Singapore's foreign policy must remain relevant to ensure its survival
By Hasnita Majid, Channel NewsAsia | Posted: 09 April 2009 2036 hrs

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SINGAPORE: Singapore has to remain relevant so that other countries have an interest in its continued survival.

Minister Mentor Lee Kuan Yew said this at the S Rajaratnam Lecture.

Mr Lee spoke at length about Singapore's foreign policy and the economic imperative to create political and economic space for itself.

To ensure survival, small countries like Singapore have to rise above geographical and resource constraints and be accepted as a serious player internationally.

To achieve this, Mr Lee said, Singapore must be different from others and maintain a competitive edge.

He said: "We have to try and forecast what are the countries that will help us grow. In the early days, back in 1960s, 1970s up to 1990s, it was first Taiwan, Hong Kong and Japan, America, then Europe. Then we could see China was rising, so we went out of our way to be helpful to them, we went to Suzhou. You've got to anticipate the shape of things that will come, before they come, so that you are there."

Mr Lee noted that as the world changes, small countries have to swiftly adjust their policies and positions and remain nimble to seize opportunities that come with changing circumstances.

A post-Cold War world, he said, brings a different global order.

And, amidst the current economic crisis, China's growth will hasten. Mr Lee noted that while the Asian giant is growing at 8 per cent, the US may suffer negative or low growth. Despite this, American resilience and creativity should never be underestimated.

Mr Lee said: "Their great advantage is not in military influence but in their economic influence. They are part of Asia, they are close, they've offered help to Korea. Together with Japan, they've got an FTA with ASEAN. They got special relationship now with India, they have the manpower to do things cheaper in any part of the world economically. Their influence can only grow and grow beyond the capabilities of America.

"China will pull ahead of Europe, Japan, India and Russia. US-China relations are setting the framework for East Asia. In the latter 21st century, US-China relations will become the most important bilateral relationship in the world, like the US-USSR relations during the Cold War."

Singapore, he said, must embrace the reality of globalisation and be prepared to maximise opportunities and manage challenges. For this, it needs leaders who are able to discern future trends and grasp opportunities ahead of others.

Mr Lee said: "But ultimately, it is the Prime Minister and other key ministers who decide on changes in policies. At face-to-face meetings over long hours, they can sense each other's thinking and leanings before their officials are privy to them. Hence, our foreign policy from 1965 was settled by the PM and his key ministers.

"A mediocre PM and Cabinet will decline our standing with other countries and we will lose opportunities like the lead we enjoy in Free Trade Agreements or Comprehensive Economic Partnership Agreements with the US, Japan, China, India, South Korea, Australia and New Zealand; and our close relations with the oil states of the Gulf."

Mr Lee noted that while time has worn down the sharper edges in Singapore's relationship with its immediate neighbours, some complexities will remain due to the differences in political and social systems.

But as long as every generation of Singaporeans does not forget the fundamentals of Singapore's vulnerabilities and remain alert and cohesive, he is confident that Singapore will survive and prosper.

- CNA/ir