this immediately rang alarm bells for us in Singapore. I have known the Russian Foreign Minister for quite a long time, so we have very open conversations. And in 2022, I explained to him that because of Singapore’s circumstances, we had to uphold the principles of sovereign equality and territorial integrity.
Similarly, I had a telephone conversation with my counterpart from Ukraine, Andrii Sybiha, last week. I asked him about the war. Not about the details, the operational details, but about why this was happening. And he told me, and I am paraphrasing, that this war was about his country’s sovereignty, his country’s territorial integrity and freedom to choose how to organise a society and to have a closer strategic relationship with Europe. And then, for good measure, he added laconically, “and our critical minerals”.
Both Russia and Ukraine, and I have taken pains to emphasise that all my interactions with the foreign ministers, know that Singapore is upholding principles and we are not taking sides.
The Europeans and Americans initially responded forcefully to defend Ukraine and to isolate Russia. But recent pronouncements and actions by the new US administration, most recently, the dramatic live video from the Oval Office, have dramatically underlined a change in long-standing US policy. It is now clear that the trans-Atlantic relationship is under severe strain and NATO members are now seriously and urgently rethinking their strategic and security situation and their policy options. In fact, meetings are going on even now as we speak.
And, cast your mind one more step. After the failure of the security guarantees for Ukraine that were given in 1994 in exchange for giving up its nuclear weapons. After what has happened to Ukraine, I doubt any current nuclear or proto-nuclear weapon state will ever give up its nuclear option, and all this makes for a much more dangerous world.
Closer home, tensions in the South China Sea, through which one-third of global trade passes through, continue to simmer. The Taiwan Strait remains a potential flashpoint and we all know that tensions have increased in recent years.
All these global developments, on both the economic and geostrategic fronts, have profound implications for us. The rules-based international order that has prevailed for 80 years at risk of degenerating into the law of the jungle, where “might makes right”. International law, the UN Charter, the principles of sovereign equality, political independence, and territorial integrity have all been severely eroded. We may, in fact, be reverting to a time when the world is divided into blocs controlled by big powers. And by definition, this must mean the loss of choice and autonomy for small states.
I recall a speech that Mr Lee Kuan Yew gave back in 1973, the Commonwealth Heads of Government meeting. He referred to an old African proverb, that “when elephants fight, the grass suffers”. But he added one additional line, “and when elephants make love, it is disastrous.” I would not go through the powerful imagery, but the point is, when big powers are on the move, for whatever reason, it is a dangerous time for the rest of us.
Third implication is our ability to respond collectively to global threats and safeguard the global commons has been significantly impaired.
The collective commitment to international institutions such as the WTO and WHO as well as compliance with international treaties like the UN Framework Convention on Climate Change (UNFCCC) and the Paris Agreement that resulted from it, are all waning. Imagine, is the world today in a better state to deal with another pandemic, given a severely weakened WHO, and how are we going respond to climate change if we do not have the institutions and the processes to protect the global commerce?
Let us return back to Singapore again. Our foreign policy begins at home and it must always be a balance between realism and idealism. It means that we must have no illusions about our place in the world. But small as we are, for 60 years, we have refused to adopt a fatalistic posture.
We have insisted on agency to build our strength, to protect our sovereignty, maintain our relevance and to create political and economic space for ourselves. We strive to be useful, but not to be made use of. And of course, to avoid becoming a sacrificial pawn between big powers.
I have dwelt at length on the dangers arising from the end of the previous world order. The point is I am making an appeal for us all to be alert, to be realistic and to be careful in dangerous times. But a note of caution is not a call for pessimism because, in fact, Singapore has good reason to have confidence in our future, due to the pioneering work of our past generations.
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Today, we are in a strong position. Our core strengths are based on three key pillars: first, our economic strength and our reserves; second, our ability to stand on our two feet and to defend ourselves; and third, our domestic cohesion.
Because of our strength economically, we cannot be bullied or bought. We have significant national reserves, and if the biggest criticism that we face in this Budget is budget marksmanship and having more reserves than we had anticipated, I think that is a reason for celebration, considering the circumstances in which we are going into. This is an enormous advantage.
On the international stage, if you have to put your hand out for assistance, it means you have no say. It is a big advantage for Singapore not to have to beg for aid. We have no need for assistance or loans that will subject us to external pressure. We are not dependent on any single external partner. And perhaps even more importantly, and you have just heard Minister Ng's speech earlier, we do not depend on any external country to defend Singapore. We have the capability and the will to defend ourselves. For six decades, we have invested fiscal resources, approved by Parliament, and every man in this Chamber and his son has served National Service.
The fact that everybody knows that we are good for our money and we put our blood where we stand on, is the core of deterrence and respect. But all this is not enough if we did not have unity at home, and we need to live up to the pledge to be one united people, regardless of race, language or religion. And on this note, I want to thank the Opposition that so far, we have worked on the basis that politics stops at the water's edge, and our diplomacy works because we have painstakingly forged and maintain domestic consensus on our core long-term interest in foreign policy priorities.
Our diversity in Singapore does mean that from time to time, Singaporeans will have different views on developments around the world, and we have to provide space for this diversity to be expressed, but without letting it become a means to divide us as a country.
A clear example is the disaster in Gaza. It is a deeply emotional issue and many Singaporeans feel very deeply about this, have expressed a range of emotions, and sometimes, even conflicting emotions on this point.
But let me be clear. When we make our foreign policy decisions, we do so on the basis of national interest. The attack by Hamas on 7 October 2023 was an act of terror. No ifs, buts, root causes and justifications. And the reason why we have to be so categorical is because if Singapore was ever attacked in this way – and the risks are not zero – but if Singapore was ever attacked in this way, we too would certainly exercise our right of self-defence to the full. And it is why that in the aftermath of that attack we had strongly reaffirmed the right to self-defence.
You see, in the case of both Ukraine and Hamas, we took positions for our own sake, for our own national interest, and not because we were taking sides. At the same time, that right of self-defence must be consistent with international law, humanitarian law and the Geneva conventions, and that is why we told Israel, directly and personally, that Israel's military response has gone too far. And we say all this because it is in our national interest for international law to be upheld and not to be flouted.
Singapore's long-standing position on the Israeli-Palestinian issue is that the only path to a just, durable and comprehensive peace is a negotiated two-state solution, and we have consistently supported the right of the Palestinian people to a homeland of their own since the 1960s. In fact, since we became Independent. To this end, we will continue to support the Palestinian Authority to build the capacity and to prepare for eventual statehood, and we do so through our enhanced technical assistance package.
But that is not enough, because we all do feel deep sympathy for the immense suffering of the civilians, and thus far, Singapore and Singaporeans have contributed seven tranches of aid and monetary donations to Gaza worth over $19 million – and we will do more. Funds are being collected, even now in this month, the holy month of Ramadan. I thank Singaporeans for your generosity.
You heard Minister Ng explain that we make the extra effort to deliver these supplies through the Republic of Singapore Air Force.
It is crucial, therefore, that we stay united and keep being able to adopt this collective constructive approach, even when we have different views to events and tragedies far from our shores. And a deeper reason why we need to do this is because if conflict broke out nearer to us, in Asia, it will not only have even greater emotional resonance, it will have a larger economic impact and it will also elicit a range of reaction from our people, and it will be even harder to manage.
It is also worth remembering that there will always be external actors who will try to influence the views of our people and take advantage of our diversity. In fact, long before the onset of kinetic action, we must expect grey zone tactics to be used to divide and polarise our people. And so, we must be prepared. We can have different views, but we will stay united and we will close ranks on issues of national interest, so that we can ultimately secure what is best for Singapore.
Let me turn now to the question of how are we going to conduct our foreign policy in these tumultuous times. How are we going to engage the world and our partners in this rapidly changing landscape, given that we are not sure where the next conflict or consummation of a condominium between big powers will occur.
And as Minister Ng put it, a very stark reminder, if anyone says they know exactly what is going to happen next, that shows a very dangerous delusion. You do not know what is going to happen next, but you know that we are living in dangerous times. So, fundamentally, our foreign policy must continue to be anchored by long-standing principles that have kept us afloat for six decades, even whilst we make tactical adjustments, or even strategic adjustments to our approach.
We must maintain an omni-directional, a balance and a constructive engagement with all partners. Yes, I know is going to be more difficult when they are quarrelling with each other, but in fact, all the more important, we have to work at it.
So, Mr Mark Lee, Mr Henry Kwek, Mr Vikram Nair, Ms Poh Li San have asked how we can continue to build on our honest and constructive relations with the US and China, amidst their rivalry. I believe it is crucial that we maintain our ties with both countries, given our significant equities with both.
The US is the largest foreign investor in Singapore, by far. It is our top trading partner in services. It is our third largest trading partner in goods. And on the defence front, Minister Ng has already explained to you, how we are the US' only major security cooperation partner and we have a mutually beneficial relationship.
Meanwhile, China is our top trading partner in goods. Many of our companies are invested in China. In fact, according to China's statistics, Singapore is their largest foreign investor. And of course, we have strong people-to-people ties, historical and cultural ties. Both the US and China are also at the frontier of many leading technologies, whether it be AI, biotechnology or green energy.
We must be able to continue to work with both of them and ensure that our relations are mutually beneficial. We will never be the largest trading or strategic partner to either China or the US, basically, because we are a small country, but we can be amongst their most reliable and consistent partners. And that is valuable and appreciated by both of them.
We have maintained our relevance and credibility with both powers by being consistent, by being transparent and being constructive. We do not simply tell them what they want to hear, but we are principled, we are trustworthy and we play a straight game. And both of them know that when Singapore takes a stand, it is not because we are doing it at the behest of its rival, of its adversary, but that we take a stand because we have done our own calculation of what is in our long-term enlightened national interest.
Moving on to our immediate neighbourhood, we must continue to strengthen our ties in our region, bilaterally, especially and most intensively, with Malaysia and Indonesia, and obviously with ASEAN. We will continue to do so on the basis of interdependency, mutual respect and aim to build healthy relations, which will be crucial for stability and growth of our entire region.
Ms Joan Pereira and Mr Vikram Nair has asked about the state of our relations with Malaysia and Indonesia, respectively. I think we all know there is much to be gained by working together constructively with your most immediate neighbours.
With Malaysia, we continue to work on the delimitation of our maritime boundaries. There is still some areas there to be settled. We are working. We are negotiating on airspace and on water. Both Prime Minister Lawrence Wong and Prime Minister Anwar Ibrahim have committed to not allow any single issue to overshadow our overall positive agenda. And we are pursuing mutually beneficial projects, both bilaterally and regionally, to strengthen connections and connectivity for the long term.
With Indonesia, the expanded framework agreements on airspace, defence and extradition entered into force last year, and this was a major achievement. President Prabowo has now taken over. Fortunately for us, he is familiar with Singapore and we have been able to work well with him. In fact, Prime Minister Lawrence Wong was the first foreign leader to visit Jakarta after President Prabowo took office. We are making good progress, including in areas like renewable energy, human capital development and particularly, in the fields of education and healthcare.
Mr Liang Eng Hwa asked how we can ensure ASEAN's continued relevance and centrality. It is worth remembering that ASEAN was founded in 1967 on the principle that either we hang together or we will be hung separately. It was forged in a time when Southeast Asia was an arena for proxy wars during the Cold War period, and ASEAN's founder members were the non-communist part of Southeast Asia. Given that we are now entering another dangerous volatile phase, this concept of hanging together has just become even more salient.
ASEAN, so far, has been able to maintain regional peace and stability, and enabled all of us collectively to focus on economic growth and in particular, economic integration. All member states are concerned about the wider geopolitical developments and the intensifying contestation. And ASEAN's convening power will remain relevant and important in the years ahead, to ensure that whilst we do not want to be an arena for proxy wars, we do want to be a safe harbour where all powers will have a stake in our success, and that we can maximise opportunities and autonomy for ASEAN member states.
4.45 pm
We must also do far more with one another and double down on ASEAN's economic integration in order to improve our collective value proposition and collective resilience, especially in food and energy.
We are looking to conclude negotiations on the ASEAN Trade in Goods Agreement Upgrade this year, which will grow intra-ASEAN trade. We are also making progress in new economic areas. We aim to conclude the Digital Economy Framework Agreement (DEFA) this year and we are making progress on the ASEAN Power Grid.
Beyond our immediate neighbourhood, it is also crucial for us to make common cause with as many partners as possible, including India, Japan, the Middle East, Africa, Europe, Latin America, Australia, New Zealand and the Pacific Islands. I can say my diplomats have worked very hard to expand our network of overlapping circles of friends.
We already have an extensive network of 27 free trade agreements (FTAs) that cover 90% of our trade. My counterparts from some of these other countries have shared that they, too, are concerned about the impact of increasing contestation and rising protectionism. They, too, would prefer a world that is open and committed to trade.
This means that even though free trade has had a setback, we can still make common cause with those who believe it is a formula for mutual peace and prosperity, and we have got to keep that flame going.
So, for instance, Members may or may not be aware that we have been able to sign new trade agreements in the last few years. For instance, Mercosur in 2023, which is Argentina, Brazil, Uruguay, Paraguay; and the Pacific Alliance, which is Peru, Chile, Mexico, Columbia, in 2022.
If you actually pay attention to these countries, in fact, their elections have thrown up a very wide diversity of political parties, but they have all been keen to do free trade agreements with us. We believe this will expand markets and increase opportunities for us in Latin America.
We are also pressing ahead on the digital economy. Singapore, New Zealand and Chile signed the Digital Economy Partnership Agreement in 2020. The Republic of Korea (ROK) became the latest entrant to this agreement in 2024 and there are several other aspirants in the queue with whom we are in discussion. We have also concluded negotiations on the EU-Singapore Digital Trade Agreement in July 2024.
We agreed to elevate relations with India to a comprehensive strategic partnership and we are well-poised to participate in India's growth potential.
With Australia, we are setting an ambitious agenda for the next phase of our comprehensive strategic partnership, which will be refreshed this year. It will cover cooperation in emerging areas like AI, biotechnology and renewable energy. We will also elevate our enhanced partnership with New Zealand.
We will continue to work closely with Japan which remains committed to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and to closer economic ties. With the Republic of Korea, we are working to upgrade relations to a strategic partnership later this year.
We have also upgraded relations with the UK and Germany to a strategic partnership and we are working to enhance relations with France to a comprehensive strategic partnership.
Our relations with the Gulf are also robust. This year, we signed an MOU establishing a Strategic Partnership Council with Saudi Arabia. Last October, we had eight MOUs with the United Arab Emirates in social development, leadership development, AI and civilian nuclear energy.
We are also stepping up engagement of Africa, a centre of growth for the future.
So, as you can see, we have been working very hard on this strong, wide network of partners with whom we can trade, invest, do business with and engage in constructive partnerships on these emerging issues. Not bad, considering the zeitgeist of our times.
At the UN, we continue to be a staunch advocate for multilateralism, for adherence to international law, for the importance of the UN Charter. This system is vital for countries, big and small, in order for us to have a chance to compete on a level playing field.
Mr Chong Kee Hiong and Mr Mark Lee have asked about this. Singapore must and will remain a strong supporter of multilateralism. We will make common cause and we will stand up for this.
This is why we established the Forum of Small States (FOSS) back in 1992, which now has 108 members. In fact, this is a majority of members of the UN. FOSS is a platform to foster closer cooperation, reinforce multilateralism and support the developmental aspirations of small states. And we will continue to strengthen and improve the existing international architecture and ensure that it is fit-for-purpose. Our mantra is that it is better to reform than to risk a revolution that will destroy the old regime, the old order, the old arrangements completely, because the alternative is bad for small states.
That is why we welcomed the adoption of the Pact of the Future, the Global Digital Compact and the Declaration on Future Generations at the Summit for the Future in 2024. This was a significant milestone for the international community. It demonstrated that the UN is still, from time to time, against great difficulty, able to arrive at consensus and able to advance the agenda for collective good.
International law is also important for us. The United Nations Convention on the Law of the Sea (UNCLOS) provides the legal framework that ensures that freedom of navigation and overflight is a right and not exercised only by the grace of any resident big power. Without UNCLOS and the right of transit passage, Singapore would effectively be "sea-locked". So, it is a crucial plank of international law for Singapore.
Despite the challenges, with patient and skillful diplomacy, the point I am trying to make is that it is still possible to arrive at international agreements by consensus.
Another recent example was the adoption of the treaty on Biodiversity Beyond National Jurisdiction (BBNJ). This agreement was settled in June 2023. Our Ambassador Rena Lee presided over the inter-governmental conference. Again, she very skillfully managed to bring all parties together, arrive at the treaty, by consensus. She has done incredibly well. We are nominating her for the International Court of Justice elections due in November 2026. I hope all Members will support this nomination as well.
Mdm Chair, staying open and nimble in seizing new opportunities in technological frontiers has also been the other cylinder for Singapore's success. The short answer to the question Members have raised on how to maintain our access to frontier technology, the short answer is: openness and trust. We must actively create opportunities that will enable Singapore to be a magnet for ideas, technology, talent and capital.
Mr Neil Parekh and Ms Poh Li San have asked how we can do this, especially in critical and emerging technology, and given the contestation between the big powers. We already have actively advanced cooperation with a range of like-minded partners on emerging technology. This includes our partners like the US, China, India, UK, Japan, Germany, France and Australia.
We remain clear-eyed that there is strategic contestation between the major powers and it does complicate our attempts to create an open platform. Nevertheless, we remain plugged into international conversations on technology standards and norm settings, in line with our own national interests.
Our permanent representative to the UN in New York, Mr Burhan Gafoor, serves as the chairman of the UN Open-ended Working Group on security of and in the use of information and communications technology (ICT). That means he has to work intensively with the entire international community to advance policy discussions, norms and generate practical solutions to preserve international peace and security in cyberspace and maximise opportunities. Members can imagine that during a time of fractures, to be able to engage all parties and to make progress, no matter how difficult it is, is a major achievement, and he deserves full credit for it.
Domestically, our strong rule of law and trust in our system will be crucial if we want to be able to attract and retain technology and, I need to emphasise, talent from all over the world.
Singapore cannot afford to exclude anyone, any technology, any company with access to frontier ideas, frontier technologies. For that, I also need to make an appeal. Of course, we will prioritise the interests of Singaporeans, but if we are going to seize the opportunity in frontier technologies, we need to be prepared to complement the Singaporean team, the Singaporean workforce, in order to gain access to ideas and technology.
But having said that, everyone who comes here and any company operating here, wherever you are from, will have to play by the rules.
I think two weeks ago, I explained, we will take firm action and move decisively against errant individuals and companies that flout our domestic laws. We do not condone companies taking advantage of their association with us to engage in evasive, deceptive or dubious business practices for short-term commercial advantages, because that actually sullies and takes unfair advantage of Singapore's reputation.
So, Members may read, in the coming days, in the news on certain developments on this front. But I need Members to understand that we are doing so to protect our standing as a trusted, open hub, painstakingly built-up over decades. This is how we have kept ourselves an attractive destination for leading companies with technology from all over the world.
We must remain open to top talent and, as I said just now, to complement Team Singapore, because then, we can take maximal advantage of the opportunities which are emerging in this world that is unfolding in front of us.
So, let me conclude. We are at the end of an era. There is no doubt about that. The most dangerous phase is when one world order is being replaced by a new world order. The interregnum is likely to be chaotic, difficult, dangerous and tumultuous.
Singapore and Singaporeans, every one of us will need to be realistic, to be careful and to be nimble.
But the point is, we do have strengths and there are opportunities ahead. We must stay principled, calm, confident and continue to be relevant, useful, to be an honest broker.
We need the support and unity of all Singaporeans – all of the Members inside this House and Singaporeans outside the Parliament – to forge an unbreakable unity in the midst of great tumult and volatility. And if we can do so, then we can face the future with confidence and Singapore will emerge stronger.
I want to end by thanking all Members for their unstinting support for the work of all our diplomats who have been working so hard all over the world. [Applause.]
The Chairman: Senior Minister of State Sim Ann.
[Mr Speaker in the Chair]
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The Senior Minister of State for Foreign Affairs (Ms Sim Ann) (In Mandarin): [Please refer to Vernacular Speech.] During the Lunar New Year period, I attended many "loh-hei" events. At such functions, we would usually chat about current affairs. This year, there were many topics of discussion concerning global developments, including China-US relations, political changes in Europe, and the wars in Ukraine and the Middle East.
The hottest topic was the US Presidential election and subsequent developments. On the whole, the Chinese community shared fairly positive assessments of Trump 2.0. I believe this is because many active members of Chinese community groups are businesspeople, who believe the current President to be pro-business. Some also admire his unconventional political style and relentless pace of change.
The Chinese community leaders I had met agreed that all was not quite well with the world, but did not display much anxiety. Of course, people did notice that the raising of tariffs has become a new normal. The US, which had long been the main advocate for freer trade has changed its stance, and now employs tariffs and non-tariff barriers in pursuit of economic and non-economic objectives. Even then, because Singapore was not a direct target of these tariffs, my friends in the Chinese community expressed hope that Singapore would not be too affected by the global situation, including possible trade wars.
There were two other hopes: First, that the war in Ukraine would end soon, leading to more stable energy and food prices globally. Second, that no matter what, the world would need a place like Singapore. These conversations took place about two weeks ago. Since then, more drastic changes have taken place on the world stage. Major geopolitical shifts are afoot.
Since Russia's invasion of Ukraine, the Europeans and Americans responded forcefully to defend Ukraine and isolate Russia. But the US joining Russia in voting against a UN resolution sponsored by Europe and Ukraine on 24 February, identifying Russia as the aggressor, as well as the recent live video showing the argument between the US and Ukraine Presidents on 28 February has dramatically underlined a fundamental change in US policy and cast doubts over its commitment to its NATO allies. Even those who felt relatively unperturbed 2 weeks ago may start to feel uneasy. Are these hopes realistic?
Let me share some views from MFA's perspective. First, the impact of global developments on Singapore. International trade tensions are escalating. The US has announced tariffs on Canada, Mexico, and China, which in turn have signalled retaliatory measures. Risks of a global trade war have increased. Singapore has not been targeted directly for now but will certainly be affected. Increased tariffs will reshape global supply chains and impact the volume and patterns of world trade. This will certainly affect Singapore, as an international port heavily dependent on transhipments.
Beyond trade and tariffs, our economic model will also face serious challenges. Despite being a small country without natural resources or a hinterland, a stable rules-based international trading system has enabled Singapore to create prosperity through pursuing an open economic policy. The consensus and trust underpinning the rules-based international trading system is now fraying. A clear instance is how technology has become a focal point for strategic contestation between the big powers. This means we have to work harder to secure opportunities for prosperity and success.
Second, the implications of war and peace on Singapore. Over the past three years, two major conflicts – the war in Ukraine and the conflict in the Middle East – have seen the loss of countless lives. The conflict in the Middle East in particular has resulted in a humanitarian disaster that tugs at the heartstrings of many Singaporeans. The Russian-Ukraine war has exacerbated energy and food price hikes and caused long-term impacts on inflation and business costs. The Middle East situation, particularly developments in the Red Sea had impacted global shipping costs. It is therefore understandable that businesspeople in our Chinese community hope for these wars to end and for business costs to moderate.
Alas, peace seems more remote than ever before. Recent events have signified major shifts in geopolitics, with possibly unbridgeable differences emerging between the US and Europe on how to end the Ukraine war, and indeed, the global security architecture. Prospects for Ukraine have become even more grim. Even as we prepare for continued turbulence in the world, these changes have profound implications for Singapore.
Singapore has consistently called for an expeditious end to the war between Russia and Ukraine and for both sides to find comprehensive, just, and lasting peace in accordance with international law and the United Nations Charter. The idea that military aggression can force a country to compromise on its sovereignty and political independence would set a dangerous precedent for countries worldwide, particularly small countries. Unfortunately, we are witnessing the weakening of international norms and the rise of the law of the jungle, or "might is right". The price of national autonomy and self-determination has increased significantly. This means painful choices and immense pressure for many countries. For example, some allies of the US that had depended on American security guarantees are now grappling with cutting expenditure elsewhere to raise spending on defence.
Singapore has always been an ardent supporter of international law. But we have also believed in self-sufficiency in defence. We have never relied on others to take care of our security. Ever since independence, we have had National Service and consistently spent between 3% to 6% of GDP on defence. We have invested fully in our own security. If anything, the global situation validates our prudent approach. A few days ago, some Opposition Members were questioning the Government's budgeting approach in this House, suggesting that the presence of Budget surpluses equates excessive taxation. In today’s world, many countries are at risk of not having enough resources to secure themselves. Which country would complain of having surpluses?
Third, how should Singapore navigate the current global situation? Over the past 60 years, Singapore has made significant achievements in our development. Despite our small size and lack of natural resources, we have developed into a trusted partner and regional hub by virtue of our good business environment and sound rule of law. Nevertheless, even in the face of such uncertainty and an increasinglyfragmented world order, Singapore is not helpless. We have always believed in "preparing umbrellas before it rains". While our development has benefited from a relatively stable and harmonious international environment, we have never counted on long-lasting favourable external conditions. The preparations we have made in the past are now clearly of practical value and will serve us in good stead as we seek progress against headwinds.
I have mentioned earlier that we have built up the capability to defend ourselves, as well as the resources for a rainy day. We have also invested in building up our national identity and maintaining domestic cohesion. Changes in the external environment will present new challenges to our society. Singaporeans may have different views on global developments, and we may be subject to hostile information campaigns aimed at influencing domestic opinion. We have prepared for these eventualities by putting in laws and regulations, as well as national education. We must be vigilant to prevent social fragmentation or polarisation and ensure that social cohesion is not compromised. We can and should continue to leverage our good reputation as a consistent, reliable and trusted partner, to strengthen our links with more countries, and work with like-minded countries bilaterally and multilaterally to uphold and shape global rules and frameworks.
Following many years of tending the garden, Singapore enjoys frequent interactions and benefits from substantive collaboration with major powers and major economies, including the US, China, Europe and India. We maintain friendly and close-knit collaboration with immediate neighbours, including Malaysia and Indonesia; and uphold ASEAN centrality in our engagement of the region. In a "might makes right" world, we should all the more broaden our network of friends and deepen our positive collaboration with like-minded countries.
Madam Chair, the world is now a more dangerous place. It is the rainy day we have prepared for – perhaps a long rainy season. We need to stay vigilant and navigate with care, in order to seize new opportunities in fast-changing circumstances while mitigating risks.
The Chairman: Any clarifications for the two Ministers? You can still ask them towards the end, but if you have any now? Mr Gerald Giam?
Mr Gerald Giam Yean Song: Sir, the Minister has highlighted the profound implications of the shifting global order on Singapore and I share his concerns. However, beyond the risks and the threats, what opportunities can Singapore seize in this new environment? How is the Government positioning us to be able to benefit from these changes? For instance, as the global power dynamic shifts, smaller and medium-size countries may be open to seeking closer economic and security ties with Singapore. Is the Government stepping up its outreach to these nations by expanding its network of overseas missions and trade offices?
Secondly, the Minister highlighted our deep reliance on both the US and China economically for both, and on security for the US. However, he did not address how we plan to reduce the risk of over dependence on them. Does the Government have a plan for that?
Lastly, I think the Minister did not respond to my cut about the public diplomacy front. How is MFA stepping up the public diplomacy front and using that to be able to explain to Singaporeans about our strategic interest?
The Chairman: Minister Balakrishnan.
Dr Vivian Balakrishnan: The last supplementary question we will handle later, because my colleague, Second Minister Maliki, has not spoken yet. But let me focus on the first part of the Member's question.
What are the opportunities? As I said just now, I spent a lot of time making the point that this is a period of great change and great danger. But I hope you also glean from my speech that this is not a call for pessimism, because there are opportunities. So, what are these opportunities?
The first thing is that the world is confronting a technological revolution on several fronts: AI and digital technologies, biotechnology and sustainable energy. And it just so happens that these three revolutions interlock with one another. In fact, they are feeding and accelerating with one another. And the frontier technologies are actually an area of great opportunity for us. Then, I also took pains to explain, however, that if we are going to seize these opportunities, we must remain open – open to people, ideas, technology, business models. I made the plea that even as we protect Team Singapore, we take a longer-term view to supplement Team Singapore so that we can exploit the full opportunities in frontier technologies.
I have also explained that because of the lack of trust and the contestation and the desperate need for each big power to get ahead of the other, because they are worried that these leads will be exponential, making sure that our paradigm in which we operate Singapore, open to all powers, big, medium and small, that this paradigm is under pressure. And I also tried to explain the way we make it work is to be open, transparent, fair and to play it straight with all parties.
I am acknowledging that it is more difficult. Everyone will say they are not trying to force us to make choices, but they would rather that we lean more towards one way or the other. I would say from experience, so far, we have been able to maintain this very careful balancing act, and it calls for credibility and it calls for unity.
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I will give you a recent example. I explained in Parliament, I think was two weeks ago, that not only are tariffs being applied but export controls are being applied, unilateral export controls that we are not obliged to enforce. Nevertheless, because we have national interest to have access to these technologies, it is important for us to maintain that reputation, and not just reputation, but in actual operation – probity, transparency and reliability.
So, if a foreign company subject to rules which prevail outside Singapore operates here, it must not use its association with us to engage in subterfuge deception or backdoor channels for commercial advantage. So, it calls for a very delicate, agile but at the same time consistent, approach. If we can do this, we will continue to have access to frontier technologies where we will have an advantage. Maybe it is a dream, but the best place in the world where you can create a team of Russians and Ukrainians and Chinese and South Americans and Africans and Singaporeans – an effective team to take frontier technologies to the markets across the world – the most amenable, safe, conducive place should be Singapore. That is an example.
Having said that, I also went through in my speech to say do not give up on multilateralism and international law. Yes, it is in recession. Yes, there is a geo-strategic climate change. But I believe there are still many countries out there, like us, who want that system to work, and even though we no longer have the patronage or the support or the underwriting of major powers that used to do it, we can still make common cause.
One regional grouping who has been quite enthusiastic to keep the system of multilateralism and international law going is the EU. I have had extensive discussions with them. And that is why I have said to the extent that the EU and ASEAN, and maybe parts of Africa and South America, are still capable of signing Free Trade Agreements, still binding ourselves to international law, because we still believe that in the long run this provides for peace, prosperity and the peaceful resolution of disputes. So, I am not giving up on that.
Basically, the fundamental point is great danger, but once in a lifetime opportunities are opening. Do not panic. Do not give up our brand and the way we do things openly, transparently, competently, reliably and with trust and openness. If we can do that, I am confident we can seize the opportunities ahead.
The Chairman: Mr Neil Parekh.
Israel-Hamas Conflict
Mr Neil Parekh Nimil Rajnikant: Chairman, Singapore has been in the forefront of providing humanitarian assistance to those who have been displaced because of the conflict between Israel and Hamas. Thus far, Singapore has sent its seven tranches of humanitarian aid, and the country has pledged that it can do more if required.
In the ongoing Israel-Hamas conflict, our commitment to providing humanitarian aid is commendable, but can we do more to help de-escalate the situation? Can we leverage our diplomatic standing, whether through ASEAN, the UN or bilateral engagement to encourage restraint and dialogue. Can the Minister please share his views on the possibility of an expanded role for Singapore in helping to resolve this crisis?
Singapore Support for Gaza Relief
Mr Sharael Taha: Chairman, Minister Vivian earlier reiterated that Singapore has consistently supported a negotiated two two state solution for Israel and Palestine. Through the enhanced technical assistance package, nearly 800 Palestinian officials have benefited from our capacity building efforts. Since October 2023, Singaporeans have come together to deliver seven tranches of humanitarian aid to Gaza, totalling over $19 million.
Just two days ago, the M³@Towns Aid for Gaza fundraiser, through collaboration with the Rahmatan Lil Alamin Foundation (RLAF), raised $166,000 in just one week, and will continue to do so till 6 April. As part of these fundraising efforts at a local level, M³@Pasir Ris Punggol is actively engaging the community across various activities planned throughout the month.
Given the evolving geopolitical landscape, including shifts in the US and the Gulf States responses, what more can Singapore do to support humanitarian relief, reconstruction and diplomatic efforts for stability and peace in Gaza?
Capacity Building for Palestine
Mr Lim Biow Chuan (Mountbatten): MFA has said on several occasions that Singapore supports the right of Palestinian people to a homeland of their own.
Singapore delivered not one, or two, but a total of six to seven tranches of humanitarian aid for Gaza in January 2025. Singapore has also provided technical assistance to enhance the Palestinian Authority's capacity for administration and reconstruction.
Sir, as a small nation, there are indeed limitations as to how we can help other countries. But I believe that we can do our part, to countries that suffered due to war. I understand that under the Singapore Cooperation Programme (SCP), we have provided technical assistance to many other developing countries to help these countries with human resource development. Has Singapore rendered such technical assistance under the SCP to the Palestinian Authority? What kind of help has Singapore provided, and is it sufficient?
Situation in Gaza and Gulf Relations
Mr Zhulkarnain Abdul Rahim: Sir, Singapore shares strong and longstanding ties with the Gulf countries, built on mutual respect, trade and cooperation. The Gulf region is an important partner for Singapore in energy, finance and investment, with growing collaboration in technology, education and sustainable development. Our warm relations are underpinned by shared interests in stability, economic progress and global peace.
Recent developments in the trade and financial sectors underscore the potential for Singapore to engage with Gulf countries in sectors such as agriculture, finance and trade, leveraging existing agreements and market dynamics. What is the state of Singapore's relations with the Gulf States?
In this regard, amid the ongoing humanitarian crisis in Gaza, Singapore stands in solidarity with the Palestinian civilians affected and has actively contributed to humanitarian efforts. We have provided aid through organisations like the United Nations Relief and Works Agency (UNRWA) and the Singapore Red Cross to support urgent medical and food supplies. Singapore has consistently called for the immediate cessation of violence, respect for international law, and a just and lasting resolution.
Moving forward, with the latest tranche of humanitarian aid, Singapore shows commitment in working with Gulf partners and the international community to contribute to a future of peace and stability for the region. In total, seven tranches totalling over $19 million worth of humanitarian assistance had been delivered to Gaza. We should be proud as Singaporeans because we, collectively as a nation, has contributed comparably or indeed more than that by countries in our region alone. Since October 2023, Malaysia, for instance, has contributed RM45 million as of November 2024. Indonesia last year doubled its annual contribution to UNRWA to US$1.2 million.
With the latest temporary ceasefire agreement, what else is Singapore doing to address the situation in Gaza beyond humanitarian aid assistance and, in particular, on any diplomatic channels?
Foreign Interference
Mr Sitoh Yih Pin (Potong Pasir): Mr Chairman, geopolitical and geo-economic contestation among the major powers is fast becoming the norm on the international stage. As the contest heats up, it is inevitable that Singapore, as one of the most market-orientated open economies in the world, gets caught up in the crossfire of any such contestation.
One of the methods which has been widely publicised in recent times is the presence of foreign actors that seek to undermine trust in Singapore. This, in part, is to seed dissention and discontent domestically to ultimately sway or influence our foreign policy decisions.
While the Government has taken steps to address this legislatively, perhaps more can be done to keep Singaporeans better informed of such insidious intentions by foreign actors.
In this context, I invite the Minister to share how the MFA can play its part to help Singaporeans become more aware of and resilient against such foreign actors who attempt to undermine trust in Singapore's foreign policy decisions.
Mr Alex Yam (Marsiling-Yew Tee): Mr Chairman, in our increasingly complex external environment, where information flows freely and narratives can be shaped by foreign actors, Singaporeans risk being influenced by interests that may run counter to our nation's well-being, worse still becoming useful idiots to foreign causes.
To safeguard against this, MFA must play a crucial role in keeping our citizens well-informed about our foreign policy principles, core national interests and the broader geopolitical context.
By communicating openly through regular updates, public briefings and community engagements, MFA ensures that Singaporeans understand how our foreign policy decisions are made and why they matter. This knowledge strengthens our national resilience against attempts at foreign influence. Beyond that, I hope MFA can share how it partners with other agencies to develop media literacy programmes and help Singaporeans evaluate information and detect malicious campaigns.
Singapore's Relations with India
Ms Joan Pereira (Tanjong Pagar): Chairman, President Tharman recently made a State Visit to India, affirming the warm and longstanding relations between our two countries, as we commemorate the 60th anniversary of diplomatic relations.
Singapore and India enjoy strong bilateral economic relations and cooperation in many sectors. India is set to be one of the fastest-growing economies in the world. President Tharman and President Murmu discussed cooperation in areas such as semiconductors, industrial park development, as well as the green and digital economies.
Would the Minister share his assessment of Singapore's relations with India, how we will strengthen our people-to-people ties, and what we are doing to deepen our economic ties with India, especially in areas such as the green and digital economies?
Mr Lim Biow Chuan: Sir, in January this year, I had the privilege of travelling to India as part of President Tharman's State Visit to celebrate our 60 years of diplomatic relations with India.
India is one of the first countries who recognised Singapore as an independent country. It is the country with the largest population in the world, and we enjoy excellent relationship with India. Singapore is the second largest investor in India and India is Singapore's 12th largest trade partner.
As a small trading nation, it makes sense for Singapore to maintain friendly relations with all the major powers in the world like the US, China, Russia and India.
I understand that in September last year, during the visit of Prime Minister Narendra Modi, the relationship between Singapore and India was elevated to a comprehensive strategic partnership. May I ask MFA what does this mean for Singapore's economy? How will the citizens of Singapore benefit? Besides our high-level exchanges and economic cooperation, what other areas are we working on to improve the bilateral cooperation.
Signapore's Relations with Middle East
Dr Wan Rizal (Jalan Besar): Sir, the Middle East remains a region of both tension and opportunity. Given its dynamic geopolitical landscape, Singapore must stay engaged to safeguard our interests and contribute to regional stability.
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Singapore has long maintained good relations with the region. Given the ongoing conflicts and realignments in the area, how is Singapore working to strengthen its diplomatic cooperation with these countries? Beyond bilateral ties, what role can Singapore play in fostering dialogue and multilateral collaboration in areas, such as security, energy and humanitarian assistance?
As the Middle East continues to evolve, how will Singapore ensure that our engagement remains relevant, constructive and aligned with our long-term strategic interests?
The Chairman: Mr Gan Thiam Poh, please take your three cuts together.
Singapore's Relations with Middle East and North Africa
Mr Gan Thiam Poh (Ang Mo Kio): Mr Chairman, the Middle East continues to be a key region of importance for Singapore. Singapore was the first country outside of the Middle East to conclude an FTA with the Gulf Cooperation Council which entered into force on 1 September 2013.
Would the Minister share an update on how this FTA has enhanced trade and relations between Singapore and the Middle East? Singapore also maintains good relationships with the countries in North Africa, especially Algeria, Egypt, Morocco and Tunisia. How is the Ministry working to build stronger links with Arab states like Egypt and Jordan?
In 2023, the Port of Singapore Authority inaugurated their new head office in Cairo and Changi Airport International conducted a feasibility study to establish the Cairo Cargo City. What has been the progress of these two initiatives?
Singapore's Relations with Latin America
Singapore has engaged Latin American countries in many areas of cooperation, including trade and investment, science and technology, and education.
How are we deepening our links in facilitating business opportunities in this emerging market? Would the Minister share with the House a progress report of how the Pacific Alliance-Singapore Free Trade Agreement (PASFTA) with Chile, Colombia, Peru and Mexico has benefited our relationships and trade? Likewise, for the FTA with the Southern Common Market (MERCOSUR), which comprises Argentina, Brazil, Paraguay and Uruguay, what is the update on our areas of cooperation so far?
The Ministry had shared in the past that Singapore was looking into initiatives with our Latin American partners on the digital economy, food security and carbon credits collaboration. What is the update on these?
Singapore's Relations with Africa
Africa is an emerging market offering many business and non-economic opportunities. How has our engagement with countries in Africa been and what are the initiatives to deepen our links with Africa?
Would the Ministry share more about the official visits and areas of collaboration which we will be working on? How can we increase mutual understanding and interactions between our people to facilitate further cooperation in trade and investments? What are the main areas of trade and investments from Singapore businesses so far; and how are we encouraging more Singapore enterprises to consider venturing into Africa?
Engaging Middle Powers
Ms Jessica Tan Soon Neo: Mr Chairman, amid increasing geopolitical uncertainties and trade tensions among major powers, forging connections with middle powers can strengthen Singapore's diplomatic, economic and strategic flexibility, as well as foster innovation and cultural exchanges.
Given Singapore's size and geographical position, middle powers can offer diversified trade opportunities and investment channels which are crucial to Singapore's open economy. However, navigating the diverse interests of middle powers can also be challenging for Singapore.
As Minister Balakrishnan had shared in his speech earlier, Singapore has significant partnerships with several European middle powers. In 2024, there were several high-level exchanges between Singapore and European countries. These included then-Deputy Prime Minister Lawrence Wong's visits to Germany and France in April, the President's Official Visits to Italy and Estonia in June, and the State Visit by Swedish King Carl XVI Gustaf to Singapore in November. How have these interactions advanced the interests of Singapore, and what can Singapore do to enhance the relationships with European middle powers?
Middle Powers, Free Trade and International Law
Mr Sitoh Yih Pin: Mr Chairman, we are living in an increasingly uncertain world. As Singapore deals with a more fragmented geopolitical and geoeconomic international environment, there is a need for us to strategically review our multilateral and bilateral engagements.
The major powers will continue to jostle for power, space and relevance. Under this backdrop, Singapore's position as an "honest broker" on the international stage will surely come under increasing pressure. It is, therefore, in Singapore's interests to deepen our engagements with like-minded middle powers. In this context, can the Minister share how Singapore is working towards building our ties with such like-minded middle powers?
Further, over the years, Singapore has taken steps to strengthen our interests by forging agreements in Trade, Economic Partnerships, the Digital Economy and even the Green Economy. More recently, we concluded negotiations with the EU on the EU-Singapore Digital Trade Agreement (EUSDTA) last year.
Given the importance of the Digital Economy in the future, I invite the Minister to also share how the EUSDTA will enhance our partnership and cooperation with the EU and, in the larger context, chart the foreign policy objectives of Singapore in the future.
Bilateral Cooperation with Republic of Korea and Japan
Ms Mariam Jaafar (Sembawang): Sir, strong bilateral and regional cooperation with our neighbours in Asia is important for Singapore against the context of the current geopolitical uncertainties. We have, as Minister Balakrishnan described earlier, deep engagements with ASEAN, China and India, but there are other important and long-standing relationships in the region. We will celebrate milestone diplomatic anniversaries with the Republic of Korea (ROK) and Japan: 50 years with ROK this year and 60 years with Japan next year. How are we enhancing bilateral cooperation with both countries and in Asia overall?
International Architecture and Norms
Mr Liang Eng Hwa: Mr Chairman, the Government will nominate Ambassador Rena Lee as a candidate for the Judge of the International Court of Justice (ICJ) at the elections in November 2026. While I am happy and fully support the nomination, I would like ask the Minister to share on the Government's thinking behind her nomination and how this nomination would contribute our part towards the upholding of international rule of law?
Since Independence, Singapore has actively participated in many international agencies like the UN and many other platforms, like WHO and so on. For a small nation state, international rule of law means a lot to us. It is in Singapore's interest to steadfastly advance the international rule of law.
The ICJ is the UN's key judicial organ and it plays a vital role in upholding international laws and agreements, and in the adjudication of legal dispute between countries. When Mr Daren Tang was appointed as the Director-General of the Geneva-based World Intellectual Property Organisation (WIPO) in 2020, it brought pride to Singapore and it is not only a recognition by the international IP community of Mr Tang's credentials, but also of Singapore's reputation as a jurisdiction in being among the best in intellectual protections.
I am sure Ambassador Rena Lee's impeccable reputation and credentials, as well as the international recognition of Singapore as having among the best judiciary and legal systems in the world will stand her in good stead. We wish her all the best in the election.
Mr Chairman: The next Member is not present. Mr Desmond Choo.
Technical Assistance
Mr Desmond Choo (Tampines): Since our Independence, Singapore has maintained the importance of capacity-building as a pillar of regional cooperation.
In 1992, the Singapore Cooperation Programme (SCP) was established in our effort to pay forward the help we received in our formative years. It serves as a platform to provide technical assistance to the world. At the same time, the SCP's initiatives are equally beneficial to us. We get to share and also learn about best practices in various areas, from public governance to global sustainability.
As we celebrate SG60, global challenges remain uncertain whether in the realm of climate change, sustainability or cybersecurity. There is an ever-growing need to gather our efforts towards deeper and more targeted technical assistance to areas where our counterparts need our expertise the most. Could MFA share how Singapore intends to enhance its capacity-building efforts to address these emerging challenges?
Singapore Cooperation Programme
Mr Xie Yao Quan: Chairman, Singapore has made very significant contributions to various regions and the world over the years through SCP. Specifically, can I ask how has Singapore supported the capacity-building efforts of fellow small states through the programme?
MFA's Consular Efforts
Mr Desmond Choo: Chairman, we have seen a surge in overseas travel as Singaporeans continue to embrace travelling in the new post-pandemic norm. Singaporeans are no longer sticking to the usual destinations but, increasingly, also to less-travelled destinations.
We have over 50 overseas missions worldwide, and these missions serve as a critical point of contact for Singaporeans in distress abroad. But what happens when help is needed in places where we lack consular presence?
Plagued by heightened global tensions, we must remember that conflicts can happen in any country, unprovoked and unexpectedly. It is, hence, imperative that our consular efforts can promise operational capabilities in which country Singaporeans might find themselves in.
Other than contacting the 24-hour MFA Duty Office hotline in times of need, could the MFA share how it ensures that Singaporeans in need, even in countries without an on-ground diplomatic mission, can still access prompt and effective consular support?
Mr Xie Yao Quan: Chairman, these days, when Singaporeans prepare to travel overseas, besides our world's number one passport, foreign currency and travel insurance, they also check – e-registered with MFA already or not? The consular services provided by MFA have served Singaporeans well and over the years. What are some of the key highlights of MFA's consular efforts in 2024? And could MFA share its efforts to leverage technology to improve the delivery of consular services for Singaporeans?
Engaging Singaporeans on Foreign Policy
Miss Rachel Ong: Chairman, in an era where social media influences how we consume news, foreign policy is no longer confined to the realm of diplomats; it is actively debated in homes, classrooms and online forums. Yet, global issues are becoming increasingly polarised, from the ongoing Israel-Palestine conflict to climate policies and shifting geopolitical alliances. Misinformation spreads quickly and public opinion can be shaped in moments.
Many Singaporeans seek a clearer understanding of how our foreign policy decisions are made and a platform to voice their views. If we fail to engage proactively in the digital space, we risk allowing narratives that are inaccurate or misaligned with Singapore's best interests.
Ultimately, foreign policy is about safeguarding our nation in an unpredictable world. With social media playing an even larger role in shaping public perception, how is MFA harnessing digital platforms to engage Singaporeans on foreign policy issues?
Ms Poh Li San: Chairman, the ubiquitous influence of social media has shaped interactions and discussions on every conceivable topic and issue, including a country's foreign policy. Singaporeans, living in one of the most digitised countries in the world, are more engaged than ever in discussions about our foreign policy.
All of us are keenly aware that as a small nation, an open economy highly dependent on international trade, developments in our region and further afield globally have a significant impact on us. While we should continue to encourage and support the public to keep up to date with current affairs and learn more about foreign developments, we must constantly remind Singaporeans to keep a balanced perspective, and to be open to and be tolerant of different views and interpretations.
This is crucial, considering that we are a multiracial and multi-religious community. We must be cognisant of the complex factors shaping different global developments and trust that our foreign service departments and officers have weighed in and considered the best positions and options available to us in Singapore's best interests. Hence, most importantly, we must remain united as Singaporeans and not be swayed by foreign influences.
I would like to ask how MFA will strengthen domestic buy-in and support for Singapore's foreign policy to strengthen our unity and preserve the space to act in our best interests. How does MFA strike a balance between maintaining a cohesive national position and acknowledging the diversity of opinions among Singaporeans on international issues?
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Ms Joan Pereira: Chairman, Singaporeans are increasingly interested in foreign policy, particularly as global developments become more complex and interconnected. The ease of obtaining news and exchanging views and opinions online has led to more Singaporeans reading and discussing international current affairs and the role and position of our foreign policy.
Would the Ministry share what it is doing to build and deepen Singaporeans' understanding of the key tenets of our foreign policy, including important considerations and constraints, in layman terms which are easier to comprehend? How is MFA adapting its engagement strategies to increase understanding of Singapore's foreign policy fundamentals?
How would the Ministry highlight to our citizens that good foreign policy contributes to the well-being of Singapore and Singaporeans and secure domestic support for our foreign policy decisions?
The Chairman: Minister Maliki Osman.
The Second Minister for Foreign Affairs (Dr Mohamad Maliki Bin Osman): Mr Chairman, Mr Zhulkarnain Abdul Rahim, Mr Sharael Taha and Mr Neil Parekh asked about the situation in Gaza, what Singapore has done to address the situation, and what more we can do to support a de-escalation of the conflict. Mr Lim Biow Chuan asked how Singapore has supported the Palestinian Authority through the Singapore Cooperation Programme.
Please allow me to take these questions together. I will respond in Malay.
(In Malay): [Please refer to Vernacular Speech.] Chairman, for the past 16 months, we are witnessing a terrible humanitarian tragedy in Gaza through heart wrenching images. There is a Malay saying "berat mata memandang, berat lagi bahu yang memikul" (it is hard for the person seeing, it is even harder for the person experiencing)
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We saw not only the destruction of lives but also the devastation of homes and communities in Gaza. People in Gaza lack access to basic necessities like water, food, electricity, and medicine. The situation is even more critical with the advent of the holy month of Ramadan as the people of Gaza observe their fast without the basic humanitarian essentials that are desperately needed.
At the same time, we remain deeply concerned about the hostages still held captive by Hamas for over 500 days now.
We take some comfort and welcome the multi-phase ceasefire agreement reached recently. The ceasefire agreement provides a ray of hope for the people of Gaza towards the peace that they dream of.
Phase one of the ceasefire and hostage release agreement has formally ended. We urge all parties to quickly come to an agreement on Phase two.
In the meantime, Singapore's position is that humanitarian assistance to the people of Gaza must be allowed access to continue to alleviate the humanitarian crisis. We are deeply concerned over Israel's latest decision to halt the entry of goods and supplies into the Gaza Strip.
We urge all parties to do their utmost to reach an agreement on a permanent ceasefire and the release of all hostages.
Singaporeans recognise the deep complexities of the Israel-Palestine conflict, and this conflict will become even more complex if we consider the broader geopolitical realities in the Middle East.
Chairman, this conflict is a long-standing feud going back decades, if not centuries, involving multiple state and non-state actors.
Importantly, we need to know that the conflict is not a clash between people of different faiths. It is a political battle for territory, self-determination, identity, and human dignity.
Singapore's approach towards the conflict is one that is long-standing and consistent. It is guided by international law. While we have highlighted Singapore's approach many times before, please allow me to once again explain in detail the key tenets guiding our position on the Israel-Palestine conflict.
First, we believe that the only viable path to a comprehensive, just, and durable solution to this conflict, is a negotiated two-state solution, consistent with the relevant UN Security Council resolutions. A two-state solution means that both Israelis and Palestinians mutually recognise each other’s right to exist as a state and to live alongside each other in peace and security.
Second, our position on the negotiated two-state solution means that Singapore has consistently supported the right of the Palestinian people to a homeland of their own. In May 2024, we voted in favour of a resolution at the UN General Assembly supporting the admission of Palestine as a UN member. Singapore is prepared in-principle to recognise Palestinian statehood and will make this move at the appropriate time. However, we first need to be sure that such a move will facilitate progress towards peace and a negotiated two-state solution. This means that there will need to be an effective Palestinian government that categorically rejects terrorism and is prepared to accept Israel's right to exist, just like the existence of Palestine that they desire.
Third, Singapore has called upon Israel to rescind all unilateral measures taken to change the status of Jerusalem. We have also rejected illegal Israeli settlement activities, which make it much harder to arrive at a viable two-state solution. We have also called out violations of international law and unilateral actions that attempt to change the status quo.
We have stated this position on past occasions in Parliament. It is also reflected through our votes at the UN.
Sir, with your permission, may I distribute a table on Singapore's voting position on key UN resolutions on the Israel-Palestine issue and since the events of October 2023?
The Chairman: (In English) Do we have copies of Minister's handouts? I do not see any.
Dr Mohamad Maliki Bin Osman: I believe my staff has given them.
The Chairman: Let us get it. I think in the meantime, if it is possible for you to proceed with your speech?
(In Malay): [Please refer to Vernacular Speech.] Chairman, this table shows our consistent position and votes supporting the relevant resolutions on the Palestinian issue [A handout was subsequently distributed to hon Members. Please refer to Annex 1.]
Fourth, Singapore has consistently condemned acts of terror committed by groups such as Hamas. It bears remembering that over 1,200 Israeli and foreign civilians were killed during Hamas' terror attacks on 7 October 2023. Many were ordinary men, women and children going about their daily lives. They were innocent victims who died. Hamas also captured 251 individuals, including ASEAN nationals and held them hostage. There cannot be any justifications whatsoever for these acts.
Singapore cannot and will not work with any group, including Hamas, which refuses to renounce terrorism, and in fact, continue to use terrorism to achieve their aims and rejects the right of Israel to exist.
Fifth, while countries have the right of self-defence, their actions must comply with international law, including international humanitarian law.
Following the 7 October 2023 attacks, we affirmed Israel's right to self-defence. In a scenario where Singapore is subject to an armed attack, we would similarly need to assert and exercise our right to self-defence as provided under Article 51 of the UN Charter. However, we have made clear, including in our interactions with the Israelis, that their military response in Gaza has gone too far. We have firmly stated this matter in our discussions with Israel.
This is not merely a matter of principles or a theoretical issue and not something that could never happen to us. These principles strike at the heart of Singapore's existence as an independent and sovereign country. As a small country – and we hope that other countries will agree – we cannot brook any entity that denies Singapore's right to exist or seeks to cause our country and people harm.
Some Singaporeans want the Government to go beyond the provision of humanitarian assistance to Gaza. They urge the Government to take a stronger stance against Israel. Some have asked why Singapore does not sever all ties with Israel. They want Singapore to impose unilateral sanctions on it, in support of Palestine. The Government feels that this is not the most productive approach.
We understand that Singaporeans have a diversity of opinions. Some have been quite active and assertive in expressing their views, including to their Members of Parliament. It is crucial to understand that Singapore's approach to foreign policy is consistent and long-standing. We act based on what is in our national interests. It is not based on us choosing one side over another. We must remain clear-eyed and not allow our emotions to dictate the manner in which Singapore conducts our foreign policy, either on this conflict or on any other international issue.
Chairman, as we continue to understand the ongoing conflict, it is worth noting that all Arab states which have diplomatic relations with Israel prior to the 7 October 2023 attacks have not severed ties with Israel. They are instead focused on active diplomacy and have taken constructive steps to alleviate the suffering of civilians in Gaza through humanitarian aid.
Other countries, just like Singapore, have taken this position because we recognize that adopting drastic measures, such as severing ties with Israel, would only serve to further destabilize the region. We are all of the view that engagement, rather than isolation, is the best path forward to keep the prospects of a two-state solution alive for Israel and Palestine.
Through active diplomacy, Singapore continues to find opportunities to engage and encourage all relevant parties to pursue a longer-term solution that will bring about regional peace and stability.
Our continued relations with Israel allow us to directly convey our candid views on the conflict to Israeli leaders, including our view that their actions have crossed the line. It has also facilitated the RSAF’s efforts to obtain the necessary clearances from Israel to convey humanitarian aid via airdrops last year, as well as to convey food items into Gaza which were transported via the Ashdod port in Israel.
Last March, Minister Vivian Balakrishan visited the Middle East, including Israel and the Palestinian Territories, with a cross-party parliamentary delegation.
During my visits to Egypt, Jordan, and Bahrain over the past four months, I engaged various Arab Ministers to better understand their concerns and the outlook for Gaza. It is clear that they remain concerned about the escalating tensions in the Middle East and the need for a resolution to the long-standing Israeli-Palestinian conflict, through a two-state solution and the guarantee of security for both sides. Their position is the same as Singapore's – that is, we need to keep the lines of communication with the Israelis and Palestinians open.
At the same time, we are realistic about the role Singapore can play.
We must accept that a positive breakthrough in Israel-Palestine relations will only be possible if leaders on both sides have the will and courage to set aside differences, be prepared to make progress together, and be prepared to make concessions – all these will lead to a lasting two-state solution.
It is also crucial for there to be political stability and strong domestic support within Israel and Palestine for the peace process to succeed. We continue to urge the Israelis and Palestinians to resume direct negotiations and to refrain from any unilateral actions, especially violence, which would be unhelpful to the peace process.
In the meantime, what Singapore and Singaporeans can do is to channel our focus and resources in a productive manner, especially towards humanitarian assistance. Since the current Gaza conflict took place, Singaporeans from all walks of life have donated significantly and sincerely, both in cash and in kind, towards the provision of critical humanitarian assistance to Gaza.
This stems from a desire to do what we can to alleviate the suffering of civilians in Gaza. This is a strong reflection of our identity and shared values as a compassionate, inclusive, and cohesive society. We have provided seven tranches of humanitarian assistance to Gaza with $19 million over the past 16 months.
During my visit to the Egyptian Red Cresent in November 2023, I participated in the packing of essential items destined for Gaza. Just last month, we sent off our seventh tranche of aid comprising food, as well as medical and hygiene supplies, using the RSAF's Multi-Role Tanker Transport (MRTT) aircraft, with the assistance of the Jordan Hashemite Charity Organisation (JHCO).
Singapore will continue to do what we can to contribute bilaterally and in partnership with others in the Middle East.
I hope Singaporeans will continue to donate generously to fundraising initiatives for Gaza, including the Rahmatan Lil Alamin Foundation's (RLAF's) current fundraiser during Ramadan with M3, launched just last week.
I am heartened at the support we have received thus far. With a target of raising $600,000 as we commemorate our 60th year of independence, this SG60 project by M3 has raised $166,000 in its first week alone. I am confident that Singaporeans will continue to support this fundraiser along with the Singapore Red Cross' ongoing fundraising project.
Beyond humanitarian aid, we remain committed to supporting the Palestinian Authority's human capital development efforts through the Singapore Cooperation Programme, including the Enhanced Technical Assistance Package (ETAP). In redoubling our efforts to provide technical assistance to the Palestinian people, we hope that this will contribute towards their preparation for eventual statehood.
Chairman, the Government acknowledges that this is a conflict with strong emotional resonance amongst Singaporeans, especially our Malay/Muslim community. Many experience anger due to their sympathy for the innocent victims.
But we must not allow ourselves to be influenced by those who seek to use this conflict to incite violence and hatred and to divide us. More importantly, we must not allow an issue like this to be politicised.
I am glad to note that Members of this House, regardless of political affiliation, understand the complexity of the situation in Gaza and have supported the Government's approach following the 7 October attacks. In fact, MP Gerald Giam was part of Minister Vivian's delegation to Israel and the Palestinian Territories to see the situation first-hand, including the significance of our position and approach towards this conflict.
Chairman, Singaporeans, including the Malay/Muslim community, have shown maturity in the way we manage this situation. We mutually respect each other' views that may differ, but we are prepared to place Singapore’s interests ahead and continue to protect the social cohesion and stability in Singapore. The Singapore Government will continue to actively engage Singaporeans to explain our positions on geopolitical issues including the fundamental interests and principles that underpin our foreign policy to ensure peace and stability for Singaporeans.
(In English): Mr Chairman, allow me to continue my speech in English.
I just spoke about the humanitarian assistance that Singapore and Singaporeans are providing to the civilians who are suffering in Gaza. We have been in close coordination with countries, such as Egypt, Jordan and the UAE, to better understand the priorities on the ground and the type of essential supplies that are needed, to ensure that our aid reaches those who need them most.
The crisis in Gaza illustrates the importance of building goodwill and trust with our partners in the Middle East. Continuing to do so will allow us to better navigate complex regional geopolitics, as well as to seize emerging opportunities for joint collaboration.
Mr Gan Thiam Poh and Dr Wan Rizal asked about Singapore's efforts to deepen relations with the Middle East. Saudi Arabia is a major player in the Middle East and is undergoing rapid socioeconomic changes under the Vision 2030 masterplan. Singapore will establish a Strategic Partnership Council, to be co-chaired by Prime Minister Lawrence Wong and Saudi Crown Prince and Prime Minister His Royal Highness Prince Mohammed Bin Salman. This new platform will allow both leaders to chart the strategic direction of our bilateral relations.
The UAE is our largest trading partner in the region. Under the Singapore-UAE Comprehensive Partnership signed in 2019, we continue to deepen our multifaceted cooperation in fields, such as public service cooperation, AI and civil nuclear energy. Last October, we welcomed Crown Prince of Abu Dhabi His Highness Sheikh Khaled Bin Mohamed Bin Zayed to Singapore.
With Qatar, we share mutual interests and enjoy strong cooperation. Qatar will host the third Implementing Monitoring Mechanism later this year, which will facilitate further bilateral partnerships and initiatives.
Oman is an emerging market that presents opportunities for Singaporean companies. Minister Shanmugam and I co-chaired the second Singapore-Oman Strategic Dialogue in Muscat in January 2025, where we discussed ways to strengthen collaboration in digital economy, renewable energy and security cooperation.
Minister Vivian Balakrishnan spoke about the changing geopolitical realities confronting Singapore and the future ahead. The world is evolving at breakneck speed. Established global norms, which served as the bedrock of the rules-based multilateral system, are being challenged. There are increasing areas of contestation and a multipolar order is emerging.
It has become even more important for Singaporeans to remain united to weather the oncoming storms. Having strong and united domestic support for Singapore's foreign policy will facilitate MFA's mission of advancing Singapore's interests abroad.
We do this by: first, fostering coalitions of like-minded partners to advance common goals, such as upholding international law and multilateralism; second, ensuring that our voice is heard in developing international norms and rules, through our active participation and leadership of international organisations, such as UN, International Civil Aviation Organization (ICAO), International Maritime Organization (IMO) and the World Intellectual Property Office (WIPO); and third, by laying the groundwork for deeper and more sustained engagements with our international partners.
Some Singaporeans have asked how Singapore's relations with international partners bring material benefits to them. While these benefits may not always be immediately visible or tangible, fostering friendly relations with other countries allows us to: one, ensure Singapore's continued peace and prosperity, by ensuring that others have a stake in our survival; and two, position Singapore at the forefront of emerging and frontier areas of growth, including shaping new norms with like-minded countries.
To do so, we must remain nimble in navigating the uncertain geopolitical environment by being relevant to our partners. By building new links and maintaining bridges with friends from all around the world, Singapore is able to advance our interests and remain relevant and trusted in today's complex international environment.
Ms Joan Pereira, Mr Lim Biow Chuan and Mr Gan Thiam Poh asked how Singapore has been deepening relations with emerging markets and India.
Last year was a busy year in our engagement of Latin America. Brazil held the G20 Presidency and Peru chaired APEC. Many Singapore leaders and officials attended various meetings and met their foreign counterparts in that region. During my visits last year to Latin America, I explored ways to broaden our political and economic ties, by leveraging free trade agreements that Singapore had signed with the Southern Common Market (MERCOSUR) and the Pacific Alliance.
These agreements, when entered into force, will increase opportunities for trade and investment, lower the costs of trade for our companies, create jobs for Singaporeans and grow our economy. For instance, Brazil is already an important source of frozen chicken and beef. These agreements will not only further grow our trade with Latin America, but also strengthen Singapore's food resilience and add diversity to the range of products and services available to us, including carbon credits.
We are also looking to deepen our links with Africa. Last year, I visited Cote d'Ivoire and Nigeria, two major political and economic powerhouses in Africa, to engage key leaders and to understand their priorities and where Singapore can fit in. This year, we will host the Singapore-Africa Ministerial Exchange Visit and the Africa-Singapore Business Forum, to promote political and business engagements.
We will also leverage South Africa's 2025 G20 Presidency to step up our engagement of African countries through bilateral exchanges, capacity building and cooperation in FinTech and digitalisation. This will help to facilitate Singapore companies interested in exploring commercial opportunities in Africa and build goodwill and support for Singapore.
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India remains an important strategic and economic partner. During Prime Minister Narendra Modi’s visit to Singapore last September, we agreed to upgrade relations to a Comprehensive Strategic Partnership, which will include the expansion of cooperation into new and forward-looking areas, such as semiconductor ecosystems, next-generation industrial parks, and skilling. We will continue to leverage the India-Singapore Ministerial Roundtable platform to deliver concrete and mutually beneficial outcomes in areas, such as digitalisation, skills development, advanced manufacturing and connectivity. We will also build up our relations at the regional and state levels.
In stepping up our engagement of these emerging markets and regions, MFA seeks to expand cooperation in new areas for mutual benefit and to build goodwill and support for Singapore bilaterally and in international bodies. This will put Singapore in a good position to seize opportunities and work together with our partners.
Mr Chairman, Mr Don Wee, Mr Chong Kee Hiong and Ms Joan Pereira also asked about Singapore’s relations with our neighbours. While we look for new opportunities further afield, Singapore’s success and future remain inextricably tied to Southeast Asia.
With Malaysia, there is strong political will to work together on a win-win basis. In addition to the Johor-Singapore Special Economic Zone (JS-SEZ) and the Johor Bahru-Singapore Rapid Transit System (RTS) Link, Singapore is working on other bilateral initiatives, including renewable energy cooperation as well as ways to make our supply chains more resilient, given our deep interdependencies.
With Brunei, we are building our special relationship, and building upon that relationship, to jointly explore new and emerging areas, like sustainable development, education, public sector capacity, as well as food safety and resilience.
Singapore and Indonesia have made substantive progress in existing and emerging areas, such as renewable energy, human capital development and education. We are working with Indonesia to jointly advance our green transition journey. For instance, the Energy Market Authority (EMA) has granted conditional approval to five projects to import a total of 3.4 gigawatts of low-carbon electricity from Indonesia within the next five years. This would constitute our largest-ever cross-border electricity contract while catalysing Indonesia’s renewable energy and adjacent industries.
Given President Prabowo Subianto’s commitment to developing Indonesia’s human potential, we also plan to deepen education exchanges and human capital development cooperation.
Similarly, our cooperation with Thailand, Vietnam, the Philippines, Cambodia and Laos is growing. We have been pioneers on the financial front with Thailand, having established a cross-border fast digital payment link-up and a Depository Receipts Linkage between our stock exchanges. Singapore and Vietnam will upgrade our ties to a Comprehensive Strategic Partnership and our businesses remain excited about Vietnam’s growth potential. To date, we have established 18 Vietnam-Singapore Industrial Parks and there is interest to do more. We are also working with Cambodia, Laos, the Philippines and Thailand on renewable energy and carbon markets.
The prospects and future of our neighbourhood are bright. With a population of nearly 700 million, a young and dynamic workforce, healthy GDP growth and rapid urbanisation, ASEAN has tremendous potential to be a key node of economic growth for the world.
Miss Rachel Ong had asked how Singapore can work with fellow ASEAN member states to enhance economic integration in the region. We are reducing barriers to trade and investment both within ASEAN and with our external partners. We will upgrade the ASEAN Trade in Goods Agreement (ATIGA), as well as substantially conclude the ASEAN Digital Economy Framework Agreement (DEFA) this year. We are taking tangible steps to realise a sustainable and secure future by developing the ASEAN Power Grid. A more interconnected region will better enable each country to meet rising energy demands and remain resilient in the face of potential disruptions.
Maintaining peace and stability in Southeast Asia is crucial to our collective goal of building a more dynamic, integrated and resilient ASEAN. This is why we continue to pay close attention to Myanmar. It is unfortunate that there has been limited progress in Myanmar’s implementation of the ASEAN Five-Point Consensus since it was agreed to in April 2021. Singapore has taken a principled position, in line with the UN General Assembly resolution, which called on UN member states to prevent the flow of arms into Myanmar. Our prohibition includes dual-use items which have been assessed to have potential military application and where there is serious risk that they may be used to inflict violence against unarmed civilians. At the same time, it is important to note that the Singapore Government does not seek to block legitimate trade with Myanmar. We have been very careful to avoid inadvertently causing greater hardship for the Myanmar people.
Mr Sitoh Yih Pin and Ms Sylvia Lim have asked how Singapore and ASEAN can facilitate progress in Myanmar. ASEAN will continue to address the issue in line with the Five-Point Consensus based on the decisions made by our ASEAN Leaders.
Singapore will continue to support Malaysia as the current ASEAN Chair, and its Special Envoy, and other external partners to facilitate peace and national reconciliation while respecting the fundamental principle of non-interference. Singapore will also continue to support ASEAN’s efforts to provide humanitarian assistance through the ASEAN Coordinating Centre for Humanitarian Assistance on Disaster Management.
The situation in Myanmar is complicated and any enduring political solution will have to come from within Myanmar itself. The only way to achieve a sustainable and peaceful national reconciliation is through constructive dialogue among all the key stakeholders.
Mr Chairman, to conclude. To buffer against global headwinds and uncertainty, it has become even more critical for Singapore to broaden and diversify our global network of partners and friends. Fortunately, countries are eager to deepen cooperation with Singapore because of our reputation as a reliable and trustworthy partner.
We must be brave and nimble to seize new opportunities, just as our forefathers once did. The world has become a more dangerous and uncertain place, but we have good reason to be confident about Singapore’s future.
The Chairman: We have time for clarifications. Sorry, Senior Minister of State Sim Ann.
Ms Sim Ann: Mr Chairman, I wish to thank the various Members for filing cuts about MFA's engagement with like-minded partners, and I believe these have been addressed in Minister Vivian Balakrishnan and Minister Mohamad Maliki's earlier speeches.
Mr Chairman, please allow me to address the questions on safeguarding Singapore's interest on the international stage, our capacity building efforts, consular assistance and MFA's engagement of Singaporeans.
Ms Poh Li San and Mr Liang Eng Hwa asked how Singapore stays ahead in emerging areas and why we nominated Ambassador Rena Lee for the ICJ candidature. We remain actively engaged on emerging issues at multilateral fora like the UN. Given the current geopolitical environment, it is critical that Singapore contributes to the advancement of international law through deeds. Ambassador Rena Lee is well-qualified, with extensive experience in a wide range of international domains. This is the first time Singapore has nominated someone for this position since we joined the UN. Elections will be keenly contested, but we will do our best to support Ambassador Lee as we believe she will contribute significantly to the ICJ.
Mr Xie Yao Quan and Mr Desmond Choo have asked about Singapore’s capacity-building efforts. Supporting human resource development of fellow developing countries through the Singapore Cooperation Programme (SCP) remains MFA’s priority. Over the past 33 years, SCP has trained more than 155,000 officials from more than 180 countries, territories and intergovernmental organisations. Over 50,000 officials were trained in our Singapore Cooperation Centres in Cambodia, Laos, Vietnam and Myanmar.
We are committed to do more for Timor-Leste under the SCP, to help them prepare to join ASEAN. We also have technical assistance packages for members of the Forum of Small States, which Minister Vivian Balakrishnan had mentioned, and fellow small island developing countries.
Mr Desmond Choo and Mr Xie Yao Quan have asked about MFA’s consular assistance efforts. Sir, Singaporeans are at the heart of MFA’s work. Last year, MFA handled more than 4,000 consular cases and facilitated more than 2,000 Documents of Identity for Singaporeans. Our Missions around the world extended assistance under difficult circumstances, for example, during the severe flooding in Hainan and the earthquake in Vanuatu.
Last year, we saw a 54% increase in the number of e-registrants. We urge Singaporeans to continue to e-register with us. We have improved the e-register platform. We have also leveraged technology to help us deliver consular assistance more quickly and effectively.
Ms Poh Li San, Ms Joan Pereira, Miss Rachel Ong and Mr Gerald Giam have asked how we were engaging Singaporeans on foreign policy issues. Sir, a strong, united society is the foundation for Singapore’s success. Foreign policy begins at home. By introducing foreign policy concepts early, we empower young Singaporeans to have an interest in Singapore’s approach to global issues. Even when views diverge, respectful dialogue is key.
We aim to make foreign policy understandable, including through social media, and this is on top of the talks and dialogues that we already do. A shared sense of responsibility and vision ensures that we can face global challenges with confidence and cohesion.
The Chairman: We have time for clarifications. Mr Vikram Nair.
Mr Vikram Nair: Chairman, just two clarifications. The first is: pulling together the different threads of multilateralism, it is quite clear that the current US administration has moved away from the multilateral approach. But what seems to emerge is that many other countries, including Europe, Japan, and even China has said it is bringing its disputes to the WTO. So, is it possible that there are divergent currents, and there are, in fact, many countries which still believe in multilateralism, and it would still be possible to work on the positive views towards multilateralism and build more networks for Singapore, which I think we are already doing.
The second is: I am grateful to Minister Maliki for sharing the principled approach we have taken in relation to Palestine, and for reminding this House that we have taken a strong view against the illegal actions taken by Israel in the occupied territories. One of the issues that many agencies providing aid are facing is that aid is not actually reaching the recipients. What has Singapore's experience been with aid reaching the recipients, and if we have been successful, what has helped with that?
Dr Vivian Balakrishnan: Mr Vikram Nair is right. There are still many countries which realise that it is in our enlightened long-term interest to support multilateralism and international law, and the Member has just mentioned the list would include Europe, it will include Southeast Asia, and even in the longer run, certainly South America and Africa.
But we also need to be realistic that if the big powers, with a lack of strategic trust and trying to stay ahead, are willing to take liberties with multilateralism, or maybe the other way I would express it is that they are not willing to be restricted and tied down by the restraints of multilateralism or international law, and given their current imperative to stay ahead of one another, it will be very difficult to operate. Because they will say, no, I have not. I mean, for instance, there are major powers that have not signed on to UNCLOS. There are major powers which are not signed on to the Paris Agreement. And it is very hard to make these agreements enforceable and implementable without the participation of major powers.
And that is the point I am making. So, it does not mean we give up. In fact, it means the rest of us need to double down, need to do our best to support the WTO and WHO and to support the UN and to continue to make the point that the UN Charter is essential, and that if the UN goes the way of the League of Nations, then we are in very, very dangerous territory.
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You can take your favourite historical allusion. Are we in a pre-World War I phase? Which was characterised by empires reaching their limits, globalisation in an empire way was coming to an end. Then, you had World War I, at least four empires were destroyed by it. But even in the aftermath of World War I, the Treaty of Versailles, the reparations; the territorial boundary redrawing in Germany; the Great Depression in the 1929 onwards, you had a world with beggar-thy-neighbour policies, depression, grievance and the domestic rise of Nazism and Fascism – all the isms. That really set the stage for World War II.
The unique blessing after World War II was that there was a very benevolent victor in the United States of America, which rebuilt the countries it vanquished: Japan, Germany, Europe, through the Marshall Plan, which I had mentioned just now, because it constituted 40% of global GDP. Every additional dollar generated in the world, 40 cents came back to America. It was worth its while to underwrite that liberal world order that we have enjoyed for the past 80 years.
So, be realistic. We are no longer in that kind of climate. As I said, this is a geo-strategic climate change. It is not just a change of weather. So, be realistic. Be careful. To the maximum extent, continue to hold fast to our principles. Make common cause wherever possible. But understand that it is not business as usual.
I think the Member had the other question on Israel. It has been difficult for aid to reach the people in Gaza, a combination of reasons.
Firstly, the Israelis have been very, very strict, because they want to make sure that there is no dual-use equipment getting through the convoys. Secondly, you would have seen the videos. The convoys get mobbed the moment they cross over because there is chaos and no security.
It is very dangerous. We ourselves, as Minister Ng Eng Hen has emphasised, we ourselves have considered how can we even deploy medical or humanitarian facilities, but it is not possible to do so safely.
What we can do is to continue to impress on Israelis that it is in their own interest to facilitate aid deliveries. But I am afraid they have prioritised their security and other considerations over that. I note that even in the last few days, there has been further hurdles to delivery of assistance.
To the extent that our voice is heard, we will add to that chorus that says, it is in Israel's interest to make sure aid flows to the people who need help.
The Chairman: Ms Sylvia Lim.
Ms Sylvia Lim: Thank you, Sir. I have a clarification on Myanmar and ASEAN.
Under the ASEAN Five-Point Consensus, there seems to be a heavy reliance on the special envoy being appointed to possibly mediate between the parties, to visit the parties in Myanmar.
It has been pointed out by commentators that one of the difficulties is that because of the annual rotation of country chair in ASEAN, a new special envoy is appointed each year and it seems that the work sort of starts all over again. It has been suggested that one of the reforms that could be considered is that ASEAN might set up a permanent secretariat that is dedicated to Myanmar, with staff that specialise in the issue and can provide more institutional memory and support to the special envoy.
I wonder whether that is something that we are pushing for or has been considered.
Dr Vivian Balakrishnan: I think these are all ideas which can be considered. But again, in the spirit of being realistic, Myanmar is a very, very difficult challenge. And the problems do not just go back to 2021, when the coup was launched. It goes back to the fact that they have never yet been able to truly constitute a single nation out of the diversity that encompasses the totality of Myanmar.
They have not yet been able to work out the political formula to bring people together, to bring all the different elements of state together into a balance which is constructive and positive. I say all this to illustrate that they have not even got past the fundamental nation building exercise. The coup is just one more symptom of that fundamental problem.
The other point you also need to realise is that we must understand by now, I have seen no historical example of an external interference riding in, conquering even and building a nation. Having elections does not solve any political problem if you have not got the values and that spirit to achieve workable compromises.
From my interactions in the past – I have not gone there since 2021, but certainly, from my past interactions with Myanmar leaders across the spectrum, I found it is very difficult to get them together.
So, the problem is, we can change envoys; we can have special envoys; we can have permanent envoys. That is not the red limiting factor. I have consistently urged at ASEAN meetings that we need strategic patience. Because if we get impatient, what are our alternatives?
To mount an external operation? It will not work. I guarantee the Member, it will not work. It will not work militarily. It will not work politically.
At the end of the day, these fractured countries, their leaders need to arrive at the appropriate political compromise and to create a nation out of very disparate segments who, unfortunately, because so much blood has been shed, have a lot of stored grievances.
Again, I caution patience. As a doctor, first, do no harm. Our heart bleeds for them. We have people from Myanmar in Singapore. I am sure the Member is also speaking from direct experience. It is heartbreaking for them and their relatives. But be very, very careful not to make things worse.
I am sorry I do not have a quick solution for Myanmar, except that to the extent that they are willing to compromise. Any ASEAN country, all ASEAN countries will be most happy to support them. That was the formula behind the Five-Point Consensus, if we look at the points in there. They arose out of a speech which Senior Minister Lee made at that special meeting that was convened in April 2021 in Jakarta where all the ASEAN countries were represented, including the military leader in Myanmar. But I am sorry to say, there has been no progress.
The Chairman: Mr Gerald Giam.
Mr Gerald Giam Yean Song: Sir, Minister Maliki talked about stepping up on our engagement with Africa. I believe we currently only have one resident mission in Sub-Saharan Africa. Are there plans to open up more Embassies, High Commissions or Trade Offices in growing and influential African countries, like Nigeria and Kenya, as well as in South America?
Beyond consular assistance, this could be another step towards diversifying our economic and diplomatic interests beyond the major powers, which is what I raised in my cut as well.
Dr Mohamad Maliki Bin Osman: I thank Mr Gerald Giam for the question. I believe Mr Gerald Giam used to be an MFA officer. He understands the challenges with regard to manpower. I think if we are able to have more resources, we will do more. But the reality is that resources are limited. We ensure that when we decide to establish or open a new Embassy or a new Mission in any city or any country, it is because we see there is potential for a relationship to be established at a higher level.
So, we start off with ascertaining the potential for collaboration with a particular country. Africa is seen as an emerging region. We do have non-resident ambassadors (NRAs) already appointed in several African countries. The non-resident ambassadors have done an excellent job for us. They started looking at various areas for collaboration, established relationships with key leaders in those African countries. You will see the evolution of us setting up missions in countries from the work of some of our NRAs.
We will continue to review the African countries and the potential for Africa as a region for us to see if we will be able to set up new Missions in that area. I am pretty sure when the time comes, when we see the potential being a lot more real, we will then be able to make those decisions.
But for now, I want to assure Mr Giam that our NRAs have done an excellent job. We continue to also have systems where ambassadors in one particular mission are also accredited into another country.
It does not mean that without a mission, that those countries are not taken care of. We continue to pay attention to the various accounts or the different countries in the African region, as with any other region, and we continue to assess the extent to which we are able to set up new missions, depending on the resources that are available.
The Chairman: Mr Sitoh Yih Pin.
Mr Sitoh Yih Pin: Sir, I would like to go back to the first half of the COS, when Minister Vivian and many of us acknowledged that we are living in a topsy-turvy, troublesome, turbulent world. Because it is not only taking away the idea of the rule of law, it is also something along the lines that might is right and big is beautiful.
The Minister alluded to SG60 just now, very briefly, but really, 60 years of a wonderful nation building is not enough. We want 600 years and beyond. So, from an MFA perspective, what is the plan? That is all.
Dr Vivian Balakrishnan: This is a prime ministerial question. But more seriously, I think historically, Venice as a city-state survived for several centuries. But actually, in the long run of history, it has not been kind for tiny city-states. Let us just take that first point. Historical.
Second point, as it relates to Singapore. Sixty years ago, for the sake of a belief in an ideal that we will be a multiracial society, a Singaporean Singapore, not based on being an Indian, Malay or Chinese nation, we were evicted from Malaysia. We lost a hinterland.
As a consequence of that, we should be grateful Mr Lee Kuan Yew, Dr Goh Keng Swee, Mr S Rajaratnam decided that the loss of our immediate hinterland does not have to mean that we are cut off from our supplies and economic opportunities. If you read the speeches in the 1960s, the concept of being a global city, of leapfrogging even our immediate neighbourhood came about.
That was brilliant. But in my speech, what I was also trying to say, that concept worked at a very unusual time in global history. Unusual, because it was Pax Americana characterised by free trade, global supply chains, expansions of multinational enterprises, multilateral organisations, international law. Can you see how that global environment was so conducive to this fledging, unlikely city-state trying to forge and make a living as a global city?
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Fast forward to today, I think our Pioneer leaders managed to capture every gust of wind that was available. We were an entreport. You look at PSA, airports, our trade volume more than three times our GDP. No other political entity has that ratio in the world.
Out of just imagination and gumption, we became a global financial centre. We became a major logistics centre. We became a repository for intellectual property. And then, we also benefited not just because of the rule of law and common law and the fact that our bureaucracy and our legislation fitted quite easily into the British common law, and therefore by extension, even American systems. We had all these companies coming in.
Can you see my point that yes, of course, Mr Lee Kuan Yew, once when I was sailing in with him in Marina Bay before it became closed, actually we were looking for where to place the Integrated Resorts. But as we were sailing in one sunset, I saw this beautiful landscape, I turned to him and Mr Lim Kim San was beside. I said, "How do you feel, Mr Lee, seeing this wonderful city?" He just looked at me gruffly and said, "Hardworking and disciplined people built all this." No fancy theory. Hardworking and disciplined people built all this. So, yes, hardworking and disciplined people called Singaporeans built all this.
Today, now, 60 years later, I know, I am trying not to be too partisan and too politically, but seriously, I remember Mr Neil Parekh saying last week, if our biggest criticism is that we have been lucky and we got unanticipated high corporate tax revenues because companies have come here and their activities have been successful and we are being criticised for having large, fiscal reserves, well, I appeal to the Opposition. Given the state of the world today, even the US is wondering how to pay off its national debt. Do you want to be a net debtor, paying off your debts? Or are we better off with a significant reserve; and between the return on reserves or corporate tax competing to see which one is bigger, can you see there is great reason to be grateful?
So, understand how blessed we have been by the Pioneer leaders and the hardworking and disciplined Singaporeans and the global environment which was very kind to us.
Now I am saying, the rules have changed. We are going to a more hostile, more difficult environment. But I am also saying, please do not be pessimistic and do not lose hope because we have strengths. Having those reserves, having the fiscal strength, the debate which we are having now about the Budget is, I think, unique in the world. No one else is facing this luxury, where the Finance Minister, the Prime Minister, can put significant sums in long-term funds to invest in our people, in our infrastructure and to make ourselves future ready.
So, I cannot look 600 years, but let us just settle for 10 years. What are the opportunities in the next 10 years? I have said, maybe I am biased, as a doctor, as a surgeon, but I happen to believe digital technologies and AI, biotechnology, because in fact healthcare and biology have now become an extension of digital technologies. It is digital technologies that have enabled the acceleration of the human genome project, it is digital technologies that has enabled us now to solve the issue of protein folding and to create designer molecules, designer drugs. There is so much there and we have not even started about editing the human genome. And green energy, sustainable energy, because guess what? AI requires a lot of energy.
But in fact, the challenge of climate change can be solved with current technologies if we get our legislative and our policy structures right.
So, my point is, I am actually excited because I see a world in which there are revolutions with great opportunities. And I am confident that the strengths of a city state with fiscal reserves, and that a Prime Minister or a Foreign Minister of Singapore, at least in the next 10 years, does not have to go to any other capital or any other office with his hands asking for help. Anything which we want we buy, we pay full market price. So, we say we are your partner. We are not your vassal state or your tributary. And therefore, hopefully, no one treats us shabbily. They treat us with some reasonable respect, because we are a partner or we are a customer, a high value customer. That is to me, an enormous advantage.
And then we continue to invest in our people and our infrastructure, future-proof them, and we continue to remain an open city. That openness is also critical to the long-term survival of a city state. History has shown that. Even if you go back to the early states of Venice and all that. The thing about a city is that it must always act as a magnet for ideas, for talent, for opportunity. So, therefore, I still, I am very tempted to say the best is yet to be. But I believe that. [Applause.]
The Chairman: On that note of cautious optimism, Mr Vikram Nair, would you like to withdraw your amendment?
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Mr Vikram Nair: I would like to thank Minister Vivian Balakrishnan, Minister Maliki Osman and Senior Minister of State Sim Ann for sharing the work of the Ministry, and of course, all the staff in the Ministry and all our missions abroad for their hard work carrying our flag. Chairman, I seek leave to withdraw my cut.
Amendment, by leave, withdrawn.
The sum of $576,173,800 for Head N ordered to stand part of the Main Estimates.
The sum of $36,600,000 for Head N ordered to stand part of the Development Estimates.