Location Criteria for Establishing Treasury Centres in South-East Asia

Abstract

This paper discusses the location criteria that must be assessed before establishing a regional treasury centre. Such criteria include tax, educational and banking system reforms, political and economic stability, comprehensive legislation, strong regulatory and supervisory frameworks, low costs for business operations, etc. In particular, the paper investigates the location criteria that must be evaluated when establishing a regional treasury centre in South-East Asia, considering the exceptional position of Singapore and Hong Kong there. The discussion in the present paper has been developed further (see Note).

Keywords: South-East Asia, cash pooling, regional treasury centre, international treasury centre, financial centre

JEL Classification: G15