I am delighted to join you this afternoon for the launch of the Locally-based Enterprise Advancement Programme or LEAP for short.

Rapid technological changes and a tighter consumer dollar mean that companies have to work even harder to remain competitive. The same is true of countries. In Singapore, we recognize these challenges and have been quick to promote and encourage greater creativity and entrepreneurship in our people as one of our responses.

We are not starting from base zero here. There are already some 36,000 new enterprises incorporated each year. Of this, ten percent have been incorporated to commercialize their innovations in the high-tech sector. This is an encouraging trend and should be further cultivated and developed.

In the latest Global Competitiveness Report 2002 to 2003 presented by the World Economic Forum, Singapore ranked first in innovation policy. The WEF gave credit to Singapore’s effectiveness in intellectual protection and to our policies supporting more R&D efforts in the private sector. They also credited us for the effectiveness of our regulations in promoting long-term competitiveness for intellectual property.

We have a strong foundation, and we have built up strong momentum going forward. In recent months, even non-economic agencies have come on board the entrepreneurship movement. In early July, the URA announced a reduction in the application fees for change of use from $1200 to $800. Renewal fees have been reduced from $600 to $400. Last Tuesday, the Deputy Prime Minister Mr Lee Hsien Loong announced at the launch of the E-government Action Plan II that the Registry of Companies and Businesses will be reducing the registration fee for business firms from $100 to $50. The annual renewal fee will also be lowered from $25 to $20. These changes will reduce start-up costs and benefit entrepreneurs. These are no doubt, a sign of the willingness of regulatory agencies to heed feedback from the private sector.

You would also be aware that two weeks ago, the Police announced some changes to the licensing conditions for entertainment outlets. For example, instead of outright prohibition, licensees can now decide for themselves whether their patrons are allowed to dance on the bar top. The changes are in line with the earlier recommendations of the Advisory Panel on Licensing, a private sector committee. It is an example of public-private partnership.

I believe that the private and public sectors should come together more to create and effect changes which are beneficial for our nation. I launched in late May, ACE or The Action Community of Entrepreneurship. This is a private-public collaborative effort to promote entrepreneurship. ACE is predominantly made up of private sector representatives. ACE just held its first BlueSky Evening on 11^th July. Despite the rain, it drew a 450 strong crowd. It gave entrepreneurs the opportunity to network, to learn and to be motivated by each other’s experience. More initiatives will be launched in the coming months. A number of entrepreneurship groups, chambers of commerce and business associations have also taken on the mantle of driving the entrepreneurship movement. These include the Young Entrepreneurs’ Organization, Entrepreneurs’ Resource Centre, Chinese Chamber of Commerce, the Malay Chamber of Commerce, AMPRO and many others. With the events and activities run by ACE and these organizations, many more platforms to promote entrepreneurship will emerge. I hope that, in time, we will see more of such partnerships initiated to drive the entrepreneurship movement in Singapore.

Today, I am pleased to announce the launch of the LEAP initiative. This programme is especially significant given that it is a joint initiative of both the public and private sector. Moreover, as enterprise development is not limited to a particular industry sector or agency, LEAP will be administered by all the economic agencies within MTI.

LEAP essentially aims to encourage and support the efforts of private sector organisations or what we call "multipliers" to help locally-based enterprises accelerate their development and expansion. As the name implies, we envisage that through LEAP, multipliers can help start-ups to leapfrog ahead to eventually seed new industries, move existing industries up the value chain, and be better equipped to help enterprises setup and expand in Singapore. I am confident that through such activities, we could generate more economic value for Singapore.

I am pleased to note that among the LEAP award recipients here today, are representatives from the US Technology Centre and China Torch Centre. Both business incubators are the first country-centric incubators engaging American and Chinese companies exclusively. They will join the existing community of foreign incubators in Singapore, bringing in their own business networks, and enlarging Singapore’s reach to the world. Both incubators plan to engage and assist enterprises that are keen to start up in Singapore, providing them services, and creating opportunities for them to meet and find business partners here. I hope their efforts and many multipliers like them, under the support of LEAP, will help many enterprises succeed in Singapore. This will indirectly add to the diversity and boost the attractiveness of Singapore’s business environment.

In conclusion, there is much growth potential that we can reap from the LEAP programme. In the coming years, I hope to see such partnerships between the private and public sectors grow in strength as well as in numbers.

I wish all multipliers who are awarded today under LEAP a successful year ahead.

Thank you.

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