 The creation of the national service policy is thought to aid the strengthening of national and racial ties since there is a sense of unity when training as a youth with peers of other races.Further economic success continued through the 1980s onwards, with the unemployment rate falling to 3% and real GDP growth averaging at about 8% during this time until 1999.In the 1980s, Singapore faced the challenge of needing to upgrade its industries to higher-technology industries, in order to compete with its neighbours which were exporting the same things at a lower price.