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One of the world's most sophisticated economies is Singapore, a major financial centre in the Asia-Pacific region. While Singapore was named second most open economy in 2017 by the Heritage Foundation Index of Economic Freedom, the World Bank's Doing Business report classified Singapore as the second most pro-business government worldwide.
Singapore has withstood the financial crisis of 1997 and 2008 despite its small domestic market and lack of natural resources. One of the world's most stable economies, Singapore's has been built on a solid foundation of no foreign debt and a substantial government budget. Singapore's economy is bolstered by exports of electronics manufacturing and equipment, financial services, tourism, and the world's biggest freight port.
Which Singapore Industries Drive The Economy?
Approximately 20 to 25 percent of Singapore's annual GDP is accounted for by the country's manufacturing sector. Electronics, chemicals, biomedical sciences, logistics, and transport engineering are some of Singapore's most important industrial clusters. The manufacturing sector grew by 35 percent in the third quarter of 2017, fueled by high demand for electronics and precision engineering clusters.
With its pro-business climate and governmental stability, Singapore's financial services industry is only second in growth to its manufacturing sector. Global, regional, and local markets all benefit from the financial services marketplace in Singapore, which has over 200 banks and is a favoured regional base for many global financial services organisations.
Other emerging businesses in Singapore include medical technology, aerospace engineering, renewable energy, healthcare, and content development.
What Natural Resources Does Singapore Have?
There are no significant natural resources in Singapore, which is situated at the southernmost end of the Malaysian peninsula and has an area less than New York.
One of the world's most innovative water projects, the Deep Tunnel Sewerage System (DTSS), has made Singapore a regional oil and gas powerhouse.
People are Singapore's most precious natural resource, and this couldn't be more true in a flourishing economy. Local and non-local firms alike will be able to hire qualified workers as the economy grows, which will lead to an expanding consumer market.
How Developed Is Singapore’s Infrastructure ?
Singapore's commercial and military seaport infrastructure was always well-developed throughout the British colonial era. At independence in 1965, a post-colonial Singaporean government set out to expand the country's transportation, communications, industrial and housing infrastructure.
9,310 kilometres of asphalt highways, 199.6 kilometres of mass rapid transit and light rail, as well as buses, taxis, and ride-sharing services are available in Singapore. Trustworthiness, efficiency, and safety are all hallmarks of public transit.
A total of 380 destinations in 90 countries can be reached from Changi International Airport. It is in charge of a whopping 7,000 flights a week, all of which transport people and cargo all over the world. The Singapore port connects shippers to 600 ports in 123 countries and more than 200 shipping lines. With up to 1,000 ships anchored at any one time, Singapore's port is the busiest container port in the world.
There is a lot to admire in the telecommunications infrastructure: More than 90 percent of Singaporean homes have Internet connectivity, making it one of the most mobile-friendly countries in the world. In places like coffee shops, quick food joints, and the Changi Airport, you'll find the free Wi-Fi service Wireless@SG.
Industrial and commercial facilities in Singapore are plentiful for businesses. It is possible to build factories, warehouses, and business parks on land owned by Jurong Town Corporation (JTC), which has around 47.7 million square metres of industrial space already built. High-rise and low-rise office space in the city's Central Business District and surrounding areas is available to commercial enterprises.
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FAQs
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Why is Singapore known for the Finance industry?
Ans : Singapore is the world's fourth biggest financial and logistical centre, with the tenth largest foreign reserve. Singapore boasts one of the world's busiest ports and a highly developed market and market economy.
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Why is Singapore an important economy?
Ans : Singapore's economy is now one of the world's most stable, with no foreign debt, substantial government income, and a steady surplus. Exports of electronics, equipment, financial services, tourism, and the world's busiest cargo seaport dominate Singapore's economy.
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What is the difference between capital and financial capital?
Ans : Capital is an asset used to produce commodities or services. Capital goods include machines, tools, and structures that are directly utilised to manufacture commodities or services. Financial capital is used to buy capital goods.
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What makes Singapore a major Financial centre?
Ans : Singapore has a pro-business, cost-competitive environment, good infrastructure, and a trained and multicultural workforce. Discover what makes Singapore a worldwide financial hub.
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What is the nickname for Singapore?
Ans : Singapore's groomed walkways and infrastructure have earned it the moniker "The Garden City."
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