In just over four decades, Singapore has established a thriving financial centre of international repute, serving not only its domestic economy, but also the wider Asia Pacific region and in some instances, the world.Being an international financial centre, Singapore offers financial institutions a pro-business environment, excellent infrastructure, cost-competitiveness, a highly skilled and cosmopolitan labour force, and is strategically located in a region of opportunities.Singapore has Long been recognised as one of the best cities for business.
As one of the top 5 most active foreign Exchange trading centres in the world, Singapore is also the second largest over-the-counter derivatives trading centre in Asia, and a leading commodities derivatives trading hub.Many global companies have their regional treasury headquarters here to take advantage of the depth and Liquidity of the financial markets here. Many of Asia's top companies have listed on the Singapore Exchange (SGX), which is Asia-Pacific's first de-mutualised and integrated securities and derivatives Exchange.Singapore climbed to fourth place on MasterCard's Worldwide Centers of Commerce Index this year, leapfrogging Chicago and Hong Kong along the way. It is NOW the number two city in Asia in this ranking of financial centres - with only Tokyo ahead of it.
Singapore's unique location and sophisticated telecommunications network allow financial institutions here to transact business with any part of the world within the same working day.Singapore's corporate Tax rate is one of the lowest in Asia-Pacific. Singapore also offers the advantage of having a comprehensive network of Double Tax Agreements with more than 60 countries. Singapore also continues to be cost competitive compared with other major cities.Singapore also has an Open door policy to international talent and expertise.
Economic crises are followed by extensive reviews of Singapore's policies and programmes, and appropriate adjustments are made as quickly as possible.The financial sector included three types of commercial banks (full license, restricted, and offshore), representative offices, merchant banks, Discount houses, and finance companies. In 1988 there were 13 Local, 64 merchant, and 134 commercial banks. All banks in Singapore were administered by the Monetary Authority of Singapore and were required to hold a statutory minimum Cash balance against their Deposit and other specified liabilities with the authority. In 1987 the government introduced Tax incentives to encourage the trading of international securities in Singapore.