Prime Minister Lee Hsien Loong says clan associations are still relevant and can play a useful role in today's new and changing environment.
Speaking in Mandarin at the Singapore Lee Clan General Association Centennial Dinner, PM Lee gave four suggestions on how they can do so.
First, he said clan associations can help tackle the problem of widening income gaps because they are in a better position to understand their clansmen and their family circumstances.
PM Lee said they should also help to preserve the traditional values in society by organising activities for the young.
He also suggested that clan associations attract younger members and renew their leadership ranks.
Finally, PM Lee called on links to be strengthened with clansmen in China and other parts of the world.
The commercial linkages will then help Singapore seize the economic opportunities in China and Asia.
PM Lee cited his recent visit to China where he met several Singaporean businessmen in Guangzhou and Chengdu.
They told him that they have no problems in business and social interactions because they are fluent in Mandarin and understand how the Chinese work.
PM Lee said that shows why it is important to strengthen clan relationships in China and to tap on the growth there.
Young Singaporeans need to be trained to have a global outlook, yet have their roots in values and traditions, says Prime Minister Lee Hsien Loong.
Speaking at Dunman High School's 50th anniversary dinner on Saturday, Mr Lee said young Singaporeans need to acquire the skills and minds to succeed in a global marketplace.
But it is just as important to help them grow their roots as Singapore's future lies in their hands.
"Only by investing in our young and nurturing their growth can we assure ourselves of continued progress and prosperity in the years to come," Mr Lee said.
"Our schools play an important role in giving our students a well-rounded education and grooming them into responsible citizens. And that's why we have spared no efforts in upgrading our education system across the board."
Mr Lee cited Dunman High School as one that has groomed well-educated and bilingual graduates who still possess a sense of commitment and obligation to society.
He said that the school could do even more to improve the quality of its education.
To do that, Dunman High will be the first government school to offer the six-year Integrated Programme.
It will also re-build its existing campus to twice its current size.
To be ready in 2009, the new campus will cater to 2,600 students and will boast state-of-the-art facilities.
Mr Lee said: "Besides focusing on academic excellence, I hope that Dunman High will continue to motivate its students to serve our community and nation.
"I am glad that Dunman students are involved in community work. They help out with community organisations, organise activities, do projects and raise funds. All this will help to instil in our students a sense of duty towards the community and towards those who are less fortunate."
PM Lee said the students could also learn from successful Dunman alumni who remain active in the community through organisations like the Chinese clan associations.
Speaking in Mandarin earlier, Mr Lee said Dunman, as a SAP school, is well-placed to groom a new generation of bilingual, bicultural Singaporeans.
But he noted that such schools must also produce students who are well integrated into Singapore's multi-racial society.