17 Sep

The dynamic partnership between Batam and Singapore is transforming the regional business landscape. Leveraging its status as a Free Trade Zone and proximity to Singapore, Batam has transformed into Indonesia’s leading industrial and tourism hub in Southeast Asia. This proves how seamless connectivity and strategic investments can drive the economic prosperity of both countries. Check out our new insight to learn more how Batam and Singapore drive the regional business!

Batam: A strategic hub for business and tourism

Batam, located 20 kilometers from Singapore, is a fast-growing industrial and tourism hub in Southeast Asia. As a Free Trade Zone, Batam offers tax incentives and a streamlined investment process, highly attractive to foreign businesses, especially from Singapore. With modern infrastructure, industrial zones, and beautiful nature, Batam is a prime spot for manufacturing and tourism.

Seamless Accessibility and Connectivity

The close proximity of Batam-Singapore is easily accessible with a 45-minute ferry ride. Frequent and affordable services are available connecting SG’s HarbourFront and Tanah Merah terminals to four terminals in Batam (Sekupang, Batam Center, Harbour Bay, Nongsapura), with more than 180 trips daily. Enhancing seamless connectivity to support regional businesses.

Tourism-Driven Opportunities

Beyond industry, Batam is a top destination for Singaporeans looking for a weekend getaway or a long vacation. Batam offers attractions like golf courses, outdoor activities, a variety of culinary delights, wellness spas, and many shopping centers. Travelers from Singapore account for 85% of all foreign visitors each year. This influx of tourists drives demand in hospitality, retail and services, providing additional business opportunities.

Foreign Investment and Future Growth

The partnership between Batam and Singapore has played a key role in Batam’s development. Since 2018, Singapore has consistently been the top FDI contributor, focusing on industries like manufacturing, electronics, logistics, and real estate. In Q1 2024, Singapore invested Rp 3.6 trillion out of Batam’s total Rp 5.73 trillion FDI, along with contributions from China and Japan. Batam continues to attract global investors, driven by its favorable investment environment and expanding infrastructure. Singapore’s ongoing investments reflect its confidence in Batam’s growth potential and regional importance.

As Batam continues to develop as a prime business hub, Tunas Industrial emerges as a top industrial estate, offering an ideal platform for business expansion in Batam. Tunas Industrial offers strategic advantages, including access to modern facilities, excellent connectivity, and comprehensive support for companies looking to grow in this thriving market. Contact us for more information.