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6 in 10 Greater Bay Area firms plan to boost investment in Asean countries
- Singapore, Malaysia, Vietnam and Thailand are most popular investment destinations, finds poll of 657 firms by the Hong Kong Trade Development Council and UOB
- 660 million population and China ties are part of region’s draw. Malaysia lures consumer goods, Thailand industrial products and Singapore financial services
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About six in 10 businesses in the Greater Bay Area are planning to boost investments and further their operations in Asean countries over the next three years as firms eye the region’s rich resources and huge market, according to a new trade report.
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Within the Association of Southeast Asian Nations (Asean) bloc, Singapore, Malaysia, Vietnam and Thailand are the most popular investment destinations and trade is seen as likely to concentrate in these four economies in the years to come.
The report by United Overseas Bank (UOB) and the Hong Kong Trade Development Council, launched on Monday, was based on a poll of 657 firms headquartered in the Greater Bay Area, with data collected from July to September.
Enterprises from sectors including consumer goods, financial services, real estate, hospitality and construction were asked to rate their keenness to invest or expand operations in the countries, with 1 being “extremely unlikely” and 10 being “extremely likely”.
The four top Asean nations scored above 6.5, while the Philippines, Indonesia and Cambodia received ratings of between 5.3 and 5.8. The three remaining countries – Laos, Myanmar and Brunei – scored below 5.0, with the report saying that they were “yet to gain favour” with Greater Bay Area companies.
Christine Ip, chief executive of UOB Greater China, said investment flows between Asean and the Greater Bay Area were driven by the two regions’ increasing interconnectivity and collaboration in areas such as sustainable development.
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