The BGA Singapore Team, led by Managing Director Nydia Ngiow, wrote an update to clients on Singapore’s leadership transition timeline.

Context

  • Singapore’s Prime Minister Lee Hsien Loong announced at the annual People’s Action Party convention November 5 that he will hand over leadership to Deputy Prime Minister Lawrence Wong before the next general election, which must be held by November 25. This is the most specific Lee has been about his timeline for stepping down and reaffirms the message from this year’s National Day Rally, in which he stressed that succession plans were on track and that the various controversies involving ministers and members of Parliament in July would not delay the timetable for political renewal.
  • Wong, 50, looks set to be Singapore’s fourth prime minister no later than November 2024. This will only be the country’s third leadership transition in 59 years and the first time that Singapore does not have a Lee at the helm or in waiting.

Significance

  • Lee is still expected to play a key role in the party, upcoming elections and Wong’s Cabinet for years to come. He, along with the remaining third-generation leaders, is widely expected to continue mentoring new candidates. He is also expected to take on the role of senior minister in Wong’s Cabinet.
  • Given the controversies the People’s Action Party had to deal with in the past few months, and noting the ongoing corruption investigations, the incumbent party has the increasingly difficult job of persuading the general populace to keep voting for it. Against the backdrop of rising living costs, the impending increase of goods and services tax to 9 percent and the upcoming implementation of the minimum effective tax rate for companies, it is critical for the party to show why and how Singapore remains a good place to live and invest in under its leadership.

Implications

  • The one-year notice Lee has given should assure companies of policy continuity,especially because Lee acknowledged that Singaporeans and those outside of Singapore are watching closely.
  • Companies should expect Wong and the fourth generation of leadership to double down on takeaways flagged in the Forward Singapore report, focusing on greater social inclusivity. With an increase in global business leaders stopping in Singapore, stakeholder engagement strategies may need to be accelerated or adjusted because Lee and Wong will likely be preoccupied until after the next election.

Reports of Lee’s and Wong’s remarks can be found here and here. We will continue to monitor these and other political developments closely. If you have any questions or comments, please contact BGA Singapore Managing Director Nydia Ngiow at nngiow@bowergroupasia.com.

Best regards,

BGA Singapore Team

A small ginko leaf

Managing Director, Singapore

Nydia brings over a decade of experience working at the forefront of international affairs and international trade issues in the Asia-Pacific, with the majority of her career prior to BGA spent working for the Singapore government. Nydia most recently managed the China Program at the American National Standards Institute (ANSI) in Washington, D.C., where she brought together technical, business and policy leaders to find solutions to issues affecting U.S.-China trading relations to strengthen U.S. market access in China. She provided member organizations with coverage of policy and reform issues, and furthered ANSI’s relationships with counterpart organizations in China. Positioned in ... Read More