The limit imposed on land and labor in Singapore will likely constrain growth, Defense Minister and Leader of the House Ng Eng Hen said Monday.
Singapore is facing impending and difficult challenges, particularly from the effects of an ageing population, he said in a speech in Parliament. The citizen workforce is set to shrink for the first time in Singapore’s history from 2020.
“Limits of land and labour will increasingly constrain our growth. We will have to adjust to lower growth rates compared to the last two decades,” he warned.
Ng said the city-state’s Asean neighbours with their younger populations, abundant labour and natural resources will grow faster than Singapore and give the country a stiff competition for investments.
He also noted that the external environment remained uncertain with weak US, Europe and Japanese economies.
by RTT Staff Writer
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