Quora Answer: Why has Singapore Prime Minister Lee Hsien Loong Criticised India & Israel?

The following is my answer to a Quora question: “Why has Singapore Prime Minister Lee Hsien Loong criticised genuine democracies like India and Israel?” 

This is what Lee Hsien Loong, Prime Minister of Singapore, said, “The leaders, who fought for and won independence, are often exceptional individuals of great courage, immense culture, and outstanding ability.  They came through the crucible of fire and emerged as leaders of men and nations.  They are the David ben Gurions, the Jawaharlal Nehrus, and we have our own too. 

Many political systems today would be quite unrecognisable to their founding leaders.  Ben-Gurion’s Israel has morphed into one which can barely form a government, despite four general elections in two years.  Meanwhile, a stream of senior politicians and officials in Israel face a litany of criminal charges, some have gone to jail. 

While Nehru’s India has become one where, according to media reports, almost half the MPs in the Lok Sabha have criminal charges pending against them, including charges of rape and murder.  Though it is also said that many of these allegations are politically motivated. 

What is to prevent Singapore from going down the same road?  Nothing.  We are not intrinsically smarter or more virtuous than other countries.  Modern Singapore does not come born with a fail-safe mechanism.” 

This was his speech on Tuesday, 22^nd February, in Parliament.  The context was a debate about the behaviour of the Workers Party leadership, and particularly the Leader of the Opposition, Pritam Singh.  The contention was that misleading Parliament for political gain, and casting aspersions over the civil service that are patently untrue, is not a road we want to go down it impinges on the integrity of our lawmakers, and sullies the reputation of the country as a whole. 

He cited Israel, which has devolved into a corrupt kleptocracy of sorts, where the electorate themselves do not trust any party enough to vote in a decisive majority.  The main parties have been marred by substantiated incidences of corruption, criminal conspiracy, and a politics of divisiveness.  Israel has moved away from a secular democracy to accommodate the Jewish Right and a conservative Orthodox supremacy.  This is not a united nation, and this is especially concerning when the country itself is in a dangerous neighbourhood, surrounded by failed and failing states. 

He cited India, and it is a fact that India is one of the most corrupt nations in the world.  It is a fact that just over 60% of Indian lawmakers have pending court cases, or have been convicted.  But they are still serving in their parliament, and crafting legislation that benefits them.  The current Modi administration is demonising the Muslim and Christian minorities for votes, and inflaming Hindu extremists. 

Both nations are a far cry from the vision of the generation that fought for their independence, and it would be conceivable that the leaders of their independence movement, were they still alive, would be ashamed of the state of these countries.  Prime Minister Lee is drawing a parallel that the road to corruption and disunity is littered by small compromises in our integrity as leaders for immediate gain at the ballot.  Singaporeans are not so special that we are inherently above this.  As such, we must draw lessons from the success and failures of other states, and learn not to make the same mistakes. 

This speech was in Singapore’s Parliament, addressed to a Singapore audience, on a Singapore issue.  There is nothing inherently wrong about those remarks.  No nation is above criticism, including our own.  All that was mentioned are facts, and no aspersion was intended.  These are lessons to be earned.  The claim that these countries are genuine democracies is also subjective.  Singapore is also a genuine democracy.

Quora Answer: How Can Singapore Have an Iron Dome System from Israel, When the US Does Not Have It?

The following is my answer to a Quora question: “How can Singapore have an Iron Dome defense system from Israel, when the US, which is Israel’s biggest ally, does not have it?” 

The United States has procured the Iron Dome II, and is currently being trained in it.  The Iron Dome system was officially developed by Raytheon Technologies Corporation of the US, and Israel’s Rafael Advanced Defense Systems.  That is not the whole story. 

Singapore has the Iron Dome because it saw a strategic need for it.  Singapore is between two halves of Malaysia – East Malaysia and Peninsula Malaysia, and there is little that we can do to stop Malaysian satellites passing overhead and having an accurate topographical map.  Malaysia has multiple-launch rocket systems as well as artillery.  The MLRS system is unguided, and they have not invested in their artillery capabilities due to budget constraints.  Singapore, however, does not play dice with national security. 

It is suspected that Singapore’s DSTA was involved in the development of the Iron Dome, and Singapore funded it.  Israel’s economy is weak because of decades of being on war footing.  They do not have the money to fund such a programme by themselves.  The US were not going to fund it because they saw no need for it then, and viewed it as a potential rival to their Patriot system.  It made sense for it to be developed, and field tested in Israel.  No other nation involved in the development of the weapon system actually had belligerents tossing rockets across the border. 

Now that the system is proven, the Americans suddenly found a need for it.  They stepped in and started funding improvements that met their specifications, including an increase in range from around 70 km to 250 km, and the ability to track more than one missile at a time from different trajectories.  This is a forward defence system to be deployed overseas, to protect American installations and assets in conflict zones.  This is especially pertinent with the proliferation of advanced drone technology, as demonstrated by the Houthis, in Yemen.  While the Patriot is effective, it is also expensive.  A Patriot PAC-3 missile costs around US$3 million each, while the Tamir missile is US$40,000.  It is not cost efficient to shoot down a Qassam rocket that costs US$800 to build with multi-million dollar missiles.

Quora Answer: Should I Report Someone, as a Radical, for Posting Hateful Messages against Israel?

The following is my answer to a Quora question: “I saw a Malay kid, in Singapore, frothing in mouth for Palestine, and posting hateful message against Israel.  Is he about to be radicalised?  Should I report him to the authorities?” 

What are you going to report him for?  For having a political opinion different from yours?  How does that make him radicalised?  Radicalisation is the action or process of causing someone to adopt radical positions on political or social issues, that post a security threat to the state.  Like many people, he has a position on the Palestinian conflict, and he is exercising his right to an opinion, albeit in a less than elegant manner.  None of that is against the law, or a threat to Singapore. 

When a rightwing government in Israel provoked a conflict to keep an embattled prime minister in power in order to stave off the prosecution of his corruption, the State of Israel would expect it to create drama all over the world.  That is democracy and freedom of speech at work.  The only people who are invested in this superstition of Israel as a holy land are extremist Christian Zionists, and allied Jewish groups from that side of the political spectrum.

Quora Answer: Who Does the Singapore Government Side With in the Israeli-Palestinian Conflict?

The following is my answer to a Quora question: “Who does the government of Singapore side with in the Israeli-Palestinian conflict?” 

The Singapore government does not take sides.  On one hand, Singapore has close relations with the State of Israel.  However, that does not make Singapore party to the policies of the current government.  In fact, Singapore’s Ministry of Foreign Affairs has issued official statements calling for calm and restraint, and Singapore officially supports a two-state solution to the conflict. 

Unlike Israel, Palestine does not have official relationship with Singapore, since they do not have a government that represents all of the Palestinians due to their challenges, and internal politics.  However, the Palestinian cause resonates with a large segment of the population, and with Singapore’s Muslim-majority neighbours. 

Singapore is part of the Non-Aligned Movement, and is officially neutral.  Based on this, and the above factors, it would not make sense for the country to take one side over the other, when the belief is that dialogue with all sides is ultimately more constructive than belligerence.

Quora Answer: Is Singapore the Israel of Large Cities, in Terms of Its Efficiency?

The following is my answer to a Quora question: “Is Singapore the Israel of large cities, in terms of its efficiency?”

That is a strange comparison.  Singapore and Israel are similar in the sense that both are surrounded by Muslim-majority immediate neighbours who could be potentially hostile.  As a result, from independence, both sough heavy militarisation, implemented conscription, and developed an indigenous military industry.

Aside from that, they took divergent paths due to vastly different geopolitical realities, and have a different system of government.  When we think efficient, we do not normally think Israel anymore.  This is not the Israel of Golda Meir or David Ben-Gurion.  This is not even the Israel of Menachem Begin, or Yitzhak Rabin.  This is the Israel of Binyamin Netanyahu, a rightwing kleptocrat who has run the economy to the ground, disenfranchised large sections of the population, and pursued a reckless foreign policy to detract from his mismanagement of the nation.

Israel under Netanyahu has abandoned its secularist roots in favour of the Jewish Right.  You would never imagine Singapore pandering to any single religious group.  Netanyahu is under a corruption probe, and he is using political games to hold prosecution at bay.  Singapore ministers have had to resign simply because they had affairs.  Israel has been through several unstable coalitions, and each of them has collapsed recently.  You cannot imagine Singapore being so inefficient.

Singapore is efficient, but it is not because we are like Israel.  We are efficient because we do not have the luxury of the United States guaranteeing our independence no matter how corrupt or inefficient our government is.  That is Israel now, not us.

Quora Answer: Will Singapore Come to Israel’s Aid if It is Attacked by the Arabs?

The following is my answer to a Quora question: “Will Singapore come to Israel’s aid if it is attacked by the Arabs militarily?”

If you had bothered to look at the map, you would notice that Singapore and Israel are not exactly close.  Between Singapore and Israel are all the Arab nations that would conceivably attack Israel.  Singapore is also surrounded by Muslim-majority nations.  If there were such a conflict, regardless of how close Singapore and Israel are diplomatically, Singapore is in no position to send any form of military aid.  Whatever we would consider sending would have to go through several thousand kilometres of hostile territory, whether by sea or by air.  Military aid for Israel is likely to come through the Mediterranean coast, from European and American assets based in the region, not from Singapore running through the gauntlet of the Red Sea, and then the Suez Canal.  That would be a suicide mission.

Quora Answer: If You were Prime Minister of Israel, What Would You Do about Hamas Lobbing Missiles into Your Country?

The following is my answer to a Quora question: “If you were Prime Minister of Israel, what would you do about Hamas lobbing missiles into your country?”

If you want to undermine Hamas, then you need to undermine the reasons why they exist.  This applies to any opposition group, any terrorist outfit, any ideological enemy.  It is common sense.  Ideas are the basis of resistance.  They must be addressed, because that is far more efficient than any conflict of attrition.  As long as the ideology is valid, another group will always arise espousing it.

Firstly, it is only logical to go back to the two-state solution, and dismantle the settlements.  Israel is a secular state, and it does not make sense for the Religious Far Right to dictate policy.  Why should the non-religious, or the irreligious die for the religious convictions of the extreme fringe?

Secondly, bring leaders of the Palestinians to the negotiating table.  Use this as a chance to elevate people we can deal with, and sideline their hardliners.  Make it their interest to deal with their own extremists, because they know their own kind better than any external intelligence apparatus.

Thirdly, dangle aid, and work at developing Palestine.  This creates a client state friendly to Israel, and a near abroad that is a source of cheap labour for a lower manufacturing cost.  This allows us to leverage on their lower cost, and our technological expertise.  Prosperity gives the people a stake in the status quo, and destroys Hamas recruitment.

It is important to promote secularism, and dismantle religious extremists groups, both Muslim and Jewish.  The problem with both sides is that they have allowed the lunatic fringe to dictate policy.  This is 2019.  Nobody should be treating scripture as historical documents that shape policy.

The state apparatus should be turned towards the extremist Jewish groups that are promoting a state of total war.  This includes Protestant groups that sponsor them.  Most of these groups are not in Israel, but are based far away from the fighting, in the US, in Europe, and elsewhere.  Why should Israeli citizens shed their blood for the agendas of foreigners?

The lessons here are learned from the British measures to tackle the Communist insurgency in Malaya.  If we isolate the larger population from the insurgents, and give them a stake in the system, through economic growth and development, we undermine the ideology.  The American system of using bigger guns, and bombing everything back to the Stone Age has not worked, whether in Vietnam, or now in Afghanistan, and the Middle East.

The current conflict will impoverish Israel long before the Palestinian issue is resolved.  Wars are expensive.  There is also the cost of treatment of troops that have to serve in conflict zone.  And if it leads to those associated with the establishment and the military-industrial complex being wealthy at the expanse of the population, it will lead to regime change by the disenfranchised.  This challenge to the state will come from within, from among the lower classes of the Israeli citizenry, not external forces.

Quora Answer: Which Country Punches above Its Weight Militarily & with Its Intelligence Agencies?

The following is my answer to a Quora question: “Which country punches above its size and weight militarily, and with its intelligence agencies?”

There are quite a few countries that punch way beyond their size.  The most famous of which is Israel.  To that, we can add the UK, which although being much diminished since their budget and size, still has an outsized footprint on the world stage.  The Royal Navy is still the standard in fleet movement and engagement.  The only time the USN has ever had fleet engagement of a serious contender was with the IJN during the 2^nd World War.  In contrast, the Royal Navy has been doing it for centuries.  American special forces were modelled after the SAS and other British SF groups, although there has been some divergence due to the technology gap, and differences in doctrine.  The Royal Marines, the SAS, and SBS are still the standard we all look at.

In terms of intelligence, one contender most never consider is the Singapore intelligence services.  Singapore is the sixth eye of the Five Eyes intelligence alliance.  Most of our best work is done outside the country.  The price of our competence in taking care of issues before they become problems is that no one ever hears of these operations.  There will be no movies, no heroes, no public recognition.  That is the way it is supposed to be.

The SAF itself is extremely competent, although understandably secretive.  We have acquitted ourselves in war games with the US 7^th Fleet playing Opfor.  We are one of the few air forces who have demonstrated a consistent ability to take out a US carrier group.  The RSAF is also the only air force, besides Australia, in this region with the capability of extended deployments, including in-flight refuelling capability.  We could bomb Beijing and come back - although that would be extremely stupid.  The Army itself has personnel with combat experience, and regularly deploys to conflict zones to blood officers and men.  The Army SOF made a name for itself with SQ117 hijack.  Before that, they were in the shadows.  Singapore and Israel are the only countries that field the Iron Dome.

Quora Answer: Are Israeli Bonds a Good Investment?

The following is my answer to a Quora question: “Are Israeli bonds a good investment?”

That is a tricky question to answer.  We need to put aside all the emotions and rhetoric and look at the numbers.

Israel will not disclose the scale of Iranian strike damage or resulting capital flight, treating it as a state secret.  The same government, and the central bank it appoints, is the source for the reassuring 2.3 per cent inflation figure and the growth forecasts cited to justify holding the bonds.  A state that withholds the numbers that look bad has no incentive to publish inflated confidence in the numbers that look good, and no independent auditor is confirming either.  Treating one set of this government’s figures as concealment and the other as reliable is not analysis.  It is selective trust.

The Downgrade Record

Moody’s cut Israel from A1 to A2 in February 2024, the country’s first-ever sovereign downgrade, citing the Gaza war’s impact on government debt.  Seven months later, on 27^th September 2024, Moody’s cut Israel again, this time by two full notches, from A2 to Baa1, leaving the country three steps above junk status, as Hezbollah’s conflict with Israel intensified following the assassination of Hassan Abdel Karim Nasrallah.  Baa1 places Israel alongside Peru, Kazakhstan, and Thailand, not the developed-market peers its economy is usually compared against.

S&P moved on a parallel track.  It downgraded Israel from AA- to A on 15^th April 2024, then cut again to A on 2^nd October 2024, citing Israel’s escalation against Hezbollah in Lebanon as a primary factor.  S&P affirmed the A rating with a negative outlook again in May 2025, warning of a possible further downgrade within a year if military conflict continued hampering growth.  Fitch cut Israel from A+ to A on 13^th August 2024, citing continued war and geopolitical risk, and the market reacted immediately: Israel’s own sovereign dollar bond due 2031 fell 0.4 cents on the dollar the following day, with the Tel Aviv equity benchmark posting its worst week in a month.

What the Agencies Said about Governance, Not Just Debt

S&P’s own commentary went beyond fiscal metrics.  It stated that the escalation in geopolitical risk pointed to “diminished quality of Israel’s institutions and governance which have not fully mitigated actions detrimental to the sovereign’s credit metrics.”  This is a credit agency questioning the government’s own institutional judgement, not merely its balance sheet.  Israeli Finance Ministry Accountant General Yali Rothenberg called Moody’s September 2024 downgrade “excessive and unjustified.”  While the government was publicly disputing the agency’s judgement, it was simultaneously withholding the war-cost and capital-flight data that would let anyone independently verify which side is right.  This is not a reassuring combination.

“Oversubscribed” Bond Sales are Not a Confidence Signal

Israel issued over US$75 billion in bonds in 2024 and over US$60 billion in 2025, tapping a further US$6 billion in early 2026 with heavy oversubscription.  Oversubscription at an elevated yield means buyers were willing to lend at the price offered.  It does not mean they consider the country safe.  It means the risk premium was high enough to attract capital regardless of the risk, which is a description of yield-chasing, not confidence.  Credit rating agencies do not oversubscribe bonds.  Three separate downgrades from three separate agencies, arrived independently, are the harder, less interested signal, and none of them has been reversed to their pre-war levels.

The Debt Trajectory

Public debt rose 20 per cent in four years.  The deficit peaked at 8.3 per cent of GDP in August 2024, and has stayed above 5 per cent for three straight years.  Moody’s own estimate put the total cost of Israel’s conflicts at US$66 billion by the end of 2025.  This is a government borrowing at record volume, during an active multi-front war, with no fixed end date.  Every growth forecast cited to offset this concern comes with an explicit condition attached: the OECD’s own more optimistic scenario assumes the regional conflict resolves within a limited window.  Its own prolonged-disruption scenario, the one this war has already outlasted more than once, projects materially weaker growth and higher inflation instead.  This forecast only holds if the war ends soon.  It is not a reason for confidence.  It is a bet on a timeline nobody controls.

Are Israeli Bonds a Good Investment?

No, not for most investors.  Aside from all the concerns raised about the economic data and the ratings downgrade, the deficit has stayed above 5 per cent of GDP for three consecutive years.  For a standard fixed-income allocation, seeking predictable, verifiable risk, none of this clears the bar.  Better-rated sovereign debt, with transparent reporting, exists elsewhere at comparable or better yield.

The Case For, Narrowly

Yes, for a narrow, specific type of investor who understands exactly what they are buying.  The yield is elevated because of this risk, and Israel has proven able to raise large sums even at that price, over US$75 billion in 2024 alone, without a failed auction.  For an investor already running a diversified emerging and frontier-market bond allocation, treating this as one high-yield, high-risk position among many, the elevated yield compensates for risk already priced into the position sizing.  For an investor holding Israeli bonds for reasons unrelated to pure return – diaspora bonds bought out of national or religious affiliation, for instance – the calculation is not a financial one at all, and this analysis does not apply to that decision.

This works for a sophisticated, risk-tolerant fixed-income investor running a diversified emerging-market or high-yield sovereign book, sized so a single downgrade or default does not threaten the portfolio.  This is not for a conservative retail investor seeking capital preservation.  This is not for an institution with a fiduciary duty requiring transparent, verifiable risk disclosure, since the government’s own data withholding makes that duty difficult to discharge properly.  Most certainly, this is not for anyone treating this as a core holding rather than a small, high-yield satellite position.

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Terence Nunis | Executive Chairman, Equinox Zenith | Author, The 1% Playbook: The Billionaire Cheat Code

Insight from Unexpected Places

Insight often comes from the most unexpected places.  An Israeli diplomat once told me that one of the greatest tests that God Gave the Jews was giving them their own state.  For centuries, after the Diaspora, when Jewish leaders and intellectuals disagreed with each other, they were scattered all over the world.

Now, when they disagreed, they were all in one small strip of land along the Mediterranean.  If there were two Jews in the room, there were at least three opinions for every issue.  I replied that they were no different from the Muslims.

When the people are so disunited, when they have to contend with corruption in the political and religious leadership, there is always a need for an external enemy to demonise.  In that sense, there are people in power who need the Jews and Arabs to hate each other, and they are often not the ones who stay in the geographic neighbourhood, so they never experience the consequences of oppression.

The Arab-Israeli issue is not a Jewish-Muslim issue.  There are many voices, many positions in the mix that are never heard, even from people who shape policy in the region simply because those ideas are inconvenient to the prevailing narrative we are all fed.