INVESTMENT gurus have deemed Singapore to be the best City of the Future in the Asia-Pacific region for the second time in a row.
The Foreign Direct Investment (fDi) Intelligence unit of the Financial Times has just released its biennial Asia-Pacific Cities of the Future for 2017/18, a region which accounts for more than 30 percent of global foreign direct investment – more than any other on earth.
With a GDP per capita of more than US$87,000 at purchasing power parity and a relatively low unemployment rate of 2.1 percent, the little red dot was ranked first for the second time running.
The economy of services-oriented Singapore accounted for the highest number of FDI projects in the Asia-Pacific region in the five years to 2016, and was ranked first in the Business Friendliness and Economic Potential categories of fDi’s study.
Businesses reportedly only require two-and-a-half days to establish themselves in the city-state, which also boasts the lowest risk score and best credit rating in the Asia Pacific. Corruption is very low compared with comparable cities in Southeast Asia.
fDi collected and analysed data from 163 locations under five categories: Economic Potential, Business Friendliness, Human Capital and Lifestyle, Cost Effectiveness and Connectivity.
Second place in the Asia-Pacific Cities of the Future overall was Tokyo, whose success is attributed to job creation in the telecommunications industry after India-based Tata Group’s major investments in the city.
Hong Kong’s standing on the rankings jumped to third for 2017/18, with its strategic location and airport providing access to more than 1,550 destinations meaning it topped the Connectivity category.
Seoul was ranked fourth ahead of Shanghai – the Chinese megacity having attracted the largest number of FDI projects in the Asia-Pacific after Singapore from 2012-2016.
Recently deemed the world’s most liveable city by the Economist Intelligence Unit, Melbourne also took out the top spot on fDi’s rankings in the Human Capital and Lifestyle category, followed closely by its Australian rival Sydney. Tokyo came in third.
Overall, Taipei was ranked sixth, ahead of Beijing, Sydney, Osaka and Kuala Lumpur.