Multinationals Pick Singapore Over Hong Kong for Asian Headquarters
- Feb 22, 2024
- 1 min read
In 2023, Singapore hosted 4,200 multinational firms' regional headquarters, surpassing Hong Kong's 1,336, according to a Bloomberg Intelligence report.
Singapore's appeal is attributed to better relations with the West, a broader talent pool, a diversified economy, and deliberate tax incentives from the government.
Companies prioritize Singapore for its political stability and freedom amid geopolitical risks. Hong Kong's strict political and Covid policies have deterred businesses, despite its lower corporate tax rate. Singapore, on the other hand, offers targeted incentives, attracting major companies like FedEx, Microsoft, Google, TikTok, Shein, and even Chinese firms like Nio, Alibaba, and Huawei.
This corporate concentration and economic diversity are likely to maintain Singapore's lead as Asia's premier business hub for the next five years.
Article by Michelle Fay Cortez for Bloomberg. Read more here or in the PDF below.
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