Singapore is a dynamic economy, acting as a hub for the South-East Asian region. Singapore's investment in Australia is substantial and growing.
The Singapore-Australia Free Trade Agreement has contributed to a strong bilateral economic partnership. In 2016, Singapore was Australia's largest investment partner and third-largest trade partner in the Association of Southeast Asian Nations (ASEAN) and its 10th-largest trading partner overall.
NSW's trade with Singapore is significant largely due to the level of imports from Singapore. Bilateral trade was valued at A$3.3 billion in 2016-17.
The Singapore Government is working towards transforming Singapore from an investment-driven economy to an innovation-driven economy. Organisations can obtain grants to undertake innovation development projects that cover 30-50% of approved direct development costs. This provides NSW exporters with an excellent opportunity to enter the market, particularly those businesses trading in areas specifically identified for further development: environmental and water technologies, and interactive and digital media.
Singapore-Australia Free Trade Agreement
The Singapore-Australia Free Trade Agreement (SAFTA) is a central pillar of the economic relationship with Singapore.
In addition to tariff elimination, the Agreement improves increased market access for Australian exporters of services, particularly education, environmental, telecommunications, and professional services.
It also provides a more open and predictable business environment across a range of areas, including competition policy, government procurement, intellectual property, e-commerce, customs procedures and business travel.
SAFTA entered into force on 28 July 2003. It was Australia's first bilateral free trade agreement since the Closer Economic Relations Trade Agreement with New Zealand came into force in 1983.