Principles of GovernanceFor a stable and prosperous Singapore

James Wong

Deputy Secretary (Policy)

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

Singapore ’s International Rankings

Least corrupt nation in Asia-PacificPolitical and Economic Risk Consultancy business su rvey 2010

Most transparent country in Asia& third in the world

Transparency International’s Corruption Perception Index 2009

Easiest place to do businessDoing Business 2010 Report, World Bank

Singapore emerges top in world competitiveness

World Competitiveness Yearbook 2010

Singapore ’s Circumstances

Small & resource

poor

Multi-racial society

Ageing population

Situations

Credible and able leaders

What areour guiding principles?

Principles of Governance

Guiding statements that :

(a) reflect our fundamental philosophy of government; and

(b) form the basis of public policy formulationin the various spheres of government.

Singapore ’s Circumstances

Small & resource

poor

Multi-racial society

Ageing population

Situations

Credible and able leaders

Four Key Principles

Anticipate Change,Stay Relevant

Leadership is Key

Reward for Work, Work for Reward

A Stake for Everyone, Opportunities for All

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.”

Lee Kuan Yew

1. Eschew corruption

2. Do what is right, not what is popular

3. Be pragmatic

4. Provide long-term vision

Leadership is Key

“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.”

1. Attract fair share of nation’s talent

2. Competitive remuneration

3. Develop in a systematic manner

Prime Minister Lee Hsien Loong, 2007

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 wil l strive

“We cannot build an inclusive society by depending o n 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 secu re a better income. ”

“Whilst our help must be flexible and adequate, we have to ensurethat in providing assistance we never undermine the culture of self-reliance 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

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

Reward for Work, Work for Reward

Lifetime Entitled Benefits by Income Lifetime Entitled Benefits by Income DecilesDeciles

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

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 makeSingapore 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

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 Tanon public housing

Anticipate Change, Stay Relevant

“If other countries are like big oil tankers, Singapore is just aspeed 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

Culture of constant adaptation and adjustment

Reinvention and innovation is vital

Within the Public Service : PS21 Movement (1995), Scenario PlanningPolicy Examples: CPF system, Healthcare financing

Anticipate Change, Stay Relevant

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 Ministerand Minister in charge of the Civil Service

Singapore ’s Principles of Governance

Anticipate Change,Stay Relevant

Leadership is Key

Reward for Work, Work for Reward

A Stake for Everyone, Opportunities for All

Thank You