Singapore to benefit from rising optimism about business prospects in Asia

The growing optimism is because of the increasing number of MNCs setting up business operations in Asia.

A number of economic statistics and anecdotal evidence are pointing towards increased confidence over business prospects in Asia. The bullish market sentiment is likely to lead to a surge in Singapore company formation activity, predicts www.SingaporeSetup.com.

The results of the annual Asia Business Outlook Survey conducted by the Economist Corporate Network shows that most global companies expect 25% of their share of revenue to come from Asia by 2015. A separate survey by PricewaterhouseCoopers reveals that 92% of Western European CEOs expect growth in their Asian operations, while only 48% expected growth in Europe. Even the IMF has predicted the rise of Asia as the next economic powerhouse. According to IMF Director, Asia-Pacific Department, Anoop Singh, "By 2030, Asian gross domestic product (GDP) will exceed that of the Group of Seven major industrial economies (G-7)".

The result of growing optimism about the economic and business prospects in Asia is that an increasing number of MNCs are setting up business operations in Asia and are also making large-scale investment commitments in the region. According to SingaporeSetup.com, Singapore is one such country that stands to benefit from the shift in power from West to East. Ms. Catherine Lee - a senior editorial board member of the SingaporeSetup.com site said, "Foreign firms are choosing Singapore as a springboard to enter the Asian market and are either opting to setup a Singapore branch office or a Singapore subsidiary.

Singapore company registration statistics for the 4Q 2010 shows that companies and entrepreneurs from countries such as US, UK, Cayman Islands, and British Virgin Islands setup a Singapore company in the last three months of 2010. "

Global firms often choose Singapore as their regional base of operations as it the easiest place to do business in Asia. The ease of Singapore company formation, the system of low taxation in Singapore, the country's motivated and productive workforce, its top-notch infrastructure, political stability, efficient legal system, freedom from corruption, strong IPO regime, excellent living environment, and its strategic location in the Asian continent are the main reasons why foreign companies are expanding their presence in the city-state.

According to a recently released report by U.S. based Business Environment Risk Intelligence (BERI), Singapore has the best investment climate in the world, while the Heritage Foundation ranked the economy second in its '2011 Index of Economic Freedom'.

Singapore's Economic Development Board recently confirmed that a record high of S$12.9 bn investment commitments were made in 2010 while up to S$14 billion is expected to flow into the country this year. "Given the ascendancy of Asia as an economic superpower and the ease of doing business in Singapore we are expecting a surge in Singapore company incorporation activity this year," added Ms. Lee.

Targeted for global entrepreneurs and firms, SingaporeSetup.com is the leading business information portal that provides comprehensive and up-to-date information about establishing and operating business in Singapore.

Source: http://www.indiainfoline.com