Key business opportunities for Singapore companies in India, 2024

https://remunance.com/blog/key-business-opportunities-for-singapore-companies-in-india-2024/

Key business opportunities for Singapore companies in India, 2024

"Discover multiple business opportunities for Singapore companies in India. Investment inflows from Singapore to India remain positive."

Singapore and India share a unique relationship that has a deep-rooted cultural, economic, and historical connection. Indians are one of the major ethnic groups in Singapore and constitute nearly 9% of the total population. Around 2.5% of the population speaks Tamil, which is one of the four official languages of the island nation besides English, Mandarin, and Malay.
Today, the Singapore-India relationship creates a new chapter of trust, mutual understanding, and cooperation that paves the way for regional economic growth and security, not just for the two countries. Over the years, both sides have signed various agreements to work together across several key areas to expand their trade and business opportunities, in addition to defense and security cooperation.
The island nation remains one of India’s largest trade and investment partners among the Association of Southeast Asian Nations (ASEAN) members. Singapore’s foreign direct investment (FDI) inflows to India were worth more than USD 136 billion over the last 22 years (2000-2022), representing about one-fourth of the total FDI inflows. For the financial year (FY) 2021–22, the India–Singapore bilateral trade constituted 27.3% of the total ASEAN trade activities.
One of the most historic moments in the Singapore-India relations was the signing of the Comprehensive Economic Cooperation Agreement (CECA) in 2005. The CECA was the first bilateral agreement that India ever signed with any country. The agreement highlighted the importance of economic cooperation and trade and investment protection in various fields, including science and technology, education, intellectual property (IP), etc.
India, as the fastest-growing economy in the world, is a major business investment destination for Singapore-based businesses. The presence of a large English-speaking population in both countries and increasing government initiatives to ease people-to-people links play crucial roles in fostering closer business ties between the two countries. 
A brief history of the Singapore-India relationship
The origin of the Singapore-India relationship can be traced back as early as the mid-1960s. The two countries first established diplomatic relations fifteen days after Singapore became an independent country on August 9, 1965. However, India and Singapore had different approaches to their foreign policy during the Cold War era. As a result, New Delhi adopted a non-alignment policy, while Singapore joined the North Atlantic Treaty Organization (NATO) for military alliances.