Saturday, January 19, 2008

SE Asia – personal perspective on history, culture and a cross country comparison

This note is based on living in Singapore and travelling in the region from Jan to Dec 1998 – originally written for my web-site in March 2005, I have re-touched it slightly for the posting here

A personal note:

Well, this note was long overdue when I wrote it originally in 2005. We lived in Singapore in 1998 and I had made many observations there but I had never pulled it together to write a coherent note on our experience and observations there. 
1997 October was when life took an unexpected turn. I was working at Infosys in Bangalore, when I was asked to undertake an assignment in Singapore. Prior to that point, I had never considered working outside the country of my birth. 
But that request from my General Manager at Infosys to go to Singapore changed my perspective completely and was the 1st step to our becoming “Global Nomads”. Even when I was stepping on the flight from Madras (Chennai) to Singapore, I thought that I would spend a few months there, bring a part of the project back to Bangalore and continue to live in Bangalore for several years enjoying the cushy life at Infosys.
But a series of events and realizations changed all our plans of living in Bangalore, India:

- Sonika joined me a month after my arrival in Singapore and got a job there and quit her Delhi job at PriceWaterhouseCoopers – (the 1st shot was fired)

- My project (5 months in at Singapore) decided to move back to Bangalore earlier than planned and I therefore jumped ship and started working for a local start up – (the bridge to India was on flames)

- We realized upon arrival in Singapore that while living in India was very comfortable and emotionally satisfying for us, there was way too much excitement in getting into a new country and taking charge at work and proving our worth in a new environment (a new dream is born)

- The travels we did in SE Asia in just one year of stay in Singapore (to Hong Kong, Thailand and Malaysia) got us hooked – we got addicted to seeing new places, discovering new sights, eating new food and above all interacting with people with completely different perspectives of life – the “foot itch” that propels us till date to different parts of the world on a regular basis was indeed developed here in SE Asia (there was no looking back on the decision to move out of India for the foreseeable future)

With this background on why and how we landed up in SE Asia, I will launch into some of my observations and memories of these places that we lived in and travelled to during the period Jan to Dec 1998. As is true of most of my travelogues, this note will mix my take on the local history, economics hard numbers and cultural observations made during the year that changed our lives and outlook to it.

The demographics and ethnicity of the region and its influence of current day culture and events

A little history is in order since the events of the past have a profound influence on the current situation and culture of the region: 

- The 1st major lasting cultural influence to impact the region was that propagated by the Hindu kings of Southern India who conquered the area and introduced “Brahminical” teachings to the region – the impact though directly visible only in Bali does show up in the temples in the region and even in the names of the people. Though Islam has complete sway in Malaysia and Indonesia, names and characters from Indian religious texts are an integral part of the social and cultural fabric of the region. Even the name Singapore is a derivative of the word, “Singha” meaning Lion and “pore” is of course the anglicised version of the word “pur” used as a suffix in the names of several Indian towns; the language spoken in Malaysia and Indonesia called “Bahasa” is again replete with terms from Sanskrit, the ancient Indian language. 
- The next wave that hit the region again was exported from India – this time it was Buddhism and it found its mark in Thailand; to this day, Thailand and several other SE Asian countries practice their localized version of the Buddhist religion.

- Trade winds carried Islam from the Arabian peninsula to Gujarat in India from where religiously driven merchants exported it to Malaysia and Indonesia and once and for all established the religious foundation of the region which is intact till today; however the profound influence of Hinduism and Buddhism in the region has ensured that the Islam practiced in this region is the most moderate form anywhere in the world (the recent upsurge of Jihaadi movements is a very recent phenomenon and an anomaly in this region of peaceful moderate Muslims).

- Widespread famine and civil wars drove a huge number of Chinese to the region. British colonists brought in more labourers to work on rubber plantations from China to this area; working hard, these immigrants cleared vast tracts of the forests and made it their home.

- The Chinese labour force was joined by Tamils from southern India under the British Raj and thus in the early 20th century, there was an uptick in the numbers of South Indians into the region.

- Once the British yoke loosened, there was a re-adjustment of population and Singapore became a magnet for people of Chinese influence and when in 1965 Malaysia became independent, a pre-dominantly Chinese Singapore broke free of a pre-dominantly Islamic Malaysia to become an independent state.

- Hong Kong was taken by the British from the Chinese who have changed its economic and business foundation but left its ethnicity and cultural practices largely intact.

- Thailand was never completely occupied by any foreign colonial power.

History’s influence has had a direct impact on the demographics, culture and the economics of the region:

- The ethnic composition of the lands here:
o Malaysia is composed of largely people of indigenous Malays (called Bhumiputras),a good number of people from South India and a vibrant community of Chinese, the rough break-up being 60% Malay, 30% Chinese and 9% of Indian origin
o Singapore’s ethnicity is approximately 65 % Chinese, 20 % Malay, about 10% South Indian and the rest are expatriates from different parts of the world
o Indonesia is largely homogeneous except for a very thin Chinese population.
o Hong Kong and Thailand are largely homogeneous ethically speaking

- Largely “Chinese” Singapore having to struggle hard to maintain its independence from Malaysia and Indonesia in its initial years; this struggle to survive has helped it harden and choose a path of freedom by developing a resilient economy; the “siege” mentality has helped it become self-dependent in most areas despite its small size (640 square kms) and very limited natural resources

- Singapore adapting a policy of racial harmony and deliberately institutionalizing this practice in every aspect of its society to prevent any ethnic clashes that will make it vulnerable – as a result:
o Singapore has 4 official languages (English, Mandarin, Tamil and Malay)
o Allows all religions to prosper – in fact it gives 1-day off for each of the major religions practiced here (Islam, Hinduism, Buddhism and Christianity) - only India other than Singapore has national holidays for all of these religions
o Even apartments are sold by the Government in the ratio of the ethnic population – so every floor of the Housing Development Board flats have the right mix of Chinese, Malays and S Indians!!

- The creation of the strict laws of Singapore on cleanliness are a direct result of the composition of the population here; Lee Kuan Yew, the “father of Singapore” set up these draconian rules since he was very conscious that social hygiene (i.e. upkeep of surroundings outside individual homes) was a low priority among the three main ethnicities and therefore only strict laws could help instil the requisite discipline amongst the population.

- People of Chinese origin dominating businesses in the region. Malaysia and Indonesia early in their independent history adopted harsh rules to keep the Chinese influence under control. Chinese were barred from Government jobs and de-prioritized when availing the services of the state; result has been that the Chinese took to business and offset their social disadvantages by focussing on garnering wealth and thus securing their well being; today in Indonesia less than 4% of the population (the Chinese) control 70% of the economic assets of the nation.

- Hong Kong due to its tryst with history became the trading outpost of the British with the Mainland of China and prospered; it adopted wise British laws of jurisprudence and commercial practices from the West and merged it with the innate business drive of its largely Chinese population to become a huge economic power in this region.

- Thailand largely bereft of external influences is a land that Buddhist values reside in even today. Its people are warm, spiritual and peaceful. Combined with its natural geographic beauty, the land has become a “must” destination for every ardent tourist.

- The reverence that Singaporeans hold all things British even though politically and economically they are very close to the US is an outcome of the huge colonial impact on the country. Oxford and Cambridge are the hottest destination for young Singaporeans for studying abroad; though Singapore has no football (soccer) team of any note, its people are crazy about the British Football league matches and can be seen wearing the colours of Manchester United and Liverpool clubs; the only time that I have seen the normally stoic Singaporean in a frenzy is when a game in England is being played between Aston Villa and Chelsea.

A collective realization and its resultant benefits

The ethnic divisions, the religious differences and the acrimonious history of the area made a perfect recipe for disaster. In 1950s and 1960s as these nations became independent from colonial rule, they were abysmally poor too, were recovering from the trauma of World War 2 and had high population densities. Anyone looking at these facts would have predicted unmitigated gloom and strife for the area. But what transpired is a miracle. Somewhere there was a collective realization in the region that the economic imperatives are more critical than culture and politics. This did not happen due to any one “star” inspirational leader, there was no planned date when all in the area congregated and agreed to pursue a common dream of prosperity but the miracle has occurred and the results are there all over the region for everyone to see. Some facts need to be reiterated:

- Japan had been flattened by bombs in WW2 and had 1/8th the US GDP, South Korea was as poor as Sudan, Taiwan was like Zaire today and the rest of the nations even poorer but today the story is different – Japan is the 2nd largest economic power in the world even after its long deflationary years in the 1990s; Singapore and Hong Kong have routinely topped the Economic & Political Risk surveys for the most economically competitive nations in the world and for the freest business environments.

- Between 1970 and 1990, desperately poor in East Asia fell from 400 to180 million though population rose by 425 million – the greatest economic upliftment in the history of mankind till then and in such a short period (Guess China’s economic prosperity may surpass this mark, but I am not sure!!).

- The superior quality of infrastructure developed in this war ravaged area is dazzling (more about that in the next sub-section).

- Check an economic measure today to gauge the continued vibrancy of the economy in the region (both SE Asia, the focus of this article and that of the adjoining East Asian countries):
o The current account surplus (latest Economist Intelligence Unit figures) - of the countries in the region (in billion US $): Hong Kong (14.2), Singapore (27.9), Taiwan (19), South Korea (29.1), Malaysia (14.7), Thailand (5.5), Indonesia (4) and Japan (171.8); contrast that with the “rich” OECD countries (US, Britain, France, Germany, Italy and Canada) all of which have a current account deficit other than Canada and Germany.
o The GDP growth rates of these countries in 2005 was as follows: Hong Kong (7.2%), Singapore (6.5%), Taiwan (3.3%), South Korea(4.6%), Malaysia (5.6%), Thailand (5.1%), Indonesia (6.7%) and only Japan lagged this year (0.6%); meanwhile in the “rich” OECD countries, only the US has passed the 3% mark this year.

Some of the factors that seem to be instrumental in this economic growth seem to be:

- Willingness of the people to make tremendous personal sacrifices. Examples:
o East Asia’s work force has puts in very long hours (even the unions are fine with these hours, unlike in the West and in other socialist countries, since they all believe that growth is the path to salvation), is largely loyal to its employers and willing to put aside personal conveniences for the greater glory of the entities they are part of
o During the Asian Economic crisis, we witnessed an unprecedented phenomenon in Singapore – ministers took a huge pay cut, the bureaucrats followed and even the unions immediately announced reduction in their wages – to ensure that the nation remains economically attractive and could rebound from the crisis that it was suffering 
I have never heard of or seen such a story except in post-war Germany

- Education and training to workers was stressed upon ever since independence across each of these countries and therefore the workers in the region are very productive; a willingness to adapt new ideas (no suffering from “Not Invented Here” syndrome) further accelerated the productivity rate.

- Enlightened Governments in the region paid special attention to primary and secondary education and provided equal opportunity at work to men and women even in the most Islamic regions of the area. This led to huge numbers of young, educated members joining the workforce and producing a surplus that could be channelled to external export markets.

- Large amounts of capital was directed to growth of infrastructure in early stages of development that laid the foundation of these economies and generated employment; interestingly, this infusion of capital was domestically funded due to high domestic savings rate (typically 35% savings rate across the region) – a phenomenon that was a result of the local culture of economic prudence and the reality that individuals could not depend on their then economically weak Governments to meet their needs.

- The sensible and widely prevalent move by the Governments in the region not to tax interest and capital gains thus inducing more investment into the economy.

- The Governments in the region for most part focussed on keeping inflation low, providing tax breaks for infrastructure investment, providing cheap credit to stimulate growth and creating postal savings banks to tap rural and small savings.

- Smart Governments here concentrated on building foundations not huge state run projects.

- Once there were enough people in the work-force, the Government provided incentives to control the population boom and in the Islamic countries, the Government did not bow to religious pressures that wanted uninhibited growth of population.

- Military dictatorship and/or autocratic rule (till recent) is another common phenomenon in the region but unlike dictatorships in Latin America and Africa, these autocrats were inspired to grown their countries economically. They commandeered their nations to a path of fast growth and their absolute powers facilitated a unified direction for their countries and speedy decision making on all critical economic and social issue. Some examples from Singapore on how decision making by autocrats can help drive phenomenal economic success:

o Singapore’s government decided to give special concessions to Seagate, the hard disk manufacturers to move its manufacturing base here – tax incentives, opened a technical institute to focus on hard disk technologies and lower land price – in any democratic it would have been a cause of much debate but Singapore’s did not allow any such discussion – the result was that Seagate set up its base in Singapore and an electronics industry grew around it which drew all its rivals (including Quantum) there and led to Singapore becoming the centre of the world’s hard disk and supporting electronics industry.

o Without holding any referendums and allowing public debates, the Government of Singapore created artificial islands in the sea off its coast to build oil refineries there – today, Singapore refines the maximum amount of crude in the world – a majority of crude oil passing from the Gulf countries to the Pacific Rim countries of China, Japan, the US and Latin American countries gets refined here on its way to these countries; thus a country that had no credentials to refining oil has become a giant in the industry.

- Above all, the Governments in this area are very competitive and want to prove their superiority to each other on the economic front. Thus they strive to do better than their neighbours in creating infrastructure and competing for investment; that of course augurs well for all these economies.

This collective wisdom of the region to focus on the economy is best evident in the multi-Government ASEAN (Association of South East Asian Nations) with its 2-pronged agenda: to promote mutual trade and remove barriers to trade amongst the member countries. This free trade co-operation has shown its might much before NAFTA and the EU were even functional.

The allure of the region: world-class infrastructure, commercial activity, good governance and in some cases natural beauty

The economic rise of the region has resulted in outstanding infrastructure being developed here. The public transport, roads and the airports allow locals and travellers to be whisked away from one part of the region to the other. This section of the note describes the infrastructure marvels, good governance principles and natural attractions of the region:

Singapore

- Amongst all the cities and countries that I have visited in the West or the East, I have not found in any city infrastructure that can compare with Singapore, the highlights of which are:

o A public transportation network that reaches every corner of the city – the comfortable trains of the MRT glide smoothly around the island city, Light Rail Transits and a fleet of well maintained buses efficiently feed the main train transit system and you never have to wait for your public transport – it is meaningless to own a private car in the city for nothing is unreachable and if you are in a dashing hurry, plenty of reasonably priced comfortable cabs will get you to your destination; a handy inexpensive and comprehensive bus and train guide captures all the myriad combinations that you can take to get to your destination. Electronic payment cards allow thousands to enter these buses and trains without a hitch. Amazing!

o During the roaring days of Japanese growth, Singapore built its inner core of gleaming shopping towers and these buildings are a delight for any keen shopper – apparel, accessories, electronics and gift items are available from every corner of the world; brand names rule and the comfort of the shopping environment makes it easy to spend hours in these malls.

o Plastic rules too! While in Singapore, I rarely carried more than 20 $ in my pocket. The entire city is networked to accept payment in plastic (debit cards mainly) even if you go to an individual vegetable vendor. The fun part is that banks don’t charge any fees for any number of transactions on the debit cards issued by them, something that is not so common in the West.

o The entire city has an unrivalled standard in providing services – be it at the bank (I closed my bank account in 5 minutes at the end of 1998, and had walked in with 10 $ to open an account, and was never charged any service fees during the entire year), elegant hospitals, post offices (equipped with facilities for faxing, couriering and e-mailing besides providing the postal pick-up and drop-off) and even the washrooms in every shopping mall and railway station is well maintained (there is even a competition among train stations for the best maintained toilet in the city !!)

- The next big marvel here is that the city-state has a Government that works! Be it in its foresight, focus on growth or in providing efficient services, this city-state has few rivals. Examples of a Government at work include:

o The city state not only built industrial complexes to attract foreign investment and islands to become the leader in oil refining, but also had developed a stat of the art telecom infrastructure with the whole city running on a broadband network way back in 1998 (for the technically inclined, an ATM network), a sea-port that is the most technologically advanced in the world (and in 1998 aspired to become a place where ships would be loaded and unloaded without any manual involvement) and an airport that knows no comparison in terms of facilities (excellent restaurants, trains connecting terminals every minute, belt walkways to every spot of the airport, gym and pool for people in transit, free entertainment for waiting passengers, a multi-faith worshipping centre and of course a wide choice in shopping !!)

o The Government services are provided in a seamless, efficient fashion. Be it getting a work permit from immigration, a police clearance for applying for Canadian Permanent Residence or getting my refund for income taxes, the services were performed very quickly, efficiently and without requiring any “follow-throughs”.

o The Government maintains the city-state in a beautiful condition. Tough laws and efficient services keep the streets clean, regular watering/washing of plants and trees make the city green and zero tolerance of corruption ensure that public utility services are available to all.

o A large component of the Prime Minister’s annual salary is incumbent upon the leader of the country delivering Singapore’s declared social and economic goals for the year.

Singapore has a very limited size (just 640 square kms.), a population of 3 million and very limited natural resources. Most of its attractions are created by humans – it is an excellent example of how human endeavour can secure a nation importance and relevance grossly disproportionate to its size, population and natural gifts.

Malaysia

- Unlike Singapore, Malaysia is a land which Nature has gifted with many treasures – lush green tropical forests, rolling hills, beautiful islands, a very attractive coastline and natural resources in plenty. 
- Like its other East Asian cousins, the Government has focussed on infrastructure in a big way - outstanding roads across the nation, even a 3 –lane expressway winding through mountains; excellent development of oilfields and even an IT city that captured the imagination of the world for a few years; of course the showy Petronas Towers in Kuala Lumpur ranks among the top 2 building in the world; the telecom and energy infrastructure are also world-class.
- The combination of the above factors, plus a bigger and more varied geography than Singapore, more relaxed people than in Singapore all make it very personally alluring for me and I often think of it as a possible destination to live and work in at some point of time in the future.
In my view, Malaysia is one of the most under-rated nations in the world. Its tourist attractions are at par with the best in the region; its economy has been vibrant even through the tough days of the Asian Crisis and yet it hardly gets acclaim and getting to any corner of the country is a breeze.
Hong Kong

- For me, this city reminds me of movement - fast movement at crazy speeds and hyper-active, energetic citizens. Everyone is in a hurry, completes their transactions quickly and glides around town swiftly. I get that same sense only in two other cities of the world – New York and London.

- The city has the most beautiful skyline in the world – a dense collection of high rise towers reaching upward with a backdrop of hills and the waves lapping the shores is a majestic sight – takes my breath away every time I think of the view or even look at my photos of the city.

- Developed as a trading outpost of the British, it is a businessman’s dream come true. Low taxes (no capital gains, 16.45 % corporate, 15% maximum salary), no forex control (therefore quicker multi-currency transactions are possible), a very firm rule of law and a strong justice system make it extremely attractive as a business destination. When we lived in the region, Hong Kong’s mercantile achievements included the 5th largest forex market in the world, 5th rank in terms of external banking transactions, 7th largest stock market and huge foreign reserves.

- Again, a remarkable infrastructure (moving millions in its Mass Transit system and interconnected buses, legendary penetration of telecom, a well developed port and a modern world class airport) is the foundation of this Self Administered Region of China.

- It definitely ranks as the number one shopping destination in the world with goods for every wallet. A fashion conscious citizenry (who I rank along with Parisians, Londoners and New Yorkers), easy access to Chinese apparel and accessories, a trade obsessed nation and a “never give up” community of shopkeepers all make the experience of being at the markets very memorable.

Only the recent growth of Shanghai and its greater importance to China vis-Ă -vis Hong Kong has diminished the allure of Hong Kong. But it is a must visit place for anyone keen on an adrenalin rush.

Thailand

- This is a beautiful country, perhaps the most beautiful place in the entire region. From Chiang Mai in the North to the beautiful islands of Phi-Phi and Phuket, the country is full of places to visit and enjoy a vacation in. The food of the country suits both the western and the eastern tongue and never fails to delight.

- The mystique of Buddhism, the daily traditions of the villages and its hospitable, peace-loving, perpetually smiling, relaxed people add additional allure to the country.

- An excellent telecom infrastructure, decent roads and good transport make every corner of the land accessible and safe to travel to.

- It is a must see destination for all the above reasons and a place right out of travel brochures.

While the Asian Economic Crisis was triggered by the bank collapse in Thailand, the country recovered quickly to become a strong economy once again led by the nation’s biggest industrialist who became its Prime Minister. I am hoping that the Tsunami devastated regions will once again get their guests back and the people of this wonderful land can go back to what they do so perfectly well 
 – play the role of wonderful welcoming hosts. (Additional comments from 2008: Of course adding to the wish-list is that the Army retreats in the background and democracy holds sway once again taking this wonderful country back on its path to progress).

The challenges of the region

Of course, every thing is not perfect in the region. There are some key failings and importantly weaknesses that inhibit a further climb of the region to greater heights.

The biggest failure of the region has been its inability to develop transparent and objective public institutions needed to run sophisticated societies (i.e. multi-party democracies, free public debate and high respect of individual liberty). Autocratic regimes and omnipotent political parties have ruled the area for very long though things are improving very significantly of late.

The next biggest problem is that there is no indigenous balance of power so the region is dependent on US, Chinese or Japanese direction.

Also, ASEAN countries are so wary of interfering into each other’s internal politics that brutal regimes like Myanmar (Burma) continue to be members of this group despite flagrant violation of the rights and freedoms of their people. No member of the group is even reprimanded for violating principles of human rights. 

The message is simple - focus on the area’s economy and turn a blind eye to social and political issue of the individual members of the group. Inter-linkages of the economies of the region on each other render them susceptible to crisis in any one of the countries as was evident during the Asian Crisis of the 1990s which we saw up close. Favouritism in some countries in the area along with poor monitoring of financial institutions led to a virtual collapse of the economies in the region. Only Taiwan came through without any damage due to its sound financial policies, quick adaptability to changing business cycles, lower favouritism and the nature of its economy - mostly medium sized businesses, highest savings rate in the region, a perpetual “panic outlook” (due to its constant tussle with China), its export push and the focus of its industry on electronic and tools.

However since then Thailand took tough measures and disciplined itself, Indonesia has recouped the value of its devastated currency and the others have bounced back due to quick reaction to the crisis, tough measures, supreme individual sacrifices and impact of China’s phenomenal growth.

In my view, there are some country specific weaknesses/challenges that hold these nations back:

Malaysia

- Autocratic rule and whimsical leadership made the nation very unpredictable and far less attractive to investors than it naturally would have been; with the new PM, things should be better

- Its treatment of the Chinese people prevents it from fully participating in the rise of China; instead of nurturing the Chinese who have strong linkages back home and could spur trade with the colossal giant, the nation has deliberately chosen to suppress the growth of the community.

- The occasional flirtations of its people with Islamic fundamentalism are worrying – a largely open minded Islamic nation, the occasional pandering of its people to fundamentalists tarnish its image and can potentially damage its economy.

Hong Kong

This Specially Administered Region (SAR) of China has a very delicate relationship with the mainland – it has prospered as a go-between China and the rest of the world, its people have deep links with the mainland and yet having tasted the liberating air of democracy and justice, it is reluctant to hug the Chinese Dragon too tightly. This deliberate distancing of Hong Kongers from China puts Hong Kong at a disadvantage to other rising cities of China and therefore the fate of Hong Kong lies very much in the way it is treated by the Communist authorities in Beijing and how the SAR manages its relationship with the mainland.

The other factor that makes Hong Kong less attractive than Singapore is that it has not embraced the global language of business, English as whole-heartedly and its people are sometimes hostile to outsiders – a testament to this fact is the relatively low presence of US and other Western (except British) companies here compared to their overwhelming presence in Singapore.

Singapore

Finally, Singapore, where we spent most of 1998. I love the focus of the country on the right priorities but believe that there are three major limitation that they have to surmount:

- Singapore is a nation that has delegated upwards. Right from independence, the Government and its arms have worked well for the country. Thus Singaporeans have immense faith in their leaders. The Government right form the onset has taken a very paternalistic attitude to its citizens – tough but well meaning. The drive to keep the city clean, a special courtesy week to emphasize importance of courtesy to one all, the economic decisions that it makes without consulting its people, the focus to keep Singapore competitive and providing all conceivable services to its citizens are just some of the key ways that the Government has made its citizens totally dependent on it. The people too are happy to delegate upwards but this phenomenon has prevented any original thinking emanating on any key aspect of society from the non-Government segment of the citizenry, something that I expected from a well fed, well educated and relatively well-off population. Thus, this “abdication of thinking” renders the people extremely vulnerable if a crisis were to occur and the Government did not have an appropriate response.

- The outstanding track record of the Government in making Singapore a secular nation and an economic superpower has had another side effect. The best talent in the land has been “sucked” into becoming Government employees. The jobs in the Government pay well, provide a huge scope for employees to work with, carry prestige and serve emotional needs of serving the country. Thus almost every major indigenous economic institution is run by the Government – huge companies that run the buses, the refineries, the technology companies and even the “delis” across the city. This “capture of talent” by the Government has curbed the natural entrepreneurial spirit that is intrinsic in people of Chinese origin. The absence of viable private economic entities cannot augur well for the long run – in such circumstances, start ups are few, competition for providing services shrink and financial models cannot be innovative – all of which curb innovation and innovation is one of the key drivers for prosperity. In contrast Hong Kong, Taiwan and neighbouring India are teeming with entrepreneurs who have exhibited dynamism that is rare amongst Singaporeans.

- Finally, the future of a resource starved, 3-million strong Singapore depends to a large extent on its ability to capitalise in the new growth spurts in China, Vietnam, India and even Indonesia. But Singapore’s ability to deal with chaos in these 4 countries is suspect and at best untested. Attuned to disciplined and structured approach to business, the lack of orderliness in the markets of these 4 nations can be very difficult for Singaporeans to cope with. But this is something that Singapore has to master or it will miss out on huge opportunities. South Korea, Taiwan and Hong Kong have a huge advantage on this criterion over Singapore. (Since I wrote this originally in 2005, Singapore has demonstrated significant capabilities of tapping into India)

I will end my Singapore note with a very personal challenge that I faced in the city – no one smiles in public!!! That drove us nuts and was one of the key factors in our decision to leave the city. Believe me, folks.

Last words

We have very fond memories of the region and our stay there in 1998. I wish the people of this area the very best in their continued growth and ability to demonstrate their grit and power despite numerous challenges. I am quite optimistic that the recent activities of a few Islamic fundamentalists were just a bad phase in the history of the area where peaceful Islam has been practised for eons. Pragmatists as they are, the people of this area will suppress and control the fringe elements and once again the rest of the world will only hear stories of great triumphs from the region. 

(Please note that while I do make references to Japan, Korea, Indonesia and Thailand, this “reflection” article is focussed on Singapore, Hong Kong, Thailand and Malaysia, the countries that I got to interact at an intimate level in 1998. I hope that I get to spend more time in the area to be in Philippines, Japan and Korea – places that I would have loved to visit but could not because I stayed in the region for only a year and importantly, I had to earn my living while there, thus preventing uninhibited exploration of the countries in the area.)

TripTalk: Bright City Lights - my comparison of bid citites (updated in Jan 2008)

Cities!! When a mass of humanity aggregates in one physical location, the area automatically becomes attractive to travellers and for business. Thus in the course of my work and fun, I have been drawn to many cities in different parts of India, the Americas, Europe and East Asia.
While in these cities, I have often stepped back and made mental notes of what I observed in these places. So finally I decided to put my thoughts on paper. Since there are so many places that I could write about, I decided to create an elimination criteria based on the population size of the city and the level of interaction that I have had with the city. Finally, in the typical consultant fashion, I decided to create an easy to understand chart of what impression I have of the cities that I selected for my comparative note.

Elimination criteria

To limit the number of cities that I could compare to a 1-page chart, I used the following criteria. I removed from my analysis: 

  • Cities that had more than 1 million people but I had spent less than 72 hours in (Madras/Chennai, Kuala Lumpur, Philadelphia, Phoenix, Miami)
  • Cities that had a population of less than 1 million though I had spent more than 72 hours in (historic cities of Avignon, Cusco, Edinburgh and Quebec City as well as beautiful San Francisco, once famous Detroit, lovely Boston, enchanting Colorado Springs, and several other US cities such as Washington DC, Baltimore, Seattle, Cleveland, Atlanta and Tampa)
  • Cities that have more than 1 million people and I have stayed more than 72 hours in but have no global recognition (charming Ottawa, lovely San Diego, uninspiring Dallas and 13 Indian cities which are famous only regionally)

Comparison criteria

While the chart below has criteria that are mostly self-explanatory (multicultural, public transport, city skyline attractiveness etc, I need to explain the following criteria that I have used: 

a) Cool factor – there is something in the air in the city that is electrifying, and gives the city an edge, an oomph factor

b) Attitude of citizens to strangers – most people in big cities globally are too scared to make eye contact or talk with strangers or even acknowledge the existence of others that they don’t know; I therefore have used words to briefly describe the general (yes generalizations are dangerous but important for articles such as these) attitude of the citizens to complete strangers

c) “Feel safe at 11 PM” – how secure would I feel walking down an alley at 11 PM in any one of these cities
(Please note: 1 means my most favourite city and 12 means least favourite city on the specific criterion)
City
Cool Factor/
Pizzazz
Multi
cultural
“Feel safe at 11 PM” factor
Public transport (access, speed, safety, comfort)
City skyline
Tourism (history, modern)
Sports, dining, cultural fun activities
Shopping (variety, affordability, convenience)
Bangalore
11
11
5
14
13
15
14
13
Bombay
7
10
14
7
5
11
13
9
Buenos Aires
4
8
7
9
8
13
4
7
Calcutta
14
14
4
8
14
14
9
14
Delhi
12
12
12
12
12
5
10
6
Hong Kong
5
9
9
5
1
7
11
1
Lima
15
15
10
15
15
12
15
15
LONDON
1
2
6
2
9
1
2
4
Mexico City
9
13
15
13
10
4
8
8
Montréal
8
6
3
10
11
6
6
11
New York (NY)
2
4
13
4
3
3
3
5
PARIS
3
3
8
3
7
2
1
3
SINGAPORE
13
7
1
1
6
8
12
2
Toronto
10
1
2
6
4
9
7
10
Vancouver
6
5
11
11
2
10
5
12

Comments on my rankings 


If in my list, I were to pick a mega city that is the most liveable (i.e. where one can work and live in), it would be Toronto. It is not the most beautiful city in the world (Vancouver, Hong Kong, San Francisco, Paris, NYC are way ahead), nor does it have too many tourist attractions and neither is it the commerce or fashion capital of the world. But it is the BEST place in terms of leading a daily peaceful existence – it has decent jobs, is well run, people have a heart, it is very comfortable (unlike Bombay, Hong Kong, London or New York) but above all it is the true multi-cultural capital of the world. No, not even New York or London has such peaceful co-existence amongst people of such diverse backgrounds. The UN should be headquartered here for this is the city that reflects the true spirit of the United Nations!! This is the big (million plus population) city which can live up to John Lennon’s words in his song “Imagine”.

While Toronto is the most liveable city in the world, the most “lively” city in the world is London. In my view, it is the capital of the world. Politically outspoken (unlike New York) and commercially vibrant, it is a world leader in fashion, art, music, theatre, pop-culture and now increasingly finance and trade. Home to people from every corner of the world, it exudes unparalleled energy and enthusiasm. It has a “cool” factor that is intrinsic to every element of the city be its buildings or its people.

While my ratings on all criteria can be understood (even if not agreed to) by the readers of this note, I need to discuss my rankings of the “Cool Factor” to provide a better context of my rankings.
Fast paced commerce, variety of co-existing cultures, avenues for fun but above all the attitude of the people determine the “cool factor/pizzazz”. This criteria gauges the energy level of the city – London, New York, Buenos Aires and Paris are in a class of their own. You can sense the bosom of these cities throb with excitement. While Hong Kong and Bombay are not as multi-cultural as Toronto (or even Vancouver and Montreal) and avenues for fun are below or at par with the other cities, fast paced commerce and the attitude of the people in these cities (sense of purpose, drive, dressing, interaction with others) give these two cities higher ratings in my charts than the three Canadian cities.  

Vancouver with its “push to the edge” culture and cool attitude of its people is way ahead of Montreal and Toronto despite its 6th position on my ratings. Vancouver would have been perhaps higher in my list but for its languid commerce pulls it down. Toronto’s commerce and multi-culturalism save it from total disgrace on the “cool factor” otherwise its people are too work oriented and don’t know to celebrate which puts Montreal ahead of Toronto despite Montreal’s stunted economy. Bangalore with its willingness to try things new is ahead of Delhi in my ratings which suffers from its middle class values. Singapore is low on my rankings despite its booming economy and its city attractions because its people are simply too self-controlled - they don’t laugh loudly in public or celebrate spontaneously, play music or even dress fashionably (like Montreal, NYC, HK and Buenos Aires).  

Calcutta is at near bottom of my list because it is too spiritual to care about commerce, too inward looking to be multi-cultural and too lazy to exude any enthusiasm for anything other than politics. Lima is still growing up as a city and would have been a classic Latin American simple big town but for the number of people it draws in. It is the capital of a very simple and nice people, but they are not flashy or extrovert.

To round up my comments on my rankings, some brief words on the thoughts that went into my rankings:

· Shopping – what do most people do in a city when they visit one – shop, so this became an important criterion in my comparison. Hong Kong, Singapore, London, Paris, New York, Buenos Aires, Mexico City and Delhi lead as far as variety and choices go; affordability is very high where the materials and labour cost are cheapest - Hong Kong, Singapore, Delhi, Bombay, Bangalore and Calcutta; convenience and comfort while shopping is highest in Singapore, London, Paris, New York, Hong Kong, Toronto, Vancouver, Buenos Aires, Mexico City and Montreal.

· Things to do – if you want to go one place and do skiing, mountaineering, running and sailing, then it is Vancouver where you should head to; outdoor sports activities in a low pollution environment can be enjoyed in Toronto, Singapore and Montreal too; fine dining experience is the best in Toronto, Montreal, New York, London, Paris, Delhi and Bombay; good tasty street food in Buenos Aires, Paris, Mexico City, Bombay, Delhi, Singapore, Hong Kong, Montreal, Vancouver, New York and Calcutta ; best desserts and breads are in Paris, Buenos Aires and Montreal; big theatre productions are best seen in London, New York or Paris; cultural programs are abundant in London, New York, Paris, Toronto and Calcutta; fun attractions are grand in Hong Kong and Singapore

· Tourist attractions - this is the reason people flock to see these cities. London, Mexico City and Paris have history and tradition and a flair for design and style so they rule the roost in this category and are miles ahead of any other city though New York with its magnificent museums, grand buildings and aggressive marketing of even ordinary attractions draws the crowds; citizens of Delhi may ignore their history but they have 2,000 years of it in all forms in every corner of the city and a very attractive city centre that merit it a top 5 ranking; Buenos Aires has a history but no one tells it well and they don’t talk about it much.

· City skylines – I photograph skylines incessantly and they inspire awe and excitement in me. Hong Kong’s skyline takes my breath away even when I see its photographs; nothing compares to the site of the building, hills and the sea on Hong Kong Island when seen from across at Tsim Shat Sui; Vancouver and San Francisco (eliminated because of low population) are the only two cities that have anything close to Hong Kong (perhaps Shanghai too but then I haven’t seen it as yet). New York ranks a respectable 3rd because of the sheer density of its tall gleaming towers and the power they exude. The sight of Bombay’s Marine Drive is uplifting but absence of glass and steel make it a little less fun to stare at, where I give Toronto the edge. Paris and London lose out because they have no sea-front and no vantage point to look at their magnificent old buildings.

· Public transport – a great city in my opinion must have a great transport network. Modern, very comfortable, accessible in any part of town, extremely efficient and very quick, Singapore’s MRT reigns supreme. Paris, London and New York have huge reach; these 3 cities along with Hong Kong and Toronto are efficient and let the crowds move fast in relative comfort; Bombay has huge advantage due to its linear geography and so reach of its network is huge and it moves fast though comfort factor is abysmal due to the population pressure; Buenos Aires and Mexico City have a lot of means of public transport above and below the ground.

· “Feel safe at 11 PM”- Cities generally have wide disparities in incomes, are full of strangers and have a stinking underbelly. They generally are not as safe as smaller towns and definitely very unsafe compared to villages. Singapore and Toronto are run well, streets are well lit and take necessary precautions to make them feel safe; Montreal is a partying town and so alive that there is no quite place – not at 11 at least; Calcutta has a tradition of policing by society which makes it the safest place in India to be walking alone at 11 PM; it is a common sight to see people in Buenos Aires enjoying themselves till 4 in the morning but Mexico City (except for some parts) becomes very quite and the police don’t seem very friendly either. 

· Multicultural – this is a measure of the diversity of racial and cultural backgrounds of the citizens and the way they express themselves. With more than 50% “visible minorities” and representatives from 189 countries, it is definitely the most diverse city in the world. England and France due to their recently folded empires are huge magnets for their former colonized citizens. New York, Montreal and Vancouver have global representation of people but some groups dominate the city. It is only in London and Paris (not New York or Toronto) that you can see colourful and varied types of attire and head-dresses (from Africa, the Caribbean and Asia) worn even in the office hour traffic. Singapore and Hong Kong gain multicultural respectability due to their history and economic pursuits. Buenos Aires has had a steady flow of immigrants from all over Europe thus creating an interesting mix. All Indian cities are largely bereft of any significant numbers of non-Indians though the regional variations in India itself lend these cities a lot of colour. Bombay and Bangalore due to their economic importance and open acceptance of diversity are definitely most cosmopolitan of the cities in India.

Looking ahead


While I prefer natural settings for holidays over visiting cities, if life moves along as hoped for then I will definitely visit more cities. The top 5 cities that I must see before I die are Istanbul, Tokyo, Shanghai, Sydney and Prague.

There are only 7 other cities that fascinate me and I hope I can spend some quality time in, namely Cairo, Dubai, Jerusalem, Cape Town, Seoul, Berlin and Zurich.