President Tharman Shanmugaratnam approved the 2026 budget, emphasizing the need for Singapore to brace for a 'long storm' of global political instability and economic challenges, including the impact of ongoing conflicts and potential disruptions to critical supplies.
'Long storm of global political instability': President Tharman approves Budget 2026 amid 'bracing times' President Tharman Shanmugaratnam warned of 'bracing times' beyond global economic and financial strains.
President Tharman Shanmugaratnam on Wednesday warned of "bracing times" beyond global economic and financial strains, which he said has extended into a "long storm" of global political instability.record $154.7 billion spending planPointing to the ongoing conflict in the Middle East, now in its third week, the President cautioned that a protracted war and closure of the Strait of Hormuz will increase the risk of a major economic downturn and higher inflation. He explained that fuel prices will continue to climb if the Strait of Hormuz remains closed. This, he said, will go beyond the oil and gas markets, to affect other sectors such as fertiliser. A reduction in fertiliser supply, in turn, will impact food supply and prices, and supplies of other critical commodities such as aluminium and helium — which the world depends on.Meanwhile, Qatar, which produces about one-third of the world's helium, has seen its production disrupted as Iran struck the Ras Laffan industrial city, where its helium facilities are located. "It adds up to a major new stress point in the global economy and financial markets that were already under strain," Mr Tharman said. But these are not the "gravest challenge", he added, noting what he called a "long storm of global political instability". "We have seen in recent years growing resort to wars and destruction, disregard for the United Nations Charter, and discounting of international humanitarian law, which was established to protect ordinary people in the conflicts.Turing to the reserves built up over the years, Mr Tharman said that these "strategic buffers" will help Singapore to deal with major crises, as the city state has done before. "We have Singapore Budgets that enable us to invest boldly in every needed skill and capability, and to preserve some finances for future needs. "And we are trusted by countries around the world, which opens up new opportunities for mutual benefit, and enables us to diversify our trade and sources of energy," the President added. He reminded Singaporeans that being a country trusted by other countries can open up new opportunities for mutual benefit."That must remain the Singapore way," he said as he urged Singaporeans to prepare for a world where things may not go as intended: "Investing in the future of every Singaporean. Contributing our part to the global good. And standing up for what we believe in — a fair, open and humane world order."
Please follow us on Google to support usBudget 2026 Global Instability Economic Challenges Geopolitical Risks Singapore
Singapore Latest News, Singapore Headlines
Similar News: You can also read news stories similar to this one that we have collected from other news sources.
Inclusive Justice Law Centre to Provide Legal Aid for Individuals with Invisible DisabilitiesA new law centre will open in 2026 to provide legal support for people with invisible disabilities who may unknowingly commit offenses or be taken advantage of.
Read more »
Oscars 2026: 5 standout watches spotted on the red carpetBeyond the gowns and tuxedos, the 2026 Oscars red carpet delivered a masterclass in watch styling with timepieces from Rolex, Cartier, Chanel and more stealing the spotlight.
Read more »
From Cartier to Van Cleef & Arpels: The fine jewellery collections to know in 2026From sculptural gold and hard stones to nature-inspired motifs and reworked house signatures, the latest fine jewellery launches from Cartier, Bvlgari, Boucheron, Van Cleef & Arpels and others define a season of character, colour and everyday luxury.
Read more »
Imperial Treasure Fine Chinese Cuisine in Paris Awarded Michelin Star in 2026 GuideSingapore-based Imperial Treasure's Paris restaurant, Imperial Treasure Fine Chinese Cuisine, has been awarded a Michelin star in the Michelin Guide France 2026. The restaurant, known for its imperial Chinese cuisine, opened in 2019 and is now the only Michelin-starred Chinese restaurant in Paris. The recognition highlights the group's global expansion and commitment to fine dining.
Read more »
COE prices 2026: All categories increase again; Cat A up by 3.28% in second March bidding exerciseIt's going to get a lot more expensive owning a car in Singapore, and not just because of increasing oil prices. All Certificate of Entitlement (COE) premiums have risen for the second time this month during the second COE bidding exercise of March 2026.Category A premiums, which has been on the rise for the last four bidding exercises, rose by...
Read more »
Singapore President Warns of Economic Instability Amidst Hormuz Strait ClosurePresident Tharman Shanmugaratnam highlighted the closure of the Strait of Hormuz as a major stress point in the global economy, warning of a 'long storm' of instability. He approved Singapore's Budget for the 2026 fiscal year and emphasized the country's strategic buffers, including reserves, investment in skills, and international trust, to navigate the turbulent times.
Read more »