China and Singapore are geographically close, culturally similar, and share a traditional friendship. Both sides have a strong desire to further strengthen mutually beneficial cooperation, and the political situation is stable. According to a global survey conducted by the Economist Intelligence Unit (EIU), Singapore will continue to maintain its position as the best country (economy) for business in Asia over the next five years. The benchmarks used in this survey include political and institutional environment, macroeconomic stability, policies toward private enterprise, foreign investment policy, and financial and infrastructure development. Singapore has consistently been hailed as a highly competitive country and the best place in the world to do business. Among Asian economies, Singapore ranks the highest, followed by Hong Kong (ranked fifth globally).
Overview of Economic and Trade Relations between Singapore and China
In the 15 years since the establishment of diplomatic relations between China and Singapore, the friendly relationship between the two countries has developed rapidly in all fields, with remarkable achievements in economic and trade cooperation. Cooperation in trade, mutual investment, project contracting, labor services, and regional economic organizations has progressed smoothly. Currently, both sides have become important economic and trade partners for each other. As of March 2005, Singapore's cumulative actual investment in China reached 25.96 billion USD, making it the seventh-largest source of foreign investment for China. By the end of 2004, Chinese enterprises had made a cumulative non-financial direct investment of 189 million USD in Singapore, covering various fields such as shipping, air transport, construction, energy, finance, trade, and technology. In addition, Singapore is China's largest trading partner within ASEAN and its second-largest overseas labor market and second-largest engineering market.
For a long time, Singapore has been a key region and an important link for Chinese enterprises to "go global," and one of the earliest destination countries for Chinese enterprises to develop overseas. As early as the 1930s, Chinese enterprises represented by the Bank of China and China Insurance established their foundations in Singapore. After China implemented the reform and opening-up policy, especially after China and Singapore established diplomatic relations in the 1990s, there was a surge in Chinese enterprises investing in Singapore. According to statistics from the Ministry of Commerce of China, there are currently more than 200 Chinese-funded enterprises and institutions established in Singapore with the approval of the Chinese government, making it one of the countries with the highest concentration of overseas Chinese-funded enterprises in the world. A number of well-known enterprises with impressive performance have emerged, making positive contributions to the economic prosperity of both China and Singapore.
Singapore's Q3 GDP grew by 14.9% quarter-on-quarter, slightly higher than expected 2009-12-18
Preliminary data released by the Ministry of Trade and Industry of Singapore shows that Singapore's GDP grew by 14.9% quarter-on-quarter and 0.8% year-on-year in the third quarter. According to a comprehensive report by foreign media on October 12, Singapore's economy continued to expand in the third quarter.
Preliminary data released by the Ministry of Trade and Industry of Singapore on the 12th shows that, after seasonal adjustment, Singapore's Gross Domestic Product (GDP) for the three months ending September 30 grew at an annualized rate of 14.9% compared to the second quarter, lower than the revised 22% in the second quarter. Previously, the median forecast by economists was that Singapore's third-quarter GDP would grow at an annualized rate of 14.8% compared to the second quarter.
