Singapore’s digital financial system continued to strengthen in 2024, reaffirming its function as a key pillar of nationwide development. In accordance with the Singapore Digital Financial system Report 2025, the nation’s digital sector not solely grew sooner than the general financial system but additionally confirmed deeper integration of synthetic intelligence (AI) throughout enterprises and the workforce.
In 2024, Singapore’s digital financial system reached a nominal worth added (VA) of S$128.1 billion, contributing 18.6 per cent of gross home product (GDP). This marked a rise from 18.0 per cent in 2023, underscoring the regular enlargement of digitalisation throughout industries.
Between 2019 and 2024, the digital financial system grew at a compound annual development price (CAGR) of 12 per cent, outpacing the general GDP development price of seven.3 per cent throughout the identical interval. This sustained momentum illustrates the nation’s continued success in harnessing expertise as a driver of innovation and competitiveness.
Curiously, the majority of digital financial exercise got here from digitalisation inside non-tech sectors. In 2024, digitalisation in industries exterior the Data and Communications (I&C) sector accounted for two-thirds of complete digital financial system worth, or 12.6 per cent of GDP.
The Finance and Insurance coverage, Wholesale Commerce, and Manufacturing sectors had been key contributors to this enlargement, reflecting how conventional industries are embedding expertise at each stage. The I&C sector, in the meantime, accounted for the remaining six per cent of GDP.
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AI adoption reaches new highs
The report highlights a hanging surge in AI adoption throughout each companies and employees in 2024. Amongst non-small and medium enterprises (non-SMEs), AI adoption jumped from 44.0 per cent in 2023 to 62.5 per cent in 2024. This surge factors to a rising confidence in deploying AI for productiveness, decision-making, and innovation.
Extra notably, SME adoption tripled, rising from simply 4.2 per cent to 14.5 per cent inside a 12 months. This speedy uptake was pushed largely by off-the-shelf generative AI (Gen AI) instruments, which have lowered the barrier for smaller companies to combine AI into day by day operations.
The Data and Communications and Skilled Companies sectors led the cost, with adoption charges of 35.9 per cent and 25.7 per cent respectively. Throughout AI-using companies, the expertise was mostly utilized in Data Know-how (49 per cent), Buyer Service (43 per cent), and Finance and Accounting (40 per cent) capabilities.
Wanting forward, corporations plan to deepen their AI capabilities by investing in workforce coaching (68 per cent), job redesign (63 per cent), and AI-related infrastructure (59 per cent). These priorities sign a proactive shift from experimentation to long-term functionality constructing.
AI adoption will not be restricted to organisations. The report discovered that just about three in 4 employees (73.8 per cent) used AI instruments of their jobs, with most participating them day by day or a number of instances every week.
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Staff reported leveraging AI for brainstorming and ideation (58 per cent), writing and enhancing (54 per cent), and administrative duties (42 per cent). The findings point out that AI is more and more used past routine automation, supporting each cognitive and inventive processes.
The advantages had been widespread: 85 per cent of AI customers cited improved effectivity, productiveness, and work high quality. Almost half (48 per cent) mentioned AI enhanced their creativity, whereas a 3rd (33 per cent) discovered it useful for studying and talent improvement.
Employers have additionally performed an important function in supporting this shift. Round 70 per cent of AI-using staff obtained organisational backing, primarily by coaching programmes (62 per cent), entry to paid AI instruments (42 per cent), and utilization tips (30 per cent). This structured assist has enabled extra employees to make use of AI confidently and responsibly.
As Singapore’s digital financial system matures, the findings from the 2025 report reveal a rustic in transition. One the place the advantages of expertise are extending past tech corporations to the broader enterprise neighborhood and workforce.
The following section of development will rely not simply on expertise adoption but additionally on creating a future-ready expertise base. With robust emphasis on digital literacy, reskilling, and inclusive entry to AI instruments, Singapore is positioning itself as a pacesetter in each digital innovation and sustainable financial transformation.
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Picture Credit score: Zhu Hongzhi on Unsplash
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