Singapore Advocates Strengthening Engagement with China and India as Economic Powerhouses

Singapore and Southeast Asia must sustain robust engagement with both India and China due to their critical roles in fostering regional development and global economic progress, emphasized Senior Minister of State for Foreign Affairs, Sim Ann, on Thursday. Highlighting the prominence of these nations as major economic forces, Sim underscored their substantial contributions to global affairs during the launch of a thought-provoking series titled “China and India: Two Giants Shaping the Global Economy.”Organized by the East Asian Institute (EAI) and the Institute of South Asian Studies (ISAS) at the National University of Singapore (NUS), the event aims to explore the influence of China and India on global economic dynamics.

The workshop brought together experts and policymakers to deliberate on the monumental influence of these countries, recognized as the first and third-largest global economies in terms of purchasing power parity. Together, China and India account for 35% of the global population and are projected to contribute an impressive 50% to worldwide economic growth in 2024. The inaugural workshop featured insights from distinguished scholars and researchers, including Dr. Li Li, Deputy Director of the Institute of International Relations at Tsinghua University, and Professor C. Raja Mohan, Visiting Research Professor at ISAS.

During her address, Sim Ann emphasized the necessity for Singapore and the broader Southeast Asian region to maintain constructive engagement with both nations. She stressed that their roles as economic and geopolitical heavyweights have far-reaching implications. “China and India are indispensable not only to regional development but also to the broader global economy. Their unique trajectories and strategies present opportunities and challenges that the region must navigate collaboratively,” she stated.

EAI Director Alfred Schipke reinforced this perspective, pointing out the unparalleled significance of the two nations in the global economic framework. “China and India stand as pivotal pillars in the global economic landscape, their combined potential driving half of the world’s economic growth in the coming years,” said Schipke. He added that their influence transcends traditional boundaries, shaping international trade, innovation, and policies to address global challenges.

The collaboration between EAI and ISAS aims to delve deeper into the policies, strategies, and impacts of China and India’s growth trajectories. This initiative will feature workshops and public events, drawing participation from academics, policymakers, business leaders, and practitioners. These dialogues are intended to shed light on how the two nations’ economic approaches can influence global trends, offering valuable insights for stakeholders worldwide.

Dr. Li Li highlighted the interconnected nature of China’s and India’s roles in the modern global order. She noted their unique but complementary approaches to development and innovation. Meanwhile, Professor C. Raja Mohan remarked on the evolving geopolitical dimensions of their economic strategies. He observed that the interplay between China and India’s growth is critical not only for Asia but also for the world at large.

ISAS Director Iqbal Singh Sevea emphasized the centrality of these nations to key global transitions. “Both India and China are pivotal to the future of digitalization and the transition to the green economy,” he stated. Sevea pointed to their significant investments in renewable energy and technology as examples of how they are setting benchmarks for sustainable growth.

Experts at the event also highlighted the challenges and opportunities inherent in navigating relations with both countries. While their rapid growth and technological advancements present avenues for collaboration, their geopolitical competition requires careful balancing. Sim Ann urged Singapore and its neighbors to act as a bridge, fostering dialogue and understanding between the two giants to ensure mutual benefits for the region.

As the world grapples with issues such as climate change, digital transformation, and economic inequality, the roles of China and India are increasingly under scrutiny. Their policies and innovations are expected to shape global norms in trade, technology, and environmental sustainability. Singapore’s emphasis on engaging with these nations aligns with its broader strategy of positioning itself as a hub for dialogue and cooperation in the Asia-Pacific region.

In conclusion, the launch of the “China and India: Two Giants Shaping the Global Economy” series marks an important step toward understanding and leveraging the immense potential of these two nations. With half of the global economic growth expected to stem from their efforts, it is clear that their influence will continue to grow. As EAI Director Alfred Schipke aptly summarized, “As key players in trade and innovation, their influence extends beyond borders, shaping policies and addressing global challenges.” The collaboration between EAI and ISAS serves as a testament to the importance of fostering informed discussions and strategic partnerships in an increasingly interconnected world.