rise of china and india - impact on singapore

THE RISE OF CHINA AND INDIA

Hedged between giants, can Singapore adjust to the new world

order?

China and India, both longest surviving civilisations of the world, are emerging to reassume their preeminence.

China and India have been the two major powers influencing this region for millennia.

200 years of European domination between 18th and the 20th Century are but an aberration in our region’s long history.

CHINA’S EMERGENCE

China opened its doors to the world in 1979.In 30 years, it has become the second largest economy in the world.

CHINA’S EMERGENCE

CHINA’S EMERGENCE

China is also the world’s largest exporter.Its national reserve has been the world’s highest, totaling over 3.2 trillion USD.

CHINA’S EMERGENCE

China is the world’s largest investor in renewable energy and green technology.It has surpassed Germany’s solar energy industries.It will soon become the world’s top shipbuilder.

INDIA’S EMERGENCE

India’s spectacular growth began with its economic liberalisation in the last century.India is developing very quickly, surpassed only by China.

INDIA’S EMERGENCE

"India is not simply emerging; India has already emerged."

Barack ObamaPresident of the United States

RISE OF INDIA (ECONOMY)

India has become a world economic power, with growth over the past three years averaging 8%.

RISE OF INDIA (ECONOMY)

Based on purchasing power parity, India is now the world's fourth largest economy.

INDIA’S EMERGENCE

IF GLOBAL LAND MASS IS REPRESENTED BY POPULATION SIZE…

THE WORLD WOULD HAVE LOOKED LIKE THIS…

CHINA

INDIA

BOTH ARE CHURNING OUT MILLIONS OF GRADUATES AND PROFESSIONALS EACH YEAR…

BOTH ARE CHURNING OUT MILLIONS OF GRADUATES AND PROFESSIONALS EACH YEAR…

‘ The rejects of Beijing University could score a first class in our university.’ - Mr Lee Kuan Yew, Hard Truths.

CHINA AND INDIA AS FASTEST GROWING ECONOMIES

CHINA

INDIA

CHINA’S AND INDIA’S GROWING SHARE OF THE WORLD’S GDP

CHINAINDIA

RISE OF CHINA AND INDIA (PEOPLE)

The younger generation of China and India are highly tech-savvy.

India and China has the fastest growing cell phone and internet user markets in the world.

RISE OF CHINA AND INDIA (PEOPLE)

China alone has more than 460 million netizens.

The largest online community in the world.

Even more than America’s population of about 300 million.

RISE OF CHINA AND INDIA (PEOPLE)

Both peoples are very strong in mathematics and sciences.

They are also eager to learn from the best in the world.

RISE OF CHINA AND INDIA (THE PEOPLE) Entrepreneurism is prized. The urge of both peoples to succeed is

intense. They are diligent and driven. Unlike Singaporeans, they are willing to

work longer for less immediate rewards.

RISE OF CHINA AND INDIA (THE FUTURE) In other

words, the emergence of China and India as global powers will transform the world.

BUT ARE WE READY?

SINGAPORE BETWEEN THE GIANTS

‘We are interlocutors.’ - Mr Lee Kuan Yew, Hard Truths.

WHAT IS AN INTERLOCUTOR?

An interlocutor is someone who interprets between major parties in a conversation.

QUALITIES OF AN INTERLOCUTOR

• Linguistic competencies,• Cultural empathy, • High social quotient,• Reliability, • Circumstantial awareness,• Farsightedness.

SINGAPORE BETWEEN POWERS

Think…

Do our students possess these qualities?

CRISIS FOR SINGAPORE?

China and Thailand have for years contemplating building a canal across Kra Isthmus.

So that Chinese ships can bypass the Melaka Strait, and hence Singapore.

DO YOU KNOW….

Where is Singapore? Where is Kra

Isthmus?

CRISIS FOR SINGAPORE?

How would that affect our livelihood and economy?

National survival? In history, Temasek has been

destroyed at least twice…

CONSIDER….

SINGAPORE BETWEEN POWERS

Think…

Do our youngsters have the resilience and wisdom to deal with crisis of that magnitude?

CHALLENGES FOR SINGAPORE?

China and India are attracting the bulk of foreign direct investments to Asia.

We can no longer be an investment-driven economy.

WHAT IT MEANS FOR SINGAPORE

‘Anything we make, the Chinese and Indians and Vietnamese will eventually do the same.’ - Mr Lee Kuan Yew, Hard Truths.

CHALLENGES FOR SINGAPORE?

China and India are moving very rapidly from labour, capital to knowledge intensive industries.

Our manufacturing is also diminishing.

CHALLENGES FOR SINGAPORE?

Our government leaders even have to personally persuade MNCs not to relocate from Singapore.

Our neighbours are also our competitors.

Nothing is going to be CHEAP anymore…

Real wages will be kept low as global workforce increases.

Increase in demand for energy and raw materials by China and India pushes up commodity prices.

CHALLENGES FOR SINGAPORE?

JOB STABILITY is going to be history…

Greater employment mobility calls for more adaptable and resilient workers.

CHALLENGES FOR SINGAPORE?

CHALLENGES FOR SINGAPORE?

"China is a big country and other (Southeast Asian) countries are small countries, and that's just a fact." - Mr Yang Jiechi, China’s Foreign Minister.

Singapore is ranked very low, in terms of our relevance to China and India.

CHALLENGES FOR SINGAPORE?

We lacked natural resources. We do not have the significant mass to consume their products.

CHALLENGES FOR SINGAPORE?

What we know, they will soon learn…

What we can do, they will be able to do more and even better…

CHALLENGES FOR SINGAPORE?

We are the last country in the region to conclude the Free Trade Agreement with China.

China has delayed the process.

CHALLENGES FOR SINGAPORE?

CHALLENGES FOR SINGAPORE?

•Mandarin is becoming the most popular foreign language in western countries.•China and India are the choice destinations of study and work for American and European undergraduates.

CHALLENGES FOR SINGAPORE?

•But are our students even interested in their mother tongue?•Do they want to study and work in China and India?

CHALLENGES FOR SINGAPORE?

Think…

Does this bode well for Singapore’s future?

OPPORTUNITIES FOR SINGAPORE

But not all is gloom… China and India are also tremendous opportunities for us.

OPPORTUNITIES FOR SINGAPORE

China is our second largest trading partner.

Bilateral trade in 2010 amounted to 95.3 billion SGD.

India is our 10th largest trading partner.

Bilateral trade in 2010 amounted to 30.7 billion SGD.

OPPORTUNITIES FOR SINGAPORE

China and India are huge markets.

Our tertiary, services and knowledge-based products and services are in high demands….

OPPORTUNITIES FOR SINGAPORE?

OPPORTUNITIES FOR SINGAPORE?

OPPORTUNITIES FOR SINGAPORE?

‘We succeed by staying in little niches, securing qualities which they cannot match, like credibility, reliability, intellectual property and the rule of law.’ - Mr Lee Kuan Yew, Hard Truths.

OPPORTUNITIES FOR SINGAPORE?

Are these “niches” working for Singapore?

OPPORTUNITIES FOR SINGAPORE?

OPPORTUNITIES FOR SINGAPORE?

Some successful Singapore enterprises in China and India…

OPPORTUNITIES FOR SINGAPORE

OPPORTUNITIES FOR SINGAPORE?

Think…

Are our students equipped to exploit the opportunities?

THANK YOU FOR YOUR ATTENTION!

BUZZ TIME

Do you think our students are ready for the challenges of the changing world? Why?