Singapore Opens Labour Channels to East Timor, Analysts See 'Win-Win'

Singapore’s decision to open more labour channels to workers from East Timor could give the city state an “early-mover” edge in an emerging Asean market, though the economic gains are expected to take years.

Analysts also say both countries, whose leaders met last week in the capital of Asean’s newest member, are looking at a “win-win” situation, with the deal set to ease Singapore’s structural manpower shortage while giving Dili a chance to better utilise its young and growing population.

On Friday, Lawrence Wong, who became the first Singaporean prime minister to make an official trip to East Timor, said his country would open the construction, marine shipyard and process sectors, as well as selected occupations in the manufacturing and services industries, to workers from East Timor next year.

He also urged businesses in Singapore to invest in East Timor, saying there was “a lot of room for optimism in [its] long-term potential”.

Speaking to local media, he said: “They are a young nation, youthful population, they have the resources, they have the potential to grow much more than where they are now.”

East Timor, a nation of about 1.4 million people that regained independence in 2002, formally joined the Association of Southeast Asian Nations last October and is still working to diversify its economy and strengthen state capacity.