Singapore Archives - Lokmarg - News Views Blogs

India’s Maiden A350 Aircraft Takes Ferry Flight, To Join Air India Fleet Soon

By LokMarg 17th November 2023

Air India on Friday informed that it operated its first ferry flight of its A350-900 aircraft having its new livery. The flight was from Singapore to Toulouse.

The new livery signifies a fresh chapter for Air India and reflects the airline’s commitment to offering a modern and visually appealing experience for passengers.

The airline shared the first image of the A350 aircraft on Friday on X.

“Another step closer to the arrival of India’s most-awaited aircraft. Our Airbus A350-900 takes off on its first ferry flight from Singapore to Toulouse in the new Air India colours,” it wrote on X.

According to a senior official at Air India, the aircraft’s livery has been painted in Singapore, and it is currently en route back to Toulouse for additional processes before the scheduled delivery in December 2023.

The recently Tata-owned Air India has outlined ambitious expansion plans, with an order for 40 Airbus A350 aircraft set to be integrated gradually in the upcoming years.

“Total 40 Airbus A350s on order (6 A350-900s and 34 A350-1000s). First A350-900 is expected in December 2023, and the remainder 5 A350-900 expected by March 2024,” the Air India official noted.

Air India’s management has yet to finalise the routes for its Airbus A350. According to an official, “the aircraft will initially be deployed to domestic routes for crew familiarisation purposes.”

Air India has solidified its order for 250 Airbus aircraft and 220 new Boeing flights, collectively valued at USD 70 billion at list prices.

This strategic move comes as the airline aims for a turnaround under its new ownership – Tata. Air India secured purchase agreements for these aircraft with Airbus and Boeing during the Paris Air Show in June of this year. (ANI)

For more details visit us: https://lokmarg.com/

Report: Canadian Diplomats Outside Delhi Moved To Kuala Lumpur, Singapore

By LokMarg 6th October 2023

Amid the ongoing diplomatic standoff between India and Canada in light of the latter’s allegation of Indian involvement in the killing of Sikh separatist leader Hardeep Singh Nijjar, a Toronto-based media publication, CTV News, claimed in a report that a majority of the Canadian diplomats working in India, outside the national capital, have been moved to either Kuala Lumpur or Singapore.

The report comes a day after the Indian side sought reduction of Canada’s diplomatic staff in India.

In a weekly presser on Thursday, the official spokesperson of the Ministry of External Affairs (MEA), Arindam Bagchi told reporters, “Given the much higher presence of diplomats or diplomatic presence here…and their continued interference in our internal matters, we have sought parity in our respective diplomatic presence. Discussions are ongoing on the modalities of achieving this”.

“Given that Canadian diplomatic presence is higher, we would assume that there would be a reduction,” he added.

Stating that India’s focus is on achieving ‘parity’ in terms of its diplomatic presence, the Ministry of External Affairs called for a reduction in Canadian diplomats in India citing their continued “interference” in India’s “internal matters”.

Amid the diplomatic sabre-rattiling between the two countries, New Delhi suspended visa operations to Canada and called for a reduction in Canadian diplomatic staff in India.

CTV News, in its report, claimed that Ottawa has until October 10 to trim the number of Canadian diplomats serving in India to a level comparable to that of Indian diplomats serving in Canada.

While earlier reports stated that 41 diplomats would have to depart, people the CTV News contacted, said the request is particular to one of parity.

Earlier, Canadian Prime Minister Justin Trudeau alleged during a debate in Parliament, claimed the Indian government was behind the fatal shooting of Nijjar.

Trudeau, during a debate in the Canadian Parliament, claimed that his country’s national security officials had reasons to believe that “agents of the Indian government” carried out the killing of the Canadian citizen, who also served as the president of Surrey’s Guru Nanak Sikh Gurdwara.

However, India has outrightly rejected the claims, calling it ‘absurd’ and ‘motivated’.

Notably, Canada has yet to provide any public evidence to support the claim about the killing of Hardeep Singh Nijjar.

Softening his tone amid the diplomatic tensions, Trudeau said Ottawa wants to “work constructively with India”.

Nijjar, who was a designated terrorist in India, was gunned down outside a Gurdwara, in a parking area in Canada’s Surrey, British Columbia on June 18. (ANI)

Indian-Origin Shanmugaratnam Sworn In As Singapore Prez

By LokMarg 14th September 2023

Indian-origin economist, Tharman Shanmugaratnam was sworn in as the ninth Singapore President on Thursday, two weeks after his landslide victory in the polls, The Strait Times reported.

Tharman (66) took the oath on Thursday evening at his inauguration ceremony after completing an inspection of the guards at the Istana.

Tharman, an economist and a civil servant served mainly at the Monetary Authority of Singapore, before joining politics in 2001. He has served as Minister for Education and Finance and was Deputy Prime Minister from 2011 to 2019, according to Channel News Asia (CNA).

Prime Minister Narendra Modi also congratulated Tharman after his victory and said he looks forward to working with Shanmugaratnam to further strengthen the India-Singapore Strategic Partnership.

In his inauguration speech, Tharman reiterated his plans to unite the nation.

Shortly before Tharman’s oath, his predecessor, Madam Halimah Yacob, had also inspected the guards and bade farewell to the line of honour before departing the grounds for the last time as president. She was accompanied by her husband, Mohamed Abdullah Alhabshee, The Strait Times reported.

Tharman said he was honoured and humbled to have been elected and stressed the Singaporeans to grow their sense of togetherness.

“This was a vote of confidence in Singapore’s future, a future where we all progress together and deepen our solidarity as Singaporeans. It will make us a better society, and add to our ballast as we face a more turbulent world,” The Strait Times quoted him as saying.

Talking about the strong mandate given to him by the people, Tharman said he will work with the Government, community groups and other voluntary organisations, and the entire nation to strengthen multiracialism and nurture a more inclusive society.

On the specific roles of the president, Tharman said he will confer closely with the Council of Presidential Advisors, and be thorough and impartial in his assessments, and in exercising his veto powers on the reserves and key public service appointments.

He added that he will “be scrupulous and independent in making judgments that involve the use of the ‘second key’ on our reserves”, The Strait Times reported.

Going back to his campaign promises, Tharman also reiterated his plans to promote greater interactions between different communities and enhance respect and appreciation for one another.

He added that he also plans to lend active support to the arts and sports scene here, represent Singapore and promote its interests abroad.

Singapore Prime Minister Lee Hsien Loong also addressed the ceremony and said that he looks forward to Tharman’s support in sports and the arts, which will help Singapore become a rich and rounded society.

“I pledge my government’s full support and cooperation as we operate this unique system to protect our reserves and key appointments,” The Strait Times quoted Lee as saying.

Noting Tharman’s wealth of experience in economic and financial matters, and his familiarity with how the system of the second key works, PM Lee said he has every confidence in Tharman’s ability to fulfil the important duty of the president in holding the second key.

PM Lee added that Tharman’s experience in public service has prepared him well for his new responsibilities.

He further cited Tharman’s appointments in Cabinet, his time at the Monetary Authority of Singapore and his 22 years of service as an MP for Jurong GRC.

PM Lee said that the Government shares Tharman’s declared goal – to build a more inclusive society, one where everyone is valued for who they are, and every Singaporean has a place.

He also said that he looks forward to Tharman’s help in strengthening ties with other countries and international partners, and opening opportunities abroad for Singaporeans and local businesses as Singapore’s top diplomat, The Strait Times reported.

PM Lee further said that he has no doubt that Tharman, having held high-level appointments in international organisations and blue-ribbon advisory panels, will fulfil this role with distinction.

“The Government will work closely with you and support you to make the most of your experience and personal standing, in order to advance Singapore’s interests and enhance our status in the world,” he said.

PM Lee also noted that there is one person whose personal support will matter greatly to Tharman.

“Let me take this opportunity to welcome your wife, Jane Ittogi Shanmugaratnam, to the new role that she will play as the spouse of the president in the years to come,” he added.

In his closing remarks, PM Lee said that Singapore is navigating its way forward in an increasingly troubled and uncertain world.

“Our society is in transition as we adapt to and evolve with changing circumstances. At such times, it is crucial that our nation’s highest office be occupied by someone with the right experience and abilities, values and character,” The Strait Times quoted Lee as saying.

“I am sure that like your predecessors, you, too, will be a president for all Singaporeans, and serve Singapore with dedication and distinction,” he stated.

Meanwhile, former Minister Tharman Shanmugaratnam was elected as Singapore’s ninth President with a resounding victory on September 1, Channel NewsAsia (CNA) reported.

In a landslide victory, Tharman earned 70.4 per cent of the vote, with former GIC chief investment officer Ng Kok Song coming in second with 15.72 per cent.

Singapore held its first contested presidential election in 12 years. (ANI)

Why Are Singapore Manufacturers Moving To India?

By LokMarg 12th June 2023

By Lee Kah Whye

Singapore is well-known for being an easy place to do business. Among the factors that play to the city-state’s advantage is an attractive tax system, an extensive network of tax treaties, ready availability of quality human capital, geopolitical stability, accessibility to financing, connectivity to the rest of the world, and good infrastructure.

Singapore also has a significant Indian diaspora, and it is therefore no surprise many Indian businesses have established bases in Singapore. According to the Indian High Commission in Singapore, about 9,000 Indian companies are registered in Singapore.

Notable Indian firms such as Tata Group, Mahindra & Mahindra, Reliance Industries, Adani Group, Infosys and Wipro all have bases in Singapore. India and Singapore have enjoyed a robust trade relation for many years.

For the fiscal year 2021-22, bilateral trade stood at USD 30.11 billion. Singapore is India’s 6th largest trade partner with a share of 2.9 percent of India’s overall trade. Whereas India is Singapore’s 12th largest trade partner with a share of 2.3 percent in Singapore’s overall trade.

India FDI (foreign direct investment) inflows for 2021 to Singapore stood at USD 18.41 billion while FDI equity inflows to India from Singapore reached USD 15.87 billion during FY2021-22. Cumulatively, Singapore is the 2nd largest investor in India with USD 140.99 billion invested in India from April 2000 to September 2022.

The top sectors attracting FDI Equity inflows from Singapore are the services sector, computer software & hardware, trading, telecommunications, and drugs & pharmaceuticals. Another sector that is set to attract more investments from Singapore is manufacturing.

India has been attracting more manufacturers to its shores since 2014 when Prime Minister Narendra Modi launched the “Make in India” campaign to put India prominently on the global manufacturing map and, in turn, facilitate the inflow of new technology and capital, while creating millions of jobs.

To this end, the government has made it easier for foreign companies to operate in the country. Between 2016 to 2019, India vaulted from 130th place to 63rd place out of 190 countries in the World Bank’s Ease of Doing Business Index.

India aims to further raise the manufacturing sector’s share of gross domestic product to 25 per cent by 2025, from 16 per cent now.

Of late, India has been attracting such companies as Apple, Samsung, Kia, Boeing, Siemens, and Toshiba to shift a significant amount of their manufacturing activity to India. Some of these re-locations have been prompted by COVID-era supply chain disruptions and geopolitical tensions.

Singapore companies which used to mostly manufacture their products in neighbouring Southeast Asian countries and China appear to be doing the same.

Among Singapore firms that have shifted their operations to India are contract manufacturers who support and supply larger large multinational corporations (MNCs), some of whom have re-located to India.

Enterprise Singapore (EnterpriseSG) has been playing a part in helping Singapore firms establish themselves in India to benefit from the opportunities available to them in India due to policies favourable to manufacturers as well as its general economic outlook.

Enterprise Singapore is a statutory board under the Ministry of Trade and Industry of the Government of Singapore. Its aim is to support the development of Singapore’s small and medium enterprises, upgrade capabilities, and help them innovate, transform, and internationalise.

In 2022, the number of Singaporean firms that worked with EnterpriseSG to enter India increased by more than 40 per cent compared to pre-pandemic 2019. Manufacturing was among the top three sectors represented in these companies, alongside information and communications and professional services.

Among the beneficiaries of the influx of MNCs to India is Singapore’s The Hub Engineering which has a subsidiary Reliable Hub’s Engineering India.

Reliable Hub’s Engineering makes and distributes equipment for retail and food services – such as shelves and billing counters and supplies many big brands, including foreign entrants such as Mr DIY, Skechers and Miniso.

Turnover increased almost five-fold from 148 million rupees (USD1.8 million) in 2018 to 723 million rupees (USD8.8 million) in 2022.

Its managing director Ranjit Yadav told Singapore’s Business Times that in the past many foreign companies needed a local partner to enter India and there was a cap on foreign ownership. However, today, 100 per cent FDI is allowed for firms in most types of manufacturing.

Though Reliable Hub’s Engineering is an end-manufacturer, Ranjit said suppliers can also gain from the expansion of manufacturing MNCs in India.

As part of efforts to keep manufacturing in India, the government imposes high customs duties on imported components. This means manufacturers based in India have an incentive to find local suppliers and thus lower their costs, he said.

EnterpriseSG has been working with Indian agencies, for example, the Confederation of Indian Industry (CII) to help Singapore firms capture opportunities to expand in India. Last October, it partnered CII to bring 19 Indian corporates to Singapore for the Industrial Transformation Asia-Pacific event, where business matching sessions were held.

Tamil Nadu, India’s most industrialised state, has been a focal point for Singapore manufacturers and EnterpriseSG. It is home to fast-growing manufacturing clusters with about 39,000 registered factories.

Said G. Jayakrishnan, executive director at EnterpriseSG, “Given the vibrant manufacturing sector in Tamil Nadu, EnterpriseSG is also actively working with Singapore companies to pursue manufacturing projects in the state.” (ANI)

Cannot Miss 4th Industrial Revolution: Modi

By LokMarg 11th December 2022

India cannot afford to miss the fourth industrial revolution, Prime Minister Narendra Modi on Sunday, while stressing that such “repeated opportunities” would not come again.

Addressing a gathering after launching developmental projects in Maharashtra, PM Modi said India had already missed out on making the most out of the industrial revolutions in the past.
“When the first industrial revolution came, India could not take benefit from it. We lagged behind in the second and third industrial revolutions, but today when it’s time for the fourth industrial revolution, India cannot miss it. A long-term vision is pivotal for stable growth and development. India cannot miss the fourth industrial revolution, opportunity won’t come again,” PM Modi said.

Mentioning the need for permanent solutions to problems, the Prime Minister stated that the country cannot move ahead with shortcuts and highlighted that the “base of permanent development is infrastructure”.

“No country can run with shortcuts. A long-term vision is necessary for permanent development and solution. The base of permanent development is infrastructure. South Korea was a poor country once, but it changed its fate through infrastructure. Today the Gulf countries are so progressed also because they have also modernized their infrastructure and future-ready in the last 3-4 decades,” he said.

The Prime Minister also mentioned Singapore’s infrastructure and said that the country made investments in infrastructure and made the right economic policies, and consequently it has become a “big center of the economy” for the world.

“A few decades ago, Singapore was also a normal island country. Singapore invested in infrastructure and made the right economic policies and today it has become a big center of the economy of world. These countries would not have been able to reach the height which they have achieved now if they had followed shortcut politics and looted the taxpayers money,” he said.

“But India has got this opportunity. In the earlier governments, the tax-payers who paid taxes, either it was used for corruption by the earlier governments or for strengthening the vote bank,” PM added. (ANI)

Soon Money Transfers Between India-Singapore Using UPI: Indian Envoy

By LokMarg 11th November 2022

India and Singapore have completed technical preparations to link their fast payment systems UPI and PayNow to enable fund transfers between the two countries instantaneously and at low cost, a move which is aimed at benefitting migrant workers.

The Reserve Bank of India (RBI) and Singapore’s central bank, the Monetary Authority of Singapore (MAS), have been working on linking the United Payments Interface (UPI) and PayNow, a project that is expected to roll out very soon.
“Singapore wants to connect its PayNow with UPI and that project will finish sometime in the next few months when that happens anybody sitting in Singapore will be able to send money to their family members in India,” India’s High Commissioner in Singapore P Kumaran said.

Prime Minister Narendra Modi is likely to announce the project once it is formalized, the envoy told ANI.

The remarks of India’s ambassador to the city-state came ahead of the Asean and related summits, which kicked off in the Cambodian capital of Phnom Penh and is witnessing the participation of leaders of the 10-member regional bloc.

“For us, the practical implications sitting here is that any worker who wants to send small amounts can do so at a fraction of the money they are being charged by the standard money transfer companies. So it is going to be a big benefit to those who instead of sending money in one go can do so in small pieces and it will still cost less,” the Indian envoy to Singapore said.

PayNow is similar to India’s homegrown card payment network RuPay. Apart from this, PayNow has linkages with other countries of Asean, which makes it easier for people to buy and sell within the region.

“PayNow also has similar initiatives with other countries in Asean so when PayNow connects this side with India and that side with Asean countries they can go from India to any Asean country through Singapore. They currently have a project with the Philippines, the Indian ambassador said.

Similarly, Malaysia and Thailand have made a connection with their fast payment systems.

“Eventually we will also have added connectivity and it will reduce transaction costs of remittances,” The Indian envoy said.

Under the proposed linkage, money can be transferred from India to Singapore using mobile phone numbers and from Singapore to India using UPI virtual payment address (VPA).

Approximately there are an estimated 2 lakh workers come to Singapore to work for brief periods and they often send money back home. The UPI-PayNow especially will benefit migrant workers who typically sacrifice about 10 per cent as fees charged by banks for money transfers.

Asean comprises 10 member countries- Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.

The Asean has become the fifth-largest economic community in the world. A linkage such as the UPI-PayNow could become a model for setting up an infrastructure for cross-border payments between India and the Asean countries.

It is estimated that once the PayNow – UPI link gets accepted it will become much more widespread. A system of linking payment systems would make it easier for people to buy and sell within the region by scanning UPI-based QR (Quick Response) codes. UPI-based, Q R code based is much easier.

“Most Indian tourists who come here do not have a RuPay card and even if they have it they might have the domestic RuPay card so it is a bit complicated. So in future, we see a lot of people leaning to digitalisation not carrying a lot of cash not dependant on international credit cards which have very high fees,” the Indian High Commissioner in Singapore said.

Earlier in 2021, the Reserve Bank of India (RBI) and the Monetary Authority of Singapore (MAS) announced the project to link their fast payment systems targeting operationalisation by July 2022.

The new methods of cross-border payments can make money transactions between countries in the region fast and convenient and much cheaper.

Such payment connectivity collaboration in the Asean would benefit migrant workers, tourists, small businesses, and enterprises. (ANI)