A fast aging population threatens to stall the economy, test social cohesion and strain national finances
It is being called a “demographic time bomb.” The impact of a shrinking workforce coupled with a greying population will be among the toughest economic and social challenges Singapore faces in the decades ahead.
Already the oldest society in Southeast Asia measured by median age, the wealthy city-state is now seeking coping strategies for the economic and social impacts to come of a rapidly aging population.
While aging populations affect much of the Asia-Pacific, the expected decline in Singapore’s working-age population will be among the region’s most acute.
Indeed, this year marks the first time in modern Singapore’s history when the share of the population that is 65 years old and over will match that of those under 15 years old, according to a UOB report published last year.
UOB economist Francis Tan predicted in the research that demographic change will stall the city-state’s economic growth and raise substantially future healthcare costs.
Other data suggests that Singapore’s percentage of seniors will reach 27% by 2030, while the percentage of juniors under 15 will decrease to 10.8%, leading in a worst-case scenario to a nearly 1:1 dependency ratio, with one working-age adult supporting a child or elderly person.
Nile Bowie is a writer and journalist with the Asia Times covering current affairs in Singapore and Malaysia. He can be reached at nilebowie@gmail.com.
It is being called a “demographic time bomb.” The impact of a shrinking workforce coupled with a greying population will be among the toughest economic and social challenges Singapore faces in the decades ahead.
Already the oldest society in Southeast Asia measured by median age, the wealthy city-state is now seeking coping strategies for the economic and social impacts to come of a rapidly aging population.
While aging populations affect much of the Asia-Pacific, the expected decline in Singapore’s working-age population will be among the region’s most acute.
Indeed, this year marks the first time in modern Singapore’s history when the share of the population that is 65 years old and over will match that of those under 15 years old, according to a UOB report published last year.
UOB economist Francis Tan predicted in the research that demographic change will stall the city-state’s economic growth and raise substantially future healthcare costs.
Other data suggests that Singapore’s percentage of seniors will reach 27% by 2030, while the percentage of juniors under 15 will decrease to 10.8%, leading in a worst-case scenario to a nearly 1:1 dependency ratio, with one working-age adult supporting a child or elderly person.
Read the full story at Asia Times.
