About five decades ago, Singapore was an impoverished country with bad infrastructure and unlivable cites. If you were to look for the worst countries in Asia at that time, Singapore would have been on top of the list. As of today, this narrative has changed tremendously, and Singapore now leads from the front. It has become an example to other nations of the world that development can be achieved. Even the World Bank ranks it high as one of the easiest places to do business.
Singapore as entry to Asia for African Businesses
For a long time now, Singapore has been aiming to be a gateway to Asia for African countries. Over 60 Singaporean firms are currently operating in Africa. These companies range from digital payment platforms to food manufacturing. As you can see, Singapore has already made immense progress in achieving its goals.
Aside from that, the government of Singapore has set up an agency tasked with internationalizing businesses. The business relationships between Singapore and Africa are only getting stronger. Singapore has invested over $ 20 billion in Africa, and this trend doesn’t seem to be slowing down any time soon.
The United Nations has already established that Singapore is undoubtedly one of the largest Asian partners that Africa has. Singapore sees massive growth opportunities for digital companies in Africa.
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African companies urged to visit Singapore
In a bid to become a gateway to Asia for African countries, Singapore is calling upon African companies to visit and try to access other Asian countries from within its borders. This is from a business perspective. It could mean that African countries are importing goods through Singapore, and so on. African companies have also been advised to look at Singapore as a stepping stone for bigger business opportunities across Asia.
As Singapore pushes for economic integration between the two continents, its ability to create good business relations is evident. Its government has shown immense willingness to invest in Africa. For example, in 2017, trade between Africa and Singapore rose to an estimated S$9.78 billion. The previous year, its investment in Africa had hit a staggering S$18.5 billion. A projection by McKinsey shows that Africa’s consumer spending will have grown to an estimated US$2.1 trillion. Projections show that e-commerce purchases will rise to about US$102 billion. These growth prospects are incredible.
Singapore’s efforts to push through the agenda
As of today, Singapore has an ongoing Avoidance of Double Taxation Deal with Gabon, and there are similar agreements in place with over ten other African nations. As if that’s not enough, over five African and Singaporean companies have a memorandum of understanding of business services, digital infrastructures, general infrastructure, etc.
The trend shows that Singapore is on its way to achieving its vision for Africa and Asia. With a joint effort, this is quickly turning into a reality.