After being in the center for a long time, Fan Heng naturally understood that many things are not as easy to do.

But this time, the Singapore government exposed the fox's tail itself. It openly occupied the forefront of the **, so naturally gave itself a good opportunity to take action. After all, Fan Heng was influenced by his son Fan Wubing, and he had no good impression of Singaporeans who coveted a lot of money in China's financial industry.

If you want to deal with the Singapore government, the first thing that cannot be avoided in China is the Temasek Consortium.

In the past twenty years, Temasek has mainly relied on investment and commercial cooperation from affiliated companies to participate in China's economic development. In the 1980s, the investment was mainly concentrated in real estate, hotel and service industries. Now, the investment areas cover a variety of industries ranging from finance, manufacturing to ports, transportation and logistics, and has increased its own direct investment.

However, after the Asian market began to be cautious about Temasek, whether it can follow the existing strategies mentioned above requires more detailed operations, especially in personnel layout before business layout.

Now that senior management has arranged for Fan Heng to take charge of Hong Kong, it is mainly to see how Singapore responds and whether they will make some private explanations because of Wu Zuo Tong's crazy words.

Chinese companies and governments are already familiar with Temasek. These three words are originally transliterated in the Malay word "seaside city" and are also the old name in Singapore in the early years. They first appeared on the map brought back by Zheng He's voyage.

In 1974, Temasek became the name of the sovereign wealth enterprise used by the Ministry of Finance to control and preserve and increase state-owned assets. As of now, Temasek manages a net value of more than US$60 billion.

Before the Asian financial crisis, Temasek could maintain an average return of 18%. After the Asian financial crisis, Singapore's economy suffered a heavy blow. Temasek was in a difficult situation, and last year's average return rate fell to 3%.

Last year, Ho Jing, then CEO of Singapore technology company, was appointed as the new president of Temasek by the Singapore government when she was defeated.

Ho Jing is the wife of Lee Hsien Loong, son of former Singapore Prime Minister Lee Kuan Yew. Singapore Technology is an unlisted holding company in Temasek, responsible for engineering, technology, military and real estate businesses.

Ho Jing and Lee Hsien Loong often disagree. Although Lee Hsien Loong was the Minister of Finance at the time, he could not make any one-sided decisions. He was just a part of a team. Lee Hsien Loong was reluctant because this meant that an embarrassing situation would arise and his wife needed to report to herself. For this reason, Temasek specifically revised the board of directors, and Ho Jing reported to a nine-person board of directors.

However, in the second year after He Jing entered Temasek, that is, this year, the company is expected to make a profit of S$7.4 billion, which is thirty times the profit she made in the first year after entering Temasek, and contributes 10% to Singapore's GDP.

Ho Jing made a strategic decision that now seems to be very important to Temasek: no longer put the main investment in Singapore, only one-third is in Singapore, one-third is in Asia, and the other third is outside Asia. This is a decision that is not easy to understand for Singapore, which has just recovered after being hit hard by the Asian financial crisis. After all, every country hopes to keep investment as much as possible.

Unexpectedly, Temasek's investment in China quickly achieved historic opportunities and huge returns. The most popular one among them was the feast of China's banking industry.

Temasek first entered mainland China in the 1980s, with various investment projects. However, it was only after last year that it was actually entering China in large quantities. It was better to get up early than to catch up. Temasek, which actively entered China, quickly seized the great opportunity for China's financial industry reform and participated in the capital feast.

Under some agreement frameworks, Temasek will assist Bank of China to improve its corporate governance, including recommending a director candidate to Bank of China. In addition to focusing on improving corporate governance, Temasek will use its network in the Asian financial industry to assist Bank of China to develop talent resources and technological foundations.

The relationship between Temasek and China's financial industry is not just a simple investment. They have also further tried to join hands with China's financial industry to invest in the international market and develop deeper cooperative relationships.

Although Singapore has been ruled by the People's Action Party for a long time, the operations of Temasek and Singapore government investment companies are basically not affected by government behavior. Like private enterprises, the board of directors is the highest authority for corporate decision-making. It can be said that separation of government and enterprises and market-oriented operation of state-owned enterprises is the key to the success of the Temasek model.

As a state-owned enterprise, Temasek does not rely on soft budget constraints on government finance. On the contrary, through corporate operations, the company can not only pay taxes to the financial system according to corporate standards, but also transfer investment income to government investors through the rules of owner rights and interests. Based on the relationship between stakeholders, state-owned enterprises under the Temasek model essentially play a role in controlling the financial sector.

A core idea of ​​the Temasek model is to invest in enterprises through the holding company platform through the government wholly owns the holding company, reflecting the government's rights as the biggest stakeholder of the enterprise.

Through the shadow force of the holding company in the board of directors of each enterprise, the government's indirect control of the economy in the market is completed.

On the other hand, the government does not directly interfere in the corporate operations of enterprises, nor directly interferes in the market. Through the price mechanism, enterprises can make profits in the market. At that time, they will obtain profits through the pipeline of the holding company, forming a virtuous cycle.

Temasek's unique model and its successful investment operations in China objectively cultivated senior financial talents for China and invisibly played the role of a training base.

However, the business philosophy of these people was also seriously affected by Temasek, which actually endangered China's national interests.

At this time, Fan Heng had just been in Hong Kong for a day when news came that although Singapore Prime Minister Oh Zuo Tong made a fuss, Temasek had already begun to operate privately, attempting to alleviate possible counterattacks from China through donations.

"I just received the news that Temasek and its six Singaporean companies intend to donate 20 ventilators used in hospitals and two thermal imaging scanners used for the Civil Aviation Administration," Fan Heng said to his son Fan Wubing, "and He Jing also wrote to Vice Premier Wu, saying that they were very encouraged to see our fight against SARS. He hoped to express their confidence and support for China's important task."

"Tsk, this is only worth a few dollars." Fan Wubing said contemptuously, "Let Oh Zuodong say what he said in reverse. I will give him two hundred ventilators back, which will last for his descendants!"

Fan Heng continued, "In addition, they also promised that after the SARS crisis was basically lifted, Temasek took the lead in launching the largest forum in China and Singapore's history in Shanghai to show their confidence in China and plans to invite global investment representatives from the United States, Britain, Europe, Australia and the Middle East to gather together."

"It's nothing strange, it's just a popular one. I don't need to spend any effort to do it. Even now, I don't see the attitude of sincerity or regret. But what does the senior management mean?" Fan Wubing asked.

"The opinions of the senior management are somewhat different, and it is obviously severely disturbed by the outside world." Fan Heng replied, "Probably, Oh Zuo Tong's former secretary will come to Hong Kong to explain this matter. If the central government feels it is not appropriate to offend Singapore, this matter will probably be revealed." Fan Heng replied with a frown, "And it is said that Temasek is planning to exchange 1.5 billion US dollars for 5% of the shares of Bank of China. There has not been any confirmation in this matter."

"So cheap?! Selling state-owned assets at a low price!" Fan Wubing immediately jumped up and shouted, "Sell it to me, can I pay 2 billion US dollars?"

In fact, Temasek has a great appetite. He relies on his connections in the mainland and his excuse of being proficient in financial management to plunder the equity of several major state-owned banks, but the price is very small. Fan Wubing heard about this in his previous life. When he encountered this opportunity, he naturally wanted to kick Temasek away and take action by himself.

When it comes to capital, management team, and management experience, how can Temasek be comparable to Fan's Investment Group? Fan's Investment Group's annual profit is several times more than Temasek's total assets, and there is no comparison between the two.

Now Singapore takes the initiative to turn against China. From then on, when China considers these economic construction projects, it no longer has to think about Singapore. It is completely just for its own interests. No one can say anything about this. This is actually a great relief for China. Isn’t it a good thing?

Furthermore, China only needs to deal directly with Southeast Asian countries, and there is no need to pass through ASEAN. The existence of ASEAN has actually become a stage for Singapore to dance and raise its value. Apart from being beneficial to Singapore, it does not benefit much for China and other countries.

From then on, China quietly left ASEAN aside and dealed with relevant countries directly. In fact, it demolished Singapore's Taiwan to reduce the chances of fraud by scammers. This will not harm anyone. If the Kra Isthmus Canal Project or Myanmar land transportation project can be completed, the feasibility of the United States using Singapore as a base will be greatly reduced, and the importance of the United States using Singapore base will also be reduced accordingly.

In this way, Singapore cannot sell its base at a good price even if it wants to sell it.

Even if it is sold, the main purpose is not so much to deal with China, but to deal with the surrounding Muslim countries. Of course, those countries will not not understand this. In that case, countries that want to deal with Singapore have their own people, so there is no need for China to do whatever it says.

Fan Wubing thought about it all and felt that this time the media should take the lead, the economy should take charge, and kick Temasek out of China, which would be beneficial to him without any harm.
Chapter completed!