The global landscape is shifting from unipolarity to multipolarity, from free trade to protectionism, from multilateralism to unilateralism, from globalization to hyper-nationalism, from openness to xenophobia, and from optimism to anxiety.
Major powers are increasingly narrowing their focus on national interests, opting for a more transactional and, at times, coercive approach, according to Foreign Affairs Minister Vivian Balakrishnan in his speech at the Committee of Supply Debate on March 3, 2025.
These significant changes have led to intense rivalry, economic self-sufficiency, and the fragmentation of global supply chains, he noted.
Countries are turning inward, citing national security, resilience, and de-risking as justifications, all in an effort to safeguard their own interests amid this turbulent global climate.
This is not a temporary shift in diplomatic dynamics, but rather a fundamental geostrategic transformation. A new world order is emerging, one defined by deep unpredictability, instability, and volatility, Dr Vivian explained.
The ongoing strategic competition between the US and China, particularly in the technological realm, and the increasing scrutiny over advanced technology, means Singapore could face criticism for engaging with or hosting companies and officials from either or both sides. “There will be mounting pressure from all directions, making it more challenging for us to navigate this environment, and it could threaten our role as an open hub,” Dr Vivian said.
For Singapore, our foreign policy begins at home, and it must always be a balance between realism and idealism, Mr Vivian said.
This means we must have no illusions about our place in the world.
Despite being small, Singapore has refused to adopte a fatalistic outlook.
Instead, we have insisted on exercising agency—building our strength, safeguarding our sovereignty, maintaining our relevance, and carving out political and economic space for ourselves, he said.
“We strive to be useful, but not to be made use of, and to avoid becoming a sacrificial pawn between big powers,” he added.
Singapore has good reason to be confident about our future, thanks to the pioneering efforts of past generations, Dr. Vivian said. Today, we stand in a strong position.
Our core strengths are based on three key pillars: our economic strength and our reserves, our ability to stand on our own two feet and to defend ourselves, and our domestic cohesion.
Because of our economic strength economically, we cannot be bullied or bought, said Dr Vivian.
“We have significant national reserves and if the biggest criticism that we face in this Budget debate is budget marksmanship and having more reserves than we anticipated, I think that is reason for celebration, considering the circumstances in which we are going into. This is an enormous advantage,” he remarked.
“On the international stage, if you have to put your hand out for assistance, it means you have no say,” he said simply.
It is a big advantage for Singapore not to have to beg for aid. We have no need for assistance or loans that could place us under external pressure.
More importantly, we do not depend on any foreign nation to defend Singapore.
We have the capability and the will to defend ourselves.
“But all this is not enough if we do not have unity at home. And we need to live up to the Pledge to be one united people, regardless of race, language, or religion,” said Dr Vivian.
