1. Chapter 10
- Singapore became sovereign and independent nation after separation from Malaysia in 1965.
- As new nation, SG is vulnerable and had to overcome many challenges to succeed.
- Challenges to Singapore’s survival
 Limited Land space
 Lacking natural resources
 Growing population
 Fall in trade
 Weak industry base
- Key challenge :
 economic uncertainties by SG’s separation from Malaysia – cut off Malaysia as potential
hinterland market
 Growing population in 1960s , government need create jobs, improve people’s living
conditions , provide education for the young.
 British withdrawing military forces from SG by end of 1971 and British military
expenditure amount up to 12.7% of SG’s Gross National Product. Economy affected and
also Singapore now have to build up own defense to protect nation from internal and
external threats.
 Without securing political and social stability, not possible for better economic
development.