Introduction 

1.             Singapore is on the move

a.             Things are looking good

b.             Growing buzz and confidence 

c.             Overall outlook is positive

2.             External environment favourable

a.             Optimism all over Asia

b.             Recent turbulence in global financial markets

i.               May affect economies in US and Europe, and also Asia, over the next 3-6 months

ii.             But fundamentals for Asia remain strong

c.             ASEAN countries are benefiting from a strong Asia and high energy prices

i.               Singapore has taken over as Chairman of ASEAN

ii.             Focus on making ASEAN stronger and more integrated

iii.           So that ASEAN countries can keep pace with China and India, and not be left behind

d.             Relations with Malaysia and Indonesia are good

i.               Cooperating in many areas, on win-win basis

ii.             Some outstanding issues with both countries

iii.           But will deal with the issues in the broader context of our overall relationship

3.             Singa­poreans are all over Asia and the world

a.             Southeast Asia, India, China, Middle East, Central Asia, even Mongolia and Brazil!

b.             This is the way to thrive in a globalised world

4.             But must secure our home base

a.             Create the conditions for Singapore to grow

b.             Give every citizen a stake in the country’s success

c.             Create a sense of security and hope

d.             Build a nation which we can all draw strength from

e.             A home base from which to venture forth and seize opportunities around us

5.             This means adapting and changing, again and again, as the world around us changes

a.             Changes to make our economy vibrant and competitive

i.               This is what we have been doing

(1)          Restructuring the economy

(2)          Reforming taxes – lower income taxes, higher GST

(3)          Developing the IRs and remaking our city

b.             Changes to strengthen our social cohesion

i.               To draw us closer together despite the tidal pull of external forces

ii.             So that we are not divided between different races and religions, rich and poor, or winners and losers

iii.           So that Singa­pore stays a home where we all belong

6.             This is how we can sustain our exceptional performance 

a.             Tackle difficult problems that come our way

b.             Move forward as a nation

7.             Tonight, focus on one major challenge ahead – widening income gap

a.             Discuss related issues – education, ageing population, and housing