Singapore
Founded as a British trading colony in 1819, Singapore joined Malaysia in 1963, but withdrew two years later and became independent. It subsequently became one of the world's most prosperous countries, with strong international trading links (its port is one of the world's busiest) and with per capita GDP above that of the leading nations of Western Europe.
There are currently no known specific threats to travelers or expatriate personnel in Singapore. The city-state has been vigilant in the 'war on terrorism' and has increased security measures to combat both domestic and shipping threats.
Prime Minister Lee Hsien Loong is the elder son of Singapore's founding father Lee Kuan Yew, Lee Hsien Loong took office on 12 August 2004 as part of a planned handover of power. On taking office, the new prime minister vowed to continue the policy of opening up Singapore's society. A former army officer, Lee followed his father into politics at the age of 32, becoming deputy prime minister in 1990. As finance minister in his predecessor's cabinet, he was credited with helping to secure Singapore's competitive edge amidst growing competition from China. Lee's father, who oversaw the transformation of Singapore into a major economic player, is the cabinet's official mentor - a newly-created post. Goh Chok Tong, Lee's predecessor, is the senior minister in the cabinet, and thus the most senior advisor to the prime minister.
Singapore’s strategic location at the entrance to the Strait of Malacca has helped it to become one of the most important shipping centers in Asia. The Port of Singapore, the world's busiest in terms of shipping tonnage, is a key component of Singapore’s prosperity and economic health. Singapore also is a leader in new biotechnologies, petroleum refining, and the manufacturing of computer components.
Recognizing that Singapore’s future growth depends on overcoming resource limitations and a small domestic market, the Singaporean government has vigorously encouraged local firms to regionalize their operations and to invest abroad. Prime Minister Goh Chok Tong has identified China, India, and the ASEAN countries as priority countries in the rationalization drive.
Singapore made an impressive recovery after the Asian financial crisis of 1997-98, but has suffered a sharp decline in demand for its exports as a result of the global economic slowdown of 2001 and declining demand for computer hardware, which is a major part of the country's manufacturing sector. Singapore's real gross domestic product (GDP) is projected to shrink by 2.0% in 2001, but recover to a positive 2.5% growth rate in 2002. The Singaporean government announced a $6.2 billion economic stimulus package in October 2001, including tax cuts and increases in government spending on infrastructure projects.
Singapore occasionally is at odds with Malaysia over minor territorial and immigration issues, but both countries are also members of the Five Power Defense Arrangements (FPDA), a joint defense arrangement between Malaysia, Singapore, Australia, New Zealand and the United Kingdom which contributes to regional security.
