Singapore and its strategy to boost the economy with AI.

Singapore has just released the final report of its Economic Strategy Review Committee. A notable point is that the island nation is not pursuing a race to build the world's largest AI models, but rather aiming to become a trusted AI application hub in the region.

A report by the Economic Strategy Review Commission indicates that Singapore is pursuing a different approach in AI development.

According to Straitstimes and many other newspapers, instead of competing to build "frontier models"—that is, the world's largest and most expensive AI models—Singapore wants to become a place where AI solutions are developed, tested, and deployed to solve real-world business and economic problems.

Singapore's advantage lies not in the scale of its data or the number of AI chips, but in its ability to connect the government , businesses, and research institutions to create a highly reliable innovation environment. This approach also aligns with Singapore's long-standing "Smart Nation" strategy: using technology to enhance productivity and maintain economic competitiveness.

According to CNA, AI will be prioritized in areas where Singapore has strengths, such as high-tech manufacturing, finance, healthcare, and logistics. Specifically, in manufacturing, AI will automate production lines and increase factory productivity. In finance, AI will support risk management and fraud detection. In healthcare, AI will aid in early disease diagnosis and alleviate pressure from an aging population. And in logistics, AI will be used to optimize transportation and supply chains, thereby maintaining Singapore's role as a global transit hub.

The core of this strategy is that Singapore does not aim to become the world's largest AI-producing nation, but rather to become a place where AI is applied effectively, safely, and with high commercial potential.

Along with promoting AI, the country is also preparing for the potential impact on the labor market. According to AsiaOne, the government is considering retraining programs, job transition support, and strengthening the safety net for workers affected by automation. Furthermore, the government is focusing on investing in areas where artificial intelligence (AI) can create jobs and career opportunities.

According to experts, if implemented effectively, AI could become a new growth engine, helping Singapore maintain its role as a regional economic and technological hub for the next decade.

Source: https://vtv.vn/singapore-va-chien-luoc-thuc-day-kinh-te-bang-ai-100260521133348822.htm