SINGAPORE: Singapore must adapt to a “new reality” of a far less orderly and predictable international environment - one where the United States is no longer prepared to underwrite global order, Senior Minister Lee Hsien Loong said on Saturday (Feb 8).

Speaking at a Chinese New Year celebration dinner at Teck Ghee Community Club, Mr Lee said that international geopolitics is “as tense as ever” with “much uncertainty” awaiting in the new year. He pointed to the new US administration as a “significant new factor” shaping global affairs.

Mr Lee added that due to internal challenges and divisions, the US now has an administration with a very different approach to government and the world, and is defining American interests more narrowly.

“It takes a transactional approach to achieve its immediate objectives,” he said, adding that the US looks on tariffs favourably “as a preferred policy tool, an external source of revenue, and a way to force other countries to make concessions”.

Mr Lee also highlighted Washington’s retreat from multilateral commitments, such as the World Health Organization and the Paris Agreement on climate change.

“The US is no longer prepared to underwrite the global order. This makes the international environment far less orderly and predictable,” he said.

“Singapore, like all other countries, must adapt to this new reality, even as we seek to maintain our strong ties and friendship with the US.”

Mr Lee also said Singapore must continue to work hard on its relations with its neighbours amid ongoing geopolitical tensions.

“US-China relations remain fraught, with fundamental differences unresolved,” he noted. “In Europe, the war in Ukraine is about to enter its fourth year. In the Middle East, there is now a temporary ceasefire between Israel and Hamas, and some hostages have been released, exchanged for prisoners. But the fundamental Palestinian issue remains unresolved - and probably worsened.”

While Southeast Asia continues to be at peace, he cautioned that potential flashpoints remain in the Taiwan Strait and the South China Sea.

STRONG, COMPETENT GOVERNMENT; "ONE UNITED PEOPLE"

But even in this troubled world, small countries like Singapore can act and must act to secure itself, Mr Lee said on Saturday.

He pointed to two fundamental factors that have been crucial to the country.

“First, having a strong and competent government that anticipates challenges, earns your trust, and makes good decisions to secure your future,” he said.

“Second, staying as one united people, who understand the world we live in and the challenges we face, and work closely with the government to make our dreams a reality.”

Mr Lee contrasted Singapore’s approach with that of other countries, where governments struggle to deliver results, leading to frequent leadership changes.

Each time, the people hope for a better future, but each time, they hope in vain, he said. 

Singapore has been exceptional, he noted.

“We have enjoyed strong trust and partnership between the government and Singaporeans for more than 60 years. This is why we have been able to make consistent progress decade after decade, instead of chopping and changing course every few years. That is how we have built today’s Singapore and reached SG60.”

TAKING SINGAPORE FORWARD

Mr Lee also said the government understands the challenges ahead and has worked out plans to take Singapore forward amid the uncertainties, just as it has done for so many decades.

“We continue to support you on immediate cost-of-living concerns, especially families who need help the most,” he said, citing measures such as the S$300 (US$221) in CDC vouchers distributed in January, on top of the S$800 disbursed last year.

Singaporeans have also received GST vouchers, U-Save rebates, and public transport vouchers, with further support to be announced in the upcoming Budget, he added.

Housing remains a key priority, he said, noting that the Housing and Development Board (HDB) has caught up with the backlog caused by the COVID-19 pandemic. The government remains on track to launch more than 100,000 flats by this year, counting over five years since 2021. The new Standard, Plus, and Prime framework will help ensure Build-To-Order (BTO) flats remain affordable and available to all, he said.

Beyond immediate issues, Mr Lee also outlined other investments to secure Singapore’s future.

“Investing in people – in your education, training, and upskilling. So that our youth and workers have the skills to remain competitive and secure good jobs, even as the economy is transformed with new technologies with robots, with AI,” he said.

The government is also investing in infrastructure projects, including Changi Airport Terminal 5, Tuas Megaport, new train lines such as the Thomson-East Coast Line and Cross Island Line, and new hospitals and community care facilities like the recently opened Woodlands Health Campus, he added.

A decades-long reclamation project, Long Island, will also be developed along the East Coast to safeguard Singapore from rising sea levels.

"Most importantly, we are also investing in our social fabric, through Forward SG," Mr Lee said, adding that "programmes like ComLink+ and the Fresh Start Housing Scheme will uplift our vulnerable and enhance social mobility".

He also highlighted SGSHARE, a national regular giving programme linked to SG60 and Community Chest, which aims to spur volunteerism and strengthen bonds among fellow Singaporeans.

“We are building a Singapore: Where every citizen belongs, where everyone will have every opportunity to succeed, no matter what their starting point in life, and where all share a sense of participation and purpose, and where we take ownership of our nation’s future together,” Mr Lee said.

“None of these good things will happen by themselves,” he said. “It requires a capable, caring government with the foresight to look ahead, and the courage to do the right things.”

“And a people who will stay united, and be willing to work with the government over the long term.”