Singapore soars as regional business hub

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Australian companies in Singapore are more upbeat about their investment than those in China, with 88 per cent of respondents in new survey looking to expand in the region.

| Most Australian companies operating in Singapore aim to expand in the next five years, and look to Indonesia, India, Vietnam and Malaysia for future investment as the finance hub rival of Hong Kong loses its allure.

Half of those surveyed expected an improvement in the business environment in the next 12 months because of increased technology and greater access to ASEAN markets, where an emerging middle-class market drives growth. Some 45 per cent of companies surveyed said the situation in Hong Kong, which endured three years of strict COVID-19 controls, had both helped and hurt their Singapore operations. They said while, the city-state had become a lot more expensive for staff.

Out of the respondents looking to expand in the region, 41 per cent said they were looking at Indonesia, 34 per cent India, 31 per cent each at Malaysia and Vietnam. The e were followed by the Philippines, China, Thailand, Singapore, Cambodia, Brunei, Myanmar, and Laos.It also found 53 per cent of respondents wanted to increase the number of employees in Singapore in the next 12 months, but many reported problems with changes in the city’s work visas for foreigners, known as an Employment Pass.

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