Singapore International Arbitration Centre (SIAC)

Recently released figures show that SIAC has cemented its place as the hub of arbitration in Asia. Supported by a trusted and stable legal system, state-of-the-art infrastructure and Singapore's continuing significant economic growth, SIAC has made the transition from a local-based forum for cross-border disputes to an international arbitral institution with a global reach.

A boom year for SIAC

In its 2012 Annual Report, SIAC's popularity as an international arbitration forum was exhibited by a marked 25% increase in the number of new arbitrations commenced.

The number of new cases was 235 compared with 188 for 2011, continuing SIAC's trend of growth. In 2008 less than 100 new arbitrations were commenced meaning the Centre has seen a growth in use of over 200% over the last five years. SIAC is now the second largest arbitration centre in the world, beaten only by the ICC.

The total value of claims filed by SIAC also doubled from 1.3 billion Singapore dollars in 2011 to 3.6 billion Singapore dollars (almost £1.9 billion) in 2012. This includes SIAC's largest ever single claim at a value of 1.5 billion Singapore dollars. But even removing that large claim from the 2012 listings, the average value of a SIAC claim was also up 28% to 9 million Singapore dollars (£4.7 million).

SIAC interestingly reported that 73% of the new claims filed in 2012 arose from contracts executed between 2009 and 2012, showing that the appetite for arbitration in the region is healthy. It is apparent that SIAC's popularity continues to be supported by Singapore's modern arbitration laws and arbitration friendly courts as shown in the recent Singapore High Court decision of Astro Nusantara International BV and others v PT Ayunda Prima Mitra and others [2012] SGHC 212 where attempts to invoke jurisdictional grounds for setting aside an Award at enforcement were refused. SIAC also boasts first-class infrastructure for its arbitration at Maxwell Chambers in Singapore which opened in 2010 as a fully integrated dispute resolution complex with 14 custom-designed and fully equipped hearing rooms as well as 12 preparation rooms.

Reasons to be cheerful?

The 2012 figures also show that SIAC is expanding its reach beyond the region. It remains a hub for trade disputes in South Asia, with most parties using the Centre coming from Singapore, China and India. However, it is interesting to note that the fourth country of origin in that list was the United States.

The global reach of...