Successful Financial Centre

Factors That Make A Successful International Financial Centre

There are many factors which contributes to being a successful financial centre. Some of which are having a stable political and economic environment, low cost of doing business, high quality infrastructure and skilled workforce.

Firstly, a stable political and economic environment is important as it gives the assurance of security and stability to those, who are planning to set up a business here or expand their company. For example, one wouldn't expand their company in a place where there's riots, strikes and an unstable government, as they will fear that there's no prospect.

Secondly, having low cost of doing business would encourage entrepreneurship, market entry and business expansion which would attract to financial services firms and investors.

Thirdly, high quality infrastructure is also an important factor. Reliable and modern infrastructure such as electricity, water, transportation, commercial office space and telecommunications would increase its attractiveness as it would promote the potential of the economy and the quality of life.

Lastly, the decision to locate in a particular place is directly linked to the depth of pool of skilled workers across the full range of their hiring needs available there so that they'll be able excel their company.

Current State Of Singapore's Financial Sector

Singapore is currently ranked 4th according to the Global Financial Centre Index.

Singapore's financial services sector posted robust growth of 12.2% in 2010. With Asia leading the global economic recovery, the surge in trade and capital flows, strong growth of Asian corporate activity and increasing wealth accumulation in Asia will drive demand for financial services.

Based on the 2010 Singapore Asset Management Industry survey, Assets under management (AUM) by fund managers in Singapore reached a new high of S$1.4 trillion, representing a 12% year-on-year growth.

The size of Singapore's...