Speech by President Tony Tan Keng Yam at SCCCI Lunar New Year Celebrations on 23 Jan 2012

Mr Teo Siong Seng
President
Singapore Chinese Chamber of Commerce and Industry

Mr Chua Thian Poh
Immediate Past President
Singapore Chinese Chamber of Commerce and Industry

Distinguished Guests

Ladies and Gentlemen

        The Lunar New Year is not only the most important festival for all Chinese Singaporeans, but also an auspicious occasion celebrated by all other ethnic Singaporeans. My wife and I are thus very pleased to join you at the Singapore Chinese Chamber of Commerce and Industry (SCCCI) annual Lunar New Year open house to celebrate the new Year of the Dragon together with fellow Singaporeans as well as many foreign diplomats and friends from all over the world.

ECONOMIC OUTLOOK

        Last year, the Singapore economy fared relatively well in a challenging global economic environment. Economic growth was close to 5 per cent for the whole of 2011. However, the pace of growth eased in the last quarter of 2011, largely due to a slowdown in the manufacturing sector as global demand weakened.

        Most economists do not expect a quick turnaround in global economic conditions. Final demand in the US and Europe will be dampened by ongoing fiscal tightening and deleveraging. In Asia, domestic demand may provide some level of support but growth is also expected to slow down.

        As a small and open economy, Singapore will be affected by the global slowdown.  Singapore’s economic growth in 2012 is projected to moderate to 1 to 3 per cent. Should the European sovereign debt problems turn into a financial crisis, the situation could deteriorate quickly and we could then face a recession.

        The silver lining is that Singapore is well positioned to cope with the global slowdown. We have an educated and well-skilled workforce and one of the most business-friendly environments in the world. Unlike countries with high sovereign debt, fiscal prudence over the years has enabled the Singapore Government to build up our reserves, providing us with the resources to intervene when necessary to support our businesses and houesholds. Even as we brace ourselves for leaner growth over the next couple of years, we can face the future with confidence provided that we press on with efforts to upgrade ourselves, raise our competitiveness, and emerge stronger when the external environment improves.

        The Government has committed substantial funding support for our businesses to invest in productivity improvements and to restructure. Businesses also have a key role to play. Our businesses must be prepared to continue Investing in the training of workers, innovation in products and business models, and building up of capacity to tap on new market opportunities in emerging economies. 

SCCCI’S CONTRIBUTIONS BEYOND PROMOTION OF BUSINESS INTERESTS

        SCCCI has in fact been helping its members to better understand and tap on government assistance measures to upgrade their capabilities and explore new business opportunities locally and abroad. The Chamber has also been providing valuable feedback to the Government on how our economic policies can be shaped and improved to better assist businesses in these areas.

        Beyond the promotion of business interests in line with Singapore’s Economic growth strategies, the Chamber also makes significant contributions in extending Singapore’s international reach as well as in strengthening our social fabric. 

        The Chamber achieved a milestone in hosting the 11th World Chinese Entrepreneurs Convention in Singapore in October last year. The Convention attracted more than 4,600 delegates, more than half of whom were overseas delegates coming from 125 cities, representing 34 countries and regions. Among them were eminent Chinese entrepreneurs and professionals from around the world. It was an impressive event that propelled Singapore into the limelight of the international Chinese community and I congratulate the Chamber on the success of the event.

        Another noteworthy example is the Singapore Chinese Chamber Institute of Business (IOB), which is the Chamber’s training subsidiary that conducts certificate and diploma programmes in Business Chinese for the working professional. I am pleased to learn that besides Chinese language course offerings benefiting local SMEs with an eye on the China market, the IOB offers practical English courses to help new immigrants better integrate into our workplace and society.

        I am also heartened by the strong focus that the Chamber puts in promoting cross-cultural appreciation and inter-ethnic understanding in its programmes. This Lunar New Year gathering is an excellent example, where the Chamber has opened its doors to everyone regardless of race, language and religion. This is a elebration which shows the true spirit of togetherness and harmony.

        2012 is the year of the Water Dragon on the Chinese Zodiac. The Dragon is gifted with courage, tenacity and intelligence. It is optimistic and capable of acting wisely according to circumstances to make progress. I am confident that by staying united as one people, Singapore can ride any storms ahead of us with dauntless determination like the dragon. 

        On this note, I would like to wish everyone Gong Xi Fa Cai (恭喜发财), Wan Shi Ru Yi (万事如意).