Singapore’s newly formed Committee on the Future Economy (CFE) is all set to review and update the city-state’s economic strategy and come up with recommendations by the end of 2016.
In a statement by the CFE Secretariat released on December 21, it said CFE “will build on and update the Report of the Economic Strategies Committee (ESC) of 2010, taking new global and domestic realities into account.”
It added that since 2010, implementing the ESC’s recommendations has enabled the economy to remain competitive. “But with rapid changes in the global environment, technological change and a slower growth of our labour force, we face new challenges and opportunities.”
Prime Minister Lee Hsien Loong announced on October 1, 2015 that the government will set up a CFE which will “develop economic strategies to position Singapore well for the future – to be a vibrant and resilient economy with sustainable growth that creates value and opportunities for all.”
The CFE will address five areas crucial to Singapore’s future economic development. One is future growth industries and markets, in which CFE will identify and design growth strategies for priority clusters in Singapore. These tactics will also enable companies to seize opportunities in the global marketplace.
Another area is corporate capabilities and innovation. The committee will recommend strategies to enable companies and industry clusters to develop innovative capacities, and use technology as well as new business models and partnerships to create value.
In the area of jobs and skills, meanwhile, it will assess the impact of demographics and technology on the labor force, and recommend strategies to create and redesign jobs, and to equip Singaporeans with the skills set needed for the future.
The fourth area—urban development and infrastructure—will be about strategies to enhance infrastructure and develop sustainable urban spaces, “so as to create an outstanding living environment for our people and reinforce economic advantage.”
Connectivity, as the fifth, will entail studying modern connectivity and flows in the future global economy and recommending how Singapore can continue to be an Asian and global hub.
The CFE will be helmed by Minister for Finance Heng Swee Keat and his deputy chairman, Minister for Trade and Industry S Iswaran. The two will lead a 30-member committee composed of individuals from different industries operating in both global and domestic markets, and from enterprises both big and small.
The committee will consult with trade associations and chambers, as well as trade unions, to forge new strategies together to develop “competitive strengths.” The CFE is also going to tap on resource persons, such as thought leaders from the corporate world and in academia, from both Singapore and abroad.
In addition, it will consult and engage widely with stakeholders to get a good representation of views from all sectors of the economy.
“The CFE aims to complete its work by the end of 2016,” said the Secretariat.
Said Minister Heng, “The CFE comes at an important juncture for Singapore and Singaporeans. Our businesses and workers are facing difficult adjustments in the face of slower global growth and rising costs… We must build on our strengths, to overcome immediate challenges and seize the many exciting opportunities to move towards a value creation economy.”
S Iswaran added, “The CFE is a key and timely undertaking, especially in the face of slower economic growth. For a small, open country like Singapore to remain competitive, it is imperative that we hone our competitive advantage in industries that will drive the global economy of the future… It is equally important for us to look at opportunities beyond our shores, in markets such as ASEAN, China and India for example.”
Photo: Deoma12
