Advantages and Drawbacks
As far as the economy in Singapore is concerned, the tiny state has made the best of some unfavorable conditions. Singapore has a small surface area of less than 700 km². It lacks both arable land and natural resources, like fuels, metals, or minerals. It is hardly surprising that only 0.1% of the labor force is employed in agriculture. The primary sector does not make any significant contribution to the GDP.
But the economy of Singapore has one distinct advantage: the location. The 190 kilometers of coastline feature natural deepwater ports. The island is situated along important shipping routes in Southeast Asia, too. Trade and commerce are key parts of the economy in Singapore. The government has also invested in education for decades. Human capital and a skilled workforce contribute to the prosperous economy in Singapore.