HE Kapil Sibal, Minister for Science and Technology and Earth Sciences
Chairman Dr. Samir K Brahmachari, Director General, Council of Scientific and Industrial Research
Excellencies
Distinguished guests
Ladies and gentlemen
I am very pleased to be here this afternoon at the Pravasi Bharatiya Divas 2008. The Pravasi is the result of a process of globalisation in which events in India affect the world and events in the world affect India. The Indian Diaspora because of its common roots to the mother land serves to catalyse this process and plugs India into the world and world to India. The Indian Diaspora represents a great reservoir of knowledge, with overseas Indians comprising one of the largest, most diverse and best educated communities wherever they reside. Overseas Indians have also been acknowledged internationally, in various fields such as engineering, Information Technology, and finance, adding to India's brand as a knowledge economy.
2 So, what exactly is a knowledge economy? According to the World Bank and the Organisation for Economic Co-operation and Development or OECD, it is an economy where knowledge is created, acquired, transmitted and used effectively and creatively by organisations, enterprises, individuals and communities to develop ground-breaking ideas and models. This is a dry technical definition of knowledge technology crafted by economists. As a doctor who has worked in hospitals in the US and Singapore , let me give two practical examples of how the knowledge economy is changing the way things get done.
3 When I finished surgery in the US, I would go to the telephone and dictate the operating notes of the surgery. An army of transcripters in the hospital would type the records. Today the telephone recording is sent electronically to India where it is transcribed and the reports are typed and sent electronically back to the US to be printed. What is more, the English is perfect and even the most complex medical term is spelt correctly - a testimony to the high standards of English in India and the willingness of the Indian work force to continuously work at improving their skills.
4 In Singapore, when a patient gets an X-ray at some of our clinics, the images are sent to India where the X-rays are read by radiologists who send a report back within an hour. The rapid report cuts down time and saves money for patients. At the same time, it frees our radiologists to concentrate on more complicated procedures like angiograms and MRI or CTscan directed interventional procedures.
5 The knowledge economy is an engine of creative destruction as old ways of getting things done are constantly being improved. Over the last decade, Asian economies have become more knowledge-based and it is evident that knowledge has increasingly become an important means for value creation. Coupled with rapid innovations in communications and computing technologies, and the advent of a borderless world, a growing number of countries today are able to harness knowledge, and participate actively in the global economy. Countries that successfully do this will stay ahead.
6 The World Bank's model of knowledge-based development emphasises on the development of human capital, ICT infrastructure and robust policy and regulatory environments. These are areas which the Singapore Government has been leveraging on in our transition to the knowledge-based economy. I would like to share with you some of our ideas in these fields today.
Singapore's Knowledge Based Economy
Driving innovation
7 The Singapore Government aims to raise our national investments in R&D to 3% of GDP by 2010 so as to sustain innovation-driven growth. This would see a corresponding tripling of value-added (VA) from the present US$6.1 billion to around US$19 billion. By 2015, we would also witness a doubling of the jobs in R&D from the present 40,000 to 80,000 in three strategic areas of biomedical sciences, environment and water technologies, and interactive and digital media. All three areas are poised for rapid growth in Asia and their potential will be significantly enhanced through R&D.
8 Besides promoting R&D, the need to diversify the economy and create new growth areas in the process are just as crucial to Singapore's economic competitiveness in the long run. To this end, the Singapore Government has introduced policies to grow our education services, healthcare services and creative industries.
9 Today, we see our schools strive not only to develop critical thinking skills and creativity in our students, but also to allow greater diversity by providing more curriculum options and incorporating innovative teaching methods. For example, FutureSchools@SG, an initiative by the government seeks to spearhead the use of infocomm technology in lessons. It serves to raise the profile of Singapore as a ready laboratory for new emerging technologies.
Developing ICT Infrastructure
10 As Singapore marches into the new innovation and knowledge driven age, we must also ensure that our information and knowledge infrastructure keep pace with the way we work, play, live and learn. In this regard, Singapore developed the Intelligent Nation 2015 Masterplan, or "iN2015", which is our National infocomm Masterplan. This masterplan was co-created by the people, public and private sectors who share a common vision of Singapore as an intelligent nation through a year-long consultation and ideation process which culminated in its launch in June 2006.
11 One key component under the iN2015 Masterplan is the setting up of the next generation National Infocomm Infrastructure which will serve as the information super-highway supporting the new knowledge economy. The next generation infrastructure will be made up of an island-wide wired and wireless network that would allow access to broadband at home and on the go.
12 As a first step, we have rolled out Wireless@SG, a programme to bring about pervasive wireless Internet access at public places throughout Singapore. This service, which is seed-funded by the government, will be provided free for everyone for a period of three years, which started in January 2007. Having free wireless access anywhere in Singapore will transform the way we manage our lives. We believe that such an "always-online" environment will engender innovation and in turn maximise Singapore's human capital. Students can learn anytime and anywhere while mobile working professionals can remain connected, send emails and engage in business transaction while on the go.
13 These new ICT infrastructures will also empower new business sectors. For example, in emerging sectors like the Life Sciences, Interactive & Digital Media and Creative Industries, businesses will be able to leverage on the ultra-high speed broadband connectivity to trial and deploy new services to customers, allowing them to fine-tune their products and services. The next generation Network will spur R&D activities, especially those in the area of Life Sciences and digital media that rely heavily on Grid technologies for their heavy computational and storage intensive needs. A critical factor in Grid computing is cost-effective, ultra high-speed connectivity linking the computing resources. The next generation network will also revolutionise the teaching process in schools and universities, allowing for greater interactivity and innovative multimedia teaching methods.
14 Keeping in mind that the knowledge-based economy has to be all inclusive, the Singapore Government is committed to ensuring that all segments of the population benefit from technology. To this end, we have launched the "Infocomm At Community" programme, a collaboration effort by the public and private sector to provide less privileged students with their own computers and three years of broadband access for less than US$180. This works out to about US$0.20 a day over three years. Students, who cannot afford this amount, will be given opportunities to earn it through rendering community service.
Developing Good Governance
15 Apart from building hard infrastructure, the "soft" factors, in particular an environment of trust, are required. To build trust, good governance is crucial, and this is our top priority. In today's globalised world, a bad reputation is a serious handicap to competitiveness. Like global brands, countries must invest a significant amount of time and effort to build emotional resonance with global investors. A strong reputation as a trustworthy jurisdiction with robust intellectual property rights protections is a key competitive advantage in attracting trade and investment. Singapore has consistently been recognised by global institutions such as the World Bank for the quality of our governance. This is one of the reasons why many local and foreign companies have chosen Singapore as their home base to raise capital, site HQ functions, and to engage in high-value functions.
Developing a World-Class Living Environment
16 Besides the above pre-requisites, one critically important factor in attracting and retaining globally mobile talents is a top-class living environment. A low crime rate, a vibrant cultural landscape, a rich suite of recreational activities and quality public infrastructure such as transport networks and hospitals are just some of the necessary ingredients in creating an attractive place to work, live, play and learn.
17 Fellow participants who had lived in global cities such as London and New York will appreciate the effect of such factors on one's quality of life. In Singapore, we are trying to remake our city into a cosmopolitan global hub that offers the best living environment. Singapore may have a reputation of being a clean, green and safe city, but our people certainly know how and where to have fun too. We have made some headway and Singapore's makeover has not gone unnoticed. Last year, Monocle Magazine named Singapore in its list of top 20 most liveable cities in the world while the new vibrancy in Singapore has also been featured in a number of international publications such as Time, Newsweek and the Smithsonian magazine last year.
Conclusion
18 Despite the sheer difference in geographical size, I believe our experience in building a knowledge economy will share some common fundamentals with India.. As India propel its economy into a knowledge-based one, Singapore can serve as India's extension into East and Southeast Asia.
19 With our extensive networks of formal and informal business relationships with the rest of Asia, Singapore is well positioned to do so. Indian companies have a proven track record of successfully utilising and shaping technology. Singapore can provide the right environment for Indian companies to grow and to engage MNCs from around the world, and ultimately achieve positive results.
20 I am confident that with the efforts of its own businesses and people, and with continued investments and support from the Diaspora and the rest of the world, India will continue to blaze the trail and become a key vibrant node in the global network of knowledge economies.
Thank you.