Business Between the UAE and Singapore
The UAE ranks among the top destinations for Singapore investment in the region, and the UAE is the region’s second trading partner of Singapore. Trade and investment between both UAE and Singapore have been growing steadily in the recent years.
The latest figures available show that the more than 300 companies are working in the UAE; which are operating in the field of infrastructure, real state, communications, transportation, water treatment, information technology and trades.
On the other hand, the investment of UAE companies in Singapore increased more than several billions Singapore dollars and working in field of oil and gas storage, refinery, exploration, and trading as well as retails and airport services.
UAE companies have recognized the opportunities presented by one of the fastest growing regions in the world, Singapore firmly in the center of this expansion.
The UAE companies has been expanding steadily in Singapore, attracted by its business-friendly structure, stable commercial environment and regional-hub status, to be their launching pad for expansion in the region.
ENOC’s entry signals a new wave of Middle East oil producers keen to leverage Singapore’s strengths to meet the expanding demands of regional markets like China. Furthermore, they have placed its trust in Singapore’s productivity and timely delivery of products, and has plans to expand its operations to include production activities.
In addition to oil and gas sector, steady increase in trade and investment between UAE and Singapore has been expanding to cover many other sectors. Singapore’s first power and water investment in the Middle East area were carried out by Singapore’s SembCorp.
Recent Trade and Investment Highlights:
- Singapore and the UAE’s economic bilateral was estimated at a total trade of US$11 billion (2010) followed by US$16 billion (2011).
- Non-oil trade between Singapore and Abu Dhabi was more than US$245 million (2011).
- UAE was Singapore’s 14th largest trading partner (2011). Bilateral trade amounted to US $16.2 billion, surpassing 2010 bilateral trade by 46.8% (2010).
- Crude and refined petroleum are 75% of imports to Singapore from UAE, which increased by 67.3% to $11.5 billion (2011).
- Jewelry, telecommunications, equipment and petroleum exports from Singapore to the UAE increased by 12.4% to $4.6 billion (2011).
- In the area of foreign direct investment, Singapore’s flow into Abu Dhabi totaled US$1.47 billion, compared with Abu Dhabi’s FDI into Singapore of approximately US$1 billion (2007-2009).
- Two-way trade was Dh76.5 billion, with Dh58.8bn worth of imports to the UAE and Dh17.7bn exports from the UAE (2012).
- Both countries signed an economic, trade and technical cooperation pact for collaboration in trade, industry, logistics services, infrastructure development, oil and gas services, education, tourism and investment (2005).
- 67 percent of Singapore’s investments in the Middle East were located in the UAE (2004); this percentage now is expected to be much higher.
- Two ways trade between Singapore and UAE jumped from S$4.4 billion in year 2001 to reach S$11.6 billion (2009).