SINGAPORE - The world is changing in ways that will have a huge impact on Singapore’s economy, businesses and its people, said Prime Minister Lawrence Wong who stressed the need for the nation to uphold its economic fundamentals and for the partnership between government and businesses to stay strong.

Amid rising geopolitical tensions and economic uncertainties, the external environment, he noted, has become more turbulent, volatile and dangerous. He warned how there is a profound change in the global order, which is becoming “more like a lawless jungle where might is right”.

“We cannot change these global trends. But we can shape our response to these trends,” PM Wong said at the Singapore Business Federation’s (SBF) Singapore Budget Symposium 2025, held at the Marina Bay Sands on March 19.

He outlined several key approaches to how Singapore can respond to these challenges.

These include maintaining the nation’s pro-business environment and openness to trade and investments. It is also important to plan for the long term, including studying the possibility of deploying nuclear energy.

PM Wong also emphasised the need to strengthen national solidarity through robust tripartite partnerships, highlighting the “Singaporean way” of collaboration between the government, unions, workers, and businesses.

“This partnership is going to be more important than before,” said PM Wong.

He highlighted how the United States and China rivalry has intensified, noting how the US sees China as a strategic threat and wants to prevent it from overtaking America.

“China, for its part, says it is ready to respond. In fact, it says it is ready for tariff war, trade war or any type of war, and that it will fight to the very end. These are very aggressive words,” said PM Wong.

Major powers are now more focused on defense and security, and PM Wong said that these nations are increasingly prepared to use force to achieve their goals at the expense of other countries, including smaller ones.

Beyond global headwinds, he underscored the vital role businesses play as the backbone of Singapore’s economy, highlighting the government’s commitment to supporting them.

This focus was reflected in Budget 2025, where special attention was given to businesses, said PM Wong, who is also Finance Minister.