An Introduction to Doing Business in Singapore 2024

Doing Businessin Singapore2024 THE DOING BUSINESS IN ASIA GUIDES SERIES Available to Download Now: Doing Business in Singapore Portal •ASEAN Guide•China Guide•Dubai Guide•Hong Kong Guide•India Guide•Indonesia Guide•Vietnam Guide Our online Doing Business in Singapore Portal will consist of100+ guides, videos, publications, and tools that are practicaland easy to navigate, covering: Why Singapore, Regions toInvest, Sector Insights, How to Setup, Tax, Audit and Accounting,HR, Recruitment, PEO, and Payroll, News, Events, and more. This edition of Doing Business in Singapore was produced by a team of professionals at Dezan Shira & Associates,with Ayman Falak Medina as Technical Editor.Creative design of the guide was provided by Nguyen Hoang Linh. © 2024 Dezan Shira & Associates Disclaimer The contents of this guide are for general information only. For advice on your specific business, please contact a qualified professional advisor.Copyright 2024, Asia Briefing Ltd. No reproduction, copying, or translation of materials without prior permission of the publisher is permitted. About Dezan Shira & Associates At Dezan Shira & Associates, our mission is to guide foreign companies through Asia’scomplex regulatory environment and assist them with all aspects of establishing, maintainingand growing their business operations in the region. Since its establishment in 1992, DezanShira & Associates has grown into one of Asia’s most versatile full-service consultancies withoperational offices across China, Hong Kong, India, Singapore and Vietnam, as well as liaisonoffices in Italy, Germany and the United States, and partner firms across the ASEAN region.With over 30 years of on-the-ground experience and a large team of professional advisers,we are your reliable partner in Asia. Preface Despite global uncertainties, Singapore ranks among the top most competitive economies inthe world. GDP growth for Singapore in 2024 is projected to be in the range of 1-3 percent. InQ1 2024, Singapore’s economy grew 2.7 percent year-on-year—the fastest seen in 18 months. ALBERTO VETTORETTI Managing PartnerDezan Shira & Associates As a strategic financial hub and a gateway to Asia, Singapore offers unparalleled opportunitiesfor foreign investors. With over 80 double taxation avoidance agreements, generous taxdeductions, an extensive network of free trade agreements with neighboring nations, and areputation as a global financial center, businesses operating in Singapore can maximize theirprofitability and expand their reach. Amid the risks associated with the fallout of the COVID-19 pandemic, Singapore continues todemonstrate its resilience, providing direct access to global markets. While external demandhas softened, Singapore’s manufacturing and wholesale trade sectors remain robust and primedfor growth. Top focus areas for the country’s policymakers in the near term include upskilling thelocal workforce, attracting and retaining highly skilled talents, efficiency of the small and mediumenterprises (SME) sector, artificial intelligence and emerging technologies, ESG, and innovation. For corporate entities hoping to establish a holding company, branch office, or regionalheadquarters, Singapore offers a powerful advantage in terms of business opportunities,government incentives, and trade relation benefits. This publication, designed to introduce the fundamentals of investing in Singapore, wascompiled in June by Dezan Shira & Associates, a specialist foreign direct investment practiceproviding corporate establishment, audit, business advisory, tax advisory and compliance,accounting, payroll, due diligence, and financial review services to multinationals and SMEsinvesting in emerging Asia. CONTACT Dezan Shira & Associatessingapore@dezshira.comwww.dezshira.com PM Lawrence Wong Takes Chargeas Singapore Foresees StableEconomic Growth in 2024 Lawrence Wong’s appointment as Singapore’s fourth Prime Minister marks the city-state’s firstleadership change in two decades. Despite decades of rapid development, he faces numerouschallenges including a declining birthrate, increasing living costs, and potential disruptions fromtechnological advancements such as artificial intelligence. Additionally, Singapore navigates acomplex geopolitical landscape in the Asia-Pacific region amid escalating tensions betweenthe US and China, while maintaining its traditionally strong relations with both nations. Despite these internal and external challenges, economic continuity will be a key focus duringWong’s tenure leading up to the general elections, scheduled no later than November 2025,which will decide the makeup of the 15th Singaporean Parliament. Taking the oath on May 15, 2024, Wong’s appointment marked the end of Singapore’sgovernance by the family dynasty of Lee Kuan Yew, Singapore’s first leader. The politicalsuccession has been carefully orchestrated by the long-governing People’s Action Party toensure stability. Wong is the first Si