Amidst the complex international landscape, numerous countries and cities around the world are accelerating their economic recovery and revitalization efforts, racing ahead in the arena of investment attraction. Countries and cities such as Singapore, New York, Paris, and London are employing various strategies to showcase their cities as attractive destinations for investment.
Major Cities Engage in Investment Attraction
In the latter half of 2022, the Chief of Staff of New York City Mayor Adams embarked on a global tour to entice international businesses to participate in the post-pandemic economic recovery of New York. This strategy follows in the footsteps of former Mayor Bloomberg, who employed similar tactics to promote economic revival after the 9/11 attacks.
In April 2023, a multitude of Parisian companies accompanied French President Macron on his visit to China. In the field of rail transportation, the French company Alstom signed a cooperation agreement with China Railway Rolling Stock Corporation (CRRC) for the Chengdu Rail Transit electric traction system.
Furthermore, Nicholas Lyons, the Lord Mayor of London, stated that he spends an average of nearly 100 days abroad each year, visiting 25 to 30 countries. His purpose is to attract major financial institutions, such as large asset management firms, to the City of London. For instance, he seeks collaborations with Australian pension funds, which manage a massive $2.3 trillion in assets, to drive investments in British infrastructure.
Due to a surge in foreign affluent individuals applying for Singapore Permanent Residency, Singapore has begun raising the bar for the Global Investor Programme (GIP), which is aimed at global business investors. The required investment amount has significantly increased, with some sectors experiencing a fourfold to tenfold rise compared to previous levels.
The Family Office Option, encompassed within the GIP program, is one of the significant ways through which high net worth individuals worldwide strategically position their wealth in Singapore.
Mr. M’s Overseas Venturing Story
Mr. M, a graduate with a bachelor’s degree, currently holds a high-level position at Company L. Company L primarily focuses on cultural communities and video streaming platforms, and it has already been listed on the NASDAQ stock exchange.
Although the requirements for the Global Investor Programme (GIP) are demanding, it is the fastest pathway to obtain permanent residency (PR) in Singapore. Therefore, like many high-net-worth individuals, Mr. M chose to apply for PR through the GIP program by making investments.
To create employment opportunities, Singapore made adjustments to the GIP policy. Among the three investment options under the GIP program, the fund investment option increased from SGD 2.5 million to SGD 25 million. However, since Company L had already initiated its application before the implementation of the new GIP policy, Mr. M could still adhere to the previous requirements.
Go Global Gem, based on the specific circumstances of Mr. M and his company, formulated a customized GIP plan. From gathering the necessary documents to submitting the application for review and ultimately applying for PR status, the client manager from Go Global Gem provided comprehensive support and guidance throughout the entire process. Thanks to their assistance, Mr. M successfully obtained his PR status in a short period of time.
Latest GIP Application Options
New Option A:
Applicants must invest a minimum of SGD 10 million (including paid-up capital) to establish a new business entity or invest in an existing operational business.
Renewal Requirement: After the initial five-year period of permanent residency, if the investor wishes to renew their re-entry permit, the company must employ at least 30 staff members, with at least half being Singapore citizens, and 10 of them must be new hires.
Under the existing regulations, to renew the re-entry permit, the applicant’s company only needs to hire at least 10 new employees, with half of them being Singapore citizens, and have a total business expenditure (TBE) of SGD 2 million.
New Option B:
Applicants who choose to invest in Singapore must invest SGD 25 million in a GIP-approved fund, which is ten times the current requirement.
New Option C:
For applicants interested in establishing a family office, they must set up a single-family office with assets under management (AUM) of at least SGD 200 million. At least SGD 50 million must be invested in four specified categories within 12 months from the issuance of the approval letter.
The four investment categories are as follows:
- Companies listed on Singapore Exchange, such as those listed on the Mainboard and “Catalist”.
- Qualifying Debt Securities, including bonds, notes, commercial paper, and certificates of deposit.
- Funds issued by fund managers registered in Singapore.
- Private equity funds injecting capital into non-listed companies in Singapore.
Singapore GIP – The Fast Track to PR Approval! If you have any related needs, please contact Go Global Gem, and we will provide you with a customized offshore service solution.
For enquires please reach out to us:
Email: info@goglobalgem.com