Singapore is often regarded as one of the best and easiest places to do business in the world. The World Bank lists Singapore as second in their Ease of doing business ranking as of the latest compilation in 2019. Meanwhile, the Economic Intelligence Unit (EIU) placed Singapore at the top of its ranking of attractiveness of doing business.
We look at the statistics in Singapore to gain a better understanding of how the average Singapore business looks like.
There Are Close To 600,000 Businesses In Singapore
According to the Accounting and Corporate Regulatory Authority (ACRA), there are 598,272 business entities in Singapore as of August 2024. Separately, the Singapore Department of Statistics tells us that 99% of enterprises in Singapore are SMEs – defined as enterprises that do not have an operating revenue of over $100 million or do not employ more than 200 workers.
Biggest & Most Vibrant Industries In Singapore
The top 5 industries (by total assets) in Singapore are, in descending order, 1) Finance & Insurance; 2) Wholesale & Retail Trade; 3) Manufacturing; 4) Real Estate; and 5) Transportation. Collectively, they add up to 92.7% of the total assets in Singapore’s corporate sector.
In terms contributions to Singapore’s 2023 GDP, the 1) Wholesale Trade: 22.3%; 2) Manufacturing: 18.6%; and 3) Finance & Insurance: 13.8%, were the top producing industries.
When it comes to the sector where most new businesses operated in, in 2023, 70,402 business entitles were formed, while 51,761 business entities ceased – amounting to a net of 18,641 more business entities during the year. The top 3 sectors for business formation were: 1) Professional Services (12,050); 2) Wholesale trade (11,212); and 3) Information & Communications (9,403).
Read Also: Progressive Wage Model: How Much Will Singapore Employers Have To Pay Their Workers
China, US, Malaysia, EU, Taiwan And Hong Kong Were Singapore’s Top Trading Partners
In 2023, Singapore’s top trading partners – China, US, Malaysia, EU, Taiwan and Hong Kong – accounting for more than half of the Total Merchandise Trade.
Source: Department of Statistics Singapore
Wholesale & Retail Trade And Public Administration & Education Sector Employed Most People
According to the Department of Statistics Singapore, there were 2.35 million employees in the workforce in 2023. Close to 336,000 employees were hired in Wholesale & Retail Trade, while just over 305,000 employees were hired in the Public Administration & Education sector.
On the other end of the spectrum, just 21,300 people were hired in the Others sector that includes Agriculture, Fishing, Quarrying, Utilities and Sewage & Waste Management sector. Another 35,600 people were hired in the Art, Entertainment & Recreation sector, while 57,200 people were hired in the Real Estate Services sector.
Read Also: Understanding What The “Average” Singaporean’s Personal Finances Looks Like In 2024
73% Of Corporate Income Taxes Collected From Largest Companies
With $28.38 billion in Corporate Income Tax collected in FY2023, companies in Singapore are the largest revenue contributor for the Government. The largest companies, those with annual revenues of over $1.1 billion, accounted for 73% of Singapore’s total corporate income tax revenue in 2021.
Companies from the 1) Finance & Insurance Activities, 2) Wholesale & Retail Trade and 3) Real Estate contributed to the highest Net Tax Assessed.
Read Also: Complete Guide To Singapore Corporate Taxes: Tax Rates, Tax Rebates And Tax Exemptions
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