Singapore at the crossroads

SINGAPORE has had a good run of it in the past half century, from a backwater with hardly any resources, little land for expansion and a diverse society riven by ethnic tension, to today’s regional financial and export hub known for its safety, cleanliness and efficiency.

But there are now headwinds, both domestic and external. Despite having an economy with one of the highest per-capita incomes in the world, Singaporeans in the lower income brackets feel squeezed by an influx of foreign migrant workers depressing wages. Highly-skilled expatriates, on the other hand, make housing more expensive for many Singaporeans. Uncertain global growth has also hit exports.