Large business lending, land and industrial loans in Singapore

In the 21st century, Singapore has evolved into an advanced economy that favors foreign business and investment.

This country attracts numerous businesses in the field of energy, electronics, mechanical engineering, shipbuilding, oil refining, chemical industry, biotechnology and other areas.

The development of large business projects requires new sources of debt capital, including long-term investment loans, land loans and industrial loans in Singapore.

ESFC Investment Group, a European company with a wide international presence, can meet your financial needs. Our company offers long-term business loans in Singapore, other countries in Southeast Asia and around the world.

We also provide project finance services, financial engineering, financial modeling and consulting.

Contact us for details.

About the economy and doing business in Singapore

Singapore is a well-developed market economy and has been described as one of the most open and business-friendly.

An important factor in the business attractiveness of Singapore are moderate taxes, including corporate taxes. Thanks to clear legislation and a developed financial system, this country favors large business, including the financing of large investment projects in various fields, from electronics to transport.

Singapore is home to some of the world's largest banks and financial institutions such as Oversea-Chinese Banking, DBS Bank and United Overseas Bank.

Thanks to successful economic policies, Singapore has a high GDP per capita (over $130,000 in purchasing power parity). With a total population of less than 6 million people, Singapore has achieved a GDP of over $600 billion at purchasing power parity (2022).

Strong economic ties through maritime trade routes, low inflation, easy access to debt capital and a growing pool of skilled labor also have a positive impact on large investment projects in Singapore.

Small and medium-sized businesses form the basis of the economy, providing up to half of the country's total GDP. Singapore treats this sector with care, creating a favorable environment and the necessary incentives for the development of entrepreneurship at all levels. As for the financing of large businesses, Singapore has all the conditions for the development of investments.

This is a huge capital market and one of the largest financial and banking centers in Southeast Asia, which is very attractive for foreign financial institutions. Getting a large industrial loan for a business in Singapore is quite simple, given the huge number of foreign banks and loan offers for every taste.

Benefits of doing business in Singapore include the following:

• Favorable tax legislation: rational approach to corporate taxes, absence of tax on capital gains and dividends, preferential taxation for new companies, agreements on avoidance of double taxation with dozens of leading countries of the world.

• Free market economy: minimum bureaucratic barriers, highly developed financial markets, permission to acquire 100% of the shares of Singaporean enterprises by foreigners, no restrictions on the repatriation of capital and much more.

• Low Corruption: Singapore is famous for its highly-effective anti-corruption legislation, which guarantees a level playing field for local companies and foreign investors; business may not be afraid of pressure from officials.

Over the past decades, Singapore has enjoyed a huge influx of foreign direct investment, benefiting from close cooperation with the largest multinational corporations.

Despite the freedom of market relations and a favorable business climate, the public sector plays a very important role in the economic and social development of Singapore. In particular, the state-owned investment fund controls a number of the largest and most profitable companies in Singapore, which helps the state fill the budget and maintain a high standard of social standards.

On the other hand, social and political stability help to attract investment and further growth of the local economy.

Companies in Singapore are largely export-oriented. A wide variety of industrial enterprises thrive here, buying cheap raw materials and processing them into high value-added products, taking advantage of cheap energy and a skilled workforce.

Local factories produce a wide range of products in demand around the world, including the following:

• Electronics.
• Fuel and lubricants.
• Chemical products.
• Modern drilling equipment.
• Telecommunication equipment.
• Biotechnology products.
• Engineering products.
• Shipbuilding products.
• Food products, etc.

Excellent infrastructure creates optimal conditions for the development of the tourism sector and trade.

Singapore is a critically important trading port in Southeast Asia, which accounts for the high share of maritime trade in the country's GDP. It is also an important element in the competitiveness of the Singaporean economy, which is why investments in the construction of maritime infrastructure and terminals are flourishing here.

As for the weaknesses of the economy of Singapore, among them the first place is occupied by the lack of fresh water and insufficient free space. A significant part of the water is imported from neighboring Malaysia, and the country solves the lack of land for agriculture with the use of innovative technologies.

Despite the active financing of vertical farms, Singapore is able to produce only about 10% of the necessary food, being heavily dependent on agricultural imports.

Industrial and business loans: the largest banks of Singapore

Singapore's banking sector provides easy access for local businesses and foreign companies to borrowed capital, contributing to the development of large investment projects in various industries.

For the most part, this system is built on the capital of international banks, which are actively developing the local market due to the favorable climate and legislative regulation.

Among over 150 banks operating in Singapore, only half a dozen are headquartered in the country. The rest is made up of foreign financial institutions, including large European banks. Below we have listed the largest banks in Singapore that are worth considering for large business financing.

DBS Bank

DBS Bank Ltd is a major financial institution registered in Singapore.

It was previously known as The Development Bank of Singapore Limited until the current name was adopted in July 2003 to reflect the change in role to become a regional bank. The bank was established in 1968 as a public financial institution in Singapore. It currently has over 100 branches scattered throughout the country.

DBS Bank is the largest bank in Southeast Asia by assets and is among the largest banks in Asia. It dominates the consumer banking, business lending, asset management, brokerage and debt collection sectors. In 1998, DBS Bank merged with POSBank, which significantly strengthened its competitive position.

The bank's assets in 2019 exceeded $500 billion.

Oversea-Chinese Banking Corporation

Oversea-Chinese Banking Corporation Limited is a public financial institution headquartered in Singapore.

The Oversea-Chinese Banking Corporation was formed in 1932 from the merger of the Chinese diaspora banks in Singapore, Chinese Commercial Bank Limited, Ho Hong Bank Limited, and Oversea-Chinese Bank Limited.

OCBC Bank is one of the leading banks in the domestic market with assets of over $386 billion in 2020. It has one of the largest bank loan portfolios in the region.

The bank's global network includes hundreds of branches with offices in countries such as Malaysia, Indonesia, China, Japan, Australia, Great Britain and the USA. OCBC is engaged in consumer and private banking, corporate and investment banking, insurance, global treasury services, and more. Owner of the Bank of Singapore since 2009.

United Overseas Bank (UOB)

United Overseas Bank Limited is an international bank headquartered in Singapore with a large number of branches in Southeast Asia.

Founded in 1935 by Sarawakian businessman Wee Kheng Chang as the United Chinese Bank, the bank was created together with a group of businessmen of Chinese origin.

Today, the bank is the third largest in Southeast Asia in terms of assets ($320 billion in 2020). UOB offers commercial and corporate banking, personal financial services, private banking and wealth management services, as well as corporate finance, venture capital, industrial loans, investments and insurance services.

It has a network of more than 500 offices in two dozen countries and territories in the Asia-Pacific region, Europe and North America.

Bank of Singapore

Bank of Singapore is a large Singaporean bank, formerly known as ING Asia Private Bank, which was acquired by OCBC in 2009 from ING Group.

The bank offers customized asset management, investment, project finance and business lending services in addition to the general banking services provided by its parent bank, OCBC. It also offers financial modeling and financial analysis in areas such as international assets and real estate investments.

As of the 3rd quarter of 2022, the bank's assets were estimated at about $109 billion.

Citibank Singapore

Citibank Singapore was founded in 1902 under the IBC brand and became the first American bank in this country.

Starting out financing rubber deals, the bank has quickly grown into one of the largest financial institutions in Singapore, providing consumer loans, industrial loans for large businesses, deposits, investments, insurance services and more.

Citibank Singapore plays an important role in lending to small and medium-sized businesses, helping to develop the most important sectors of the local economy.

If you are looking for a land loan, industrial loan in Singapore or other type of business financing in Southeast Asia, you can also contact an ESFC Investment Group representative for details.

Our international team will develop a customized financial solution for your business needs.