The Legacy of Success: Singapore’s New Prime Minister Inherits a Robust Economy and Strong Financial Hub

When Lawrence Wong assumes the role of Singapore’s new prime minister in the coming month, he will inherit a strong economy and robust local assets. Under the leadership of Lee Hsien Loong, which began in 2004, the Singapore dollar has gained approximately 40% against major trading partners, outperforming the US dollar. Additionally, Singapore government bonds have seen returns that surpass global averages by around 16 percentage points.

During Lee’s tenure, Singapore’s economy more than doubled in size, reaching S$532.3 billion, with total assets under management growing to S$4.9 trillion. The country has become a prominent financial hub and a desirable location for global talent. The local stock market has also benefited from the strong currency, with the Straits Times Index outperforming the MSCI Asean Index by nearly 32 percentage points.

However, despite these successes, over half of locally listed companies are trading below their book value, indicating a lack of high-growth firms in the small, mature economy. Analysts suggest that there is potential for Wong to take steps to support local equities, such as increasing investments from sovereign wealth funds and offering incentives for companies to list in the Singapore market. As Wong prepares to take on the role of prime minister, there are opportunities to further strengthen and diversify the country’s economy.

Lee Hsien Loong’s tenure saw significant growth in Singapore’s economy and local assets. The country’s GDP more than doubled under his leadership and reached S$532.3 billion by 2021. Additionally, total assets under management grew to S$4.9 trillion during this period.

Singapore has become a prominent financial hub due to its robust economy and favorable business environment. It is now an attractive location for global talent looking for career opportunities.

The local stock market has also been performing well due to Singapore’s strong currency. The Straits Times Index outperformed other regional markets by nearly 32 percentage points during Lee’s tenure.

Despite these achievements