Strong trade links make Singapore enticing for business: Tricor

RCEP to steer both global and domestic businesses within ASEAN.

Singapore’s strong trade links, with a network of 25 free trade agreements (FTA) and business-friendly tax and regulatory environment with generous exemptions and incentives, make it an enticing country to invest in, according to Tricor Group.

In their 2021 Asia Pacific Trade Report, Tricor Group noted that the Regional Comprehensive Economic Partnership (RCEP) will serve as a counterweight to the emerging trade protectionism that has accelerated amidst pandemic.

According to Tricor, RCEP will reignite ASEAN’s attractiveness for foreign direct investments, which the group said has been a key driver of growth in sectors such as manufacturing, infrastructure, and export for the past 20 years.

“By establishing common trade rules, the RCEP will help to reduce trade costs for businesses operating within ASEAN,” the group said.

With Singapore as a highly developed and successful free-market economy, businesses may leverage on their FTAs.

“Currently, the government is attempting to restructure Singapore’s economy by focusing on new and growing sectors such as medical services, biotech, food production and delivery, information technology, as well as addressing weak productivity growth by investing in digital and automation capabilities and re-training and re-skilling its workforce,” Tricor said

The group added that Singapore has attracted major investments in advanced manufacturing, pharmaceuticals, and medical technology production and will continue efforts to strengthen its position as Southeast Asia’s leading financial and technology hub.