Singapore among countries identified for more investment by Asia-Pacific business leaders

Top business leaders in the Asia-Pacific region who plan to increase their investments over the next year, have listed Singapore as one of their preferred destinations.
Top business leaders in the Asia-Pacific region who plan to increase their investments over the next year, have listed Singapore as one of their preferred destinations. ST PHOTO: KUA CHEE SIONG

LIMA (PERU) - Top business leaders in the Asia-Pacific region who plan to increase their investments over the next year, have listed Singapore, China, Indonesia and the United States as their preferred destinations, according to a survey released at the Asia-Pacific Economic Cooperation (Apec) summit.

But the Apec CEO survey by PricewaterhouseCoopers (PwC) also found that just slightly over half of those surveyed are planning to invest more over the next year.

Only about 28 per cent of business leaders surveyed were very confident about revenue growth over the next 12 months, similar to sentiments last year.

The survey results come as Apec's policy support unit warned in a report that rising trade barriers may hurt the region's consumers and businesses alike.

Dr Denis Hew, director of the policy support unit said that while tariffs across the region remain low, at around 5 per cent, trade-restrictive measures have increased and trade-facilitating measures have declined.

"A move away from globalisation and free trade threatens to unleash greater protectionism that would hurt consumers, close off trade for small businesses and further weigh on growth," he added.

Rising economic inequality has fuelled a growing backlash against globalisation that saw Britons vote to leave the European Union in a referendum in June, and Mr Donald Trump clinching the US presidency last week on an anti-free trade platform.

Dr Hew said: "Work in Apec to better prepare workforces to adapt to economic and technological change could help to buoy employability and confidence in the trading system."

The report said economies should embrace training and skills development programmes that will prepare workers for new industries that depend on technology.

Meanwhile, trade and foreign ministers at the Apec summit acknowledged that the growing anti-globalisation sentiment had to be addressed by ensuring the fruits of free trade are more evenly distributed.

In opening remarks at the Apec ministerial meeting, Peru's Second Vice-President Mercedes Araoz noted that many people are questioning if it is "worth it to build up an agenda of integration or is it only for the big companies and not for us".

"The most important thing is that people are receiving the benefits. We are building up something different for our people and showing that we are really generating changes for our world and not losing the main purpose of having integration among ourselves," she added.

Peru's Foreign Commerce and Tourism Minister Eduardo Ferreyros said Apec should set a good example of what free trade can achieve for the man in the street.

"We understand the challenges ahead are great but we strongly believe if we continue working on trade liberalisation and facilitation, we will contribute to greater efficiency and competitiveness. This can in turn generate greater growth and ultimately set higher living standards for our people," he said.