Скачать или смотреть How Singapore Became So Rich?

They are not just rich, they are crazy rich. And by they, we mean Singapore. From an underdeveloped country to a high income country, with GDP per capita of stunning 65000 USD. Singapore has grown exceptionally. The interesting thing here is, they did it all without any proper resources.
What it does have, is a good geographic location. Singapore is in the center of major shipping routes which connects the west with Asia's big economies, like China, Japan, and South Korea. We will talk about Singapore's geography in the later part of the video.
So in order to grow their economy, Singapore needed a comprehensive program of industrialization, with a focus on labor-intensive industries. For that, the leaders of Singapore began to experiment with globalization, and foreign investment. But many investors hesitated to invest in this newly formed country.
Now, to attract investors, Singapore had to create an environment that was safe, corruption-free, and also low in taxation. To make this feasible, the government became more autocratic. Corruption was reduced, law and order was properly implemented, and a business friendly environment was created. These changes became very appealing to international investors. In contrast to the neighbors, where political and economic climates were unpredictable, Singapore was very stable.
Moreover the country's geographic location has played a key role for its economic development for many years. You see Singapore's location provides great connectivity to major Asian economies, and after the completion of the Suez canal in 1869, Singapore became more important for the British. It was a gateway for them to control much of Asian trade. So the British developed the port system for trade, and also to station their troops in Asia.
So with the advantageous geographic location and a good established port system, Singapore was an ideal place to manufacture goods.
Also the people of Singapore are known as the asset of their growth. And the thing that made these assets even better was education. As the country experienced a high level of foreign investments, they started investing in education and skill development programs. They set up many technical schools, and paid international corporations to train their unskilled workers. And as the workforce became educated and skilled, they started to export high end goods. In the 1970s, Singapore was primarily exporting textiles, garments, and basic electronics. But by the 1990s, they were engaging in  biotech research, pharmaceuticals, integrated circuits, and aerospace engineering.
Now even though Singapore does not have a large amount of natural resources, still their 2nd largest export is refined petroleum products.
There are currently over 3,000 multinational corporations operating in the country, accounting for more than two-thirds of its manufacturing output and direct export sales. And it's not just manufacturing. Singapore's geography helped them grow different industries, especially the shipping industry. Singapore's shipping port is used for changing cargo before reaching its final destination, this is called transshipment. The Port of Singapore is now the world's busiest transshipment port, ahead Hong Kong and Rotterdam. And in terms of total cargo tonnage handled, it has become the second busiest, behind the Port of Shanghai.
So in conclusion we can say, even with smaller landmass, and with very few natural resources. Singapore has made their workforce an asset by educating them for higher productivity.  Singapore has played smart, by being a perfect middleman for many western corporations operating in the region. And took full advantage of Asia's rising economies such as China, Japan, South Korea and Taiwan.


#singaporeeconomy #crazyrichsingapore

Music:
Creative Commons Music by Jason Shaw on http://audionautix.com/
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