Singaporean enterprises are eager to integrate artificial intelligence (AI) into their financial processes, yet high implementation costs and a shortage of skilled tech professionals are proving to be substantial obstacles.
This is the key finding from a recent study by financial technology leader FIS and Oxford Economics. The research highlights that 80% of businesses in Singapore struggle with the financial burden of AI adoption, whilst 70% cite a lack of in-house expertise as a major barrier.
The study, which surveyed C-suite executives across the US, UK, and Singapore, reveals that despite these challenges, over half of Singaporean firms are scaling or fully implementing AI technologies. Andrew Murray, Head of International Banking & Payments at FIS, emphasised the necessity of AI adoption, stating, “Enterprise-wide AI adoption is no longer a choice but a necessity for businesses looking to stay competitive in Singapore.”
Additional findings indicate that Singapore businesses are losing an average of $95.7m annually due to cyber threats, fraud, and regulatory inefficiencies. Cyber threats and fraud are particularly pressing, with 27% of leaders encountering cyber threats daily. To combat these issues, 40% of businesses have adopted AI tools for fraud prevention, and 58% are investing in advanced fraud detection technologies.
Bianca Fisher, Research Manager at Oxford Economics, noted the study’s significance, saying, “This unique analysis has allowed us to identify the cost of financial disharmony and how it can hinder organisational growth and innovation.” The full survey results are expected to be released at FIS’s annual Emerald conference in May, providing further insights into the challenges and opportunities of AI adoption in Singapore.
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