IMPACT OF IRAN-ISRAEL WAR
Asked about the Iran-Israel war and global security situation, Mr Chan reiterated his message at the Shangri-La Dialogue, where he told delegates that taking sides breeds irrelevance and that Singapore would choose principles.
“If we are not relevant, we will not have a voice. If we are not principled, we will not be able to engender the trust for other people to want to work with us,” he told reporters.
Global conflicts have the effect of heightening security concerns in Singapore, said Mr Chan.
“Supposing Iran wants to take retaliatory actions against either the US or Israel. They may hit out at the US targets. They may also hit out at other targets, and this may not just be limited to targets in the US or in Israel. It could be anywhere else in the world.
“It could also stoke up emotions in the region, and we must be careful that these do not spill into terrorist activities, or what we call activities by proxies to fulfil the aims of the people behind,” said the minister.
But the fraying global security order will also be felt in jobs, wages and prices, because developments on the security and economic fronts are closely intertwined, he added.
“A more uncertain global security environment will certainly lead to or reinforce the uncertainties in the economic environment,” said Mr Chan, who is also Coordinating Minister for Public Services.
“This will then have implications on the job opportunities in our country, the kind of wages that our people can command, and even the prices that we have to pay for the commodities that we have.”
Amid these challenges, which are faced by all countries, Singaporeans can take comfort in and continue to play to the country’s strengths, said Mr Chan.
The first is to ensure a secure and stable business environment. “That requires the security agencies, the economic agencies, the political leadership to be able to signal to people that we are still that place where you can get stability, security and the rule of law.”
The second is “our commitment to constantly invest in our people, that even during tough times, and maybe particularly during tough times, we will continue to step up our investment”, he said.
Pointing to the work of the Economic Resilience Taskforce, he added: “We don’t have to panic. We have plans to help fellow Singaporeans tide through and go through this together.”
