Singapore as an International Financial Centre Ker Sin Tze Trade Representative Singapore Trade Office in Taipei

1
Singapore as an International Financial
CentreKer Sin TzeTrade RepresentativeSingapore
Trade Office in Taipei

• At the 14th Annual Conference on Pacific Basin
  Finance, Economics, and Accounting at Grand
  Hotel, Taipei on 14 July 2006

2
Singapores GDP Growth

• GDP in 2005 was S194,359.8 million
  (US116.770.7 million)
• Year Growth Rate () Per Capita GDP (US)
• 2000 10 23,078
• 2001 - 2.3 20,723
• 2002 4.0 21,209
• 2003 2.9 22,155
• 2004 8.7 25,352
• 2005 6.4 26,833
• 2006 1st Quarter 10.6
• 2nd Quarter 7.5
• Growth in Q1 2006 was 10.6 (6.8 after seasonal
  adjustments). Broad-based economic expansion due
  to strong global IT demand, intra-regional trade.
  Growth in Q2 2006 was 7.5. Forecast growth in
  2006 5-7.

3
Investment Trade

• Major sources of foreign direct investments are
  Europe, US and Japan. Singapores investment
  destinations abroad are China, HK, Malaysia,
  Caribbean/Latin America, etc
• US (Million)
• Foreign direct investment stock in Singapore at
  end 2003 143,691.7
• Singapores stock investment abroad at end
  2003 172,859.8
• Destinations for Singapores direct investment
  in 2003 were
• British Virgin Islands 14.4
• China 12.4
• Malaysia 8.7
• Bermuda 7.6
• Hong Kong 7.5
• Total trade in 2005 was US430,070.2 million (at
  exchange rate US11.6642). About 70 was with
  Asian countries, 13 was with America including
  Brazil and Canada, another 13 was with Europe
  and the remaining 4 was with Australia, NZ and
  Africa.
• Singapore has been promoting investment and trade
  with China for the last 25 years. With the rise
  of India and the new opportunities in the Middle
  East, Singapore is also promoting investment and
  trade in India and the Middle East.

4
FTA CEP

• To-date, Singapore has signed FTAs or CEPs with
  the following countries
• Country Year
• New Zealand 2000
• Japan 2002
• European Free Trade Association 2003
• Australia 2003
• US 2004
• India 2005
• Korea 2005
• Jordan 2005
• Trans-Pacific SEP 2006
• Panama 2006

5
International Financial Centre

• In 2005, financial services accounted for 11.6
  of Singapores GDP
• Basic Favourable Factors
• Sound economic and financial fundamentals
• Conducive regulatory and business environment
• Strategic geographical location
• Skilled labour force
• Excellent telecommunications and infrastructure
• High living standards
• Activities
• Banking
• Asian dollar market
• Foreign exchange market
• Bond market
• Equity and derivatives market
• Fund and asset management
• Insurance

6
Present and Future

• Singapore has won praises in international
  assessments of its good business environment and
  competitiveness.
• Rank
• Business environments by Economist Intelligence
  Unit 6
• Network ready country by World Economic Forum
  2
• Best labour force by BERI's 2005 Labour Force
  Ranking 1
• Overall competitiveness by IMD World
  Competitiveness
• Yearbook 2006 3
• Best place for Asian expatriates by ECA
  International 2006 1
• The favourable factors listed above will help
  to bring about excellent economic performance in
  future. With sustained growth and Singapore's
  diversification of investment links to China,
  India and the Middle East, Singapore will
  continue serving as the focus point for the flow
  of financial resources between them, and
  Singapore as a major financial centre will grow
  further in the years to come.