The Principality of Liechtenstein, the small European country with a history of being a tax haven for the world's wealthy, has bolstered its presence in Asia with the opening of honorary consulates in Hong Kong and Singapore.

The Singapore consulate opened first, with the principality naming Loo Choon Chiaw as honorary consul. The Hereditary Prince of Liechtenstein, Prince Alois Von und Zu Liechtenstein, was present for the ceremony.

In addition, Singapore deputy prime minister Tharman Shanmugaratnam signed an avoidance of double taxation agreement with Liechtenstein's minister of foreign affairs, education and culture, Dr Aurelia Frick, to enhance bilateral ties and trade relations between the two countries.

Shortly after, the Hong Kong consulate was opened, with the principality aiming to take advantage of the rapid growth in Hong Kong and Mainland China. To-date, there are two Liechtenstein banks in the Asian region: LGT Bank, which has offices in Singapore and Hong Kong, and VPBank, which has a Singapore subsidiary.

Liechtenstein has moved to become more transparent in recent years, signing tax information disclosure agreements and entering pacts with countries such as the UK about disclosing once-secret accounts in return for limited penalties.