Question

Ms Foo Mee Har: To ask the Minister for Trade and Industry how does the Government intend to manage significant investments in critical entities to protect national assets and critical industries.

Written Answer by Minister for Trade and Industry Gan Kim Yong

1. To strengthen Singapore’s position as a trusted hub for businesses to invest with confidence, we must ensure that investments into critical entities do not affect Singapore’s economic resilience and national security interests.

2. Today, there are ownership and control safeguards in sectoral legislation covering critical sectors, such as electricity, telecommunications, and banking and finance. For example, investors have to seek specific approvals from the relevant regulatory bodies.

3. Globally, many countries have introduced or tightened their regulatory regimes to screen investments for national security reasons, with more countries including traditionally open economies, such as Ireland and Switzerland, planning to do so as well.

4. As part of our regular review of the efficacy and adequacy of our national security safeguards, the Ministry is now exploring new tools to manage significant investments into critical entities. We will be seeking feedback from industry representatives to better understand their perspectives, and minimise the impact on businesses and investors.