The Economy of Singapore
Attracting Multinationals: The EDB Strategy
Instead of protecting local industry, Singapore invited multinational companies, using the Economic Development Board to target sectors and make investing easy.
Singapore chose openness over self-reliance.
Economic Development Board
Set up in 1961, the EDB courts investors and designs industrial policy.
Jurong Industrial Estate
The state built ready-made factory land, power and roads.
Incentives
Low corporate tax, tax holidays and reliable rules attract firms.
Climbing the ladder
Singapore moved from textiles and simple electronics to petrochemicals, electronics, pharmaceuticals and finance.
A one-stop help
A global company wanting to build a plant gets help with land, approvals and hiring from one agency.
Assuming openness means no government role
The state planned closely.
Key takeaways
- The EDB targets investors.
- Jurong offered ready factory land.
- Incentives attracted firms.
- Industries moved up the value chain.
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