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By Anthony Kila
Singapore, an island nation, is a small country with limited natural resources that has gained recognition as a global economic powerhouse. Unlike many of its Southeast Asian neighbours, Singapore lacks natural resources such as oil, gas, minerals, or substantial agricultural land.
The country serves as practical evidence that overcoming geographical and other challenges is achievable through strategic vision, effective governance, strong institutions, and a commitment to innovation. It remains a role model for nations striving to achieve economic success without relying on natural resources.
Singapore’s journey began with its independence in 1965 and included significant challenges such as its small land area (only 728 square kilometres today), limited access to raw materials for industry, a growing but predominantly unskilled population, and a heavy reliance on imports for food, water, and energy
Students of developmental studies recognise that Singapore’s journey to becoming an economically prosperous nation began with and continues to focus on human capital development. The country swiftly established world-class universities and research institutes while implementing policies to attract global talent to address its skills and knowledge gaps. Additionally, it positioned itself as a business-friendly nation with free trade policies, low taxes, and transparent regulations, making it home to nearly 5,000 global corporate regional headquarters today. The Singapore Stock Exchange (SGX) and its banking sector are among the strongest in Asia.
These general factors have made Singapore prosperous and continue to rank it highly in global indices. Today, let us look at a specific sector that has significantly contributed to Singapore’s growth and status: aviation.
Singapore is a model for aviation-led economic growth by all standards, demonstrating how strategic investment in airports, airlines, and aviation-related industries can drive national development.
Offshore, numerous countries can learn from Singapore how to effectively harness aviation to foster economic prosperity through trade, tourism, business, and innovation by developing world-class infrastructure, investing in its national airline, and positioning itself as a global logistics hub.
With an estimated 2.64 million working adults aged 20 to 64, the aviation sector provides jobs for nearly 200,000 individuals. Any sector that can employ nearly one in ten individuals in any society is worth considering an asset to be monitored and fiercely protected
These achievements do not happen by chance. As Khaw Boon Wan, a former Minister for Transport, proudly and rightly noted, “Singapore has positioned itself as a leading aviation hub, not by chance, but through strategic planning and continuous investment in infrastructure and technology.

Changi Airport in Singapore
The Changi Airport has been intentionally designed to function as a global hub. It accommodates over 68 million passengers annually and connects more than 100 airlines to 400 cities worldwide. Furthermore, it is recognised as one of the best airports in the world and is celebrated for its efficiency, innovation, and passenger experience. The International Air Transport Association (IATA), the premier airline trade association established in 1945, describes Changi Airport as a “world-class example of how airports can seamlessly blend efficiency, technology, and passenger experience.”
The emphasis on logistics and trade is noteworthy for those eager to learn. Changi’s cargo operations are a cornerstone of regional and global trade, positioning Singapore as an international logistics centre. The airport contributes approximately 5% to Singapore’s GDP. Three key aspects of Changi Airport are its commitment to continuous maintenance, innovation, and expansion.
In some circles, it is often said that a country requires three things to be a country: a national territory, a national flag, and a national airline. Singapore Airlines (SIA), the country’s national carrier, is now a premium service airline that effectively flies the country’s flag worldwide and brings people to its territory by promoting tourism and business travel. It is also recognised as one of the best airlines in the world.
To achieve and maintain all these goals, SIA remains continuously committed to strategic partnerships with alliances such as Star Alliance, which enhance connectivity and competitiveness. Aviation Week, an authoritative publication in the sector, noted that “Singapore Airlines represents the gold standard in aviation, where service excellence meets innovation.
Aviation in Singapore is more than just the transportation of people and cargo; the country also serves as a hub for Maintenance, Repair, and Overhaul (MRO) services, as well as aerospace development. Singapore accounts for over 10% of the global aviation MRO market and is home to major aerospace firms, with companies like Rolls-Royce, ST Engineering, and Pratt & Whitney operating large facilities there. A deliberate and rigorous effort has been made to invest in research and development (R&D) initiatives and innovative aviation training programmes that nurture and develop a skilled workforce
The Singaporean aviation model for economic growth showcases a compelling public-private partnership story that many offshore can and should learn from. Singapore’s aviation success arises from strategic collaborations between the public and private sectors. In addition to the government, the key players in Singapore’s aviation include airlines, retail companies, real estate developers, and general investors, whose interests and skills interact to effectively balance government support, private sector efficiency, and global competitiveness. This model has driven economic growth, created jobs, and positioned Singapore as an international aviation leader.
Some initiatives generated by the public-private partnership include terminal expansions (T3, T4, and T5) at Changi Airport, funded through private-sector investments and government support. Another project is Jewel Changi Airport, which opened in 2019. It is a $ 1.7 billion joint venture between Changi Airport Group and CapitaLand, a real estate giant. Jewel Changi Airport combines retail, entertainment, and aviation services
In the Singaporean aviation narrative, the government’s most significant contributions that public policymakers should consider are its strategic vision and the resulting policies that foster growth and development. For instance, the Changi Aviation Hub initiative is a deliberate long-term strategy to enhance Singapore’s role as a leading aviation hub and position the country as a major economic force. In the words of Lee Hsien Loong, Prime Minister of Singapore, “Changi Airport is not just an airport; it is a symbol of Singapore’s ambition and commitment to excellence.
Investments supported this vision, but investment alone is insufficient; policies like the open skies policy, which encourages international airlines to operate in Singapore, thereby enhancing competition and connectivity, have also been introduced. An aspect that cannot be overstated in the Singaporean model is the importance of focusing on sustainability goals. In their effort to ensure they are not left behind in any area of development and to assert their cutting-edge status, policymakers and managers in Singapore’s aviation sector are highly focused on green aviation, including sustainable fuels and eco-friendly airport operations
For those intending to learn and understand how aviation can extend beyond ferrying goods and people, Singapore is worth considering as a model for aviation-led economic growth.
Join me if you can, @anthonykila, to continue these conversations.
* Anthony Kila is a Jean Monnet Professor of Strategy and Development at the Commonwealth Institute of Advanced and Professional Studies