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SINGAPORE – Singapore will keep the regulatory burden to a minimum to help businesses foster innovation and manage costs amid growing global competition, said Prime Minister Lawrence Wong. PM Wong said Singapore has done quite well in ensuring a business-friendly environment. “But over time, the rules have grown, and sometimes overgrown,” he said in his “Every few years or so, we have to do a thorough and proactive review of our rules and processes, and prune them back where possible.” One notable example he mentioned was the process for organising drone shows.  Previously, to put up a drone show, the organisers needed a permit for the show, then every drone had to be registered, and eventually every registered drone had to have a sticker on it. That meant that a drone show using 1,000 drones would incur more than $25,000 in compliance costs. Hence, the Government streamlined the process, noting that when drones are used for a specific purpose, like a show, and they stay within a pre-approved area, the aviation safety and security risks are more manageable. Now, only one permit for a show is needed – regardless of how many drones are used – and the sticker requirement has been withdrawn. The cost of a 1,000-drone show therefore has dropped to just $500. However, PM Wong said: “Relaxing some rules also means accepting more risks, and Singaporeans need to understand and support these changes.” He said Deputy Prime Minister Gan Kim Yong will oversee the review of rules and processes and see if some of them can be eased. Mr Gan will chair which also consists of Senior Minister of State Low Yen Ling and ministers K. Shanmugam, Chee Hong Tat, Tan See Leng and Desmond Lee. “I am sure this will improve things, and I hope this will go some way in helping businesses, especially our SMEs (small and medium-sized enterprises),” said PM Wong, speaking at the Institute of Technical Education College Central. He said easing the regulatory burden and cutting the cost of doing business was part of his Government’s efforts to nurture and grow the spirit of innovation and enterprise in Singapore. The initiatives are also part of a major reset of policies and attitudes needed to transform the economy, which is facing new challenges. “The truth is our next phase of economic development will get harder,” he said. “We are competing in a different environment.” PM Wong said that in the past, developed countries were happy to outsource their manufacturing to cheaper locations in Asia. “People used to say ‘invented in California, made in China’ – you get the best of both worlds. That era is over. “Now the slogan is: ‘invented in California, made in the USA’.” He said European and other developed countries, too, are taking the same approach – to rebuild their critical industries, and to reshape global supply chains in their favour. Meanwhile, the developing countries are moving up as they do not want to be left behind. “China has its ‘Made in China 2025’ strategy. It too wants to be technologically self-reliant, and to dominate the industries of the future.” These new realities have changed the global economic environment. “We have to work even harder to stay competitive, and push the frontiers of innovation and productivity. That’s why we are investing heavily in research and development, and in new infrastructure and technologies,” said PM Wong. And those strategies are working, he said. “I’ve met many CEOs of multinational enterprises in recent months. They are all keen to grow their presence here. Because in this troubled world, they see Singapore as a stable, reliable and trusted partner.” Singapore in the past couple of years has seen a surge in investment commitments from global players in industries ranging from semiconductors to pharmaceuticals, that are seeking to avoid intensifying trade and technology competition between global powers. In July 2024, US pharmaceutical giant In June, Vanguard International Semiconductor – an affiliate of Taiwan’s TSMC, the world’s largest chipmaker – said it will invest US$7.8 billion (S$10.3 billion) together with Europe’s NXP And in May, British-Swedish multinational AstraZeneca said it was finalising plans to establish “So we are attracting new investments – these will help us build new capabilities across a range of industries,” PM Wong said. He said home-grown companies are also using their creativity, knowledge, and ideas to grow and expand overseas – such as e-commerce platform Sea, super-app developer Grab and technology firm Razer. Smaller enterprises are making great strides too, he said. He mentioned Morningstar Engineering – which designs and manufactures fully programmable Midi pedals used by musicians worldwide – as one such SME. “You know I enjoy playing the guitar. I’m not performing tonight. But I will tell you a guitar story,” he quipped. The company was founded by two Singapore Management University graduates – Mr James Toh and Mr Benjamin Chia – who are musicians themselves. “Initially it was just a two-man show – they kept their day jobs, operated out of their homes, worked on weekends and evenings to assemble and pack their products,” said PM Wong. But as orders started filling up quickly, they had to focus on the company full-time, and with support from Enterprise Singapore, they participated in trade shows overseas, and grew their brand and market. Now, many professional guitarists around the world who use digital effects for their music would have heard of Morningstar Engineering or used their pedals, PM Wong said. “We will do more to encourage this spirit of innovation and enterprise,” he said.