Once Again, Singapore Can and Taiwan Cannot

Once Again, Singapore Can and Taiwan Cannot
China Times editorial (Taipei, Taiwan, ROC)
February 20, 2008

A joke has been circulating on the Internet. Citizens from several countries are asked the same question: "What's your personal opinion regarding food shortages throughout the world?" Citizens of each country respond differently. Americans, living amidst abundance and accustomed to waste, respond, "What's a shortage?" Ethiopians, living amidst famine and extreme poverty, respond, "What's food?" Singaporeans, living under one-party, one man rule, respond, "What's a personal opinion?" This is of course is an ironic commentary on Singapore's lack of freedom of expression and thought. But there is no denying that despite being closed to threatening political ideas and opinions, Singapore has demonstrated an economic strength over the past few decades that Taiwan is unable to match.

Both Singapore and Taiwan must cope with the same economic environment. Both must deal with the gravitational pull of the Chinese mainland. Both must deal with competition from Shanghai and Hong Kong in maritime shipping. Both want to become regional operations centers. But Singaporeans regard such challenges as perfectly normal. They don't blame heaven and earth for their lot in life. Nor do they see the mainland China market as Forbidden Territory, where they dare not set foot. Although Chinese constitute a supermajority in Singapore, the nation's ethnic composition is highly varied. Malays and Indians occupy a considerable minority. Yet nobody in Singapore screams about who does and does not "Love Singapore." Who does or does not have a Green Card.

During the rise of mainland China over the past decade (1996 - 2005) Singapore experienced a 5.16% annual average growth rate, putting Taiwan to shame. Singapore recently experienced a financial surplus. It was able to give the public a tax refund. This truly makes one envious. Singapore's Sovereign Fund has received positive reviews and made a deep impression on outsiders. The fact that each citizen is receiving several hundred thousand dollars in tax refunds is considered no big deal. It is viewed as nothing more than an unexpected windfall. What we must not underestimate is the hidden social and economic potential within Singaporean society. That is the basis of Singapore's continuing ability to create wealth for their citizens year after year.

According to a report in the latest issue of The Economist, Singapore's Sovereign Fund is a major international fund for which the global economy is familiar hunting ground. Not long ago, Taiwan's Changhua Bank was for sale. Singapore's Temasek arrived to make a bid. The public probably still recalls. According to The Economist, Singapore's Sovereign Fund has about 330 billion in US dollars. It is second in total assets only to the United Arab Emirates, with 875 billion in US dollars, and to Norway, with 380 billion US dollars. Mainland China is still authoritarian. For the government to authorize the establishment of sovereign funds isn't necessarily praiseworthy. But Singapore's establishment of a Sovereign Fund is an expression of its pride, something which Taiwan today lacks.

First of all, if a Sovereignty Fund can strut its stuff on the global stage, that means the government has allowed it enormous flexibility. Only then can it avoid being manipulated by international money managers. For a government to grant a fund manager flexibility is not difficult. The difficulty is in retaining rule of law oversight. For years Singapore's government has demonstrated a high degree of efficiency. Despite one-party rule, the ruling party's system of oversight is able to ensure efficiency. One rarely hears of corruption. On Taiwan, by contrast, the DPP toppled the KMT by shouting anti-corruption slogans. Yet during the DPP's eight year long rule what has it done but engage in corruption on a scale never before imagined? Although the Republic of China government has over 100 billion in foreign exchange reserves, does it really dare turn over these billions in funds to the ruling authorities to dispose of as they see fit?

Over the past eight years, the ruling DPP has engaged in rampant corruption. Over the past half year, despite imminent regime change, it has attempted to establish a company named "Taiwan Goal." The purpose of Taiwan Goal is to evade legislative oversight and illegally pocket billions in arms kickbacks. These vicious politicians, devoid of any sense of honor, are intent on getting while the getting is good. If ROC China taxpayers were to turn hundreds of billions of dollars in assets over to their ilk, who knows what kind of scandal would ensue?

Singapore government officials are exceptional. Their management of state owned enterprises is second to none, even that of private enterprises. That is why Singapore is enjoying a fiscal surplus. That is why it can effectively operate its immense Sovereign Fund. On Taiwan, by contrast, our Minister of Education neglects his duties. He spends his days tearing down Chiang Kai-shek name plaques, "de-Sinizicing" public school textbooks, changing "zhongwen" to "huawen," and other pointless activities. Our Minister of Finance meanwhile, appears politically lost. One day he wants to cut this tax, the following day he wants to change that tax. He is utterly incapable of suggesting any coherent policy. Our Minister of Finance knows only how to implement the ruling regime's Closed Door Policies or to abet its corruption. It brokered the sale of Taiwan Television Company. It dared not raise gasoline prices amidst the energy crisis. Our Financial Supervisory Commission knows only how to promote the ruling regime's Orwellian "Second Financial Reform." It lacks the courage to allow businesses to invest on the mainland. If Taiwan were to establish a Sovereign Fund and turn it over to this bunch of incompetent thieves, what result could one reasonably expect?

Look at how Singapore has returned its fiscal surplus to its people. Look at how its Sovereign Fund shines on the international stage. Now look at Taiwan's current problems and challenges. After eight years of struggle, our future is rapidly slipping away. How will a new administration deal with this predicament? That will be their greatest challenge.

中時電子報
中國時報 　2008.02.20
再一次的「新加坡能，台灣就是不能」
中時社論

　網路上流傳著一則笑話：同樣一個問題「請問你對世界糧食短缺有什麼個人意見？」用來問不同國家的人民，會得到截然不同的答案。面對這個問題，生活富裕、浪費成習的美國人會回答「什麼是短缺」？久處飢荒、生活赤貧的衣索匹亞難民會回答「什麼是糧食」？至於一黨獨大、一元領導盛行的新加坡人則會回答「什麼是個人意見」？這笑話當然是諷刺新加坡對言論與思想之不夠開放；但是不必諱言，思想言論之封閉是一回事，該國過去數十年所展現的經濟實力，卻是台灣所無法望其項背的。

　就經貿大環境而言，新加坡與台灣一樣，都面對中國大陸的投資磁吸、都面臨上海與香港的運輸競爭、都想成為亞太營運中心。但是新加坡人將這些挑戰視為當然，沒有怨天尤人、也沒有將中國大陸市場視為千萬不能去的禁地。新加坡雖然華人居多，但民族組成極為複雜；馬來、印度人都為數不少，然而他們卻沒有整天在吵嚷誰愛星洲誰不愛、誰有綠卡誰沒有。終於，在中國崛起的過去十年間（一九九六﹣二○○五），新加坡創造出五．一六％的平均經濟成長率，令台灣相對汗顏。這一次，星洲出現財政盈餘，能夠將金錢退給人民，頗為令人豔羨。另一方面，該國主權基金（sovereign fund）在外頻有斬獲，也令人印象深刻。其實，每個國民分財政盈餘數十萬還算小事，畢竟那只是一年的意外之財。我們所不能小覷的，是這財政盈餘背後所呈現的潛在社會與經濟實力，那才是他們將來年復一年創造潛在全民利益的基礎。

　據《經濟學人》雜誌最近某一期的報導，新加坡的「主權基金」是國際間極為大尾的資金作手，經常在國際間尋找獵物、下手投資。不久之前，台灣的彰化銀行要賣，新加坡的淡馬錫還來台投標，國人應該還記憶猶新。《經濟學人》報導，新國的主權基金為數約在三千三百億美元之譜，次於阿拉伯聯合大公國的八千七百五十億美元與挪威的三千八百億美元。中國大陸基本上仍是極權國家，由政府授權設立主權基金，未必有值得稱道之處。但新加坡成立主權基金，卻表示其國家有若干傲人的特質，令台灣難望項背。

　首先，主權基金要在國際間盡情揮灑，表示其政府基金管理極富彈性，才能不輸給國際上的職業作手。授予政府部門基金經理人彈性其實不難；能夠在彈性授權之下還保留法制監督，那才是可貴之處。新加坡多年來行政效率奇佳，雖然是一黨獨大，但執政黨的監察系統卻能充分發揮效益，鮮少有貪汙舞弊的新聞。反觀台灣，民進黨當年以打倒國民黨貪腐以為口號，卻在八年執政期間爆出前所未有的貪腐劣跡。台灣即使有千餘億外匯存底，又怎麼敢把千億基金交給這樣的執政當局去操作？不但八年執政貪瀆不斷，即使在政權可能移轉的最後半年，都還吃相難看地成立什麼鐽震公司，意圖逃避國會監督，染指數百億的軍火回扣利益。這一群政客如此邪惡的嘴臉、如此不知羞恥地撈好處，若是台灣人民再將數千億主權基金交到他們手上，那真不知道會鬧出什麼樣的醜聞。

　其次，新加坡政府公務人員的素質奇高，經營政府絕不比經營民間企業遜色，如此才會有財政結餘、才能有效率的營運鉅額主權基金。反觀台灣，我們的教育部長整天不務正業，盡搞些大中至正匾牌、教科書去中國化、華文取代中文等無聊至極的政策。我們的財政部長對政治環境一片茫然，三天兩頭要降這個稅、改那個稅，完全理不出施政方向。我們的經濟部長則是曲意配合當局的種種閉鎖、扭曲政策，只能在辦公室撮合台視公司買賣、在能源危機中不敢堅持油價調整。我們的金管會則是大力主張二次金改，卻又不敢開放業者登陸的兩面人。台灣若真有主權基金，交給這一群唯諾無能之輩去操作，又怎麼可能玩出什麼好結果呢？

　總之，看看新加坡以財政盈餘向全民發紅包、再看看他們以主權基金在國際間披荊斬棘，一葉知秋，我們就能看到台灣當前的問題與挑戰。經過八年的折騰，我們的機會正在快速流失。新政府要如何因應困局，那真是個極大的挑戰。