W. Hornaday, 1885

Despite the immense changes that the twentieth century has imposed upon the tiny island of Singapore, natural historian William Hornaday's succinct appraisal is as valid today as it was in 1885. Since gaining full independence from Malaysia in 1965, this absorbing city-state has been transformed from a sleepy colonial backwater into a pristine, futuristic shrine to consumerism. Yet visitors prepared to peer beneath the state's squeaky-clean surface will discover a profusion of age-old buildings, and values and traditions that have survived the profound social and geographical change. Nor has this change turned the island into a drab, urban slum – even as you make your way in from the airport you'll be struck immediately by Singapore's abundance of parks, nature reserves, and lush, tropical greenery.

Singapore's progress over the past four decades has been remarkable. Lacking any noteworthy natural resources, its early prosperity was based on a vigorous free-trade policy, in place since 1819 when Sir Stamford Raffles first set up a British trading post here. Later, mass industrialization bolstered the economy, and today the state boasts the world's busiest container port (in terms of total shipping tonnage), minimal unemployment, and a super-efficient infrastructure. Almost the entire population has been moved from unsanitary kampungs (villages) into new apartments, and the average per capita income is over S$40,000 (US$24,200: World Bank estimate). Yet none of this was achieved without considerable compromise – indeed, the state's detractors claim it has sold its soul in return for prosperity.

Put simply, at the core of the Singapore success story is an unwritten bargain between its government and population that critics describe as soft authoritarianism. The loss of a certain amount of personal freedom has been accepted in return for levels of affluence and comfort that would have seemed unimaginable thirty years ago. But as the nation's youth (who don't remember a time before the improvements they take for granted) begin to find a voice, public life should become increasingly, if gradually, more liberal and democratic.

Whatever the political ramifications of the state's economic success, of more relevance to its millions of annual visitors (9 million in 2005) is that improvements in living conditions have resulted in a steady loss of the state's heritage, with historic buildings and streets bulldozed to make way for shopping centres. Singapore undoubtedly lacks the personality of some Southeast Asian cities, but its reputation for being sterile and sanitized is unfair. Shopping on state-of-the-art Orchard Road is undoubtedly a major draw for many tourists, but elsewhere can still be found the dusty temples, fragrant medicinal shops, and colonial buildings of old Singapore, neatly divided into historical enclaves.

Much of the city's fascination springs from its multicultural population: of the 3.55 million permanent residents, approximately 77 percent are ethnic Chinese, whose shops, restaurants and temples are found across the island; fourteen percent are ethnic Malay; and eight percent are ethnic Indians, with the remainder made up of other ethnic groups. This diverse mix textures the whole island, and often turns a ten-minute walk into what seems like a hop from one country to another. One intriguing by-product of this ethnic melting pot is Singlish, or Singaporean English, a patois that blends English with the speech patterns, exclamations and vocabulary of Chinese and Malay. Another is the amazing range of mouthwatering cuisines on offer in the city. Inevitably, the greatest emphasis is on Chinese, Malay and Indian foods, but your trip to Singapore will give you the opportunity to sample Thai, Vietnamese, and any number of other Asian specialities.