An increasing number of the world's shipping companies are setting up shop in Singapore because of the incentives the government is providing.
The South China Morning Post notes that the island nation has been particularly successful at luring European and Scandinavian shipping firms to set up shop over the past several years.
The Post says that the incentives the government is providing include tax holidays lasting more than 10 years, a concessionary tax rate of not less than 10% on income from freight and logistics services and subsidised staff training through a maritime cluster fund.
With the incentives, Singapore has surpassed Hong Kong which offers only a few attractions.
"The Hong Kong government is never going to put money into the maritime sector as Singapore has done," says one maritime lawyer in an interview with the Post.