SINGAPORE -- On Aug. 12, Lee Hsien Loong became Singapore's third prime minister since its independence in 1965. However, his predecessors, Goh Chok Tong and Lee Kuan Yew, remain in the Cabinet: Goh as senior minister and Lee as minister mentor.

The power transition takes place at a time when Singapore faces monumental challenges, including economic and social restructuring, against a backdrop of increasing international uncertainties. The new prime minister must contend with an uncertain external environment, including terrorism, fundamentalism, regional integration and separatism -- all of which could adversely affect Singapore's economic well-being and survival.

Regarding foreign relations, future responsibilities may be distributed among the two Lees and Goh, who would form a "foreign-policy troika" that would lead Singapore for at least the next two years until the next general election, which must be held by the end of 2006.