Businesses and new entrepreneurs were facing many uncertainties when Covid-19 hit. Despite the economic downturn globally, Singapore managed to hit a record high foreign direct investment (FDI) since 2008 of about S$17.2 billion in fixed asset investments.
This goes to show the strength and resilience of Singapore’s economy and foreign investors’ confidence in the city-state, with companies choosing to incorporate in Singapore.
Why Foreigners Should Invest in Singapore
There are many reasons that build up the foreigners’ confidence in Singapore, which include:
Most Stable Investments in Singapore
If you are looking to invest in Singapore and be assured of financial returns, you can consider these six investment options to minimise your exposure to risks.
Whether you’re investing through the various investment options or planning to start your foreign company in Singapore, we are here to help!
The Singapore government wishes to invite foreign investments into Singapore, thus offering a competitive tax rate to attract foreigners to set up companies in Singapore.
The basic requirements are as follows:
- At least one local resident director who is a Singapore citizen, a Singapore permanent resident, or an EntrePass/Employment Pass/ Dependent’s Pass’s holder with LOC.
- At least one Shareholder
- S$1 paid-up capital
- A physical local address
- A company secretary
You will also need a visa to run your business in Singapore. You can find out more about incorporating a company as a foreigner here.
The corporate tax rate in Singapore is 17%.
A unit trust is a type of investment which is categorised as a collective investment. Unit trusts utilise just one fund which contains all involved investors’ money; this fund is overseen by one or more fund managers.
Singapore Government Securities bonds are valid from anywhere between two and 30 years. The reason for this large variance in validity periods stems from the fact that such bonds have multiple different purposes. Some investors may use these bonds to diversify their investment portfolio; others, for the purposes of holding a long-term investment; and still others, as a means of receiving a steady income.
According to the latest statistics, Singapore received approximately US$77.65 billion in FDI in 2018. This figure reflects an increase from the previous year, which saw the country receive approximately US$75.72 billion in FDI.