Prime Minister Lee Hsien Loong asked Singaporeans to brace for tough times. The PM says that Singapore’s economy will contract between 2 to 5% as Singapore’s export markets are all suffering from recession.
All good and fine, but I want to know what strategy the Singapore government has to get ourselves out of this quagmire. Everywhere else in the world, countries are implanting ways to bring their economy out of trouble. The Obama Administration in the U.S has a trillion dollars stimulus package, the Chinese government lend money to their SMEs (small-medium enterprise), and even our neighbour Indonesia has a plan to focus on their raw materials as an engine of growth. Singapore’s plan however seems to consist of praying for the U.S economy to turn around.
Like other export-reliant Asian economies, Singapore has been hard hit by the collapse in consumer demand as economies slow sharply around the world. Just look at the waters to the south of our island and you will see container ships and tankers just parked there. It’s all fine and well for our PM to say that times would be tough for Singapore and Singaporeans need to bunker down, but I would feel much more comfortable if they can come up with a strategy that consist of more than praying for other countries to do the work for them.