Today at the Fund of Funds World in Singapore I asked many professionals from Hongkong and Singapore which city is better suited for the future growth and employment in the rise of China and India. The conses was that Singapore is countering the increasing low-cost competition from Indonesia and Malaysia with very investor-friendly regulations and policies. It tries to attract small and medium-sized enterprises to invest in Singapore. In order to compete with Hongkong's about to open Disneyland they will even open a Casino after just having built an opera. In doing this they hope to attract more tourists and increase the attractiveness of the city as headquarter for Asian branches of international companies.
Hongkong positions itself as gateway to China. Through the everincreasing influx of mainland Chinese the economy gets a boost and slowly adjust its offerings. Its handycap is the higher living-costs as in Singapore but possess the more mature financial market. As manufacturing is moving to mainland China, it tries like Singapore to focus more on services. But its special status within China still lingers in the back but is commonly downplayed by its inhabitants.
My most fundamental question is still: Where shall I have my base in the future - Hongkong or Singapore? Any recommendations?
Comments