Singapore's rising costs of running a business outpace Hong Kong's

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SINGAPORE (Bloomberg): Singapore looks like an attractive location for firms wanting to exit Hong Kong, but they may find that a move to the city-state hits their bottom line more than expected.

With inflation soaring to the highest level in 14 years, expenses including the hiring of talent, office space and utilities are rising at a faster pace in Singapore than in its financial rival, where price increases have been more modest.

Meanwhile, Hong Kong is playing catch-up, finally moving towards the elimination of mandatory hotel quarantine for inbound travellers after requiring 21 days.Singapore's ratio of job vacancies to those unemployed reached a historic high in the second quarter. This resulted in salaries for new job offers rising faster than those in Hong Kong in many key sectors last year.

Singapore's civil servants are expecting a pay rise ranging from 5 per cent to 14 per cent this year, while Hong Kong has proposed a 2.5 per cent boost.Hong Kong regulates its two electricity providers, but it is not immune to the energy price increases that swept the globe following the war in Ukraine.

 

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Belgique Dernières Nouvelles, Belgique Actualités

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