Singapore History

From Early Beginnings to the Colonial Era, World War II and Today

Singapore's early beginnings intertwine fact and folklore – the city-state has been engaged in the pomp
of ancient Malay empires, the intrigues of medieval trade, the bartering of European colonial powers, and
the challenge of nation-building.

Here, we give you an account of Singapore's remarkable development throughout the centuries.

Colonial Singapore

Stamford Raffles is often called the founder of modern Singapore. He gave shape to many sections of
Singapore's city centre, which flourished as an important port and business centre in the region.

After the British secession of Dutch possessions in Southeast Asia, Raffles gained permission to establish
a station in the region, to secure British trade interests there. He had initially set his heart on Riau, an
island near Singapore, but the Dutch had already beat him to it. He then decided on Singapore, then
under the empire of Johor.

When Raffles first landed in Singapore in 1819, there was a division within the Johor Sultanate. The old
Sultan had died in 1812, and his younger son had ascended to the throne when the eldest son and
legitimate heir, Hussein, was away.

Raffles threw his support behind Hussein, proclaiming him Sultan and installing him in Singapore. He also
signed a treaty with the Temenggong, or senior judge, of Johor, setting him up in Singapore as well.

In so doing, he hoped to legitimise British claims on the island. Initially, Raffles acquired the use of
Singapore after agreeing to make annual payments to Sultan Hussein and the Temenggong. In 1824, in
exchange for a cash buyout, Singapore officially came under the ownership of the British East India
Company.

Two years later, the island, along with Malacca and Penang, became part of the British Straits Settlements.
The Straits Settlements were controlled by the East India Company in Calcutta but administered from
Singapore.
Raffles initiated a town plan for central Singapore. The plan included levelling one hill to set up a
commercial centre (today's Shenton Way) and constructing government buildings around Fort Canning.

Raffles, and the first Resident of Singapore, William Farquhar, gradually moulded Singapore from a jungle-
ridden backwater with poor sanitation and little modern infrastructure to a successful entrepôt and colonial
outpost. Hospitals, schools and a water supply system were built. Soon, boatloads of immigrants from
India and China were coming to Singapore, in search of prosperity and a better life.

Today, you'll find that many institutions and businesses choose to use Raffles' name, out of certain respect
or perhaps to portray a sense of history and gravitas. You will find the Raffles name linked to a boulevard,
a school, a college, a hotel, a shopping mall, the business class of Singapore Airlines, a golf club, and a
lighthouse.

Legend has It...

The beginnings of Singapore are steeped in local Malay legend. The island is said to have received its
name from a visiting Sumatran prince in the 14th century, who saw a fearsome creature – later identified
to him as a lion – on his arrival.

Taking this as a good omen, the prince founded a new city on the spot, changin g the name of the island
from Temasek to Singapura. In Sanskrit, "singa" means lion and "pura" means city.

Thus the Lion City was born, and today the symbol of the merlion – a mythical creature with the head of
a lion and the body of a fish – is a reminder of Singapore's early connections to this legend and the seas.

The March of Empires

Traders travelling between China and India have been ploughing the waters around Singapore since the
5th century AD. Later, Singapore became a trading outpost of the ancient Buddhist kingdom of Srivijaya,
which had its centre in Palembang, Sumatra, and influenced the region from the 7th to the 10th centuries.

In the 13th century, Srivijaya was overshadowed by the rise of Islam, and Singapore came under the
influence of the Muslim empire of Malacca. Malacca, situated on the western coast of present -day
Peninsula Malaysia, rapidly developed into a thriving free port and commercial centre.
Malacca's decline began in 1511 when it fell under the sway of the Portuguese. The Muslim merchants
and traders that had founded the commercial success of Malacca fled from the new Catholic rule, and
another, smaller sultanate established itself in Johor, at the southern end of the Malaysian peninsula,
across the causeway from Singapore.

In 1641, the Dutch wrested Malacca from the Portuguese. They held power until 1875, when Holland's
defeat in a war in Europe saw the British seizing Dutch colonies in Southeast Asia, including Malacca.

With the end of the Napoleonic wars in Europe, the British agreed to hand back Dutch possessions in
1818. Some British were disappointed by this anticlimax to their country's bid to expand its influence in
Southeast Asia. One of them was Stamford Raffles, the Lieutenant Governor of Java.

Economically, Singapore went from strength to strength throughout the 19th and early 20th centuries.
But in the 1940s and 1950s, political storm clouds were gathering over Asia. Japan's quest for more power,
land and natural resources saw it invading China in 1931 and 1937, a move which was opposed by the
Chinese immigrants in Singapore.

On February 15, 1942, with Europe in the throes of World War II, the Japanese sprung a qu ick and
successful invasion of Singapore. The British, who had prepared for an invasion from the sea in the south,
were taken by surprise by the Japanese penetration via the jungles of Thailand and Malaysia (on bicycle).
The British surrender was quick, and many of the Europeans were herded to the Padang, then sent to
Changi Prison.

The next few years were a dark period in Singapore's history. The Japanese treated the Chinese with
particular suspicion, and many of them were tortured, incarcerated and killed , often on the flimsiest of
pretexts. As the war progressed, food and other essential supplies ran low, and malnutrition and disease
were widespread.

By 1945 however, it was clear that Japan, and its allies, were losing the war. The Japanese surrendered
Singapore on August 14, 1945. The British returned, but their right to rule was now in question.

Gaining Independence
After the war, the British grouped the peninsula Malay states and the British -controlled states of Sabah
and Sarawak in Borneo under the Malayan Union. Singapore, which unlike the other states had a
predominantly Chinese population, was left out of this union.

Rebuilding itself after the war was a slow and difficult task. In the post -war climate of poverty,
unemployment and lack of ideological direction, communist groups such as the Malayan Communist Party
and the Communist General Labour Union, and the socialist Malayan Democratic Union, gained popular
support.

In the late 1940s, the Communists launched a campaign of armed struggle in Malay a, prompting the
British to declare a state of emergency where the Communists were outlawed. Twelve years of guerilla
warfare from the Communists on the peninsula ensued, and left -wing politics was gradually snuffed out
in the Malay states and Singapore.

Lee's Legacy

In the 1950s, a rising star emerged in the local political scene – Lee Kuan Yew, who headed the socialist
People's Action Party (PAP). Lee, a shrewd politician, is a 3rd-generation Straits-born Chinese with a law
degree from Cambridge University. When the PAP won a majority of seats in the newly-formed Legislative
Assembly in 1959, he became the first Singaporean to hold the title of prime minister.

In 1963, the British declared Singapore, the Malay states and Sabah and Sarawak as one independ ent
nation – Malaysia. But Singapore's membership in this union lasted only 2 years. In 1965, it was booted
out of the federation, owing to disagreements on several fronts including racial issues.

Left on its own, Singapore embarked on an ambitious industrialisation plan – building public housing,
roads and modernising its port and telecommunications infrastructure. English was chosen as the official
language, to facilitate communication between the different races, and to put the nation at the forefront
of commerce.

In about 25 years, by the late 1980s, Singapore had moved from a fragile and small country with no
natural resources to a newly industrialised economy.
Singapore History in Brief

The island of Singapore was first described by a 3rd-century account as "Pu Luo Chung", meaning "isle at
the end of the peninsula". This description, would in the future, prove very offhand and unassuming, for
even as Singapore entered the 14th century, it had gained might as part of the romantic, albeit tragic,
Srivijayan Empire.

The "little island" was then known to many as "Temasek", which meant "Seatown". It was then the point
where the sea routes of Southeast Asia converged; and the harbour where floating vessels of every kind,
from Indian boats and Chinese junks to Buginese schooners, Arabic dhows and Portuguese battleships,
visited.

Legend has it that as the winds of change blew into Temasek, a prince of Srivijaya paid a visit to the
island and saw a lion. This wondrous sight so compelled him that he renamed the i sland "Singapura",
meaning "Lion City". It didn't seem to matter that lions had never inhabited Singapore and that many
believed he must have actually seen a tiger!

And so, Singapore's modern day name was born out of a sighting believed to be a good omen, and the
region was established as a trading post for the Srivijayan Empire. In the 18th century, the British were
searching for a harbour in which to refit, provide for and protect their fleet of vessels.

This harbour would also be a demarcation point to forestall the advances of the Dutch in Southeast Asia.
Singapore's strategic location caught the attention of Sir Stamford Raffles, who then established Singapore
as a British trading station in 1819, with a free trade policy to attract merchants throughout Asia, and
even all the way from the Americas and the Middle East.

By 1832, Singapore was the centre for the government of the Straits Settlements of Penang, Malacca and
Singapore. The opening of the Suez Canal in 1869 and the advent of the steamship expan ded the trade
between the East and West, and also Singapore's importance. Singapore continued to grow well into the
20th century until World War II when the freeport became the scene of the war's significant fighting.

The end of World War II saw Singapore becoming a Crown Colony, but the rise of nationalism put
Singapore on the path of self-government in 1959. Singapore formed a union with Malaya in 1963, but
opted for independence and became an independent republic on August 9, 1965, with Lee Kuan Yew as
Prime Minister.
Singapore Today

Singapore today is a thriving centre of commerce and industry, with intense economic growth. Singapore
is not merely a single island but is actually the main island surrounded by at least 60 islets. Measuring a
compact 720 sq km, its size really belies its capacity for growth.

Singapore is now a rapidly developing manufacturing base. The Republic, however, still remains the
busiest port the world over with more than 600 shipping lines herding supertankers, container ships,
passenger liners, fishing vessels and even wooden lighters in its waters.

It is also a major oil refining and distribution centre, and an important supplier of electronic components.
Its rich history as a popular harbour has turned it into a leader in ship building, maintenance and repair.
Singapore has also become one of Asia's most important financial centres, housing at least 130 banks.

Both business and pleasure are made more accessible and smooth flowing by the Republic's excellent and
up-to-date communications network, linking it to the rest of the world through satellite and round the
clock telegraph and telephone systems. Now fully grown into an Asian Dragon, Singapore is, somehow
unsurprisingly, a leading destination for both business and pleasure.

Facts & Figures

Map of Singapore

 President: Tony Tan Keng Yam (2011)

Prime Minister: Lee Hsien Loong (2004)

Land area: 241 sq mi (624 sq km); total area: 267 sq mi (692.7 sq km)

Population (2014 est.): 5,567,301 (growth rate: 1.92%); birth rate: 8.1/1000; infant mortality rate:
2.53/1000; life expectancy: 84.38

Capital and largest city (2011 est.): Singapore, 5,183,700.

Monetary unit: Singapore dollar

Current government officials

Languages: Mandarin (official) 36.3%, English (official) 29.8%, Malay (official) 11.9%, Hokkien 8.1%,
Tamil (official) 4.4%, Cantonese 4.1%, Teochew 3.2%, other Indian languages 1.2%, other Chinese
dialects 1.1%, other 1.1% (2010 est.)

Ethnicity/race: Chinese 74.2%, Malay 13.3%, Indian 9.2%, other 3.3% (2013 est.)

Religions: Buddhist 33.9%, Muslim 14.3%, Taoist 11.3%, Catholic 7.1%, Hindu 5.2%, other Christian
11%, other 0.7%, none 16.4% (2010 est.)

Literacy rate: 95.9% (2010 est.)

Economic summary: GDP/PPP (2013 est.): $339 billion; per capita $62,400.

Real growth rate: 4.1%.

Inflation: 5.2%.

Unemployment: 1.9% (2013).

Arable land: 0.89%.

Agriculture: orchids, vegetables; poultry, eggs; fish, ornamental fish.

Labor force: 3.444 million (2013 est.); agriculture 1.3%; industry 18.6%; services 80.1 (2013).

Industries: electronics, chemicals, financial services, oil drilling equipment, petroleum refining, rubber
processing and rubber products, processed food and beverages, ship repair, offshore platform
construction, life sciences, entrepôt trade.

Natural resources: fish, deepwater ports.

Exports: $410.3 billion (2013 est.): machinery and equipment (including electronics and
telecommunications), pharmaceuticals and other chemicals, refined petroleum products, food and
beverages.

Imports: $373 billion (2013 est.): machinery and equipment, mineral fuels, chemicals, foodstuffs,
consumer goods.

Major trading partners: U.S., Malaysia, Hong Kong, China, Japan, Indonesia, South Korea, Indonesia,
Saudi Arabia, UAE, Australia (2012).

Member of Commonwealth of Nations

Communications: Telephones: main lines in use: 1.99 million (2012); mobile cellular: 8.063 million
(2012).

Radio broadcast stations: AM 0, FM 18 (2008).

Television broadcast stations: 8 (2008).

Televisions: 1.33 million (1997).

 Internet Hosts: 1.96 million (2012).

Internet users: 3.235 million (2009).

Transportation: Railways: total: 38.6 km.

Highways: total: 3,425 km; paved: 3,425 km (including 161 km of expressways).

Ports and harbors: Singapore.

Airports: 9 (2013).

International disputes: disputes persist with Malaysia over deliveries of fresh water to Singapore,
Singapore's extensive land reclamation works, bridge construction, and maritime boundaries in the Johor
and Singapore Straits; in 2008, ICJ awarded sovereignty of Pedra Branca (Pulau Batu Puteh/Horsburgh
Island) to Singapore, and Middle Rocks to Malaysia, but did not rule on maritime regimes, boundaries,
or disposition of South Ledge; Indonesia and Singapore continue to work on finalization of their 1973
maritime boundary agreement by defining unresolved areas north of Indonesia's Batam Island; piracy
remains a problem in the Malacca Strait.

Geography

The Republic of Singapore consists of the main island of Singapore, off the southern tip of the Malay
Peninsula between the South China Sea and the Indian Ocean, and 58 nearby islands.

Government

Parliamentary republic.

History

Inhabitants of the Malaysian peninsula and the island of Singapore first migrated to the area between
2500 and 1500 B.C. (see Malaysia). British and Dutch interest in the region grew with the spice trade, and the
trading post of Singapore was founded in 1819 by Sir Stamford Raffles. It was made a separate Crown colony
of Britain in 1946, when the former colony of the Straits Settlements was dissolved. The other two settlements
on the peninsula—Penang and Malacca—became part of the Union of Malaya, and the small island of Labuan
was transferred to North Borneo. The Cocos (or Keeling) Islands and Christmas Island were transferred to
Australia in 1955 and in 1958, respectively.
Singapore attained full internal self-government in 1959, and Lee Kwan Yew, an economic visionary with an
authoritarian streak, took the helm as prime minister. On Sept. 16, 1963, Singapore joined Malaya, Sabah (North
Borneo), and Sarawak in the Federation of Malaysia. It withdrew from the federation on Aug. 9, 1965, and a
month later proclaimed itself a republic.

Under Lee, Singapore developed into one of the cleanest, safest, and most economically prosperous cities in
Asia. However, Singapore's strict rules of civil obedience also drew criticism from those who said the nation's
prosperity was achieved at the expense of individual freedoms.

S. R. Nathan was declared president without an election when he was certified as the only candidate eligible to
run in 1999 elections. In Aug. 2004, Lee Hsien Loong became the country's third prime minister since Singapore
gained independence from Britain in 1965. Lee faced his first electoral challenge in May 2006. His People's Action
Party (PAP) won 82 out of 84 seats in parliamentary elections.

In Singapore's May 2011 general election, the ruling People's Action Party was reelected with a majority of 81
to 6, which was the equivalent of 60% of the vote. This percentage was viewed as promising by the opposition,
as it was significantly less than in the two previous elections. After the elections, prime minister Lee Hsien Loong
uncharacteristically acknowledged mistakes and pledged a more efficient government in the future.

Following on the heels of the general election, August's presidential election saw a field of four candidates from
which the ruling party's Tony Tan emerged victorious. Though favored to win, Tan's triumph was not exactly a
landslide—the 7,000 vote margin was the equivalent of 35.2% of the vote.

Singapore's Founding Father Dies

Lee Kwan Yew, Singapore's first prime minister, died in March 2015 at age 91. Tens of thousands of mourners
turned out to pay their respects. Many waited as long as eight hours to view his coffin. Lee is credited with
creating one of the wealthiest, most educated, cleanest, and safest countries in Asia. However, critics said such
benefits came at the expense of individual rights.

Six months after the death of Lee Kwan Yew, the People's Action Party took 83 of 89 seats in parliament in an
early election. With over 70% of the vote, it was a strong victory for the ruling party whose leader, Lee Hsien
Loong, 63, is the son of the late Lee Kuan Yew.

Singapore

 Previous: #1 Hong Kong

 Next: #3 New Zealand
 OVERALL SCORE89.4

WORLD RANK2

RULE OF LAW
Property Rights97.4
Government Integrity95.1
Judicial Effectiveness92.4
GOVERNMENT SIZE
Government Spending90.7
Tax Burden90.4
Fiscal Health80.0
REGULATORY EFFICIENCY
Business Freedom90.8
Labor Freedom91.0
Monetary Freedom85.3
OPEN MARKETS
Trade Freedom94.8
Investment Freedom85.0
Financial Freedom80.0

Create a Comparison Chart

See how Singapore compares to another country using any of the measures in the Index.

Singapore
vs
Download PDF
QUICK FACTS

 Population:
o 5.6 million
 GDP (PPP):
o $527.0 billion
o 3.6% growth
o 3.5% 5-year compound annual growth
o $93,906 per capita
 Unemployment:
o 2.0%
 Inflation (CPI):
o 0.6%
  FDI Inflow:
o $62.0 billion

Singapore’s economic freedom score is 89.4, making its economy the 2nd freest in the
2019 Index. Its overall score has increased by 0.6 point, with increases in scores for
trade freedom and government integrity outpacing modest declines in labor freedom
and property rights. Singapore is ranked 2nd among 43 countries in the Asia–Pacific
region, and its overall score is well above the regional and world averages.

Singapore owes its success as a highly developed free-market economy in large part to
its remarkably open and corruption-free business environment, prudent monetary and
fiscal policies, and a transparent legal framework. The government has continued to
promote economic growth through an active industrial policy that targets fiscal
incentives, increases public investment, promotes development of skill sets attractive to
foreign investors, and focuses on economic diversification. Well-secured property rights
promote entrepreneurship and productivity growth. The rule of law is undergirded by a
societal intolerance of corruption.

BACKGROUND
Singapore is one of the world’s most prosperous nations. Despite an active parliamentary
opposition, it has been ruled by one party, the People’s Action Party (PAP), for many
decades. Prime Minister Lee Hsien Loong has led the government since 2004 and will
oversee a PAP leadership transition before the next parliamentary election, due by 2021.
Although certain civil liberties remain restricted, the PAP long ago embraced economic
liberalization and international trade. Services dominate the economy, but Singapore is
also a major manufacturer of electronics and chemicals and operates one of the world’s
largest ports. Its unemployment rate is one of the lowest in the developed world.
Principal exports include integrated circuits, refined petroleum, and computers.

RULE OF LAWVIEW METHODOLOGY

Property Rights97.4Create a Graph using this measurement

Government Integrity95.1Create a Graph using this measurement

Judicial Effectiveness92.4Create a Graph using this measurement

Singapore protects property rights and enforces contracts effectively. Commercial courts function well, but the
government’s overwhelmingly successful track record in court cases raises questions about judicial
 independence. Singapore is one of the world’s least corrupt countries and has numerous safeguards and audit
controls in place. When corruption is discovered, it is dealt with swiftly, firmly, and publicly.

GOVERNMENT SIZEVIEW METHODOLOGY

Government Spending90.7Create a Graph using this measurement

Tax Burden90.4Create a Graph using this measurement

Fiscal Health80.0Create a Graph using this measurement

The top individual income tax rate is 22 percent, and the top corporate tax rate is 17 percent. The overall tax
burden equals 13.7 percent of total domestic income. Over the past three years, government spending has
amounted to 17.6 percent of the country’s output (GDP), and budget surpluses have averaged 4.3 percent of
GDP. Public debt is equivalent to 110.9 percent of GDP.

REGULATORY EFFICIENCYVIEW METHODOLOGY

Business Freedom90.8Create a Graph using this measurement

Labor Freedom91.0Create a Graph using this measurement

Monetary Freedom85.3Create a Graph using this measurement

The overall entrepreneurial environment remains one of the world’s most transparent and efficient. The business
start-up process is straightforward, with no minimum capital required. The labor market, supported by flexible
labor regulations, is vibrant and functions well. The government funds generous housing, transport, and health
care subsidy programs and influences other prices through regulation and state-linked enterprises.

OPEN MARKETSVIEW METHODOLOGY

Trade Freedom94.8Create a Graph using this measurement

Investment Freedom85.0Create a Graph using this measurement

Financial Freedom80.0Create a Graph using this measurement

The combined value of exports and imports is equal to 322.4 percent of GDP. The average applied tariff rate is
0.1 percent. As of June 30, 2018, according to the WTO, Singapore had 182 nontariff measures in force. The
country’s openness to global investment encourages vibrant commercial activity. The government continues its
ownership in the financial sector but has steadily been opening the domestic market to foreign banks.

The Economy of Singapore

 Generally, the economy in Singapore has a very good reputation. Its strong growth has earned the small country
the nickname “Asian tiger”. However, since the economy of Singapore is dependent on exports, it has been
affected by the slowdown of the manufacturing sector. Read more in our expat guide.

 What Singapore lacks in natural resources, it makes up for in terms of location. Natural deep-water ports and
shipping routes make trade a key part of the economy alongside manufacturing and the service industry.

 The future of manufacturing in Singapore is aerospace, precision engineering, and the life sciences, particularly
bio-technology.

 Singapore strongly believes in free trade, and in 2015 became the first ASEAN country to sign a Free Trade
Agreement (FTA) with the European Union.

 Despite a peak in GDP in 2014, growth has been declining over the last six years to around 2% p.a. However,
inflation is now under control and economists predict a 3% annual growth in GDP by 2018.

Making the Most of Geography

As far as the economy of Singapore is concerned, the tiny state has made the best of some unfavorable
conditions. Singapore has a small surface area of around 700 km². It lacks both arable land and natural
resources, like fuels, metals, or minerals. It’s hardly surprising that only 1.3% of the labor force is employed in
agriculture, and the primary sector doesn’t make a significant contribution to the GDP.

However, Singapore has one distinct economic advantage: the location. The 190 kilometers of coastline feature
natural deep-water ports, and the island is situated along important shipping routes in Southeast Asia too. Trade
and commerce are key parts of the economy. The government has also invested in education for decades.
Human capital and a skilled workforce contribute to the prosperous economy in Singapore.

The Future of Manufacturing

As mentioned above, the primary sector barely plays a role in the Singaporean economy. There is an agribusiness
park where some foodstuffs are produced, and other agricultural products include orchids for horticulture or
ornamental fish.

The manufacturing sector is much more significant. About 20% of Singapore’s GDP comes from industry, and
the secondary sector employs 15% of the workforce. The petrochemical industry in particular is very important
for the local economy; the country imports a lot of crude oil for refined petroleum products.

Singapore places great emphasis on high-end manufacturing including semi-conductors and consumer
electronics, as well as machinery, transport equipment, and ships. The government is also trying to foster future
growth sectors such as aerospace, precision engineering, and the life sciences including bio technology, medical
equipment, and pharmaceutics. There is a huge overlap with the service industry, which caters to medical
tourists and the needs of an aging population.

Breaking Free Trade Boundaries

Singapore’s business-friendly environment has not only encouraged investment in manufacturing; the service
sector drives the economy. It provides jobs to 80% of workers, and creates over 75% of the gross domestic
product.

Trade, shipping, and logistics are essential industries. The Port of Singapore is the one of the busiest cargo ports
in the world: the country has a flourishing import/export trade with China, Hong Kong, Indonesia, Japan, South
Korea, Malaysia, Saudi Arabia, and the US.

In general, the Singaporean government favors globalization and free trade. Import tariffs are low to non-
existent, and the tiny state is an active member of NATO, ASEAN, and other multinational trade organizations.
It has entered into many free trade agreements, and in 2015 became the first ASEAN country to sign a Free
Trade Agreement (FTA) with the European Union.

Banking, finance, and insurance also make up a large part of the economy in Singapore. There is a reason why
the country is sometimes called “the Switzerland of Asia” — Singapore’s CBD has made a name for itself when
it comes to wealth management.

Investing in the Future

Singapore’s pro-trade environment and commitment to free trade have created an easy and efficient place to
do business. Its investment in infrastructure projects and new industrial parks, and growing reputation as a
high-tech research and development hub provides more opportunities for the near future.

As well as being a good place for business, expats have long been attracted to the city-state for its safe
environment and high standard of living. There are, however, pronounced financial inequalities among the
Singaporean population.

The Aftermath of Recession

Singapore has had to cope with increasing competition from regional emerging markets and the demographic
challenge of an aging society. Above all, its reliance on exports has proved to be a burden in times of global
economic uncertainty. Both in 2001 and 2009, the economy of Singapore contracted by 1-2% after the worldwide
financial crisis.

While the economy bounced back each time — it grew by nearly 15% in 2010 — growth has declined over the
past six years. The GDP peaked in 2014, but has now slowed to a growth of about 2% a year. Economists,
however, are cautiously optimistic, predicting a 3% annual growth in GDP by 2018.

In the immediate aftermath of the recession, Singapore struggled with high inflation rates. From over 5% in
2011, they have now managed to reduce this to just 1% in 2016. Unemployment rates have remained mostly
stable since 2007, averaging at 2%.

If you’d like to know more about working in Singapore, have a look at our guides to the job market and doing
in business in Singapore.

We do our best to keep this article up to date. However, we cannot guarantee that the information
provided is always current or complete.

 Banks in Singapore

When it comes to choosing a bank, expats in Singapore will be spoiled for choice. Our brief guide
to banking in Singapore explains the differences between various types of banks and accounts. We also help
you with opening an account, and finding the right bank to suit your needs.

 Opening a Bank Account in Singapore


Currency in Singapore

The local currency in Singapore is the dollar. Take care not to confuse it with the US dollar —it hasn’t
been pegged to a foreign currency for years. Our guide tells you all about coins and notes, cash import, foreign
exchange, and money transfer to and from Singapore.

1. Countries
2. Compare countries

Country comparison Singapore vs Philippines

Compare

Singapore Philippines

Gouvernement
Annual GDP [+] 2018 364,139M.$ 330,910M.$ 2018 Annual GDP [+]
GDP per capita 2018 64,579$ 3,103$ 2018 GDP per capita
[+] [+]
Debt [+] 2018 416,198 128,743 2018 Debt [+]
Debt (%GDP) 2018 113.63% 38.92% 2018 Debt (%GDP)
[+] [+]
Debt Per Capita 2018 73,807$ 1,207$ 2018 Debt Per Capita
[+] [+]
 Singapore Philippines

Deficit (M.$) 2018 13,220 -5,127 2018 Deficit (M.$)

[+] [+]
Deficit (%GDP) 2018 3.61% -1.55% 2018 Deficit (%GDP)
[+] [+]
Expenditure 2018 53,555.3 72,002.8 2018 Expenditure
(M.$) [+] (M.$) [+]
Education 2013 8,912.6 4,469.8 2009 Education
Expenditure Expenditure
(M.$) [+] (M.$) [+]
Education 2013 19.96% 13.21% 2009 Education
Expenditure Expenditure
(%Bud.) [+] (%Bud.) [+]
Gov. Health 2016 7,751.2 4,218.4 2016 Gov. Health
Exp.(M.$) [+] Exp.(M.$) [+]
Gov. Health 2016 13.56% 7.10% 2016 Gov. Health
Exp. (%Bud.) Exp. (%Bud.)
[+] [+]
Defence 2018 11,447.2 3,737.0 2018 Defence
Expenditure Expenditure
(M.$) [+] (M.$) [+]
Defence 2018 17.09% 5.44% 2018 Defence
Expenditure Expenditure
(%Bud.) [+] (%Bud.) [+]
Expenditure 2018 14.62% 21.77% 2018 Expenditure
(%GDP) [+] (%GDP) [+]
Expenditure Per 2018 9,497$ 675$ 2018 Expenditure Per
Capita [+] Capita [+]
Education 2013 1,651$ 49$ 2009 Education
Expenditure P.C Expenditure P.C
[+] [+]
Gov. Health 2016 1,343$ 41$ 2016 Gov. Health
Exp. P.C. [+] Exp. P.C. [+]
Defence 2018 2,030$ 35$ 2018 Defence
Expenditure Expenditure
P.C. [+] P.C. [+]
Moody's Rating 11/12/2018 Aaa Baa2 07/20/2018 Moody's Rating
[+] [+]
S&P Rating [+] 03/06/1995 AAA BBB+ 04/30/2019 S&P Rating [+]
Fitch Rating [+] 08/23/2019 AAA BBB 05/30/2019 Fitch Rating [+]
 Singapore Philippines

Corruption 2018 85 36 2018 Corruption

Index [+] Index [+]
Competitiveness 2018 2º 56º 2018 Competitiveness
Ranking [+] Ranking [+]
Fragile States 2018 30.4 85.5 2018 Fragile States
Index [+] Index [+]
120º 09/28/2018 RTI Raking [+]
Innovation 2018 5º 73º 2018 Innovation
Ranking [+] Ranking [+]
Labour
Unemployment 2017Q1 3.0% 2.2% 2018Q4 Unemployment
rate [+] rate [+]
Unemployed 2017Q1 70 m. 950 m. 2018Q4 Unemployed
[+] [+]
295.1 $ 2013 NMW [+]
Human Capital 2017 11º 50º 2017 Human Capital
Ranking [+] Ranking [+]
Markets
US Dollar 10/11/2019 1.3714 51.8870 05/11/2018 US Dollar
exchange rate exchange rate
[+] [+]
Stock 10/21/2019 2.29% 5.69% 10/21/2019 Stock
ExchangeYTD ExchangeYTD
% [+] % [+]
Money Market
4.00% 09/27/2019 Key rates [+]
Business
Doing Business 2019 2º 124º 2019 Doing Business
[+] [+]
Passengers December 2017 94,467 156,363 December 2017 Passengers
vehicles Year vehicles Year
[+] [+]
Annual December 2017 19.76 3.42 December 2017 Annual
Vehicles/ 1,000 Vehicles/ 1,000
p. [+] p. [+]
Vehicles / 1,000 2015 146.95 37.64 2015 Vehicles / 1,000
people [+] people [+]
 Singapore Philippines

Taxes
Standard VAT 01/01/2008 7.00% 12.00% 01/01/2007 Standard VAT
[+] [+]
Top tax rate + 2018 22.0% 35.0% 2018 Top tax rate +
SSC [+] SSC [+]
Trade
Exports [+] 2017 373,237.0 M.$ 68,714.0 M.$ 2017 Exports [+]
Exports % GDP 2017 110.21% 21.92% 2017 Exports % GDP
[+] [+]
Imports [+] 2017 327,689.0 M.$ 101,901.0 M.$ 2017 Imports [+]
Imports % GDP 2017 96.76% 32.51% 2017 Imports % GDP
[+] [+]
Trade balance 2017 45,548.0 M.$ -33,187.0 M.$ 2017 Trade balance
[+] [+]
Trade balance 2017 13.45% -10.59% 2017 Trade balance
% GDP [+] % GDP [+]
Socio-Demography
50º 2015 Ranking [+]
Density [+] 2018 7,843 356 2018 Density [+]
Global Peace 2019 7º 134º 2019 Global Peace
Ranking [+] Ranking [+]
32,807.8 2017 Remittance
received (M.$)
[+]
% Immigrant 2017 46.75% 0.21% 2017 % Immigrant
[+] [+]
% Emigrant [+] 2017 5.83% 5.41% 2017 % Emigrant [+]
Birth Rate [+] 2017 8.90‰ 22.98‰ 2017 Birth Rate [+]
Remittance sent 2017 6,176.2 536.6 2017 Remittance sent
(M.$) [+] (M.$) [+]
Crude death 2017 5.00‰ 6.55‰ 2017 Crude death
rate [+] rate [+]
Fertility Rate 2017 1.16 2.89 2017 Fertility Rate
[+] [+]
Rate Homicides 2016 0.32 11.02 2016 Rate Homicides
per 100.000 [+] per 100.000 [+]
 Singapore Philippines

Population [+] 2018 5,639,000 106,651,922 2018 Population [+]

Immigrant 2017 2,623,404 218,530 2017 Immigrant
stock [+] stock [+]
Emigrant stock 2017 327,043 5,680,682 2017 Emigrant stock
[+] [+]
HDI [+] 2017 0.932 0.699 2017 HDI [+]
Gender Gap 2018 67º 8º 2018 Gender Gap
Ranking [+] Ranking [+]
Life expectancy 2017 82.90 69.24 2017 Life expectancy
[+] [+]
Number of 2016 18 11,385 2016 Number of
homicides [+] homicides [+]
Energy and Environment
CO2 Tons per 2017 9.64 1.31 2017 CO2 Tons per
capita [+] capita [+]
Singapore
CountrySubcontinentContinentWorld

 Capital: Singapore
 Population: 5,639,000
 Surface Area: 719 km2
 Currency: Singapore dollars (1 EUR=1.5214 SGD)
 Religion: Mostly Buddhism
 Belongs to: ACD, ASEAN, IMF, UN

Philippines
CountrySubcontinentContinentWorld

 Capital: Manila
 Population: 106,651,922
 Surface Area: 300,000 km2
 Currency: Philippine Pesos (1 EUR=57.0700 PHP)
 Religion: Mostly Christianity
 Belongs to: ACD, ASEAN, IMF, UN

QUALITY OF LIFE COMPARISON

1. Quality of Life
2. Singapore
3. Philippines
4. Comparison
 SINGAPORE
COMPARED TO
PHILIPPINES

 QUALITY OF LIFE
 COST OF LIVING
 SIZE COMPARISON

If you lived in Philippines instead of Singapore, you would:

HEALTH
LIVE 15.8 YEARS LESS

In Singapore, the average life expectancy is 85 years (83 years for men, 88 years for women). In Philippines,
that number is 69 years (66 years for men, 73 years for women).
ECONOMY
MAKE 91.2% LESS MONEY

Singapore has a GDP per capita of $93,900, while in Philippines, the GDP per capita is $8,300.
BE 2.6 TIMES MORE LIKELY TO BE UNEMPLOYED

In Singapore, 2.2% of adults are unemployed. In Philippines, that number is 5.7%.

SPEND 45.5% MORE ON TAXES

Singapore has a top tax rate of 22.0%. In Philippines, the top tax rate is 32.0%.
LIFE
HAVE 2.8 TIMES MORE CHILDREN

In Singapore, there are approximately 8.6 babies per 1,000 people. In Philippines, there are 23.7 babies per
1,000 people.
BE 11.4 TIMES MORE LIKELY TO DIE DURING CHILDBIRTH

In Singapore, approximately 10.0 women per 100,000 births die during labor. In Philippines, 114.0 women do.
BE 8.9 TIMES MORE LIKELY TO DIE DURING INFANCY

In Singapore, approximately 2.4 children die before they reach the age of one. In Philippines, on the other
hand, 21.4 children do.
BASIC NEEDS
BE 12.0% LESS LIKELY TO HAVE ACCESS TO ELECTRICITY

In Singapore, 100% of the population has electricity access. In Philippines, 88% of the population do.
BE 31.5% LESS LIKELY TO HAVE INTERNET ACCESS

In Singapore, approximately 81.0% of the population has internet access. In Philippines, about 55.5% do.
GEOGRAPHY
SEE 188.0 TIMES MORE COASTLINE

Singapore has a total of 193 km of coastline. In Philippines, that number is 36,289 km.
PHILIPPINES: AT A GLANCE
Philippines is a sovereign country in East/Southeast Asia, with a total land area of approximately 298,170 sq
km. The Philippine Islands became a Spanish colony during the 16th century; they were ceded to the US in
1898 following the Spanish-American War. In 1935 the Philippines became a self-governing commonwealth.
Manuel QUEZON was elected president and was tasked with preparing the country for independence after a
10-year transition. In 1942 the islands fell under Japanese occupation during World War II, and US forces and
Filipinos fought together during 1944-45 to regain control. On 4 July 1946 the Republic of the Philippines
attained its independence. A 20-year rule by Ferdinand MARCOS ended in 1986, when a "people power"
movement in Manila ("EDSA 1") forced him into exile and installed Corazon AQUINO as president. Her
presidency was hampered by several coup attempts that prevented a return to full political stability and
economic development. Fidel RAMOS was elected president in 1992. His administration was marked by
increased stability and by progress on economic reforms. In 1992, the US closed its last military bases on the
islands. Joseph ESTRADA was elected president in 1998. He was succeeded by his vice-president, Gloria
MACAPAGAL-ARROYO, in January 2001 after ESTRADA's stormy impeachment trial on corruption charges
broke down and another "people power" movement ("EDSA 2") demanded his resignation. MACAPAGAL-
ARROYO was elected to a six-year term as president in May 2004. Her presidency was marred by several
corruption allegations but the Philippine economy was one of the few to avoid contraction following the 2008
global financial crisis, expanding each year of her administration. Benigno AQUINO III was elected to a six-
year term as president in May 2010. The Philippine Government faces threats from several groups, some of
which are on the US Government's Foreign Terrorist Organization list. Manila has waged a decades-long
struggle against ethnic Moro insurgencies in the southern Philippines, which has led to a peace accord with the
Moro National Liberation Front and ongoing peace talks with the Moro Islamic Liberation Front. The decades-
long Maoist-inspired New People's Army insurgency also operates through much of the country. The
Philippines faces increased tension with China over disputed territorial and maritime claims in the South China
Sea.

Indices Difference

Consumer Prices in Philippines are 53.57% lower than in Singapore

Consumer Prices Including Rent in Philippines are 66.80% lower than in Singapore

Rent Prices in Philippines are 85.46% lower than in Singapore

Restaurant Prices in Philippines are 63.92% lower than in Singapore

Groceries Prices in Philippines are 49.84% lower than in Singapore

Local Purchasing Power in Philippines is 72.30% lower than in Singapore

Economy
 Development
Singapore The Philippines
Singapore’s GDP per capita is $62,400. The dependency ratio is good in Singapore. The middle The GDP per capita for the Philippines is $4,700. The Philippines depen
working class outweighs the old and young non-working class. The unemployment rate for Singapore
number of older Filipino people is less that the working class. There is a
is 2%. population. The unemployment rate of the Philippines is 16.3%. The p
line is about 26.5%.
The Human Development Index for Singapore includes: The Human Development Index for the Philippines includes:

 .966 - HDI Health  .773 - HDI Health

 .804 - HDI Education  .679 - HDI Education
 .925 - HDI Income  .535 - HDI Income

Exports: Exports:

 electronic products, garments, oil, and other products  electronic devices, machinery, and other products

Imports: Imports:

 mineral fuels, machinery equipment, fabrics, and other products  fuels, machinery equipment, iron, steel

Main trade partners: Major trade partners:

 the United States, China, and Japan  the United States, Japan, and China

Most jobs in Singapore are high level and primarily focus in the service sector. They must look sharp
Electronics, a major Filipino export, are produced in factories such as th
for the clients that the meet with.
Agriculture
Singapore The Philippines
Singapore is a tropical hot, humid, and rainy country. Agriculture here employs 0.2% of the work The Philippines has a tropical climate. The agricultural industry in the P
force. This is because of some technology and the reliance of food imports from other places. Thethe labor force. This high percentage means that more people are need
country has a small fishing industry of fishing boats and farms. There has also been some technology is available to the Philippines. Most work is done by hand sin
greenhouse production for fruits and vegetables but the industries are very small. Some products to acquire machinery. Some of the types of agriculture in the Philippines
these agriculture industries produce are fruits, vegetables, poultry, eggs, fish, and ornamental livestock, and forestry. Some main crops grown here include: sugarcan
fish. Based off of the information Singapore’s agriculture is commercial, though they have very little
bananas, pineapples, and mangoes. The rainy and humid climate allows
agriculture they do have some technology and a few workers needed to make products. grow. The Philippines also produce pork, eggs, beef, and fish. Based o
Philippines’ agriculture is subsistence and is made primarily for themselv
money and a lot of people take part in agriculture here.

Industry
Singapore The Philippines
Singapore’s industry sector employs almost 20% of the work force. Its main industries include The industry in the Philippines is lower than that of Singapore. Industry
electronics, chemicals and financial aid. The highly educated population discourages low-level jobs.force in the Philippines. The economy of the Philippines is moving from
The Singaporean government encourages labor-intensive jobs to move off of Singaporean soil, andbased. During this transition, the main industries have included electron
keep high-level positions with Singapore. Industry has trouble staying with Singapore since the outsourcing contracts. The change in job types has led to more factorie
country is moving in the direction of high technology and scientific innovation. automobiles, and aerospace technologies. Even through the transition, i
rising since the global economic recession.

Services
Singapore The Philippines
Most of Singapore's economy is reliant upon the service sector. More than 80% of the workforce A little over half of working Filipinos work under the service sector. This
works in the service sector. Wholesale and retail trade makes up most of Singapore's service the country's entire GDP. Things that would help boost the Filipino servi
establishments at 37.2%. Singapore is also in the business service sector. 26.4% of service
institutions are business based. This section of the service sector has grown the most due to an
increase in head offices, business and management consultancy firms, and engineering firms.

The software company, Intel, has two locations in the Philippines: Manila and Cavite.  expanding tourism
 encouraging highly technical jobs to stay in the Phil
 growth of the scale of exports and business market