You are here
Merger of Spring and IE Singapore timely in face of global economic changes: Iswaran
WITH global expansion and innovation being increasingly entwined, having a one-stop agency to support firms' development is necessary and timely, said Minister for Trade and Industry (Industry) S Iswaran.
Announced last September, the merger of International Enterprise (IE) Singapore and Spring Singapore to form Enterprise Singapore was formalised on Monday as the House passed a Bill on the new statutory board.
The new agency will continue the work of its predecessors - including the streamlining and review of government schemes and grants, with changes to be announced later this month.
For firms, the goals of capability building, innovation and international expansion "are deeply intertwined and reinforce each other", said Mr Iswaran at the start of the second reading debate on the Bill.
"A company must innovate and deepen its capabilities to successfully expand into overseas markets. Equally, venturing overseas will itself create the scale, impetus and opportunity for businesses to gain new capabilities and expertise."
Spring supports small and medium enterprises (SMEs) in areas such as financing, capability development and innovation, while trade promotion agency IE Singapore helps local firms go abroad.
But changes in the world economy call for a different approach, said Mr Iswaran. First, with global growth's centre of gravity shifting to Asia, firms are realising that Asia's rise provides a chance to internationalise quickly.
Second, e-commerce and digital technology are making it easier to go abroad - and making going abroad more crucial to success.
Finally, expansion today requires deep capabilities and must be driven by productivity and innovation.
Firms must adapt to these changes, and Singapore's economic agencies too must respond by honing their efforts to support enterprise development and internationalisation, said Mr Iswaran. "So, it is necessary and timely to merge the functions and operations of IE and Spring to form Enterprise Singapore."
Enterprise Singapore will take an enterprise-centric approach, offering programmes and support based on a company's stage of growth, the industry it is in, and its overseas markets of interest.
Responding to MPs' concerns at the end of the debate, Mr Iswaran said Enterprise Singapore will help firms in all sectors regardless whether they are covered by the government's Industry Transformation Maps.
He reassured MPs that the new agency will continue the work of its predecessors, such as supporting micro SMEs, organising overseas trade missions, and streamlining the many programmes that support local firms. To ensure continuity, companies within existing schemes will have the same account managers as far as possible.
"We will share more details on any changes to the suite of schemes and grants at the upcoming Budget and Committee of Supply debates," he added.
Calling upon all stakeholders to support Enterprise Singapore's work, he noted that there are, for instance, plans for more group-based projects with SME Centres, trade associations and chambers, and merchant associations to help SMEs in different neighbourhoods or trade precincts upgrade.