Principles of Governance For a stable and prosperous Singapore. James Wong Deputy Secretary (Policy)

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1 Principles of Governance For a stable and prosperous Singapore James Wong Deputy Secretary (Policy)

2 Singapore At A Glance Area: 683 sq km Gross Domestic Product: S$258 billion Population: 4,987,600 Life expectancy: 81.4 years Language: English, Mandarin, Malay and Tamil Literacy: Over 90% of the population above 15 years of age can read and write

3 Singapore s International Rankings Least corrupt nation in Asia-Pacific Political and Economic Risk Consultancy business survey 2010 Most transparent country in Asia & third in the world Transparency International s Corruption Perception Index 2009 Easiest place to do business Doing Business 2010 Report, World Bank Singapore emerges top in world competitiveness World Competitiveness Yearbook 2010

4 Singapore s Circumstances Situations Small & resource poor Credible and able leaders Ageing population What are our guiding principles? Multi-racial society

5 Principles of Governance Guiding statements that : (a) reflect our fundamental philosophy of government; and (b) form the basis of public policy formulation in the various spheres of government.

6 Singapore s Circumstances Situations Four Key Principles Credible and able leaders Small & resource poor Leadership is Key Ageing population Reward for Work, Work for Reward A Stake for Everyone, Opportunities for All Multi-racial society Anticipate Change, Stay Relevant

7 Leadership is Key The moment key leaders are less than incorruptible, less than stern in demanding high standards, from that moment the structure of administrative integrity will weaken, and eventually crumble. Singapore can survive only if ministers and senior officers are incorruptible and efficient. 1. Eschew corruption Lee Kuan Yew 2. Do what is right, not what is popular 3. Be pragmatic 4. Provide long-term vision

8 Leadership is Key 1. Attract fair share of nation s talent 2. Competitive remuneration 3. Develop in a systematic manner Will Singapore survive, much less prosper without a capable team in charge? How did we get here? With strong political leadership and effective government. It did not happen automatically or by chance. It only happens through a deliberate and systematic process to build the team, to build in talent at all levels To maintain this quality of Government, we need a first-class team. Prime Minister Lee Hsien Loong, 2007

9 Reward for Work, Work for Reward Government s role is to get everyone to the same starting point, but how far he can run is left to his own ability. Senior Minister Goh Chok Tong 1. Self-reliance, not welfare 2. Meritocracy for best use of talent 3. Correct incentives to ensure every individual will strive

10 Reward for Work, Work for Reward We cannot build an inclusive society by depending on government transfers alone. The fundamental way to raise and sustain incomes for our low-wage workers is to help them to boost their skills, add to their confidence and enable them to contribute more in the workplace. Every individual, putting in the effort to improve, can then be worth more on the job and secure a better income. Whilst our help must be flexible and adequate, we have to ensure that in providing assistance we never undermine the culture of selfreliance which remains a key strength of our society. In particular, we must continue to avoid the temptation of providing a permanent and unconditional social safety net. Extract from Singapore Budget Speech 2010

11 Reward for Work, Work for Reward Workfare Income Supplement (WIS) For older (35 years & above) low wage (below S$1,700) workers Workfare Training Scheme (WTS) Covers bulk of training cost and absentee payroll Small monetary reward to workers for completion of training milestones

12 Lifetime Entitled Benefits by Income Deciles Assumption: 2007 benefit levels and incomes extrapolated over lifetime, based on household of 1 income earner and 1 child The Singapore Public Service: Integrity, Service, Excellence

13 A Stake for Everyone, Opportunities for All The end goal of any governance system is not institutional strength, or even economic well-being, but nation-building. It is about creating an inclusive society where citizens not merely enjoy economic wealth, but feel a sense of ownership and belonging. Our goal is to make Singapore a land of opportunity, a home we love, a community we belong to, and a country where we are proud to call our own. Prime Minister Lee Hsien Loong 1. Singapore a global city and choice home 2. Promote collective responsibility 3. Preserve core values & interests

14 Home Ownership in Singapore When HDB was formed in 1960, less than 10% of Singaporeans owned their homes. Housing was basic and functional. Today, 80% live in HDB flats that are of high quality and good design, in well maintained estates all over the island. Most importantly, they own their flats, a valuable asset which appreciates in value along with the long term growth of our country. This is a remarkable achievement, unique to Singapore. Minister Mah Bow Tan on public housing

15 Anticipate Change, Stay Relevant If other countries are like big oil tankers, Singapore is just a speed boat. We are more vulnerable at sea, and so we have to be more agile and better able to avoid hazards. Prime Minister Lee Hsien Loong 1. Stay nimble and flexible 2. Be better organised than others 3. Exploit opportunities even in adversity 4. Turn constraints into advantage

16 Anticipate Change, Stay Relevant Culture of constant adaptation and adjustment Reinvention and innovation is vital Within the Public Service : PS21 Movement (1995), Scenario Planning Policy Examples: CPF system, Healthcare financing

17 Importance of Good Governance Good governance is a key ingredient for the success of nations, more so than endowments such as natural resources, a large land area or big population. Singapore has, in its own small ways, been able to put in place good governance. We have been fortunate that we not only have determined and upright political leaders but also a capable, diligent and honest Public Service. We also have a public that is reasonable, even if demanding at times. It is a partnership that has worked well together, this has allowed Singapore to enjoy good governance. Teo Chee Hean, Deputy Prime Minister and Minister in charge of the Civil Service

18 Singapore s Principles of Governance Leadership is Key Reward for Work, Work for Reward A Stake for Everyone, Opportunities for All Anticipate Change, Stay Relevant

19 Thank You