Another economic concern was the ^^need to provide sufficient jobs^^ to ^^cater to Singapore’s rapidly growing population.^^
In ==1975==, there were already ^^more than 70,000 unemployed persons^^ out of a total %%labour force%% of ^^over 700,000.^^
There was also a ^^large number^^ of ^^young people finishing their schooling^^ and would be ^^in need of a job^^.
If ^^no jobs were available to them^^, Singapore’s ^^unemployment rate would grow even more severe.^^
The ^^entrepot trade,^^ which had been a ^^lifeline of Singapore’s economy^^ for ^^more than a century^^, had been ^^declining since World War II.^^
Due to the ^^growing competition from the other ports in the region^^, its ^^importance as a source of job creation was diminishing.^^
Since the ^^military bases^^ were a ^^major source of employment for Singaporeans^^, with the livelihood of over ^^40,000 people dependent^^ on ^^supplying goods and services^^ to British servicemen stationed there, the announcement in ==1967== ^^of the closure of its military bases affected Singapore’s economy.^^
The government had to ^^diversify the economy^^, which meant ^^finding new and varied sources of economic growth instead of always depending on only one source.^^
That would make it ^^more likely for the economy to grow steadily^^ and ^^ensure there were sufficient jobs available for the people.^^
%%(Labour Force consists of all the people in a country who are either working or looking for work. Generally, the higher the percentage of a country’s labour force who are working, the better its economy is considered to be doing)%%
==What MNCs Sought:== | ==What Singapore Provided:== |
---|---|
To ^^lower costs^^ and ^^maximise profits^^ | ^^Lower tax rates^^, which made it ^^more financially attractive^^ for ^^MNCs to set up operations^^ in new industries in Singapore |
To ^^operate in safe and secure environment^^ | ^^Safe and secure environment^^ due to ^^low crime rates, strengthened defence capabilities^^ and ^^diplomatic relations with countries across the region and world^^ |
To have a ^^reliable supply of labour^^ | ^^Large, young and growing labour force^^ supported by ^^trade unions^^ that ^^partnered^^ the ^^government and company bosses^^ to ^^achieve higher productivity and stronger economic growth^^ |
To have a ^^suitable location for the factories^^, with ^^facilities and space available for future expansion^^ | Sizeable amount of ^^land set aside for the development of industrial estates equipped with adequate facilities for factories and space for future expansion^^ |
How ^^Singapore Benefitted from MNCs^^ Setting Up Operations Here:
The government also ^^developed^^ the ^^proper infrastructure^^ in Singapore.
This would not only help to ^^attract MNCs and other foreign investors^^, but also ^^facilitate the growth of Singapore’s manufacturing industries.^^
==-Telecommunications==
To ^^boost connectivity^^ among ^^industries and household^^
^^New telephones^^ being ^^installed^^ at a rapid pace
Took ==85 years== to install the ^^first 100,000 telephones^^
Took just ==5 years== from ==1967 to 1972== to ^^double the network size to 200,000^^
==-Banking and Finance==
Services were ^^expanded^^ to ^^meet the needs^^ of the ^^MNCs and other companies^^ in SG
For example, ==Development Bank of Singaore (DBS)== was ^^established in^^ ==1968== to ^^finance industrialisation and other development projects^^
Many ^^foreign banks^^ also ^^set up^^ operation in SG
==-Public Utilities==
The ==Public Utilities Board (PUB)== was set up in ==1963==
Responsible to ^^provide public utilities such as water, electricity and gas^^
^^Improved^^ both ^^operating conditions^^ and ^^people’s living condition^^
TRANSPORT FACILITIES
==-Air Transport==
^^Paya Lebar Airport^^ was ^^expanded^^ in the ^^1960s and 1970s^^ to ^^handle more passengers^^
^^Insufficient space for future expansion^^ so the government ^^decided in^^ ==1975== to ^^replace^^ it with a ^^larger aiport^^
^^Changi Airport was opened in^^ ==1981==
==-Sea Transport==
==Port of Singapore Authority (PSA)== was ^^formed in^^ ==1964== to ^^manage port operations^^
To ^^cater to the rise in cargo traffic^^, ^^port facilities^^ were ^^set up^^ in ^^Jurong, Sembawang, Tanjong Pagar and Pasir Panjang.^^
==-Land Transport==
^^Roads^^ constructed to ^^connect industrial areas to housing estates^^
^^Expressway^^ system built to ^^reduce travel time around the island^^
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