SG productivity jumps 3.9% per annum despite pandemic: DPM Heng Swee Keat

Heng attributed the growth to the Industry Transformation Maps.

Singapore’s productivity grew 3.9% per annum between 2019 and 2021 despite the pandemic, Deputy Prime Minister Heng Swee Keat revealed at the Singapore APEX Business Summit.

In his speech, Heng attributed the productivity growth to the government's Industry Transformation Maps (ITM) amongst others, which he said has put the country in a “better position to face more frequent global shocks.”

The ITM, which was started in 2016, also enabled Singapore to better withstand the COVID-19 shock, according to Heng.

“We made a concerted effort to tap on growth sectors, but there was no certainty of knowing which industries will succeed and which new ones will emerge. So we invested in strengthening our macro-economic fundamentals and the microeconomic foundations of each industry,” Heng said.

“Instead of seeking to pick winners and losers, we promoted the foundations of a ‘networked eco-system involving all stakeholders – from the business community to our workers and unions, to government, and also researchers and the media. We built stronger foundations for every industry, stronger linkages within and across industries, and stronger bonds between stakeholders,” the DPM added.

Before the ITMs, Singapore’s productivity growth stood at 2.3% per annum, upon its implementation, between 2016 and 2019, productivity increased at 2.7% per annum.

Heng said the ITM encapsulates Singapore’s economic transformation efforts which will help the country remain resilient in the endemic world where global shocks will become a regular feature.