A 2% increase on Q1 2016, when the trend was first noted, the growth is a strong endorsement of Singapore as a regional business hub. Amidst the uncertain and sluggish global economic conditions, foreign entrepreneurs and enterprises are undeterred in their confidence in Singapore as a commercial launch pad for their ventures and investments.
In Q2 there was also a significant jump in the number of Foreign Company Branch Offices registered. Compared to the corresponding period of Q2 2015, the total business registration in Q2 2016 leapt up by 10.4%. Interestingly, the Foreign Branch Office registrations in Singapore expanded by a massive 21.3%, underscoring Singapore’s reputation among foreign companies and multinational companies that seek access to the Asian markets.
Conversely, the share of wholly locally owned companies dropped to 48%. The share of companies formed by Singaporean individuals dropped further in Q2 to 56%, a significant decline from its traditional majority share of around 70%. While the share of entrepreneurs and investors from China, Malaysia and the US grew marginally as international investors and entrepreneurs flocked to Singapore to take advantage of its safety net, locals are showing signs of restraint.[No text in field]