INVESTMENT POLICY (Results of implementation)

Mr Teong Eng Siong asked the Minister for Finance what has been The result of the implementation of the Government's policy to encourage investments, and how many cases of new foreign and local investments there have been since January, 1974.

The Minister for Finance (Mr Hon Sui Sen): Sir, these figures for investment appear in my Economic Survey of Singapore for 1975, which the Member for Sembawang will now have received a copy. I do not know whether he wishes me to repeat them.

For 1975 the Member will see from page 62 (Table 3.4, cols. 151-2.) that investment commitments came to $400.4 million, of which $267.3 million were from foreign companies and $133.1 million from local investors. They were for 54 projects, of which 27 will be wholly foreign-owned. 21 joint ventures and six wholly locally-owned. The figures used are for investment commitments as the indicator of our results in investment promotion.

Investment commitments comprise the amount recorded by the Economic Development Board, which foreign and local industrialists have firm plans to spend on fixed assets in new projects and expansion of existing plants. Investment commitments for 1975 fell short of our previous record. In 1974, investment commitments came to $821.8 million, of which $678.4 million are foreign and $1 43.4 million local. These were in 56 projects, of which 28 were wholly foreign, 20 joint ventures and eight wholly local.

With the recovery in the world economy, entrepreneurs, both foreign and local, will be more prepared to invest. Together with reinforced promotion efforts. I expect the results for this year will improve.