our bus drivers are making close to the median wage in singapore. 15 / 17 bis central bankers'speeches in sum, demographics is not destiny and economic dynamism is not about numbers. dynamism is about quality – the quality of our workforce, the quality of our enterprises, and the quality of our institutions. it is about high levels of efficiency and productivity. it is about growing the singaporean talent base as well as being a magnet for the world ’ s talents. it is about a vibrant entrepreneurial and innovation base, characterised by a lot of start - ups, a lot of experimentation, and a lot of r & d. a key aspect of dynamism is also high rates of churn in the labour and capital resources in our firms : there needs to be continuous flux and reallocation of resources in response to changing economic and market conditions. both capital and labour need to be nimble and highly adaptive. the structure of the singapore economy is well suited for sustaining our dynamism. singapore ’ s strong advanced manufacturing and related trade and logistics activities are internationally competitive. in modern services, comprising financial, professional services, and info - communications technology, we enjoy an international hub status. together, these sectors make up some 40 % of our economy. if our domestic services can be further professionalised – job by job, each worker possessing deep skills and delivering a high quality of service, we will be a dynamic economy. finally, dynamism must be about our people. we must remain an open society. 16 / 17 bis central bankers'speeches not just in being open to foreign trade, investment, and talent, but being deeply connected to the rest of the world. not just attracting foreign talent to singapore but singaporeans venturing abroad as our companies and industries internationalise. most of all, being open in spirit and mindset, staying open to diversity, being comfortable working in multi - cultural settings, thriving in a globalised world. we must also remain a resilient society. able to ride the ups and downs of business cycles and structural changes. able to adapt, learn new skills, continually improve. we must become a more innovative society to be dynamic. willing to experiment and accepting failure as a halfway house to success. investing in r & d, leveraging on technology. most of all, having an enterprising spirit – always seeking new and better ways to do things. in the end, we must be an inclusive society. it is probably not

male and females in their 40s and 50s. this gap in singapore is higher than that in leading oecd countries. in many advanced economies, women tend to return to the work force after their prime child - bearing years. in singapore, this is much less prevalent. if we can make it easier for our women to return to the workforce after they have had their children, we can narrow the gender gap vis - a - vis the advanced economies. this slide demonstrates another thought experiment : assume we narrow our gender gap from the current 15 % points to 11 % points by 2035 – approximately the level seen in germany and netherlands. this will only translate into a cumulative labour force increase of about 2 % in 2035. 7 / 17 bis central bankers'speeches the demographic trilemma presents the constraints and choices facing us. we can soften it by raising the tfr and lfpr. of course, having babies or returning to work are deeply personal choices. no one makes these choices in order to boost labour force growth or gdp growth, and we should not suggest doing so. the government tries to facilitate fertility and labour force participation because that is what many people desire for their own fulfilment. many women would like to return to work, but they face a number of constraints. we must make it easier for them to do so. the government has made significant efforts in recent years to invest in childcare and facilitate more flexible working arrangements. we must continue to push on this front and collectively as a society enable more who want to work enter the workforce. likewise, many married couples want to have children – not for gdp but because children are a source of joy and fulfilment of love. government policies on marriage and parenthood are guided by this higher purpose. and of course, a growing labour force is a happy, economic by - product. we must make balanced choices in addressing the trilemma. we must accept a slower rate of labour force growth. the underlying demographic slowdown is so severe that it is neither feasible nor desirable to try to completely offset it through immigration or foreign workers. but we must also allow a certain rate of net immigration to augment our resident population. this is not just about numbers but about rejuvenation and expanding our talent base. 8 / 17 bis central bankers'speeches and while we cannot keep increasing our share of foreign workforce indefinitely, we must be flexible in allowing fluctuations in the ratio according to economic cycles, changing