Singapore’s Economy, History, and Future Growth

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National University of Ireland, Dublin

Bachelor of Business Studies (Finance)

Intake: 48

Module: Economic Policy and the Global Environment

Essay Title: Singapore’s Economy and Future Growth

Submitted by: Jerome Tan

Student Number: 15206869

Lecturer: Mr Rodney Sim

Submission Date: 10 Dec 2015

Word Count: 2111

SINGAPORE’S ECONOMY, HISTORY, AND FUTURE GROWTH

INTRODUCTION

As a recently autonomous nation in 1965 with no regular assets, Singapore as a new country confronted much instability. Unemployment was one of the key issues that should have been be determined rapidly keeping in mind the end goal to get the wheels of the Singapore. This paper strives to explain the genesis of Singapore’s struggle as a new nation, and her painstaking transforming to a First World nation today.

With a GDP for each capita of approximately US$320, Singapore was an underdeveloped country with poor foundation and restricted capital. Low-end business was the backbone of the economy and the modest bunch of commercial ventures that existed delivered just enough for the local market and foreign investment was not forthcoming at that time.

To create jobs taking after the huge unemployment and work turmoil, an improvement in the manufacturing industry must be made and hence the birth of the Jurong Industrial Estate – the first of numerous such bequests on the island.

It was amid this energizing time of development that the Singapore Economic Development Board (EDB) was built up with a financial plan of $100 million to tackle the test of persuading outside speculators that the nation was a decent place for business.

These two improvements denoted the begin of Singapore's industrialisation program that started with processing plants delivering articles of clothing, materials, toys, wood items and hair wigs. Alongside these work, serious commercial enterprises were capital and innovation concentrated undertakings from organizations, for example, Shell Eastern Petroleum and the National Iron and Steel Mills.

The achievement of this project after some time implied new issues must be handled. To be specific, the absence of crude assets that once originated from Malaysia and developing countries within the region. Singapore's answer then was to add to its agenda some commercial ventures, as EDB opened its first abroad focuses in Hong Kong and New York to attract foreign investment locally.

SINGAPORE’S ECONOMY TODAY

The Singapore's economy progressed by 1.9 percent year-on-year in the second from last quarter of 2015, down from 2 percent development in the former quarter however beating earlier forecast of 1.4 percent. The economy extended by 3.6 percent, as wholesale and retail exchange area developed by 6.8 percent, account and protection exercises extended by 4.8 percent; and transport and capacity part progressed by 0.3 percent. Likewise, development yield went up by 1.6 percent. By difference, the manufacturing industry shrunk by 6.2 percent. Gross domestic product Annual Growth Rate in Singapore found the middle value of 6.83 percent from 1976 until 2015, coming to a record-breaking high of 18.90 percent in the second quarter of 2010 and a record low of -8.80 percent in the first quarter of 2009. Gross domestic product Annual Growth Rate in Singapore is accounted for by the Statistics Singapore (see Figure 1 for details).