Global Cities Index: Singapore ranks best city in Southeast Asia, third in Asia

The city-state was also among the best cities globally for doing business.

Singapore was the top-performing Southeast Asian city according to the new Global Cities Index by Oxford Economics.

The inaugural index showed the city-state was the third highest ranking city in Asia just behind Seoul in second place and Tokyo, which took the crown as the best city in the region. 

Globally, the Lion City ranked 42nd, surpassing Berlin at 43 and still behind Korea’s capital city which took the 41st spot. 

Oxford Economics’ rankings were based on the assessment of the world’s 1,000 largest cities in terms of economic output, human capital, quality of life, environment and governance. 

Singapore scored highly in the quality of life category, taking the 40th spot globally, as well as in human capital where it ranked 43rd worldwide. The country also fared well in economics (78) and governance (135), but fell short in environment (424).

“Its strategic location on the Malacca Strait and its small open economy make Singapore one of the most globally economically integrated cities in the world,” Oxford Economics said. “This is both a strength and a weakness; Singapore’s economy thrives when the global economy grows, but falters when it sputters.”

The economics advisory firm lauded the country’s advanced and advanced economy as well as the high level of wealth with a GDP per capita of US$78,400, the highest among all the Asian cities tracked.

Smaller temperature anomalies and high political stability due to the uninterrupted rule of the People’s Action Party were also some of Singapore’s strengths. Its US$464 billion economy, however, took a hit as the city struggles with slowing employment growth.

Despite the slowdown, the city-state remains a regional hub for multinational companies especially those in the financial services sector. Its world-class universities and cutting edge research helped boost its score in human capital.

High income and its excellent healthcare system also contributed to a high level of quality of life with the city’s life expectancy among the best in the rankings. Weighing down its citizens are expensive housing and rising living costs.

In terms of the environment, the city country’s small size and limited land availability constrain its ability to allot green space, resulting in poorer air quality. Singapore makes up for it by lowering its CO2 emissions intensity, the best in Southeast Asia.

Commenting on its governance, Oxford Economics said Singapore also ranks among the best cities world for doing business and for the quality of its institutions [but] civil liberties tend to be curtailed.”

“The nature of Singapore, as a city state confined to an island in a geographically strategic location, poses both unique advantages and challenges,” it concluded.