Stable environment: Singapore Police Force officers patrol with a police robot at Changi Airport. The country’s reputation for safety, credibility and openness to global talent will help to keep itself attractive to European investments. — AFP
SINGAPORE: Singapore sees opportunities to deepen collaboration with the European Union (EU), such as in digital trade and the green economy, Minister for Manpower Tan See Leng told guests at the European Chamber of Commerce Singapore’s (EuroCham) AGM.
Both Singapore and the EU have strong digital ecosystems, and are committed to achieving net-zero carbon neutrality by 2050, said Tan, who is also Second Minister for Trade and Industry.
The groundwork is there, with the EU-Singapore Digital Trade Agreement signed in 2024.
The pact, the first bilateral digital economy agreement between the EU and an Asean country, provides greater certainty and clarity for Singapore businesses and citizens to engage in cross-border trade in the area, said Tan.
He added that Singapore and the EU could find joint opportunities in green finance, standards, technology and innovation.
The event on April 22 at Jen Singapore Tanglin was attended by more than 100 members of the chamber, as well as the EU Ambassador to Singapore, Iwona Piorko, and Jens Rubbert, president of EuroCham.
In a fireside chat with Rubbert, who asked how Singapore plans to keep itself attractive to European investments, Tan said Singapore offers consistency through a stable political environment.
Referring to the Singapore general election’s Nomination Day, which fell on April 23, Tan said: “I know we are on the eve of the hustings. We (the ruling party) certainly hope that we will come back. But regardless of who’s in charge, this consistency is in our civil service, our civil servants.”
And while Singapore is not a low-cost location due to its limited land size, it compensates with efficiency and a transparent tax regime.
Singapore also has a reputation for safety, credibility and openness to global talent, he added.
Tan also urged the EU to consider trade agreements with members of Asean.
“The good thing about Asean is that we actually still have a population pyramid,” he said, citing as examples Indonesia, Vietnam and the Philippines, which have growing and educated youth populations.
At the regional level, Singapore would like to work more with the EU under the umbrella of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
CPTPP and the EU account for 30% of global output.
The EU ranks second as Singapore’s trading partner for services and fourth for goods, while Singapore is the EU’s largest trading partner in Asean. The two parties have a bilateral free trade pact, and have traded more than 130bil in goods and services between them as at 2022.
Amid global trade tensions, Tan stressed Singapore’s commitment to open trade, and called for continued engagement with European businesses, which added to job growth for Singaporeans.
There are over 14,000 European companies in Singapore, many using it as a regional hub, and logistics and distribution centre.
Tan added that foreign firms make up 20% of companies here but provide nearly a third of jobs and a significant share of high-paying positions, while also supporting local small and medium-sized enterprises that mostly hire locals.
These firms contribute an “outsized share” of higher-paying jobs, employing six in 10 residents who earn a gross monthly income of above US$12,500, he said. — The Straits Times/ANN
