Singapore expects defence spending to increase ‘literally all over the world’, top diplomat says

Foreign Affairs Minister Vivian Balakrishnan said faith in a rules-based global order that provided a formula for peace and prosperity had been shaken
The post-World War II peace dividend of the past 80 years is ‘over’ and countries would seek a ‘flight to safety’ through defence spending, he said

Singapore

Bloomberg

Published: 1:03pm, 6 Mar 2023

Why you can trust SCMP

Singapore’s Foreign Affairs Minister Vivian Balakrishnan said growing defence spending, including by China and across Asia, is evidence a peace dividend after World War II that fuelled global economic growth is largely over.

“The last seven, eight decades of the peace dividend after the Second World War is over, and you’re going to see increased defence expenditure literally all over the world,” he said in an interview on Monday.

“Certainly in the case of Europe, America still spends more than anyone else, several times more than even China.”

Southeast Asia has grown more vocal over the prospect of a conflict in Asia amid fierce competition between the US and China, as Russia’s war in Ukraine further sours ties between global powers.

01:53

Russia is ‘launching new offensives’ in Ukraine, says Nato chief

The region’s concerns lie in the brewing tensions over Taiwan, and China’s military assertiveness in the disputed South China Sea.

China said on Sunday that defence spending this year would grow by the fastest pace since 2019 at 7.2 per cent, suggesting a ramp up amid growing rivalry with the US.

Beijing also kept its language regarding Taiwan largely intact in an annual report, implying that President Xi Jinping is maintaining a policy of “peaceful reunification” with the self-governing island.

“I expect to see greater expenditure all around, including within Asia,” Balakrishnan said, adding that the spending boost in China and other countries doesn’t necessary imply there’s an arms race.

“My point is to recognise the reasons behind this. The rules-based world order, the focus on economic integration, liberal economics, free trade, all that was a formula for peace and prosperity and now the faith in those pillars has been shaken. It’s a flight to safety in a way.”

While the region has largely refrained from choosing sides between the US and China, that’s becoming more difficult for some.

Philippine President Ferdinand Marcos Jnr reacted to a record number of Chinese incursions in waters it claims by granting the US greater military access while Malaysian Prime Minister Anwar Ibrahim has said welcoming military forces is the wrong approach to de-escalating tensions.

Singapore has meanwhile rebuffed any attempts by countries to pick a side with Balakrishnan telling parliament last month that “we will not be a proxy or a stalking horse for any superpower”.

This is an area where China can afford to be and should be more generous to the smaller, weaker states in Southeast Asia

Singapore’s Foreign Affairs Minister Vivian Balakrishnan on the South China Sea dispute

The city state is not a claimant in the South China Sea dispute but Balakrishnan said in the interview that territorial disputes there “may take generations to resolve.”

“This is an area where China can afford to be and should be more generous to the smaller, weaker states in Southeast Asia,” he said.

In the meantime, Balakrishnan said the US and China should focus on developing economic ties with Southeast Asia. “I’m not trying to trivialise the tensions in the South China Sea, but what I’m saying is that if everyone can keep calm, less drama, and focus, follow the money, I think that’ll be helpful.”