Financial Reforms of Statutory Bodies in Singapore: Control and Autonomy in a Centralized State

Abstract

This article explores the major financial reforms of both government-funded and self-funded statutory bodies in Singapore over the last 7 years. The reforms have been based on two models of administrative reform: the business enterprise model and the bureaucratic efficiency model. In accordance with the business enterprise model, changes have been made to place statutory bodies on a more commercial footing, requiring them to adopt the financial and management practices found in business enterprises and, in doing so, to become more financially self-reliant. The autonomy expected to flow from these reforms has been circumscribed by the retention of key decision-making responsibilities and veto powers at the center of government. The reforms thus indicate ambivalence in the thinking of political and administrative leaders in relation to the management of statutory bodies, allowing them greater freedom as business-like enterprises, but still subjecting them to centrally imposed restrictions and directives.