The economic success of modern Singapore is largely built on cheap land, immigrant labour, rapid adoption of powerful technologies and highly-educated/skilled workforce. However, during the past 30 years, these low-hanging fruits have started to disappear. Now, we are plagued with dangerously-low birth rate, an aging & shrinking workforce, escalating business costs and a lack of economic growth drivers.
Fortunately, the Budget 2016 did address some of these problems by offering short and medium-term solutions. However, in terms of a more deep-rooted, comprehensive and long-term framework, we still need to wait for the newly-formed 'Committee on Future Economy' (CFE) to release their work by the end of 2016. The areas they will be working on are:
- corporate capabilities and innovation
- future growth industries and markets
- connectivity
- urban development and infrastructure
- jobs and skills
