JERUSALEM  — Prime Minister Lee Hsien Loong on Tuesday (April 19) called for stronger business ties between Singapore and Israel, as he began the official programme for his visit to the country.  

He also urged Israel and the Palestinians to resume direct talks towards a two-state solution, saying that as friends of both parties, Singapore is concerned about the situation and wish them well.

Speaking at an official welcome ceremony at Israeli Prime Minister Benjamin Netanyahu’s office on Tuesday morning, Mr Lee noted that business ties between Singapore and Israel are strong.

“Israel is the second-largest contributor of foreign direct investment (FDI) in Singapore from the Middle East,” he said, adding that many Singaporean firms have shown an interest in doing business and investing in Israel. Among Middle East countries, the United Arab Emirates contributes the most FDI to Singapore.

“We admire your (Israel’s) technical prowess and ecosystem. You have the highest number of scientists, technologists and engineers per capita in the world, and the third-highest number of patents per capita.”

Mr Lee added that Singaporean and Israeli universities and research sectors also have strong collaboration. On Monday, he witnessed the signing of three agreements between the Hebrew University and the National Research Foundation, National University of Singapore and Nanyang Technological University, respectively, to manage the Hebrew University’s research in Singapore.

Going forward, he expressed hope that Israel and Singapore can do more together in terms of technology, cybersecurity in business and people-to-people exchanges.

Bilateral trade between Singapore and Israel was around S$1.9 billion in 2014. Top exports and imports are in semiconductor devices, telecommunications, electrical machinery and equipment, as well as across various other industries such as life sciences, and food and beverage, among others.

Mr Lee is on a week-long visit to the Middle East.  He visited Jordan before arriving in Israel on Monday, where he received an honorary doctorate from the Hebrew University. It is his first official visit to Israel.

In his speech, Mr Lee recounted that Singapore-Israel ties began after Singapore’s independence, when the Israeli Defence Forces (IDF) helped to train the Republic’s military officers.

“We are very grateful to Israel. When independence was thrust onto us in August 1965, and Singapore’s security and survival were in doubt, the IDF helped us to build up the Singapore Armed Forces when other countries turned us down.”

Recounting that his last visit to Israel was in 1977 as a young army officer accompanying then Singapore’s Chief of General Staff and current Singaporean Ambassador to Israel Winston Choo, Mr Lee said: “ I am very happy that I can come again after all these years to thank you personally.”

On his part, Mr Netanyahu said Mr Lee’s visit to Israel is a “truly historic occasion”, adding that there is a “deep friendship” between both sides. 

He listed the similarities between Singapore and Israel. “We are small nations that leave a very large imprint on the world scene ... We have built dynamic, prosperous economies, despite our small size and our limited natural resources,” said Mr Netanyahu. 

“Innovation and entrepreneurship have allowed us both to punch well above our weight. We both understand that strong economies with a very powerful incentive for enterprise are the foundations of strong countries, and our cooperation with each other has made each of us even stronger,” he said, adding that Singapore and Israel are anchors of stability and strength in their respective regions.

The Israeli Premier also paid tribute to Singapore’s founding Prime Minister Lee Kuan Yew.

“Mr Lee Kuan Yew was a great statesman of the 20th century who laid a solid foundation for your country, and he taught many of us the idea of economic vision and enterprise that was put to the test and is now the great success that Singapore is,” he said. 

Following the welcome ceremony, Mr Lee and Mr Netanyahu met for talks where both leaders “reaffirmed the close and long-standing relations between both countries”, said a statement issued by the Singapore Prime Minister’s Office (PMO) yesterday.

The PMO added that both leaders encouraged Israeli and Singaporean entrepreneurs and businesses to enhance collaboration and explore investment opportunities.

Mr Lee also touched on the Israeli-Palestinian conflict and the Middle East Peace Process during his speech at the welcome ceremony. “We are concerned about the situation, as many around the world are. We wish you well because we are friends with both Israel and the Palestinians,” he said.

He expressed hope that both sides “will be able to resume negotiations and make progress towards a just and durable solution to a longstanding and complex conflict”. “We hope to see a two-state solution with both Israel and Palestine living side by side in peace and security one day,” Mr Lee added.

Multiple efforts have been made to broker an agreement on a “two-state solution” in which Israel would exist peacefully alongside a new Palestinian state created in the West Bank and the Gaza Strip, lands seized by Israel in the 1967 war.

However, such a solution appears remote because of ongoing Jewish settlement building; a split between the Palestinian Fatah and Hamas factions; preoccupation within the Palestinian National Authority about who may succeed ageing President Mahmoud Abbas; and a wave of Palestinian stabbings, shootings and car rammings of Israelis.

Efforts led by the United States to broker peace between Israel and Palestine collapsed in April 2014, although France is making another push by convening an international peace summit to work towards a two-state solution.

Senior Minister of State for Foreign Affairs Dr Maliki Osman recently told Parliament that Singapore welcomes the latest French initiative.

Mr Lee will meet Israeli President Reuven Rivlin and Leader of the Israeli Opposition Isaac Herzog today. He will separately meet Prime Minister of the Palestinian National Authority Rami Hamdallah in Ramallah.