"Whenever I dine with Singaporean public officials, they pay the check. I don't have to worry about giving them gifts for the holidays or whether I should treat them to dinner. They always begin every conversation with 'What can I do for you?' I'm always impressed by their sincere desire to serve us businessmen."

People even thank the government for ridding Singapore of mosquitoes. "Government officials here don't take bribes," said the president of the Singapore unit of "S", a Korean construction company. "They resisted lobbying attempts by construction businesses to change architectural plans and drainage systems and made sure that water never pools anywhere." In the "World Competitive Yearbook 2007" released Wednesday by the Switzerland-based International Institute for Management Development (IMD), Singapore ranks second after the U.S. in global competitiveness. And it maintained the top ranking in terms of the efficiency of its government and the performance of its public servants.

So what's their secret? Experts attribute Singapore's success primarily to the fact that its elite officials are paid extremely well. The top 20 percent of assistant division chief-level officials who have worked in their positions for five years receive annual salaries of more than W200 million (US$1=W927). That's a lot more than the average annual salary of a Korean cabinet member, which is about W105.86 million. If they perform well, Singaporean officials can be promoted to bureau chiefs or assistant ministers in just five years.

Right now the average annual salary of a Singaporean cabinet member is 1.2 million Singapore dollars, or about W730 million. That makes them the best-paid public officials in the world, and next year that figure is set to increase to 1.9 million Singapore dollars (about W1.17 billion). The Singaporean government doesn't recruit through civil service exams. Instead, government employees are hired based on their school records and personal interviews. Only college graduates are eligible to apply, and successful applicants sign contracts with the government. The government also operates an elite program that sends about 10 top high school graduates overseas to study every year, grooming them to be assistant division chiefs.

But don't think the government guarantees its officials a certain salary. Instead, salaries are calculated based on GDP growth rates and individual performance. If the GDP growth rate exceeds 8 percent, they receive a bonus equivalent to four months pay. But if the GDP shrinks, they get a pay cut. Some officials can qualify for bonuses of up to seven months pay depending on their performance. "The Cabinet members also receive bonuses under the same system," a government official said. "As a result, the salary gap between top-performing and lowest-performing officials can reach more than tens of millions of won." About 10 percent of the Singaporean public officials are "reshuffled" every year.

Another admirable policy is the harsh punishments that government employees can expect to receive if they're found to be corrupt. Every year, every government worker, from the president to the lowest-ranking servant, signs a "no debt" declaration. They have to report any change in their assets or investments, for themselves, their spouses, and their underage children. If any unaccounted asset is discovered, it can be confiscated. And when a public official is dismissed for corruption, he is also banned from working at private businesses. This means virtual ostracization from society.

And what about Korea? Our government is growing by 10,000 new public servants every year. By this rate, the central government will have a million employees by 2011. And yet we receive far from the best government services, and our officials aren't very competitive. According to the IMD survey, Korea ranks 31st in government efficiency this year, little better than its 33rd position in 2003. We ought to be closely studying the example of Singapore, where remuneration is based on ability and performance, rather than status.

This column was contributed by Song Eui-dal, the Chosun Ilbo’s correspondent in Hong Kong.