Among the developed economies, Australia has performed consistently well in the past two decades and was largely unscathed by the global financial crisis of 2008/2009. With a stable, open and democratic political and regulatory environment, as well as an open, efficient and transparent legal system, Australia provides a high degree of confidence and certainty for investors.
Australia actively encourages direct foreign investment, with the regulatory environment being progressively liberalised since the mid-1980s. In 2016, Singapore was Australia's fifth-largest foreign investor, with total investments amounting to A$80.2 billion1 (S$80.4 billion).
The country has a mature, established, safe and low-risk business environment which Singaporean companies will find relatively easy to navigate. In 2015, its FTA with China was the latest in a string of agreements with key Asian trading partners, opening up more business and investment opportunities, especially in the export sector.
1: Singapore Ministry of Foreign Affairs
Australia offers a highly-skilled, multilingual workforce, supported by strong tertiary education. Singapore companies entering the market can benefit from a high-quality workforce with entrenched cultural ties to the region. Over 40% of the working-age population have tertiary education2.
2: The Organisation for Economic Co-operation and Development, 2016
The world’s smallest continent was Singapore’s 11th largest trading partner in 2016. The service sector, including tourism, education and financial services, accounts for about 70% of Australia’s GDP3, although the country is also a major exporter of agricultural products, minerals and energy.
3: CIA World Factbook, 2016