“Singapore is going to be the financial center of Southeast Asia, probably Asia, and likely one of the top financial centers of the world.”
Singapore, a land area of approximately 710 square kilometers, is one of the easiest places to do business in the world and it is the better business destination. So there is no surprise that Singapore has been ranked as one of the best places to do business in many rankings. Certainly, the small area of the country does not have a negative impact on its economic status whatsoever. Moreover, Singapore it is Asia’s startup hub.
The Lion City, the name which is often used to describe Singapore, is an exceptionally beautiful country. Undoubtedly, this island-country is one of the most beautiful places in Asia, but these days it is more known for its meaning and place in the world of business. Singapore is, indeed, the place to live, work and do business.
Business Paradise Island
It is not surprising that Singapore is considered one of the most dynamic cities in the world to live, work and do business. This microscopic country-island offers one of the most conductive environments globally for knowledge-driven industries.
In the last four decades, Singapore has transformed from a centre of entrepôt trade to one of the leading financial centers and the most open economies for both trade and investments. Without a doubt, the guaranteed access to a competent and impartial judicial system as well as clarity and consistency of Singapore’s government guidelines make the country a better business destination. We should not forget also that the good corporate governance and the enforcement of a strong anti-corruption policy are also features which make Singapore an attractive place to do business. The Singapore’s government’s pro business approach is accompanied by good infrastructure as well as highly skilled human capital.
The business paradise island, Singapore, does whatever it takes to stay competitive by steering its economy toward knowledge-based industries. The government of Singapore has been increasing gross expenditure on R+D, not to mention that it has implemented policies regarding protecting intellectual properties. These make the business paradise island a suitable place for business focusing on innovation and ideas. All of these, surely, make Singapore the better business destination.
Do not forget that the Singapore has as many as 50 comprehensive double taxation avoidance agreements. The business paradise island is a member of the World Trade Organization and because of that businesses located here enjoy numerous free trade agreements and investment guarantee agreements with many countries located in Asia and worldwide as well.
Leading Financial Center
Singapore, without a doubt, is one of the leading financial centers as it provides international banking, trade finance, insurance, treasure operations, etc. within the Asian region. Companies wanting to operate here can take advantage of capital markets based in Singapore to access the hosts of local and international institutions located on the business paradise island.
While the world economy is not in a good condition, Asian economies demonstrated the resilience through the economic financial crisis and even the recent economic slowdown in China cannot belie that fact. And Singapore, undoubtedly, is and will remain one of Asia’s brightest economic stars and better business destinations.
The business paradise island, Singapore, is the popular choice of American, European and Japanese companies looking for a headquarter location in Asia. According to different surveys, Singapore is a home to over 25,000 international companies.
And if all of aforementioned pieces of information on Singapore have not convinced you yet, maybe the following facts regarding setting up business there will.
It is not a big revelation that Singapore has been considered one of the best and easiest places to do business as it is globally connected and multicultural island-country. And what is more, Singapore glories in stable political environment, world-class infrastructure, capital markets, not to mention an attractive tax regime.
According to Year of Assessment 2012, corporate tax for taxable profits up to S$300,000 is as much as 6 percent. As for taxable profits exceeding S$300,000, tax rate is 17 percent. In addition, capital gains in the better business destination are not taxable. Therefore Singapore is said to have the most efficient corporate as well as personal tax regimes in the world.
Moreover, the business paradise island has no restrictions on foreign ownership of business. What is more, the repatriations of profits as well as the import of capital are freely allowed in the business paradise island. Hence Singapore remains one of the best choices for companies and is the better business destination..
One of the most important factors that make Singapore a better business destination is the ease of communication as English is the official language of the country. So you can easily communicate with people. Therefore it is not difficult to establish new contacts or to communicate with public institutions.
All these confirm the fact that Singapore is willing to accept the process of globalization as it corresponds foreign cultural and economic infusion. The business paradise island had demonstrated its favorable reception of different cultures. The openness to different cultures impacts positively the business culture in general. This rule, certainly, applies to Singapore’s case as behind every successful business is a supportive environment which makes success come true. Singapore is known for its business-conductive environment which provides a pro-business ecosystem, world class services, not to mention the government focusing on the business-friendly policies.
The open immigration policy of Singapore is also encouraging as it allows comapnies to easily relocate to Singapore. The safety and low crime rate attract more foreign professionals to the business paradise island. The well-known political stability gives Singapore the title of “The Switzerland of Asia” and lures businesses to put down roots there.
Singapore – the place to do business
Singapore, the Lion City, is a better business destination thanks to many advantages such as geographical location and developed infrastructure which have contributed significantly to the importance of Singapore on the map of the better business destinations.
It is not surprising that Singapore has topped different rankings on business-related issues. Singapore has been luring companies as business here runs easily and effectively. Dreams come true in Singapore as it takes relatively less time as well as capital to set up business there.
Duvvuri Subbarao, governor of Reserve Bank of India, noted: “There is a need to make doing business easy by adopting models like the one in Singapore, where multiple agencies/ministries sit together to quickly give a decision clearing investment projects.” Free market policies, which were implemented by the government of Singapore, welcome business and provide a space for business to grow. Because of the Singapore’s approach to business in general the business paradise island is chosen as a place to do business by an increasing number of companies from all over the world.
Even though Singapore’s approach seems to be the antithesis of laissez-faire, the business island paradise has done everything to induce international companies to come. Licenses can be obtained both quickly and efficiently at the same time.
But Singapore is not only about doing business. You can find there great nightlife, gambling, etc. Yet you should never forget that the business paradise island is a home to a strong industries and service sector, not to mention that it is the fourth financial center in the world.
Singapore or Hong Kong?
Some rivalries have no ends including the rivalry between Singapore and Hong Kong which have been competing with each other for a long time. The beginning of the rivalry has its origins in the days of their entrepot status. Both Singapore and Hong Kong had been under the British rule in the past and both of them earned the title of the trading centers as well.
Noticeably Singapore and Hong Kong have been competing for the title of the largest international financial center in the region. However, changing fortunes and developments in the East Asia and South East Asia make it difficult to unequivocally indicate the leader of the race. Yet, both Singapore and Hong Kong have emerged as attractive better business destinations in this new age.
Behind the success of Singapore and Hong Kong are, however, two different approaches. The business paradise island developed as an international financial center largely through active government policies. Unlike Singapore, Hong Kong is the supporter of the policy of non-intervention and laissez-faire. The governments of these two markets have different approaches, but there is one common policy shared by both, namely, it is the firm regulation and corporate governance contributing to their status as financial centers.