Both cities are, in a sense, victims of their success. Each ranks among the most efficient spots on the planet to register new businesses. They boast world-class banking, accounting and legal services, undergirded by respect for contracts and commercial codes not found in the rest of Asia. In a region awash in cash from record trade surpluses, Chinese expansion and a flood of new stock listings, the cities have posted incredible GDP growth numbers of late 6.8 percent and 7.9 percent for Hong Kong and Singapore, respectively, last year.
Given that local fertility rates are falling, both hubs hope to continue to fuel that boom via immigration. Singapores Minister for National Development Mah Bow Tan expects the city-states population to hit 6.5 million by 2027, up 2 million from today which implies a yearly influx of 100,000 foreigners over the next two decades. Hong Kong Chief Executive Donald Tsang has said he envisions his citys population eventually surpassing 10 million a 30 percent increase from todays total thanks to an injection of new blood from all nationalities. As the hubs grow more receptive to outsiders, new factors are ensuring that immigrants arrive in large numbers. Whereas globalization was once confined to big multinationals, todays expatriates work disproportionately for smaller-and medium-size companies. Nor are they predominantly European or North America anymore; China, India and South Korea are just three of the many countries now sending professionals abroad.
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