We list down the top reasons why Southeast Asia is overflowing with opportunity and possibilities for investors either looking to expand their business or starting fresh.

1. 9 Reasons Why Southeast Asia
is an Investor’s Playground

2. ASEAN collective
GDP represents the
8th largest economy
in the world
With a population of around 600 million and GDP
of US$2.1 trillion, Southeast Asia is simply a
market that cannot be ignored. Their combined
economies have grown 170% over the past
decade and have about a 6.5% average growth
rate.
Source: http://www.nielsen.com/my/en/insights/reports/2014/asean-2015-prepare-
your-business-for-what-lies-ahead.html

3. There are few
financial barriers to
consumption and
investment growth
Debt levels generally remain low for
governments, households and corporations,
while ASEAN (Association of Southeast
Asian Nations) banks are mostly well
capitalised with good balance sheets.
A low debt-to-GDP ratio indicates an
economy that produces and sells goods
and services sufficient to pay back debts
without incurring further debt.
Source: http://moneyweek.com/why-you-should-pay-attention-to-
southeast-asia-57223/
http://tradingeconomics.com

4. A thriving middle class
with fast-increasing
purchasing power
Today's Asian middle class represents 30% of the
global middle class, with $2 trillion of new
consumption coming from SEA alone
Source: http://www.nielsen.com/my/en/insights/reports/2014/asean-2015-prepare-
your-business-for-what-lies-ahead.html
Asian
Middle
Class
The Rest of
the World

5. Southeast Asia’s
income levels are
catching up with the
US
Per capita income, or average income levels
in Asia, have been inching closer to US
levels over the years. In 1970, the average
income in Singapore and Hong Kong
was a quarter of that in the US. Today, on
average, Singaporeans earn as much as
they would in the US. And by 2020, their
income is expected to be 25% higher than
those of their American counterparts
Source: www.dbs.com
ASIA – PER CAPITA GDP TIMELINE
Approximate number of years to reach US GDP per capita
(assuming 6% per capita growth rate)
Source: DBS Group Research
0 years
6 years
14 years
26 years
34 years
GDP per capita

6. A highly-educated
and affordable
workforce
Recently, companies
began leveraging Southeast Asia’s pool of
low-cost, skilled labor as a cheaper
alternative to their home country
suppliers and manufacturers.
Source: http://www.pwc.com/en_US/us/forensic-
services/publications/assets/marketmap-southeast-asia.pdf

7. An attractive
destination for
outsourcing
3 out of 5 new offshore outsourcing locations in
the Asia-Pacific region come from the southeast,
and this includes the Philippines, Vietnam and
Malaysia. Meanwhile, 14 Southeast Asian cities
on the Top Outsourcing Destinations list for
Tholons, seven of them in the Philippines.
Source: https://www.gartner.com/doc/2666815/leading-locations-offshore-services-
asiapacific
http://www.tholons.com/nl_pdf/Whitepaper_December_2013.pdf

8. Other big companies
are making their
forays into the region
Multinationals now have a keen interest in
Southeast Asia due to lower cost of operations,
cheaper lease, population, growing middle class
and increasing depth of talent.
Source: www.jpmorgan.com/tss/General/Southeast_Asia_Next_Growth_Frontier/1320514027264l

9. A strong growth and
development in the
Information
Technology sector.
According to forecast, the total value of IT
services in Singapore, Thailand, Malaysia and
Indonesia between now and 2017 will be $74
billion. Big data and cloud computing are driving
progress in banking, healthcare, tele-
communications and distribution.
Source: http://www.nielsen.com/my/en/insights/reports/2014/asean-2015-prepare-
your-business-for-what-lies-ahead.html

10. ASEAN offers a wide
range of
opportunities
ASEAN spans the spectrum from financial and
hi-tech industrial services to offshore
manufacturing centres , to Mining and
agriculture. The drafting and eventual
implementation of the ASEAN Economic
Community (AEC) will also achieve regional
economic integration by creating a single-market
economy that allows free movement of
investments, skilled labor, capital, goods and
services across all the member countries.
Source:
www.jpmorgan.com/tss/General/Southeast_Asia_Next_Growth_Frontier/1320514027264l