The Singapore Convention is the latest example of Singapore's commitment to the United Nations and the international community, said Prime Minister Lee Hsien Loong.

The convention allows parties to reach a mediated settlement in an international commercial dispute.

It is the first UN convention to be named after Singapore, and highlights the city-state's reputation as an international legal hub.

UN treaty shows Singapore supports multilateralism

Speaking at the signing of the UN Convention on International Settlement Agreements Resulting from Mediation on Wednesday, Aug. 7, PM Lee added that the UN treaty is a powerful statement for Singapore in support of multilateralism.

The signing comes at a time when multilateralism is under pressure, he said.

China and the United States were among the first countries to sign the treaty.

In total, 46 countries signed the convention on Aug. 7.

The signing ceremony was attended by about 700 attendees.

International treaties vital for Singapore

PM Lee reiterated that international treaties and the rule of law are exceptionally important to small countries such as Singapore.

All countries big and small are disadvantaged, PM Lee said, without multilateral institutions and widely accepted international rules, and where might is right.

And this is why Singapore rigorously upholds what it has committed to.

Multilateral institutions not perfect, but should not be abandoned

PM Lee also noted that many existing multilateral institutions are not perfect, and are in need of urgent reform as they command less confidence or have practices that are becoming obsolete.

Even so, these institutions should not be abandoned, but should be reformed and brought up to date, as they have brought the world growth and prosperity for the past decades, he added.

"We must make sure they reflect current economic and political realities, and ready them to deal with new issues created by the progress of technology and globalisation."

Singapore's work continues

Singapore's work does not stop after the signing of the convention.

The country will continue to promote the Singapore Convention and see to its adoption, PM Lee said.

The country will also continue its broader efforts to work with friends and partners to "advance the cause of justice", he added.

Singapore will also be the host to a number of other initiatives on international dispute settlement.

For instance, INSOL International -- a worldwide federation that comprises restructuring and insolvency professionals -- will be launching its first overseas office outside of London in Singapore.

The American Arbitration Association-International Centre for Dispute Resolution (AAA-ICDR), a provider of dispute resolution services for parties in commercial disputes, will also be opening its Asia Headquarters and Case Management Centre here.

"These events affirm Singapore's role as a leading international business and legal centre," PM Lee said.

Top image by Jane Stephanie