Singapore’s accounting industry has been integral to the country’s overall economic growth and development. Accountancy remains one of the city-state’s most thriving industries, and a major focal point in Singapore’s economic blueprint.
Local and Regional Demand
Singapore’s accountancy sector caters to both domestic and regional demand. On the domestic front, the industry supplies professional accountancy services and talent to the various sectors of the economy. In a regional and global scale, Singapore’s accounting industry has experienced a surge in demand for the export of its expertise in recent years.
A Leading International Accountancy Hub
To maximize the potential of the sector, the Committee to Develop the Accountancy Sector (CDAS) was established in December 2008 to position Singapore as the region’s epicentre of accounting services and professionals. The committee has since mapped out a vision to transform the sector into a leading international accountancy hub for the Asia Pacific by the year 2020.
In 2010, the CDAS submitted a series of recommendations to deepen the sector’s expertise, upgrade the value of services from Singapore-based public accountancy entities as well as promote the regionalization of accounting services.
In line with this, the CDAS vision is anchored on the following strategic thrusts:
- Position Singapore as a leading global centre for accountancy talent, education, thought leadership and professional development;
- Develop Singapore into a leading centre for high value-adding professional accountancy services; and
- Strengthen infrastructure and institutions to benefit the accountancy sector
In addition, the Singapore Accountancy Commission (SAC) was established in April 2013 to drive accountancy excellence in the city-state. As a statutory agency, the SAC collaborates with local and international groups to focus on key areas to improve the both the profession and the industry.
With the CDAS final report as its guide, the SAC aims to ultimately transform Singapore into a leading global accountancy hub for the region by 2020.
The Asia-Pacific Accountancy Market
The Asia-Pacific is, to date, the fastest growing region among international accountancy networks. The APAC market is estimated to reach an overwhelming US$43.4 billion by 2014.
Singapore, located in the heart of the region, is at the forefront of this growth. With its ideal location, sophisticated financial system, infrastructure, and pro-business environment, the city-state is well placed to harness and expand the robust growth opportunities for the sector in the region.
Accounting Hub, Business Centre
Singapore’s reputation as a leading financial and business hub in Asia reinforces its positioning as an accountancy hub.
As a financial and business centre, Singapore maintains a strong local demand for accounting services, thus fueling the growth of the sector. Congruently, the accountancy sector’s robust international outlook and solid global standing have increased the competitiveness and positioning of Singapore as an international nucleus of trade and business.
In essence, the vibrant accountancy sector serves as a catalyst for the Republic’s continued economic growth.
According to the Accounting and Corporate Regulatory Authority (ACRA), the CDAS aims to double the accountancy sector’s contribution to GDP from the current 0.4% to approximately 1% over the next decade. In addition, it seeks to increase Singapore’s exports contribution of professional accountancy services to the region from the current 22% to 50%.
Indeed, there is an immense potential for growth, particularly in the areas of audit, internal audit & risk management, business valuation, and tax expertise, among others.
The rapid expansion of the Asia Pacific market, complemented by CDAS’s strategic thrusts, have created countless opportunities to form a Singapore company amidst the thriving industry and its complementary sectors.