Trends in Singapore's competitiveness

Abstract

This chapter assesses competitiveness in Singapore and takes the view that no single measure of competitiveness can do justice to the study of this complex subject. The approach adopted in this study is to survey a range of market share, cost and returns measures and to draw insights from both macro and micro level data. The paper concludes that, Singapore has performed remarkably well in maintaining its share of global exports and flows of FDI into Asia. It continues to be the key transportation and financial services hub in Southeast Asia despite stiff competition and appears to be establishing itself in some high-value added manufacturing niches such as pharmaceuticals. Nevertheless, forward-looking indicators suggest that its competitiveness in the future might erode unless more radical adjustments are made.