The volume of non-oil trade between the UAE and Singapore exceeded $2.86 billion in 2011. The UAE non-oil exports to the south east Asian country reaching $894 million, To turn Singapore into the fifth destination for non-oil Exports to UAE. Moreover, UAE imports from Singapore were valued at $1.56 billion, accordng to The Ministry of Foreign Trade. The ministry released a report on the Trade Policy Review (TPR) of Singapore on Friday.
The report was prepared within the framework of the Ministry’s ongoing efforts to increase awareness among public and private sector entities regarding the trade and investment systems of the UAE’s primary trade partners, using the TPRs that are released by the World Trade Organisation (WTO), which are regarded as an important source of information the trade and investment laws and restrictions of any member country in the organisation.
The report shed light on the Republic of Singapore’s TPR for the period 2007-2012 and revealed that Singapore achieved the highest level of foreign trade contribution to GDP (around 400 per cent) in the world during the period between 2008 and 2011. It also pointed out that Singapore adopted successful financial policies that aimed at developing its banking sector and competitive legislations, promoting its higher productivity programmes, and transform itself to a services source in 2010, with a S$ 2 billion surplus.
The report, which was prepared by the Foreign Trade Policies Department at the Ministry.
Mahmoud Al Shareef, Director of the Foreign Trade Policies Department, said that “such reports present a number of insights into the trade and economic policy of Singapore, especially with regards to the formulation of its policies regarding trade, state-owned enterprises, economic and trade performance, exports, imports, production, trade, investment and industry.”
He also pointed out that this is the 6th time a TPR is conducted for Singapore and that it provides valuable insight into the current state of bilateral trade between the UAE and Singapore.
Al Shareef added that “the report commended the unique way that was adopted by Singapore to confront the economic crisis. For amidst Singapore suffering its largest decline in GDP in 20 years as a result of the global financial crisis in the second quarter of 2009, the government there adopted a number of economic policies, of which was the 20 billion dollar fiscal policy of 2009, which provided an effective means by which to confront volatility and mitigate the effects of the crisis”, pointing out to Singapore’s strong economic foundations.
The report pointed out to Singapore’s exemplary economic performance from 2004 to 2007 and its achievement of an average 8.5 per cent growth in GDP.
Al Shareef added that the strength of the country’s monetary policy constitutes one of the unique features that makes its economy stand out. The Monetary Authority of Singapore’ (MAS), he added, is considered one of the main reasons behind the success of the Singaporean economy, as it adopted a highly dynamic exchange rate policy that tied the Singaporean dollar to a balanced and secret basket of currencies that are tied to its foreign trade structure.
Moreover, he added, the US dollar was adopted as a primary currency (of intervention) at times of disruption.
The report also looked into the country’s trade policy formulation showcasing its main trade policies, which aim at expanding the economic range of companies that are based on its soil, and the creation of a predictable fair international trade environment that decreases import flow barriers.