Thursday 31 January 2013
Singapore?s top spot in hotel sector sees challenge from Vietnam
Singapore continues to maintain its leading position in the hotel industry, having invested US$598 million (S$736 million) in hotels here to date, according to recently released figures from the Ministry of Hotels and Tourism.
Vietnamese investment, however, is expected to surpass Singapore’s after companies from Vietnam last month signed a deal with Nay Pyi Taw to invest $300 million in hotels. The massive build-operate-transfer deal was the first surge of investment into the hotel sector since the new foreign investment law was passed.
Ministry figures show that foreign investors have poured about $1.4 billion into the hotel sector. Thai investment totals $236 million, which will put it in third spot after the Vietnamese funds arrive. Japanese investors will be fourth with a combined $183 million, followed by Hong Kong investors ($77 million) and Malaysian investors ($20 million).
Investment from western countries is beginning to enter the sector with $3 million from the United Kingdom. Ministry figures shows foreign companies have invested in 36 hotel projects, including 30 that have been completed.
The number of tourist arrivals surpassed one million for the first time last year, leaving hotels in major tourist destinations struggling to meet demand.
Singapore?s top spot in hotel sector sees challenge from Vietnam
Hotel group chief says shortage of workers in Singapore
Rules that restrict the number of foreign workers that companies in Singapore can employ is challenging some firms.
The city state has also recently increased the levies that employers have to pay to hire foreign workers.
The chief executive of Pan Pacific Hotel, Patrick Imbardelli, told the BBC’s Sharanjit Leyl his company is now dealing with a shortage of the employees they need to grow their business.
Hotel group chief says shortage of workers in Singapore