I am deeply honoured to be conferred the Jawaharlal Nehru Award of International Understanding.

2 In accepting this award, I would be remiss if I did not first pay tribute to the Panditji's contributions to the emergence of independent and modern Asia.

Tribute to Pandit Jawaharlal Nehru

3 For Asians, the name Jawaharlal Nehru holds special significance. As a school boy, I held him in awe and bought a copy of his monumental book “Discovery of India”. But I must confess that I lacked the diligence and wisdom to complete reading the book. Nevertheless, it sat proudly on my book-shelf beside my study table.

4 Nehru was a cosmopolitan, a nationalist and an intellectual giant. Most of all, he was an inspiration to the generation that had fought to free themselves from colonial rule.

5 Along with the Mahatma, Nehru taught Asians to stand up for their rights, and rediscover their heritage, dignity and self-worth. Unlike many who turned to revolutionary violence, Nehru walked the more difficult path of conciliation and peace towards independence, and made the difference. It was a uniquely Indian approach. Nehru persevered and triumphed. He made it easier for many of us living in colonies to follow in his footsteps, along the path he had created.

6 India's ability to accommodate and assimilate is justly celebrated in her illustrious history. Nehru embodied the essence of that enduring spirit. Although he received an English gentleman's education and admired the achievements of Western civilization, Nehru was an Indian and an Asian at heart. Secure in his own Indian identity and roots, Nehru was able to enjoy the fruits of many cultures and to learn from them. In many ways, Singapore seeks to do the same - combining the best of western culture with our Asian roots and values.

Early India and Singapore Relations

7 Let me turn now to Singapore-India relations. Our trading and cultural links with each other go far back, and we share a part of each other’s history. Indian merchants were among the first to develop commercial ties with Singapore and Southeast Asia. Singapore’s name is of Sanskrit origin.

8 In the early days of Singapore's independence, we looked to India for inspiration because India was a secular nation governed by the rule of law. I was told that Singapore’s first generation diplomats used to follow India's lead when we were not sure what position to take at international meetings. This was because we trusted India's principled stand on many issues.

9 However, during the Cold War, our strategic priorities diverged. Although both India and Singapore were members of the Non-Aligned Movement, our analysis of international developments and, therefore, positions on several issues, differed.

10 India forged a path of self-reliance and independence in development and foreign policy. Economically, India’s leaders built a system of extensive public ownership and central planning.

11 For Singapore, being a small country, agility and adaptability were essential traits for survival. We looked to global markets and relied on private enterprise, especially multi-national corporations, to drive our economy. Singapore's need to leap-frog the region and our export-oriented economy also moved us closer to the West and Japan.

Looking East

12 The pendulum has now swung back to the east. Today, India’s and Singapore’s strategic and economic interests have converged again. Singapore and India started moving closer together in the early 1990s, when then Prime Minister Narasimha Rao declared a “Look East” Policy and Prime Minister Manmohan Singh, who was then Finance Minister, started the engine to power India's economic liberalization. India took pragmatic steps towards openness and market reform, and integration with the global economy. At the same time, Singapore was trying to grow two external wings - through China and India - to fly its economy.

13 When Mr Vajpayee and his colleagues took over the steering wheel, investors were initially concerned and wondered whether reform was deep-seated enough to survive the change. Prime Minister Vajpayee not only kept to the course but also stepped on the accelerator. He confirmed that the direction of India’s reform would not change. India’s leaders understood that there was no other credible option for the country to reclaim its rightful place in the world economic order.

14 I would like to acknowledge and pay tribute to Mr Vajpayee. He is a statesman who has contributed greatly to India. He is also a good friend who has done much to strengthen relations between Singapore and India.

15 I first visited India as Prime Minister in 1994. I expressed Singapore’s desire to forge a strategic alliance with India based on the complementarity of our strengths. I was convinced that India would emerge as an economic power, even though prevailing sentiments then were skeptical. I wanted to infect Singapore with "India fever". The fever, however, subsided after a while. But I never lost faith in India. This is my fifth visit to India as Prime Minister in ten years, and the third State Visit you have honoured me with. Now, not only Singapore, but many other countries and investors around the world are excited about India.

16 Today, bilateral trade between Singapore and India approaches US$5 billion, up from US$2 billion in 1994. Singapore investments in India have grown to US$1.5 billion. There are nearly 1,500 Indian companies operating in Singapore. And 300,000 Indians visited Singapore last year. I am glad to have played a part in paving the way for the strong partnership that exists between our countries.

What Lies Ahead

17 India is now negotiating Free Trade Agreements (FTAs) with Thailand and ASEAN, and a Comprehensive Economic Cooperation Agreement (CECA) with Singapore. When concluded, these FTAs will bring enormous economic benefits to both sides.

18 FTAs are not only economic but strategic agreements. They are important steps in enhancing India’s engagement with Southeast Asia, and strategically linking South Asia with Southeast Asia. Enhancing connectivity will bring the peoples of both regions closer and facilitate the spread of ideas, technology, and culture. In time, these FTAs will form the stepping stones for an Asian economic community, which will bring together South Asia, Southeast Asia and Northeast Asia. This is my long-term vision for Asia, even though I may not be around - politically anyway - to see it come to fruition. Such a community will result in a strong and prosperous Asia, with India as one of the key pillars. The stars are falling into alignment and we have the chance to turn this into Asia’s Century. We must not miss it.

19 Singapore will continue to play our part to facilitate India’s engagement with ASEAN and East Asia. We are setting up a South Asia Institute within the National University of Singapore. Experts and researchers from India are welcomed to join the Institute and help build a bridge of understanding between our regions.

20 Tomorrow, I will preside over the launch of the Singapore-India Foundation. I had discussed this idea with the Singapore Business Federation and the Confederation of Indian Industry and they support it. They will help fund and drive the Foundation. The aim is to strengthen the economic, governmental, academic and cultural linkages between our countries. The Foundation has invited me to be their Patron. I will donate the prize money from the Jawaharlal Nehru Award to the Foundation as seed money. The Foundation’s goals are very much in line with Panditji's efforts to promote international understanding. I believe that there is nothing more fitting than to honour him with this Foundation.

21 In conclusion, let me say how deeply honoured I am to receive the Jawaharlal Nehru Award. This is an honour not just for me but also for Singapore. I am confident that ties between Singapore and India will continue to blossom.

Thank you.