Foreign Affairs Minister K Shanmugam highlights small states' concerns at UN General Assembly

Foreign Affairs Minister K. Shanmugam has warned that small states like Singapore are especially vulnerable to the worsening global economy.

In his speech before the UN General Assembly in New York, Mr Shanmugam warned that a weak global demand and a continuing crisis in the Eurozone may lead to a global recession

He noted that small states like Singapore are vulnerable to "increased protectionism."

"Growing frustration over the inability of existing multilateral institutions to deal with these global challenges are growing and that has given rise to a greater tendency for countries to turn to smaller, more exclusive groupings outside of the UN's framework for solutions," he said.

Mr Shanmugam cited the Group of 20 developed and developing nations as having helped to prevent a worsening economic meltdown

But he also took issue with its exclusivity, saying that the G-20 leaves out the vast majority of the UN member nations, particularly small states

The minister said the Global Governance Group, or G-3, was established by like-minded countries including Singapore, to strengthen engagement within the G20 and the UN

Mr Shanmugam also emphasised the importance of peaceful resolutions of disputes and the rule of law

He said it was "particularly important" for the survival of small states such as Singapore.