Singapore envisions its future: talents, innovation, attractivity.

Established in May 2009, the Economic Strategies commitee (ESC) submitted on the 1rst of February its key recommendations to ensure sustainable growth and maximize Singapore's ability to benefit from current opportunities in the Region.

The aim of the exercise was to look beyond the coming decade, and to work with no delay on how to adress the opportunities and challenges that will condition Singapore's continuous success and comfort it's central role in the Region.

Singapore wants to capitalize on it's past achievements. Despite the global crisis in 2008-2009, GDP growth remained at a high level, averaging 5% annually. Growth during the coming decade should remain steady, with a 3-5% GDP growth rate.

The crisis has reinforced the shift of markets to Asia, and Singapore wants to take the best advantage of it.

One of the main challenges should be to fuel the growth through increased productivity, which should grow at a 2-3% annual pace throughout the coming decade, compared with only 1% between 2000 and 2010.

Investing on talents and skills

Improve productivity

The focus on productivity appears in the context of a "more slowly expanding workforce" and the objective to reduce the dependance on  foreign workers, who currently represent one third of the total workforce.

Singapore's performance on productivity has been limited during the last decade with an average annual pace of 1%, and a lagging situation compared to the US, Japan and Hong Kong to name but a few. The efforts should encompass all sectors and contribute to 2/3 of the GDP in the coming decade.

In its recommendations, the ESC encourages Singaporean workers to develop their skills as a way to improve productivity and to access higher qualified jobs. It invites companies to "compete by innovating, investing in their people and creating higher value jobs".

The Singapore Government should provide companies with training incentives, work on the development of a system of continuing education, and use the foreign workers levy as a way to discard less qualified workers while retaining those with the best qualifications and expertise.

Attract the best talents

Singapore should remain an attractive place for foreigners who "add to the critical mass of talents in Science and Engineering, design, finance and start-ups.

The City-State is engaged in "growing a deep pool of highly capable and entrepreneurial people" and will "continue to attract top quality people from around the world".

The ambition is to "facilitate the talent recruitment, management and development needs of large and small Singapore based companies, out of Singapore, especially for the pan-Asian Region".

Efforts to work out Singapore as a "distinctive global city", with attention on quality of life and the development of Arts, are integrative part of this policy.

Building a supportive environment for companies.

• Grow R&D expenditures to 3,5% of GDP (compared to slightly less than 3% currently).
• Facilitate financing capabilities to take advantage of opportunities in Asia.
• Create a corporate eco-system, with stronger alliances between large and small players.

Key sectors

Manufacturing

Focus on complex manufacturing, in areas where know how and intellectual property are crucial ( ex nutriceuticals, design and production of "mission critical" components such as those in medical devices and cross disciplinary areas like bioelectronics)

Grow manufacturing related services: HQ related activities, R&D, Intellectual Property...

Business infrastructure

Consolidate Singapore as the leading business hub based on modern services such as info-comms technology, accounting, legal and consulting services.

Consumer business centre

Build a cluster of key companies in the consumer centric fields such as Marketing, Branding, Consumer reserach and market intelligence.

"Future ready" urban solutions

Leverage Singapore needs to help capitalize the innovation of future ready solutions: urban mobility/smart transportation; energy and efficiency management; renewable energy; water & waste management.

Use Singapore as a platform to test bed systems-level integration in these areas and foster collaboration amongst Singapore based companies to provide solutions which can be scaled up and exported.