A new security law proposed last week, targeting “acts of secession and ban on foreign interference and acts of terrorism’’ has led to a repeat of pro-democracy protests in Hong Kong. Notably, for almost four months last year, Hong Kong witnessed unrest over a since-suspended extradition bill.
Those demonstrations crippled the city’s economy with many businesses forced to shut, decrease in investor confidence and also a severe hit to the tourism sector, which contributes significantly to Hong Kong’s economy.
This in turn, has led to an increased focus on Singapore, as the place to be for doing business or company incorporation in Asia.
Now, with Hong Kong in trouble again, analysts are predicting an even bigger flight and shifting of businesses and capital from Hong Kong to Singapore, with business confidence already sinking.
What are companies in Hong Kong doing to tackle the issue?
With protests becoming a routine affair in Hong Kong, those having an inertia of switching bases last year, a senior banker at a European private bank told Channel News Asia (CNA) that entrepreneurs…
“Will step on the gas and move their wealth and business to Singapore. In many cases last year, we saw our clients putting in place plan B and didn’t quite move the assets out of Hong Kong. I have already received some inquiries to activate that plan now.”
Read more on why it is now the right time to move your business from Hong Kong to Singapore at InCorp Global.
