SINGAPORE BRIEFING April 2005

News this month

Worth a gamble?

After a long, unusually heated and public debate, Vivian Balakrishnan, Singapore's senior minister for trade and industry, announced that Singaporeans will hear on April 18th whether the government will lift its long-standing ban on casinos. The casino debate has simmered in the city-state since March 2004, when the plan was first mooted by the Ministry of Trade and Industry. Supporters say casinos will bring much-needed jobs, tourists and tax revenue; opponents counter that it will promote vice. The Cabinet remains divided.

Nineteen business groups, including giants from Las Vegas, have expressed interest in running casinos in Singapore. The island is keen to diversify its economy further, as some manufacturers have fled to lower-cost countries such as China and India. Some lawmakers hope to replicate the success of Macau, a gambling haven near Hong Kong, which draws punters from across Asia. Lee Kuan Yew, Singapore's former prime minister, imposed the ban, though the island does permit highly regulated forms of gambling with state-run lotteries and sports betting. Most expect to hear that the roulette wheels are set to roll.

Work woes

Singapore received a double dose of bad employment news in early March. On the 4th, Maxtor, an American disk-drive manufacturer, said it would axe 5,500 jobs in Singapore, as it shifts production to lower-cost China. The next day, Lee Hsien Loong, the prime minister, warned that Singapore's unemployment rate would probably climb as the economy matured. “Competition is tougher, technology is advancing rapidly, low-value-added activities are dying out and new businesses are being launched,” Mr Lee intoned. He added that unemployment could eventually climb as high as 5% (it is now 3.7%).

This trend is worrying, but hardly new. Wealthy Singapore has been losing low-skill jobs, especially in manufacturing, to less expensive regional neighbours for years. Indonesia and Malaysia used to be the principal threats; now it is India and China. Mr Lee's administration is trying to create new jobs, especially in the service sector, while also coping with low-skilled workers facing structural unemployment.

Fancied flights

In March Singapore Airlines (SIA), which makes most of its money from long-haul flights, stepped up efforts to expand its reach across the Pacific. The flag carrier already operates direct flights from Singapore to a host of American destinations, but now it wants to do so via Australia. Chew Choon Seng, SIA's boss, took that message to John Anderson, Australia's Transport Minister.

Qantas, Australia's flag carrier, staunchly opposes SIA's plan; it now enjoys a lucrative duopoly (with United Airlines) on flights between Australia and the United States. Still, amid the heated talk an outline of a complicated deal is emerging. Mr Chew hopes to be operating in Australia within 12 to 18 months, while Mr Anderson wants Qantas to have more access to European capitals on flights through Singapore. After a tour of Europe last month, Mr Anderson reported encouraging signs from Brussels and London.

Eight if by sea

March marked the inauguration of a new security initiative to protect Singapore's maritime industry. Now, up to eight specially trained and armed naval personnel will ride aboard some merchant vessels entering or leaving Singaporean waters. Their purpose, a defence ministry spokeswoman said, is “to deter and prevent, if necessary, any terrorist activity”.

It seems a sensible precaution. Singapore has already rounded up and jailed alleged local members of Jemaah Islamiyah, a radical Islamic group allied with al-Qaeda. But ministers still contend a strike is inevitable, and could well be designed to inflict more economic than physical harm. The local port—the world's busiest, measured by tonnage—is the heart of a global service industry. These new patrols are merely the latest step in a line of improved maritime-security measures. Last year, Singapore joined Indonesia and Malaysia in launching coordinated patrols of the pirate-ridden Malacca Straits. In February 2005, it introduced a police marine-assault team.

Puff at your peril

Smokers in health-obsessed Singapore are among the most hard-pressed puffers in Asia. They have long been barred from all but a few air-conditioned buildings and hit with heavy taxes. But on March 8th, their habit got even tougher: Yaacob Ibrahim, Singapore's environment minister, extended the smoking ban to pubs, bus shelters, public pools and karaoke lounges. He explained that inhaling second-hand smoke was harmful, and noted similar bans in Ireland and some parts of the United States. More stringent rules look set to follow, according to Mr Ibrahim: “My ministry's intent is to do away with the need for an exhaustive list and move towards allowing smoking only in private premises, wide-open spaces and designated smoking areas”.

Catch if you can

April 2005

Qing Ming Festival

April 4th 2005

Ancestor veneration is a Chinese tradition, and Qing Ming (“clear and bright”) is the year's most important day for it. The public holiday is also known as “Grave-Sweeping Day” or “Spring Remembrance” (there is a similar festival in autumn). Traditionally, Chinese families visit their ancestors' graves to show respect by cleaning the gravestones, clearing away weeds and touching up the surrounding area. They also decorate the graves with flowers, light incense and make offerings of fruit (usually oranges) and rice wine. Expect public transport to be crowded on this day, and if your journey takes you near any cemeteries, expect traffic jams.

In the early hours of April 4th, the temples of Chinatown will fill up with families burning candles and incense. To soak up the atmosphere, visit Kong Meng San Phor Kark See Temple on Sin Ming Road.

More from the Singapore cultural calendar