St.

 Andrew's Junior College

Essential Information on the Singapore Economy
Compiled by SAJC Economics Unit 2010

Section Content Page 

1 Singapore's Gross Domestic Product by Industry 2
Overall GDP at Current Market Prices 3
Per Capita GDP at Current Market Prices US$  3

2 Consumer Price Index and Inflation Rate 4
Price of Oil per barrel 4

3 Singapore's External Trade 5
Singapore's Imports and Exports of Services 6
Singapore's Balance of Payments 7
Stock of Foreign Direct Investment in Singapore 8

4 Singapore's Labour Force 9
Changes in Labour Producitivity by Industry 10

5 Singapore's Non‐Material Standard of Living Indicators 11
Human Development Index (HDI) 11 & 12

6 Readings on Singapore's Comparative Advantages 13‐15

1
Essential Information on the Singapore Economy

1. Singapore's Gross Domestic Product by Industry
 
Year 2006 2007 2008 2009
S$ bn
 GDP AT 2000 MARKET PRICES 216 233 237 232
Goods Producing Industries 67 72 72 71
      Manufacturing 57 60 57 55
      Construction 7 8 10 12
      Utilities 4 4 4 4
      Other Goods Industries1 0.18 0.18 0.17 0.17
Services Producing Industries 137 149 157 153
      Wholesale & Retail Trade 35 37 39 35
      Transport & Storage 20 21 22 20
      Hotels & Restaurants 4 4 4 4
      Information & Communications 9 10 10 10
      Financial Services 24 28 30 29
      Business Services 25 27 29 30
      Other Services Industries 20 21 22 24
Ownership of Dwellings 8 8 8 8
Less: FISIM2 10 11 13 14
Gross Value Added At Basic Prices 202 218 223 218
Add: Taxes on Products 14 16 14 13

Year 2006 2007 2008 2009

Percentage Change Over Corresponding Period of Previous 
Year
 GDP AT 2000 MARKET PRICES 8.7 8.2 1.4 ‐2.0
Goods Producing Industries 10.7 7.1 ‐1.0 ‐1.1
      Manufacturing 11.9 5.9 ‐4.2 ‐4.1
      Construction 3.6 18.2 20.8 16.0
      Utilities 6.0 4.5 2.5 ‐0.4
1
      Other Goods Industries 15.5 ‐3.0 ‐4.0 ‐1.0
Services Producing Industries 8.2 8.8 5.4 ‐2.2
      Wholesale & Retail Trade 10.3 8.0 4.0 ‐9.1
      Transport & Storage 6.9 6.7 2.9 ‐7.0
      Hotels & Restaurants 7.8 6.4 0.9 ‐3.0
      Information & Communications 5.8 6.1 7.3 0.8
      Financial Services 12.3 15.2 6.2 ‐1.4
      Business Services 6.5 10.4 8.2 3.3
      Other Services Industries 4.4 4.2 5.6 5.1
Ownership of Dwellings 1.8 1.1 1.1 0.9
Less: FISIM2 4.9 8.5 18.8 2.1
Gross Value Added At Basic Prices 8.9 7.9 2.4 ‐2.0
Add: Taxes on Products 5.7 12.6 ‐12.7 ‐2.6
Source : Singapore Department of Statistics 
1 
Comprise Agriculture, Fishing and Quarrying.
2 
Refers to Financial Intermediation Services Indirectly Measured.

SAJC Economics Unit 2010 2

Essential Information on the Singapore Economy

S$ bn
Singapore's GDP at Current Market Prices
200

180

160

140

120

100

80

60

40

20

0
Year 2000 2005 2006 2007 2008 2009

Per Capita GDP at Current Market Prices 
45
US$ Thousands

40

35

30

25

20

15

10

0
Year 2000 2005 2006 2007 2008 2009

2009 GDP Contribution by Sector at 2000 Prices

      Other Services 
Industries
11% 2009       Manufacturing
 GDP AT 2000 MARKET PRICES 231,776 24%
      Manufacturing
      Business Services 55,098
      Construction 14% 11,500
      Utilities 3,961       Construction
      Other Goods Industries 171 5%
      Wholesale & Retail Trade
      Financial Services 35,438   Goods Producing Ind 70,730
      Transport & Storage 13%       Utilities
20,338   Services Producing I 153,159
2%
      Hotels & Restaurants 3,961
      Information & 
      Information & Communications
Communications 10,282      Other Goods 
      Financial Services 5% 29,236 Industries
      Business Services 30,285      Wholesale & Retail  0%
      Hotels & Restaurants
      Other Services Industries 2%
      Transport & Storage 23,618 Trade
9% 15%

Source : Singapore Department of Statistics

SAJC Economics Unit 2010 3

Essential Information on the Singapore Economy

2. Consumer Price Index and Inflation Rate
1 2003 2004 2005 2006 2007 2008
Weights 
CPI 2004 = 100
All Items  10,000 98.3 100 100.4 101.4 103.5 110.3
Food  2,338 97.9 100 101.3 102.8 105.9 114.1
Clothing & Footwear 357 99.8 100 99.9 100.6 101.3 102.8
Housing 2,126 100.1 100 100.8 103.5 103.9 117.1
Transport & Communication 2,176 98.8 100 97.8 96.4 98.3 101.6
Education & Stationery 819 95.9 100 102 104 105.3 108.9
Health Care  525 94.4 100 100.4 101.3 105.5 111.5
Recreation & Others 1,659 97.7 100 101.7 102.4 105.6 109.5
Percentage Change Over Previous Year
Annual Inflation Rate 0.5 1.7 0.5 1 2.1 6.5
Adapted from: Singapore Department of Statistics 
1 The weighting patterns of the CPI are compiled from the 2002/3 Household Expenditure 
Survey (HES) results and updated to 2004's price level.

Price of Oil Per Barrel
140
Price (US$)

120 US$
Jan‐06 59.67
100 Apr‐06 66.85
Jul‐06 68.08
Oct‐06 53.58
80 Jan‐07 50.14
Apr‐07 63.25
Jul‐07 73.69
60 Oct‐07 81.27
Jan‐08 85.53
40 Apr‐08 111.03
Jul‐08 125.11
Oct‐08 59.3
20 Jan‐09 42.07
Apr‐09 48.38
Jul‐09 67.5
0
Oct‐09 76.49
Jan‐10 71.99
06

06

07

07

08

08

09

09

10
6

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ay

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Source: www.eia.doe.gov

SAJC Economics Unit 2010 4

 Essential Information on the Singapore Economy

3. Singapore's External Trade (S$ bn)
  2009
2005 2006 2007 2008 I IIIII
 TOTAL TRADE AT 2006 PRICES 729 811 866 919 187 196 213
Imports 341 379 403 442 91 93 100
Exports 388 432 463 477 96 103 113
Domestic Exports 214 227 239 237 50 53 59
‐ Oil 61 59 59 64 15 15 17
- Non‐oil 153 168 180 173 35 38 42
Re‐Exports 174 204 224 240 47 50 54
Percentage Change Over Corresponding Period Of Previous Year
 TOTAL TRADE AT 2006 PRICES 9.5 11.2 6.9 6.1 ‐18.6 ‐16.5 ‐10.5
Imports 8.2 11.0 6.4 9.6 ‐16.7 ‐17.7 ‐11.4
Exports 10.7 11.4 7.4 3.0 ‐20.3 ‐15.4 ‐9.7
Domestic Exports 9.0 6.4 5.2 ‐0.9 ‐19.1 ‐10.7 ‐5.3
Re‐Exports 12.8 17.4 9.8 7.2 ‐21.5 ‐19.8 ‐14.1
Total Trade as a Percentage of GDP (%) 355.5 366.5 336.5 360.4 2009 data unavailable thus far
*At least 3X of GDP for 2005 ‐ 2008

 Total Trade at Current Prices (S$ bn) Distribution of Singapore's Domestic Exports (2008)
2005 2006 2007 2008
600
 TOTAL TRADE AT CURRENT PRICES 715,723 810,483 846,607 927,655
Imports 333,191 378,924 395,980 450,893 Oil
500
19%
Exports 382,532 431,559 450,628 476,762
400
2008 Re‐Exports
48%
Domestic Exports
300 247,618
Non‐oil
‐ Oil 89,526 33%
200
- Non‐oil 158,092
Re‐Exports
100 229,144

0
Source:  International Enterprise Singapore
2005 2006 2007 2008 Year

Imports Exports

SAJC Economics Unit 2010 5

Essential Information on the Singapore Economy

Singapore's Balance of Payments, BOP (S$ millions)
Singapore's Exports of Services (2008) 
Singapore's total exports of service in 2008 = S$117.5bn
2008
Royalties Government
A  Current Account Balance 1% 38,177
0%

Goods Balance 43,470
Communications, 
Exports of Goods 485,690
Computer &  Travel& Insurance
Imports of Goods 15% 442,220
Information
Services Balance
3% 5,626
Other Business 
Exports of Services 117,547
Services
37%
207
Government
Other Business Services 43,104
Construction Transportation 1,265
35%
Singapore's Imports and  Exports of 9,296
Transportation 40,792
Communications, Computer & Info 4,088
Construction
Travel& Insurance 17,610
1%
Royalties 1,186
Singapore's Imports 
and Exports of 
Services (2008) 
8%

Singapore's Imports of Services (2008)
Imports of Services 111,920
Singapore's total exports of service in 2008 = S$111.9bn
Transportation 42,112 Government 775
Government
Travel  20,075 Other Business  26,027
1%
Insurance 3,629 Construction 462
Government 334 Financial 2,710
Construction 462 Communication 3646
Financial 2,710 Travel& Insuran
Other Business  23704
Computer & Information 1,082 Royalties
Services Construction
12926
 1 23%
2,564 Transportation 0%
Communications Transportation 42112
Royalties 38% 12,926 Financial
112,362
441 2%
Social
Other Business Services 25,586 Communications, 
Income Balance ‐7,031 Computer & 
Travel & Insurance Information
Royalties 21% 3%
12%

80,796
Income Receipts

Source : Singapore Department of Statistics 

SAJC Economics Unit 2010 6

Essential Information on the Singapore Economy

Singapore's Balance of Payments, Summary (S$ bn)

Year 2005 2006 2007 2008

A  Current Account Balance 46  56  59  38 
Goods Balance 61  68  71  43 
Services Balance ‐3  ‐1  9  6 
Income Balance ‐9  ‐8  ‐17  ‐7 
Current Transfers (Net) ‐2  ‐3  ‐3  ‐4 

B  Capital and Financial Account Balance ‐30  ‐35  ‐34  ‐16 

Capital Account (Net) ‐0.34 ‐0.37 ‐0.39 ‐0.44
Financial Account (Net) ‐29  ‐35  ‐34  ‐16 

C  Net Errors and Omissions 4  6  4  ‐3 

D  Overall Balance (A+B+C) 20  27  29  19 

E  Official Reserves (Net) ‐20  ‐27  ‐29  ‐19 

Year 2005 2006 2007 2008

Singapore's Balance of Payments Position from 2005 to 2008
A  Current A
80 45,722 56,222 59,092 38,177
B  Capital a ‐29,734 ‐35,132 ‐33,917 ‐16,259

60

40 Surplus
S$ bn

20

0 Year
2005 2006 2007 2008

‐20
Deficit

‐40

A  Current Account Balance B  Capital and Financial Account Balance

Source : Singapore Department of Statistics 

SAJC Economics Unit 2010 7

Essential Information on the Singapore Economy

Stock of Foreign Direct Investment in Singapore by Industry by end of 2007
Total Foreign Direct Investment = S$ 437.3bn (see note 1)
Real Estate, Rental 
Transport &  & Leasing
Real Estate 16,621
Storage 4%
Wholesale & 
Wholesale  75,9857% Retail Trade, 
Manufactu 114,677 Hotels & 
Professiona 14,702 Restarants
Others 6,795 17%
Financial & 179,756
Transport & 28,751

Financial & 
surance Services
Asia 101,080
41%
Europe 192,521
United States & Canada 52,339 Manufacturing
Australia & New Zealand 4,888 26%
South and Central America  and the Caribbe 77,992
Others 8,466
Professional & 
Technical 
Others Administrative & 
2% Support Services
3%

Stock of Foreign Direct Investment in Singapore by Region in 2007
Others
South and Central  2%
America  and the 
Caribbean Asia
18% 23%

Australia & New 
Zealand
1%

United States & 
Canada
12%

Europe
44%

Source : Singapore Department of Statistics 

1
This figure shows accumulated FDI in Singapore over the years ending 2007. As a comparison, 
total FDI in Singapore by end of 2005 was S$323.8bn and by end of 2006 was S$375bn. 

SAJC Economics Unit 2010 8

Essential Information on the Singapore Economy

4. Singapore's Labour Force Information

Year 2005 2006 2007 2008

Labour Force ('000)
Total 2,367 2,594 2,710 2,940
Residents 1,745 1,881 1,878 1,928

Unemployed ('000)
Total 101 88 78 82
Residents 98 84 75 76
Unemployment Rate (Seasonally Adjusted) (%)
Total 3.4 2.7 2.3 2.2
Residents 4.4 3.5 3.1 3.1
Notes:
Total Population comprises Residents and Non‐residents. Residents comprise Singapore citizens and permanent 
residents. 

Singapore's Unemployment Rate (Seasonally Adjusted)
5
4.5
4
3.5
Percentage

3
2.5
2
1.5
1
0.5
0
Year 2005 2006 2007 2008
Total 3.4 2.7 2.3 2.2
Residents 4.4 3.5 3.1 3.1

Source : Singapore Department of Statistics 

SAJC Economics Unit 2010 9

Essential Information on the Singapore Economy

Changes in Labour Productivity by Industry (in %)

Industry 2005 2006 2007 2008

Total 1 2.8      1.6      ‐0.8      ‐7.8  

Total (excluding Construction) 1 2.6      1.8      ‐0.8      ‐7.3  

Goods Producing Industries 2 3.5      3.1      ‐2.7      ‐11.7  

Manufacturing 2.9      3.9      ‐3.1      ‐10.9  
Construction ‐0.1      ‐2.6      5.7      ‐0.6  

Services Producing Industries 2 2.5      1.4      0.1      ‐3.6  

Wholesale & Retail Trade 6.0      5.6      1.5      ‐2.4  
Singapore's Imports and Exports of Services (2008)  2.4      2.5      2.5      ‐4.0  

Hotels & Restaurants 4.0      0.4      ‐6.0      ‐9.0  

Information & Communications 2.1      ‐1.9      ‐3.0      ‐0.8  
Financial Services 1.2      3.2      1.1      ‐6.2  
Business Services ‐1.7      ‐4.6      ‐3.8      ‐5.7  
Other Services Industries 0.9      ‐1.2      ‐2.1      ‐1.3  

Source : Singapore Department of Statistics 
& Ministry of Manpower
Notes : The industries are classified according to the Singapore Standard Industrial Classification 2005.
1
Based on Gross Domestic Product at 2000 Market Prices.
2
Based on Gross Value Added at 2000 Basic Prices.

SAJC Economics Unit 2010 10

Essential Information on the Singapore Economy

5. Singapore's Non‐Material Standard of Living Indicators

1998 2003 2004 2005 2006 2007 2008

Health
Life Expectancy at Birth (yrs) 77.3 79.1 79.6 80.1 80.3 80.6 80.9
Doctors (per 10,000 population) 13 15 16 16 16 16 16
Dentists (per 10,000 population) 2 3 3 3 3 3 3

% of Immunisation for Children at 2 Years of Age
BCG 99 99 99 98 98 99 99
Hepatitis B 96 95 93 96 95 96 97
Measles 97 93 95 96 95 95 94

Education and Literacy
Literacy Rate (%) 91.9 94.3 94.7 95.1 95.4 95.7 96
Mean Years of Schooling 8 8.8 8.9 9.3 9.3 9.4 9.7
% with Sec or Higher Qualification 48.7 55.1 56 59.4 58.8 59.7 63.2

Other Social Indicators (per 1,000 population)
Mobile Phone Subscribers 260 845 927 998 1,054 1,225 1,310
Residential Broadband Subscribers n.a. 88 111 135 158 192 239
Private Cars 92 93 95 97 101 106 107

Number of Cases
Fire Occurrences 6,047 4,540 4,916 5,039 4,702 4,796 4,973

Per 100,000 Population
Overall Crime Rate 1,021 736 735 870 756 715
Source : Singapore Department of Statistics 

2007 Human Development Index (HDI) Ranking of Selected Countries

Country name 1980 1990 2000 2005 2007 2007 HDI rank

Norway 75.7 76.8 78.8 80.0 80.5 1
Japan 76.1 79.0 81.4 82.4 82.7 10
United States 73.9 75.2 78.0 78.7 79.1 13
United Kingdom 73.4 75.7 77.8 79.0 79.3 21
Singapore 71.2 74.9 77.9 79.6 80.2 23
Hong Kong, China (SAR) 74.6 77.1 80.8 81.9 82.2 24
Malaysia 66.7 70.1 72.5 73.7 74.1 66
Thailand 65.9 69.2 68.1 68.4 68.7 87
China 66.0 68.0 71.3 72.6 72.9 92
Indonesia 54.4 61.6 67.4 69.7 70.5 111
Source: http://hdr.undp.org/

SAJC Economics Unit 2010 11

Essential Information on the Singapore Economy

2007 Human Development Index Ranking of Selected Countries by Indicators

Life expectancy at birth Adult literacy rate GDP per capita

HDI value
(years) (% aged 15 and above) (PPP US$)
1. Norway (0.971) 1. Japan (82.7) 1. Georgia (100.0) 1. Liechtenstein (85,382)
21. U.K. (0.947) 11. Canada (80.6) 49. Paraguay (94.6) 5. Norway (53,433)
22. Germany (0.947) 12. Norway (80.5) 50. Kuwait (94.5) 6. Brunei (50,200)
23. Singapore (0.944) 13. Singapore (80.2) 51. Singapore (94.4) 7. Singapore (49,704)
24. Hong Kong (0.944) 14. New Zealand (80.1) 52. Thailand (94.1) 8. Kuwait (47,812)
25. Greece (0.942) 15. Austria (79.9) 53. O. Palestinian Territories (93.8) 9. United States (45,592)
182. Niger (0.340) 176. Afghanistan (43.6) 151. Mali (26.2) 181. P.R. Congo (298)
Source: http://hdrstats.undp.org

SAJC Economics Unit 2010 12

Essential Information on the Singapore Economy

“Over the decades, Singapore Airlines has grown to become one of the most respected brands in the world. Our
quality service and innovative offerings are the tradition and future of Singapore Airlines.”

For many years, Singapore Airlines were riding on its niche of having the best in-flight service.

As more airlines improved their service and narrowed the gap, SIA sought other competitive advantages among
which are

 The most modern fleet

 Outstanding Service on the Ground
 A super entertainment system in its cabins
 Comfort in its First Class cabins at an unparallel level

Adapted from Asia-Pacific Marketing Federation, Marketing Institute of Singapore

The Creation of Singapore Airlines

From a single plane to an internationally respected brand, more than 60 years of innovation and service has
propelled the growth of Singapore Airlines to become one of the world's leading carriers with an advanced fleet.

The Highest Service Today

Singapore Airlines today is built solidly on our history, from the designer bone china flatware to the Bulgari
cologne for First Class passengers, to our advanced fleet of aircraft and motivated employees.

Today, our in-flight service is of the highest order. The Singapore Airlines World Gourmet Cuisine boasts a
selection of exclusive and tantalising signature dishes, specially designed by a panel of nine internationally
renowned chefs, and a wine list selected by three of the world's most discerning wine consultants.

KrisWorld, Singapore Airlines' award-winning and ever-expanding in-flight entertainment system, offers
customers a wide range of entertainment options. Customers can choose from a variety of movies, TV
programmes, music CDs and channels. There is also an extensive selection of video games and interactive
applications including Berlitz Word Traveler, a fully interactive learning programme.

Singapore Airlines became a full member of the global Star Alliance in 2000 and with it came "seamless"
worldwide air travel. With the extensive network of partner airlines, connecting flights, frequent flyer points, and
baggage clearance are now a breeze. Singapore Airlines’ route network reaches out to over 65 destinations
in 35 countries.

A Future of Firsts

Singapore Airlines made aviation history when it became the first to operate the world's largest aircraft, the A380,
on 25 October 2007 between Singapore and Sydney. The A380 also operates to and from London, Tokyo, Paris
and Hong Kong. In addition, Singapore Airlines introduced its Suites, together with cabin improvements in all
other classes while still providing excellent service. The future promises to bring more firsts like these, as
Singapore Airlines continually strives to drive quality service through innovation.

Source: www.singaporeair.com

SAJC Economics Unit 2010 13

Essential Information on the Singapore Economy

Singapore’s Comparative Advantages

Keppel Corporation Limited is a Singaporean company with diversified operations, particularly in the real property
investment, offshore and marine, and infrastructure sectors. It was one of the earliest Singaporean companies to
regionalize, and has since established itself as one of the more prominent Singapore multinational corporations.

With a global footprint in 35 countries, Keppel leverages its international network, resources and talents to grow its
key businesses in Offshore & Marine, Property and Infrastructure.

Keppel Offshore & Marine (O&M) is one of the largest offshore and marine groups in the world.

Its strategic network of 20 yards serving regions including Asia Pacific, Gulf of Mexico, Brazil, Caspian Sea, Middle
East and the North Sea, enables the effective execution of the Group’s Near Market, Near Customer strategy.

In the Offshore division, Keppel FELS is the world leader in the design and construction of mobile offshore rigs,
particularly jackups and semisubmersibles.

In the Specialized Shipbuilding division, Keppel Singmarine has experience in constructing more than 400
specialized vessels. The yard services a global clientele in the design and construction of new buildings such as
Anchor Handling Tug/Supply vessels, multipurpose Offshore Support Vessels and tugboats.

Today, Keppel O&M’s suite of proprietary rig and ship designs has won market acceptance and set benchmarks
globally. Coupled with strong project management and execution capabilities, Keppel O&M has carved its reputation
as a foremost solutions provider in the industry.

Source: www.kepcorp.com

Hyflux is a leading provider of integrated water management and environmental solutions with operations and
projects in Singapore, Southeast Asia, China, India, Algeria, the Middle East and North Africa.

Hyflux membranes are installed in more than 1,000 plants in over 300 locations across the globe such as Germany,
Switzerland, Sweden and even the USA.

Key Driver - Technology and Research & Development (R&D)

Hyflux is a leading technology company that is fully committed to developing new technology applications and
intellectual property as its long-term competitive advantage. It maintains its leadership position in its core business
by engaging in a sustained, market-driven programme of research and development.

Hyflux collaborates with world-renowned research institutions and companies to develop and enhance its research
programmes, expand areas of membrane applications, improve existing technologies and processes as well as
commercialize novel technologies. Partners include the National University of Singapore, CEPAration BV (a spin-off
from leading Dutch technology institute, Netherlands Organization for Applied Scientific Research), Marmon Water
LLC (North America’s largest manufacturer of residential and commercial water treatment systems) and Dalian
Institute of Chemical Physics, China.

Hyflux - More than just water

Today, Hyflux is more than just a water treatment company. It is an integrated solutions provider, offering services
that cover the whole spectrum of research and development, process design and development, manufacturing and
systems assembly, engineering, procurement and construction (EPC), and operation and maintenance of a wide
range of water treatment and liquid separation projects. Hyflux’s strength as a membrane technology company has
enabled it to identify niche applications in several sectors other than water – moving into the field of clean energy in
environmental applications such as the recycling of used oil, processing of bio-ethanol as well as in the production of
bio-based materials such as lactic acid.

Source: www.hyflux.com

SAJC Economics Unit 2010 14

Essential Information on the Singapore Economy

Incorporated in 1974, Temasek Holdings is an Asia investment company headquartered in Singapore. Supported
by 12 affiliates and offices in Asia and Latin America, with an international staff of 380 people, Temasek owns a
diversified S$172 billion (US$119 billion) portfolio as at 31 July 2009, concentrated principally in Singapore, Asia
and the emerging economies.

Temasek's investment themes centre on Transforming Economies, Growing Middle Income Populations,
Deepening Comparative Advantages and Emerging Champions. Its portfolio covers a broad spectrum of industries:
financial services; telecommunications & media; transportation & logistics; real estate; infrastructure, industrial &
engineering; energy & resources; life sciences, consumer & lifestyle; and technology.

Temasek is one of a few global firms with the highest corporate credit ratings by both Standard & Poor's and
Moody's, of AAA/Aaa respectively. It has also consistently attained perfect scores every quarter on the US-based
Linaburg-Maduell Transparency Index for Sovereign wealth funds, a measure of the openness of government-
owned investment funds.

Source: www.temasekholdings.com.sg

The Government of Singapore Investment Corporation Private Limited (GIC) is a sovereign wealth fund
established by the Government of Singapore in 1981 to manage Singapore's foreign reserves. With a network of
eight offices in key financial capitals around the world, GIC invests internationally in equities, fixed income, money-
market instruments, real estate and special investments. Since its inception, GIC has grown from managing a few
billion dollars, to well above US$100 billion today.

With a portfolio this size, they are now amongst the world's largest fund management companies. The group strives
to achieve good long-term returns on assets under our management, to preserve and enhance Singapore's
reserves.

GIC's investment portfolio is managed by its three subsidiaries: GIC Asset Management Pte Ltd (public markets),
GIC Real Estate Pte Ltd and GIC Special Investments Pte Ltd (private-equity investments). In 2008, The
Economist reported that Morgan Stanley had estimated the fund's assets at US$330 billion, making it the world's
third largest sovereign wealth fund.

Source: www.gic.com.sg

SAJC Economics Unit 2010 15