Singapore (October 11, 2023) – Knight Frank, a leading industry property consultancy firm, in its first “Rise of the Super Wealth Hub” series reports that Singapore is placed as the leading wealth capital in the Asia Pacific region, according to its assessment based on the aspects of living, working and playing, residential market performance and green living.
The report examines the flourishing wealth hubs of Singapore, Dubai, Hong Kong, Sydney and Shanghai, where each city is measured on a scale of 0 to 1 based on its legal framework, enterprise excellence, lifestyle, urban prosperity, governance and talent.
Singapore reached its top position with an average score of 0.79 based on this assessment, being the highest in the Asia Pacific region. The region’s growing middle class and innovative ventures are among the principal contributors to the surge in wealth. Singapore is at the forefront of this trend and its real estate market has received a significant boost while FDIs have spiked by an impressive 47% when compared to the levels in 2019.
However, Singapore’s small geographical size limits its land-extensive development targets, and because of this, the country’s score on the opulence aspect is relatively low at 0.47. Dubai, UAE in the Middle East on the other hand, emerged the winner in this aspect, thanks to its luxurious lifestyle standing at 0.95.
Christine Li, head of research at Knight Frank Asia-Pacific, stated: “The fabric, make-up, and raison d’être of many cities worldwide have been recast in the wake of the pandemic, with global real estate markets experiencing price and demand volatility. This has been underpinned by the ebb and flow of evolving demand drivers, which themselves have been heavily influenced by COVID-legacy factors such as the seemingly permanent shift to the adoption of hybrid working by many businesses to the outflow and subsequent return of residents from global city centres in search of more space and access to green sanctuaries. The most successful cities have been those governed by decisive leadership and rapid action to contain the virus, which fostered confidence, bolstered their safe-haven status, and thrust them to the forefront of global businesses and the world’s elite, reshaping global capital flows. In Asia, Singapore has claimed this crown.”
Meanwhile, Leonard Tay, head of research at Knight Frank Singapore, adds: “Singapore emerged from the COVID-19 pandemic with its safe-haven status enhanced. Known for its stability even in the midst of global uncertainty, Singapore is unique as a global wealth management and financial hub that is characterised by political stability and a pro-business government. As such, it is a favoured base for businesses and investors seeking to be part of the huge growth potential in Asia.”