Singapore economic ties counties can benefit from

Singapore has emerged as the largest investor in Africa among the ASIAN countries, according to the latest United Nations’ World Investment Report 2013. Located strategically in the heart of Southeast Asia, Singapore’s economic ties with Africa have been on the rise. As of end 2012, Singapore’s investments into Africa saw a compound annual growth rate (CAGR) of 11.2 per cent over the previous five years, reaching US$15.9 billion.

Singapore-Africa trade has also increased, reaching US$11.1 billion in 2013, achieving a strong CAGR of 11.7 per cent since 2009. According to International Enterprise (IE) Singapore (http://www.iesingapore.com), the Singapore government agency promoting trade and overseas investments, there are currently over 60 Singapore companies operating in over 50 countries in Africa.

Projects span a wide range of sectors from agribusiness, food and beverage and oil and gas, to e-Government services, information and communications technology (ICT), and transport and logistics. Says G Jayakrishnan, group director for Middle East and Africa, IE Singapore: “Singapore companies are taking concrete steps to participate more actively in Africa’s growth.” Given Africa’s significant development needs, we see an opportunity to collaborate and develop long-term solutions in many areas including urban development and planning,      e-Government, oil and gas, transport and logistics, manufacturing and special economic zones, technical and vocational training, power, water and affordable housing.

Business elites at a world business expo exchange ideas on how to
improve global trade.

“Singapore can contribute actively as governments across Africa look to diversify growth and improve both business and social infrastructure for their countries.”  

Potential for increased Africa-Singapore partnerships .Despite Singapore’s limited domestic market and lack of natural resources, the country has progressed from a third to a first world country and developed into a competitive and dynamic business hub.

During its post-independence years, Singapore companies have accumulated extensive experience and capabilities in many sectors including e-Government, urban planning and development, and oil and gas.

e-Government

Singapore’s e-Government journey started in the early 1980s, with the goal of transforming the small city-state into a world-class user of information technology. Today, Singapore is consistently recognised by international benchmarking studies such World Economic Forum’s Global IT Report and the country’s            e-Government projects have garnered international accolades including the Stockholm Challenge Award and the UN Public Service Award.

Sharing its expertise with Africa, CrimsonLogic, a Singapore eSolutions provider, developed an eJudiciary system (Electronic Judiciary) for the Supreme Court and High Courts in Oshakati and Windhoek, Namibia. The new system enabled the judiciary to effectively file court documents and manage case activities electronically, and digitally record court proceedings.

Urban planning and development

Constrained by land space, Singapore has paid careful attention to the efficient use of land through long-term urban planning since its early stages of development. This has enabled Singapore to manage challenges that many rapidly growing cities face, such as outages of power and water, insufficient public  housing,  sanitation  and waste  treatment,  and  traffic  congestion. From a water-scarce nation faced with acute housing shortage, Singapore has grown into a world leader in the field of integrated water management with quality homes and living environments.

Today, 100 per cent of Singapore’s population has access to drinking water and modern sanitation facilities while over 90 per cent Singaporeans possess their own homes – this is one of the highest rate of home ownership in the world. Singapore companies have exported these solutions to Africa, such as Sembcorp Silulumanzi projects in Ballito and Mbombela municipalities, which provide safe drinking water and wastewater treatment.

Oil and gas

In the oil and gas sector, Singapore is one of the biggest refining centres in the world and home to many oil and gas equipment manufacturers and distributors. As the world leader in the construction of offshore equipment such as jack-up rigs, semi-submersibles, and floating production storage and  offloading  services,   

Singapore companies such as Keppel Offshore & Marine, Sembcorp Marine, RK Offshore, and Pacific Radiance, are presently providing these services to Africa.

Singapore – the gateway to Asia

For African companies looking to expand into Asia, Singapore can also be the ideal launch pad. We are the world’s easiest place to do business and Asia’s most competitive country. Over 7,000 multinational companies have set up in Singapore, with more than 50 per cent using Singapore as their regional headquarters.