Silicon Valley moves to Singapore

Shrugging off Asia's economic gloom, the Singaporean government has just announced a $2.9bn project to develop its own Silicon Valley.

The project was officially unveiled by Singapore's deputy prime minister Tony Tan at the Techventure '98 fair in Singapore this week.

Scheduled for development over the next 15 years, Singapore's Silicon Valley will encompass to two science parks as well as the National University of Singapore and Singapore Polytechnic. The project, which includes residential facilities, will provide work for around 20,000 people and cover an area of around 810 hectares.

The new project is seen as part of a drive to promote Singapore as a 'knowledge based economy' into the next millennium. Increasing competition from cheap labour elsewhere in the region has also eroded Singapore's attractiveness as a manufacturing hub, forcing the city-state to seek new ways of remaining competitive.

Tan said: "The present economic crisis makes it all the more urgent for us in to develop new economic activities and new markets which can supplement Singapore's present role as a manufacturing base for multinational companies and as a services hub for the region."