Economist.com Cities Guide: Singapore Briefing - August 2006

News this month

Hosting skills

Singapore is gearing up for the annual meetings of the International Monetary Fund and World Bank, the biggest such multilateral gathering ever in the city-state, from September 11th-20th. Preparations are in full swing to host the 16,000 expected delegates. Smiles and decent English are encouraged; scruffy taxi-drivers and outdoor demonstrations are not.

The prime minister, Lee Hsien Loong, has led a “Four Million Smiles” campaign, which advises locals to grin at those arriving for the event. Cabbies have had special training to improve their manners. More controversially, the head of the local police has indicated that nobody will be permitted to protest against the meetings in public, behaviour that has been as much a staple of past IMF-World Bank meetings as long-winded speeches and angst about global economic imbalances. Singapore’s laws do not allow outdoor demonstrations by more than four people without a police permit, and authorities have made it clear that they see no reason to make an exception. Visiting NGOs may, however, be allotted a section of the main venue’s lobby to press their case.

Looking ahead

Lee Hsien Loong held a party on July 22nd to welcome 24 new MPs of the People’s Action Party (PAP), elected in May, and thank the elderly legislators who had stood down to make room for them. Mr Lee, head of the PAP, said he was already planning for the next contest, due in 2011. By this time the “majority of voters will have been born post-independence,” he said, highlighting the challenge of establishing the party’s appeal among the young.

Mr Lee’s remarks underscore the PAP’s refusal to take electoral success for granted, despite dominating the political landscape for more than four decades. The new crop of MPs forms part of the party’s constant “renewal” process. At the dinner Mr Lee cited an article in The Economist that analysed the roots of the PAP’s success, including its constant search for new talent.

A builder dies

Lim Kim San, a former cabinet minister and one of Lee Kuan Yew’s trusted aides in the 1960s and 1970s, died on July 20th. He was 89. Mr Lee, modern Singapore’s founding father, led the praise for a man who did much to transform the city-state, especially its housing. “He helped change the fortunes of the PAP and of Singapore,” said Mr Lee.

Mr Lim’s chief contribution was to head the Housing and Development Board (HDB) from 1960 to 1963, before he went into politics. The state agency was charged with churning out thousands of affordable flats, and even today most Singaporeans live in units built by the HDB. During his career Mr Lim headed a total of seven government departments as well as myriad public bodies, including the main local press group and the sprawling port.

Hanging up

Singapore is not a country accustomed to surprises, especially from senior figures, so the events of July 21st were notable. Out of the blue, Lee Hsien Yang announced that he would step down as chief executive of Singapore Telecom (SingTel), the city-state’s largest company. Mr Lee is known locally both for his corporate clout and for being the brother of Lee Hsien Loong and son of Lee Kuan Yew. Lee Hsien Yang has had an impressive reign at SingTel, tripling the company’s profits since he took the helm 12 years ago. SingTel continues to perform well: in August the company announced that it had surpassed analysts' estimates, increasing profits by 5.8% in the first quarter of 2006.

Mr Lee will remain chief executive until the board finds a replacement. To explain his departure, he merely said that it was time for a change at the state-linked company, and admitted that he does not know what he will do next. He ruled out—not for the first time—entering politics or emigrating, and also said that he had not been offered a post at a government agency.

High hopes

Budget airlines have made considerable progress in Asia in recent years, especially in Singapore, but the potentially lucrative route between the Lion City and Kuala Lumpur has remained off-limits. A bilateral agreement between Singapore and Malaysia restricts almost all flights to the national carriers, which effectively run a cosy duopoly—return fares for the 45-minute flight begin at about S$300 ($190). That may now change, bringing cheaper fares and better services to business travellers and tourists alike. Singapore’s Tiger Airways said in July that it was keen to serve Malaysia’s capital, and Air Asia—Malaysia’s top no-frills airline—said it wanted to fly into Singapore. Malaysia’s transport minister announced on August 5th that he had set up a panel to review access to the route, the fourth-busiest in Asia. Singapore's administration has long been willing to renegotiate the bilateral deal.

Catch if you can

August 2006

World Press Photo Exhibition

September 8th-28th 2006

Over 50 years old now, the World Press Photo competition is rightly regarded as the Oscars of contemporary news photography. Run by a Netherlands-based charity, the annual contest attracts thousands of entries vying to be judged the year’s most arresting image. The best entries are featured in a travelling exhibition, which comes to Singapore in September. An hour spent wandering around these photos may be as enjoyable—or provocative—as almost anything else you do this year.

Level 7 and 8, The Promenade, National Library, 100 Victoria Street. Open: daily, 10am-9pm. Entry: free. For more details see the website.

More from the Singapore cultural calendar