Economy of Singapore

Singapore's economy is a capitalist mixed economy which is highly developed. The government keeps lesser intervention in terms of regulation and allows the wealth fund management organizations to be responsible for the 60% of nation's GDP. Singapore as a nation has developed an open business culture, which is free of corruptions, malpractices and carrying higher level of transparency in governance.

The regulatory agency ensures stable pricing in the market, fair competition and control malpractices by introducing and amending corporate governance policy at times. This measure helped Singapore to become as one of the nation with highest per capita in the world in terms of gross domestic products. The model that Singapore follows is known as Singapore Model in the world of economy. The primary source of revenue is export of chemicals and electronics and also the service industry.

This revenue helps the country to procure natural resources and raw materials from other country. The main model of business here is to purchase raw materials from other countries, finish them in Singapore and finally re-export them in to other countries. Here the key examples are oil refining and fabrication industry. The port is also a strategic business point for the country, as the port is highly modernized and equipped to gain a competitive edge from other nations.

This is the world’ busiest port compared to other important ports such as Rotterdam or Hong Kong. Apart from that, Singapore has a highly skilled workforce and infrastructure to encourage their foreign trade. This is possible due to the systematic education policy of the government to groom up the skilled labors and professionals. Singapore is having a growth rate of 7.9% and the unemployment ratio is 2.2% which suggest the country is doing very well in terms of economical development and the model opted is just working for them.