The Singapore business daily, Business Times reported on Monday that investment interest in Singapore from non-traditional locations including Russia and the Middle East is escalating, as firms look for a base from which to tap the growth of Asia. According to the data released by the Accounting and Corporate Regulatory Authority of Singapore (ACRA), the number of Russian and Middle East companies has risen significantly. The report also highlights that, the gauge of investments from non-traditional economies stood at $700 million in 2009, compared to $800 million in 2008. This was 5.9 percent of the total Fixed Asset Investment (FAI) seen last year compared to 4.4 percent the year before. It must be noted that the overall FAI declined last year due to the global financial crisis.
The US, Europe and Japan have remained the traditional investors in the country, but the Asian economic prospects and the relative resilience of the region in the face of global economic crisis have grabbed the interest of potential investors and expanding enterprises from non-traditional locations such as Russia and the Middle East, to look for conducive locations to leverage the Asian potential. Singapore, being the global business city is the obvious choice among enterprises and investors.
Singapore apparently is a business city of choice because it has a world class infrastructure, competitive tax regime, a strategic location and a competent workforce along with a cosmopolitan culture that attracts the best talents to the island city. The government and quasi government bodies zealously work towards making Singapore a thriving, competitive and efficient economy with a resourceful enterprise ecosystem. These factors make Singapore an ideal gateway into flourishing Asian markets.
Foreign enterprises have various options to setup business operations in Singapore. Foreign companies can either choose to set up a Branch Office, a Subsidiary Company or a Representative Office. There are professional service providers who can assist in Singapore company incorporation whereby, the Singapore company registration paperwork can be effortlessly managed under expert guidance. Singapore has the least red tape and along with it the availability of such professional service providers also makes Singapore company formation easy and enables almost instant commencement of business.
Commenting on the trend of growing investments and business expansions from non traditional geographies Ms. Jacqueline Low, the Director of Singapore company registration agency Janus Corporate Solutions said "Singapore provides the best platform for enterprises targeting the Asian markets and as the Asian economies are expected to sustain their momentum and prove to be resilient they are going to gain traction, so without doubt Singapore with its pro business environment will loom larger in the radars of the global enterprises and investors".
Roger Lee is a Singapore-based freelance writer who writes on a wide range of topics on doing business in various jurisdictions. For more information on topics discussed in this article, refer to Singapore company registration and Hong Kong company registration guides.