Singapore ranked eighth in a list of the region’s most dynamic economies.
According to the inaugural Best-Performing Cities Asia report by Milken Institute’s Asia Center, Singapore has shown transition from a low-cost location to an open international economy based on human capital, research and innovation capacities.
The city-state is the only “developed” economy among the Top 10, a noteworthy accomplishment since the bulk of the metrics in the report reward fast-growing cities. Additionally, Singapore consistently records job growth at an emerging-economy city pace.
In fact, six of the Top 10 cities are in China. “This is perhaps not too surprising given China’s rapid economic growth, but nevertheless demonstrates the remarkable geographic dispersion of the country’s rise to the world’s second-largest economy,” the report said.
Shenzhen topped the list as it is now attempting a transition to a higher value-added, indigenous-based economic development model. Its designation as a Special Economic Zone more than 30 years ago encouraged foreign investors to establish joint-venture manufacturing facilities.
However, moving forward, Milken Institute’s Asia Center believes ASEAN nations are the key to bringing the Asia success story to full fruition.
“The ASEAN demographics are more favorable when compared with China, India and mature economies such as South Korea and Japan. The potential for rapidly forming a concentrated labor force through urbanization and industrial clustering is the greatest in ASEAN members.”
Image source: Milken Institute’s Asia Center