Singapore is one of the world’s richest countries and has the second largest GNP per capita in Asia, with only Japan having one bigger. This means that Singapore is a financial power house in South East Asia, a position which it enjoys and therefore intends to keep for the foreseeable future. Of course much of its wealth can be attributed to its location. Located at the tip of the Malay Peninsula in the Straits of Malacca it is ideally situated to make the most rom the trade between East and West, especially perhaps between the very populace India and China. What added to the benefits of its location is the fact that it has a natural harbour, one that was suitable for adapting into one of the busiest ports in the region and perhaps even in the world. It was not just Singapore’s advantageous location and the act that it had a natural harbour that contributed to its wealth though; it was also its encouragement to small and medium enterprises (SMEs) which contributed to its substantial wealth.
This encouragement was also more predominant in the modern technology sector and it is perhaps that which will continue to keep Singapore wealthy well into the next century. Although many countries do also encourage growth of their SMEs, many of them will restrict funding to them during any type of recession and that could be one of the keys to Singapore’s success. The thing about singapore sme loans is that they remain relatively easy to secure, even times of a world recession, like now. By continuing to allow SMEs to find access to loans which they often need to either start up or expand, Singapore may be taking risks but at the same time they are providing their SMEs the advantage of fully operating and expanding at a time when others are not, reducing the competition.
This is particularly advantageous as many believe it is the SMEs in the modern technology sector that will help the world of business climb out of this current recession. If it is then it will more than likely be Singapore’s SMEs that play the largest role, helping to secure not just the world’s financial future but also its own. Singapore is itself depending on the new technologies which SMEs can provide as it has set itself the goal of becoming the world’s first Smart Nation. A country will be considered as being a Smart Nation when, through the use of modern technologies, it greatly increases the standard of living for its citizens and Singapore is well on its way to securing that title and be the first country to do so. It is not just the availability of business loans which is beneficial to SMEs, it is also Singapore’s somewhat relaxed regulations concerning business loans which means, not only are the loans easy to find but they are also are easier to acquire and so what more could an SME ask in order to thrive.