The Noteworthy Success In Singapore Economic Development

Singapore economic development journey was not paved. Today Singapore vibrant economy is considered short of a miracle. Despite the many obstacles facing them, Singapore managed to attain prosperity in a short span of time.

The island nation is home to around 4 million residents. Being the littlest nation in Southeast Asia, Singaporeans live in small, high-rise apartments and take the public transport to get around.

In 1819, Europeans came to Singapore. The British East India Company owned by Sir Stamford Executive used the country as the center for spice trading. Singapore served as a commercial and military point of the British Empire in Asia.

When World War II, the island city adapted the technological and political changes. Singapore take part of the industrialization movement in 1950s. They want to create an image separate from the entrepot image associated to them.

Industrialization was in full swing at that time. The government wanted to join the bandwagon. The development strategy for the economy was focused on generating employment opportunities for the people.

The highly skilled manpower provided the key to Singapore economic rise. In 1960s, unemployment problem was effectively contained when Singapore became the nation with the lowest unemployment rate in Asia.

Singapore became independent from Britain in 1963. Singapore formed a federation with Malaya, Sabah, and Sarawak to form part of Malaysia. It did not work out, as two years later, Singapore break away and became a republic.

Skilled labor and technology were central to the government plans in the 1970s. They also shifted their focus to the rising industries at that time such as petrochemicals, electronics and precision machinery. As more foreign investments entered the country, industrialization became a distinct reality.

The government created additional changes in 1979. A new policy was instituted to replace focus on low wage earners and encourage huge, money-making industries. The 1980s provided for the entry of foreign investments to the country in the areas of computers, electronics and automotive, pharmaceuticals, optical and other growing industries.

When recession hit in 1985 to 1986, the government turned its attention to making Singapore a manufacturing and communications hub for foreign corporations.

The focus of Economic Development Board (EDB) during the 1960s was industrialization. This was based on the plans made by Dutch economist Albert Winsemius. But a shift happened towards 1990s. The Strategic Economic Plan (SEP) in 1991 was more bent on pursuing education and human resources development in order to encourage export. EDB is still focusing on the growth of the business sector in this country.

Singapore standard of living has grown tremendously through the years specifically after they achieved independence from European settlers. The foreign investments and Singapore government thrust to implement industrialization helped established a modern economy in this island state.

Today, Singapore economy is considered one of the wealthiest all over the entire world on the basis of GDP (PPP) per capita. The Singapore official dollar reserves reached an all time high of US$170.3 billion in January 2009.

Singapore modern society experiences better quality of life compared to the past. It has attained huge success in its efforts to develop the economy. The Singapore economic development they experience today is the result of hard work and foresight.