this is Singapore to many it's seen as one of the biggest economic success stories of the last century turning an underdeveloped island into a sprawling Metropolis in just over 60 years in the process its economy has grown to be 20 times larger and lots of people have got really rich incomes went from the same level as Mexico or South Africa to now being one of the best paid destinations in the entire world this economic model was continually praised but as Singapore has continued to expand a hidden set of problems has been growing out of sight
their economic success has been so great that now many people can simply not afford to live there in the last few years prices for almost all aspects of daily life have skyrocketed and behind the shiny Metropolis of highrises in glittering malls Urban poverty has been gaining speed many people think that because it's not visible poverty in Singapore doesn't exist but a 2018 study by the National University of Singapore estimates that 12% of households in Singapore do not earn enough to meet their basic consumption needs while over a quarter of households don't earn enough to keep
up with the rest of the country is therefore no wonder that every year more and more people are deciding to leave to live a better life elsewhere as not only is cost of living on the rise but Singapore looks like it's about to face its first housing crisis in decades as as both renting and buying property is increasingly becoming a dream in 2022 a report from CNA indicated that rental prices had reached record highs causing some individuals to spend up to 70% or more on their rent this shouldn't come as a surprise as Singapore is
a small island roughly half the size of greater London but home to more than 5 million people giving it the third highest population density of any country in the world and as it's continued to grow space is running out meaning properties which do exist are becoming ever more expensive whilst this may be good for developers it has a real cost on average singaporeans and combined with the incredibly stressful work culture and lifestyle people are finding it tougher to get by than ever before there's no doubt that Singapore has been an incredible success but in this
Whirlwind expansion many have been left behind or simply forgotten about and this problem is spreading to affect more and more people so let's take a look at how Singapore got so rich and the cost that it's having on its citizens I'm really happy to announce the sponsor of today's video incognet if you use the internet as much as me then your data will have ended up all around the web when you make online purchases or create accounts what's worse is that this data is actually being collected by brokers who are analyzing and selling it to
buyers all over the planet I've had my data stolen in the past and trust me it's not fun and it involves involves endless hassle trying to fix it there are specific websites where people can directly find your information and all someone needs to do is input your name and get access to information like your address phone numbers employment and even info on your children which is why incognate is such an important Service as it removes all the data from Brokers on your behalf this process is 100% automated and all you have to do is create
an account grant them access to work on your behalf and then kick back and watch as your data disappears and the amount of spam you receive drops to zero it's really that easy and all you need to do is visit incog docomond and use the code invisible hand at checkout this will get you a special 60% off an annual plan so check the link in the description to get started the 9th of August 1965 is a day which will go down in history across the world after nearly 150 years of British occupation and then 2
years as part of the new Federation of Malaysia Singapore became an independent country coming under the leadership of one of the most influential figures of the 20th century Lee Quan Yu he had led the campaign for Singapore's Independence and is the person who transformed the tiny Island into the economic Powerhouse we know today when Singapore first gained independence it was largely discounted for a few different reasons Not only was it largely impoverished with around 2third of the population living in in slums but compared to their neighbors Singapore had practically no natural resources Malaysia at the
time was a leading exporter of things like tin and rubber and also had large proven oil reserves but by comparison Singapore was Tiny with relatively little to fall back on and also faced a real risk of political instability fortunately for Singapore its new leader was a Visionary and acted decisively to set the country up lewu recognized that the only Reon Singapore had was its people and hard work and to fully utilize this he took three key actions which were not obvious at the time but in hindsight Stand Out is being influential first was the adoption
of English as the national language of Singapore at the time this faced a lot of opposition from those who favored keeping cultural Roots but this was decisive in transforming Singapore into the international business H is today and also helped with his second major action to do everything possible to attract top Global Talent again people thought Singapore should follow other Southeast Asian countries in a more protectionist approach but Lee again disagreed and insisted on importing expertise to build a strong foundation for growth the third and final action was a zero tolerance approach to corruption it's common
for newly formed countries with so much potential to be ruined by corrupt actors but by establishing a zero tolerance approach and paying politicians well Lee ensured that Singapore's governance was highly effective and kept Integrity by doing this Singapore was attracting investment from abroad whil also focusing on developing its own citizens as a resource in order to attract more investment and talent it would need highly skilled people of its own and so Lee began to develop its own Advanced education system he was a firm believer in meritocracy and this was reflected in the school systems with
something called streaming which from 1980 separated children at a young age into three groups Express normal academic and normal technical based on their test results essentially from a very young age children would be separated based on tests and those at the top would be given favorable opportunities such as access to better teaching to maximize their potential and this would be compounded throughout their education with a highly educated hardworking and English speaking Workforce Singapore began to attract investment on a scale never seen before and quickly emerged as a leading Global Hub for finance and Professional Services
also throughout this period the population boomed as economic opportunities increased and people felt more comfortable about starting a family as a consequence since its formation Singapore's population has increased by three times leading to measures at some points to stop people from having more than two kids to keep a lid on the situation there's no doubt that in this period Singapore was booming and every year more and more people were attracted by generous work visas and lucrative jobs but these were slowly building some bigger issues which Singapore is now only starting to deal with today the
nation grapples with an overstretched stressed Workforce a housing affordability crisis and a cost of living problem all of which stem from past policies and require urgent attention to secure a sustainable future perhaps the most important issue for people living in Singapore is that of housing not only are there not enough homes but the ones which exist have become unaffordable for the vast majority of the population making home ownership for firsttime buyers nearly impossible without an income far above the average or financial support from family members despite being a very small island housing hasn't been an
issue in Singapore until recently this is because in the 1960s the Singapore government established the Housing and Development board or hdb to address severe housing shortages and improve living conditions for its citizens they rapidly constructed aordable public housing units transforming the urban landscape and providing homes for the majority of the population by offering subsidized flats for sale and Lease the government not only alleviated housing scarcity but also promoted home ownership as a means of social stability and economic growth today over 80% of residents now live in high-rise public houses housing blocks provided by hbd on
leasehold land however despite previous successes recent challenges have emerged in maintaining the affordability and accessibility of social housing as Singapore's population continues to grow and urbanize demand for hdb Flats as outpaced Supply leading to increased competition and Rising prices in the resale market and the government now faces the difficult task of balancing development with limited land resources which has resulted in fewer new Flats being constructed htbs also have restrictions placed on them which alienate certain parts of the market known as the sandwich class who earn too much to qualify for public housing but not enough
to afford private homes despite measures including government subsidies loans and housing grants to offset Rising prices affordability has declined Singapore's private homes have surpassed Hong Kong to become the Region's most expensive boasting a median PR price of $1.2 million us Singapore's affordability ratio also stands at 13.7 which means homes on average cost 13.7 times more than the median income which places it in line with some of the world's most unaffordable cities in Sydney and Vancouver and well above many of its neighbors housing is usually people's biggest expense and so it's no wonder that as this
becomes less affordable more and more people are choosing to leave but aside from costs major aspects of life in Singapore are starting to drive people away namely the incredibly intense work ethic and this is no coincidence either throughout his time in charge lewu stressed the importance of hard work framing it as a civic duty for every citizen to contribute to lifting the country to Upper income status this focus on diligence and achievement has undoubtedly helped transform Singapore into the economic Powerhouse it is today however it's also fostered a societal mindset that values constant achievement and
competitiveness known as kiasu the Singaporean philosophy of kiasu roughly translates to fear of losing or fear of missing out and reflects a cultural inclination towards competitiveness and the avoidance of losing out on opportunities Liu's emphasis on hard work contributed to the development of this mindset which permeates across various aspects of life including education work and social interactions while kiasu drives ambition and success it also has detrimental effects the constant pressure to Excel and be the best can lead to heightened levels of Stress and Anxiety contributing towards burnout especially in academic and professional settings a recent
survey found that over 40% of singaporeans would consider quitting their jobs for a better work life balance and around one in four people were dissatisfied with their jobs far higher than in Indonesia and the Philippines adding to wo levels of mental health this competitive mindset is further intensified by the practice of streaming in Singapore's education system which sorts students into different academic tracks based on their abilities which has meant around 16% of children aged 4 to 21 displayed symptoms consistent with depression or anxiety due to the immense pressure on students to perform well academically to
secure their future success those who are placed in lower academic tracks such as the normal stream often experience psychological impacts feeling a sense of defeat and resignation that can hinder their academic and personal development this also adds to social division amongst students by reinforcing social divides and limiting interactions between students of different backgrounds and abilities often leaving those who do not Excel academically feeling marginalized and without the necessary opportunities to succeed later in life the high levels of Stress and Anxiety associated with maintaining success and Financial stability has caused Singapore another problem people are simply
not having enough kids singaporeans prioritize career advancement and Financial Security over starting a family and this trend is exacerbated by the High Cost of Living especially housing which necessitates dual income households and further delays decisions about marriage and children as a result Singapore faces a low fertility rate one of the lowest in the world narrowly ahead of South Korea with many couples choosing to have fewer children or none at all due to the demands of Modern Life this has got so bad that it's led to a wide public policy initiative encouraging couples and families to
have more children and have them earlier the societal expectation of high achievement and the economic pressures associated with raising children in such a competitive environment make Family Life seem dating and financially burdensome and even though streaming was recently abolished this constant pressure of success remains high and ingrained into culture and many people don't want to face raising kids in this Society this isn't a massive problem just yet but it will be as the population will get older and have fewer and fewer people to collect taxes from and pay for the running of the country what's
funny is that Singapore is hailed as an economic Triumph in almost every country you see countries being labeled as the Singapore of Africa or even plans to transform London into Singapore on temps and yes what the country has achieved has been incredible and it is to be praised but the issues this has created cannot be ignored and unless they are addressed they will be causing Singapore some real pain in the future
