Global Economic Outlook
The past 6 months have been an eventful period for the global economy due to political rifts in the west.
Stock markets in the US which had earlier rose in the anticipation of economic boost by Trump’s administration are now at crossroads as valuations rise, making it prone to disappointments in the 2nd half of the year. On political front, despite Trump’s efforts to pursue protectionism policy to appease the Americans, the risk of Mr Trump getting impeached cannot be ruled out. This, is not forgetting about the risk of a military conflict between the US and North Korea.
In UK, major companies are curtailing investments in the anticipation of rising interest rates, further diminishing the chances of Britain’s economy from picking up steam from the effects of Brexit.
In Germany, Chancellor Angela Merkel’s victory in the re-election bid cannot be taken for granted as learnt from the Brexit as well as the US presidential elections.
South East Asia – Singapore
Despite the volatility and uncertainty, ASEAN’s economic growth in recent years remain a big trend this year. ASEAN is expected to remain resilient in 2017, with emerging South-east Asian economies growing at approximately 5 per cent to 7 per cent.
The expected investment flowing to South-east Asia also present new prospects as China plans to revive an ancient trading route in the One Belt, One Road initiative that stretches from Asia to Europe. Increased fund flows from China could help both regions adapt to potentially increased trade protectionism, a situation that even the rising US dollar may not be able to counter.
There are many opportunities for public-private collaboration to encourage businesses and entrepreneurs to “look South”. Government support is needed to strengthen and integrate financial markets, and efforts to ease restrictions to funds where they are needed. There are also increasing demands for the financial system to improve access to credit for small and medium-sized enterprises (SMEs). Focus on the development of local and regional bond markets will offer an alternative option to business finance for SMEs and enhance the integration of South and South-east Asian capital markets. Singapore is well placed for these issues.
Singapore is an ideal location for global businesses to site their headquarters. Strong trade and investment makes Singapore the most competitive Asian country and the world’s easiest place to do business. Over the years, Singapore has signed over 50 Double Taxation Avoidance Agreements, Free Trade Agreements as well as Investment Guarantee Agreements. Governed by the rule of law, Singapore’s strict enforcement of its intellectual property laws offers strong protection for your ideas and innovations.
How SOAS can help
Since 2007, SOAS has been helping global businesses to establish their regional in HQ in Singapore. Besides incorporation and providing the essential corporate secretarial as well as accounting services, SOAS has an extensive local business network – a useful platform which you can tap on to find potential business partners as well as service providers.
This year, we have launched an online Business Incorporation platform to make it even easier for anyone to incorporate a company in Singapore from anywhere in the world! As your strategic business partner, it is our duty to not only ensure that your new company is in compliant with the applicable laws and regulations of Singapore, we also offer sound and practical business advisory as well as consultation on business strategy as well as business modality for your success in Singapore.
Incorporate your new business in Singapore now. Head over to www.soas.com.sg now!
SOAS specializes in accounting, corporate secretarial & compliances, consultancy & advisory on tax planning, corporate strategy, fund raising and wealth management with global reach.