FILE PHOTO: The Standard Chartered bank logo is seen at their headquarters in London
SINGAPORE: Singapore and the United Arab Emirates (UAE) will continue to grow as trade and innovation hubs despite intensifying geopolitical conflicts and economic fragmentation, according to Standard Chartered Bank (Stanchart).
The bank, which has a long history in both countries, believes it can play a role in deepening economic ties between the two hubs.
Its role could encompass helping them complement each other’s strengths while acting as gateways to increased trade and investment flows into the wider Asean region and the Middle East.
The strategy was outlined by the bank’s chief executive for Singapore and Asean, Patrick Lee, and Rola Abu Manneh, chief executive of the UAE, Middle East and Pakistan, on the sidelines of the Investopia Global Singapore conference held in Singapore last week.
The one-day event organised by the UAE’s Economy Ministry in collaboration with StanChart brought together around 100 senior executives from large corporations in key economic sectors, family offices, financial institutions and the broader investment ecosystem of both the countries.
“We see this as a very interesting time for connectivity between the UAE and Singapore,” said Lee.
He said that even as the geopolitical landscape becomes more complex and the world economy more fragmented, the bank sees more opportunities in these markets, adding: “We are seeing strong inflows into the UAE and Singapore. We are seeing strong investment opportunities as the growth rates in these markets are higher than in most other places.”
StanChart estimates economic growth in the UAE will hit 4% in 2024 and 5% in 2025. That is a rebound from the 3.6% growth it posted in 2023.
Meanwhile, Singapore will grow by 2.6% in 2024 and 2.9% in 2025, up from 1.1% in 2023.
Lee said growth in both Asean and the Middle East will also pick up in 2024 and 2025.
Abu Manneh said the bank sees a lot of synergies, from fintechs to digitalisation and sustainability, and lots of opportunities in other sectors.
“I look at Singapore and the UAE as two dynamic countries that can really work so well together,” she added.
StanChart believes that Singapore is a super-connector economy that channels trade and investments between Asean and the world, while the UAE serves as a critical hub for global trade routes, particularly for goods and capital moving between the East and the West.
The UAE has served as a corresponding gateway for Singapore, which seamlessly connects both regions and enhances the flow of trade and investments. — The Straits Times/ANN
