e-commerce gets boost from IDA

SINGAPORE is well- known for, among other things, its world-class IT infrastructure and for being a shoppers' paradise.

According to government statistics, the retail and wholesale sector contributed 17.4 per cent to Singapore's GDP (gross domestic product) in 2011. At the same time, with the roll-out of the nationwide fibre broadband network and fourth generation telephony (4G) services, Singapore's already good IT connectivity has become even better, among the best in the world. And tech-savvy Singapore has three in four residents carrying a smartphone.

Given the strength in retail and IT infrastructure, one area of growth that the government wants to promote is e-commerce.

The online and mobile commerce market here is still largely an untapped opportunity as only 3 per cent (in 2011) of local retail businesses had e-commerce capabilities. Despite that, Singapore's online shopping market is expected to reach US$3.4…