Singapore Miracle: The city state on a knife's edge

Singapore has become one of the world's richest nations under the authoritarian paternalism of the dominant People's Action Party led by the remarkable Lee Kuan Yew. Despite its democratic shortcomings, or maybe because of them, politicians around the world find much to admire in this unique city state, where technological progress and largely unfettered capitalism go hand-in-hand with compulsory saving and stringent laws governing personal and civic behaviour.

But however good the government, Singapore cannot avoid its dependence on regional stability and foreign investment and, while it has so far managed to ward off the worst effects of the economic and social crises afflicting the region, it is beginning to feel a chillier wind. Nor can it forever keep out those 'malign' western influences which so disturb its large neighbours.

In future Singapore will have to run even harder to keep up with the standards it has set for itself.

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