Singapore PM Says Economy Needs Restructuring

Singapore’s economic growth could exceed 3% in 2017, higher than previous forecasts of 2 to 3%. Prime Minister Lee Hsien Loong said this on Sunday at the People’s Action Party’s convention held at Big Box in Jurong.

However, he noted that while economic growth is up, the job is not done, and the government will have to press on with plans to restructure the economy, Lee said, CNA reported.

Speaking to about 2,000 activists, he noted that the world economy is looking up, and Singapore has benefitted from that. He pointed out that unemployment remains low, wages have gone up, and more significantly, productivity has also picked up.

But he stressed that the current upswing is cyclical, and Singapore has to press on with plans to restructure the economy in order to sustain economic growth.

“Our workers must acquire the right skills and capabilities, know how to upgrade themselves, and be confident about their futures and livelihoods,” he said. “Our companies too must adapt, upgrade and compete in the global marketplace.”

The premier noted that the Future Economy Council is progressively implementing the recommendations from the Committee of the Future Economy, and this is a “major task”.

He added that there are also three major strategies to take care of workers: skills upgrading, job matching and job creation, and the government has reorganized itself so that it can focus on each of them.

Lee said that restructuring the economy will take effort, and will not be a “totally smooth journey”. But Singapore, he said, has done it before and can do it again. “The government will support and help workers and companies. As long as we stick together and make the effort, we will get there.”