PM Goh cites achievements, calls for new economic model
PM Goh cites achievements, calls for new economic model
SINGAPORE (AFP): Prime Minister Goh Chok Tong on Friday issued
a glowing review of his past decade in office but warned that the
next 10 years will be tougher and require a new economic model to
sustain Singapore's progress.
"Our operating environment has changed. The region has become
more uncertain. The global economy has become much more
competitive," said Goh, an economist and businessman who took
over from longtime premier Lee Kuan Yew in 1990.
"If we simply stick to old ways of doing things, we will not
achieve the same progress in this decade. We need to broaden the
basis of our growth. We need a new economic model for the
future," the 60-year-old leader added.
The remarks were contained in a 66-page booklet highlighting
the past decade's achievements as part of the republic's
celebration of its 36th year of independence.
Singapore has slipped into a recession with general elections
due within the next 12 months, but the ruling People's Action
Party (PAP) is expected to preserve its iron grip on power.
The booklet, packed with statistics and graphs, noted that
Singapore's gross domestic product (GDP) grew by an average of
7.7 percent annually from 1990 to 2000, while per-capita income
rose from 19,900 Singapore dollars to 32,900 dollars (US$18,277)
in 2000.
Foreign exchange reserves rose from $48.5 billion to $139.3
billion, while foreign direct investment grew from $49.8 billion
to more than $150 billion, and Singapore itself has invested more
than $58 billion overseas.
Total trade volume more than doubled from $205 billion in 1990
to $470 billion in 2000.
Singapore's inflation rate meanwhile remained among the
world's lowest, averaging 1.7 percent between 1990 and 2000,
while unemployment was likewise controlled, at 3.1 percent in
2000.
Fully 92 percent of Singaporeans own their homes, from 88
percent in 1990, thanks to a government housing scheme funded by
a mandatory pension fund.
Twelve percent of adults now have university education, from
just 4 percent in 1990, while life expectancy rose to 78 years,
three years more than in 1990.
Singapore has the lowest infant mortality rate in the world at
2.5 percent, the booklet said.
Goh also noted that Singapore now has a more vibrant arts and
cultural scene, more sports facilities, more radio and TV
channels and newspapers, and a stronger foreign media presence
than in 1990.
He urged Singaporeans to "maintain our cohesiveness, our drive
and our sense of national purpose" into the new decade and called
for a "new social compact" to help the "less able members of our
society" enjoy the benefits of growth.
Amid the general affluence, Singapore has a small underclass
of impoverished and less educated people, as well as a fast-
growing community of retirees, many of whom missed out on the
boom years.
The median age of Singaporeans in 2000 was 34 years, from 30
years only a decade ago, while citizens aged 65 years or older
comprised 7.3 percent of the population, from 6.0 percent in
1990.
Experts say the ageing trend will accelerate in the coming
years due to low birth rates and longer lifespans, posing new
challenges for social and economic planners.
Goh is expected to step down sometime after the next general
elections to give way to a new generation of leaders.
Deputy Prime Minister Lee Hsien Loong, 49, the son of the 77-
year-old former premier Lee, is widely tipped to take over from
Goh.