Ladies and Gentlemen,
Good Morning.
Introduction
1. It has been more than five years since the Belt and Road Initiative (BRI) was announced. There is more attention on this initiative now than before, with a spectrum of views on its achievements and challenges.
Mutual Economic Benefits under the BRI
2. The BRI brings about opportunities for greater integration and mutual gains among countries. It is not a zero-sum game whereby benefits for one country mean loss for another.
3. Singapore is an early supporter of the BRI. We are one of the founding members of the Asian Infrastructure Investment Bank. We have also signed several agreements on the BRI, including one on developing third-party market cooperation between Singapore and China commercial entities. We are also developing the China-Singapore (Chongqing) Connectivity Initiative – New International Land-Sea Trade Corridor (CCI-ILSTC) – an important trade route that connects the overland Economic Belt with the Maritime Silk Road from Western China to Southeast Asia.
4. Just like the first Government-to-Government project between Singapore and China in the Suzhou Industrial Park, hard and soft infrastructure need to go hand in hand. The same applies to connectivity to bring about the full potential of BRI projects.
5. Softer aspects of connectivity, such as data and finance, and more importantly, rules and platforms, need to complement the connectivity provided by the physical infrastructure. Examples of such data connectivity include new-generation trade platforms like Singapore’s Networked Trade Platform and Calista that aim to bring about seamless data flow to save time and money for traders.
Principles to Guide BRI Projects
6. With regard to policies for the next phase of development for BRI projects, I would like to propose three guiding principles.
7. The first principle is joint responsibility for mutual benefit. Regardless of the role we play, all stakeholders have a joint responsibility for project selection and execution. We all have the shared duty to ensure that the projects adhere to market discipline and steer clear of non-economic considerations to bring real benefits to the partners and the people we serve. There must be clear accountability, transparency and value for money for the public.
8. The second principle is sustainability. The considerations for long-term financial and environmental sustainability encourage healthier risk management and create more prudent and viable projects. This would ensure that the success of the BRI projects serve not just the current, but also the future generations.
9. The third principle is rule of law. Long term investments require mutual trust and consistent rules. Rule of law generates business confidence as economic players, big and small, can expect a stable and predictable environment where commerce is governed by consistent rules, contracts are enforced and investments are protected in a fair and neutral manner.
Conclusion
10. Underpinning the above principles is the concept of trust. Regular forums and dialogues help governments and businesses develop trust and mutual respect. In the process, we develop common principles for cooperation that apply fairly to all states no matter our size, income level or cultural background.
11. I am glad we are here today to share our perspectives. I look forward to the discussions and I wish everyone a fruitful day ahead.
12. Thank you.