Industry News

The Straits Times Index (STI) recorded a 3.3% total return in May, bringing its five-month total return to 10.8%, supported by Singapore’s robust economic backdrop. The country’s GDP growth, stable industrial output, and sustained non-oil domestic exports (NODX) momentum, partly driven by AI-related demand, underpinned this performance.

SATS led the STI constituents with a 16.7% price gain in May, reporting record FY26 revenue of S$6.35b, a 9% increase from FY25. The company highlighted its ability to capture cargo rerouting amid global trade disruptions due to tariff escalations and the Middle East conflict. “Cargo volumes increased 7.0% YoY to 9.65 million tonnes,” SATS noted, outperforming global benchmarks.

Venture Corporation followed with an 11.1% price gain, supported by a return to year-on-year revenue growth and a shift towards higher value-add segments. The company reported a 1.9% YoY revenue increase to S$628.5m, driven by demand in Test & Measurement Instrumentation and Semiconductor-related equipment. Venture’s margins remained resilient at around 9%, with a focus on high value-add solutions.

The STI’s performance was part of a broader trend in global equities, with mixed results across Asia. Singapore equities traded within a range, with gains in large caps offset by mixed performances in industrials and smaller capitalisation segments. The STI ETFs by State Street and Amova recorded S$129 million of net inflows in May, marking the 15th consecutive month of inflows.

Looking ahead, Singapore’s Ministry of Trade and Industry maintains its GDP growth forecast at 2.0% to 4.0%, despite global challenges such as the US-Israel-Iran conflict affecting energy supply and financial conditions. AI-related demand continues to support key sectors, although risks from energy disruptions and tariff escalations remain.

UOB and FPT Corporation have signed a Memorandum of Understanding (MoU) to explore strategic collaborations in artificial intelligence (AI), digital transformation, and financial services innovation. The agreement, signed on 29 May at the Vietnam-Singapore Tech Connect Forum, aims to modernise banking services across UOB’s key markets by leveraging AI, data analytics, and cloud technologies.

The collaboration will focus on several strategic areas, including digital banking transformation, fintech innovation, and ecosystem development. By integrating AI and digital solutions, the partnership seeks to enhance how banking services are designed, delivered, and scaled. This initiative will also support cross-border financial services and enterprise expansion, particularly in Vietnam and other regional markets.

Lawrence Goh, Head of Group Technology and Operations at UOB, stated, “This MoU reflects UOB’s strategic intent to build a future-ready bank through strong technology foundations, responsible AI, and purposeful partnerships.” David Nguyen, CEO of FPT Asia Pacific, added, “Together with UOB, we aim to build more scalable AI-first models whilst opening stronger pathways for innovation and enterprise growth.”

FPT, a leading global technology company headquartered in Vietnam, brings expertise in AI, cloud, and automation, complementing UOB’s regional banking network. The detailed plan of the MoU, including pilot initiatives and governance models, will be finalised within the next 90 days.

This collaboration underscores UOB’s commitment to advancing digital banking and supporting economic growth across ASEAN, whilst FPT continues to elevate Vietnam’s position on the global tech map.

Maybank has announced a net profit of RM2.48b for the first quarter ending 31 March 2026, a 4.2% decline from RM2.59b in the same period last year. The bank’s performance was bolstered by improved net interest margins, disciplined cost management, and higher core fees from wealth and investment banking activities, despite a challenging market environment.

The bank’s net fund-based income grew by 3.2% year-on-year to RM5.11b, driven by an improved net interest margin of 2.14%, up from 2.04% a year earlier. However, non-interest income fell to RM1.99b due to weaker trading and market-related income. Maybank’s operating income decreased by 7.9% to RM7.10b.

In Singapore, Maybank reported an 8.4% year-on-year increase in profit before tax to S$194.39m, supported by a 27.5% rise in net fund-based income to S$246.17m. This growth was attributed to lower re-priced funding costs, which offset softer earning-asset income.

Maybank’s President and Group CEO, Dato’ Sri Khairussaleh Ramli, highlighted the group’s steady earnings and strong balance sheet fundamentals, stating, “Maybank continued to deliver steady earnings supported by stronger net interest margin, prudent cost management and broadly stable asset quality during the quarter.”

The bank’s liquidity and capital positions remain robust, with a Group Liquidity Coverage Ratio of 133.3% and a Common Equity Tier 1 ratio of 14.96%. As Maybank progresses with its ROAR30 strategy, it aims to deepen regional connectivity across ASEAN and advance sustainable growth amidst ongoing macroeconomic and geopolitical uncertainties.

The Singapore Manufactured Products Price Index rose by 6.7% in April 2026 compared to March 2026, whilst the Domestic Supply Price Index increased by 3.1%, according to the Department of Statistics, Ministry of Trade & Industry. Excluding oil, the indices saw even larger gains of 7.3% and 5.4% respectively.

The rise in the Manufactured Products Price Index was driven by higher prices in the Machinery & Transport Equipment sector, particularly electrical machinery apparatus, alongside Chemicals & Chemical Products, Miscellaneous Manufactured Articles, and other categories. However, this was partially offset by a decrease in the Food & Live Animals index.

Year-on-year, the Manufactured Products Price Index surged by 27.5%, with the Oil index spiking 69.2% and the Non-oil index rising 21.4%. The Domestic Supply Price Index also saw a significant year-on-year increase of 31.6%, with the Oil index up 79.3% and the Non-oil index up 17.1%.

The Domestic Supply Price Index’s monthly increase was similarly attributed to the Machinery & Transport Equipment sector, with additional contributions from Chemicals & Chemical Products and other categories. The Food & Live Animals index again saw a decline, moderating the overall rise.

These indices are crucial as they reflect the price changes of locally manufactured commodities and goods retained for domestic use, impacting various sectors of the economy. The continued rise in these indices suggests ongoing inflationary pressures within Singapore’s manufacturing and supply sectors.

Vietnam Airlines has announced a strategic partnership with 2C2P by Antom, a leading payments platform in Southeast Asia, to expand its payment options beyond traditional card payments. This collaboration, revealed at the Vietnam–Singapore Tech Connect Forum, aims to enhance the airline’s digital payment ecosystem across eight markets, including Singapore, Malaysia, and Japan, by the second half of 2026.

The partnership will initially introduce domestic bank transfer options, such as QR payments and internet banking, with mobile wallets to follow. This move aligns with the growing trend of digital payments in Southeast Asia, where domestic payments are expected to increase by 104% and mobile wallets by 107% by 2029, according to an IDC InfoBrief commissioned by 2C2P by Antom.

Vietnam Airlines will utilise 2C2P by Antom’s Payment Air Controller (PACO) platform, which allows for dynamic transaction routing and improved cost efficiency. This integration is designed to support the airline’s expansion and digital growth strategy, ensuring a secure and seamless checkout experience for customers.

Worachat Luxkanalode, Group CEO of 2C2P by Antom, stated, “By combining PACO’s orchestration capabilities with local QR and bank payment methods across Asia Pacific, we are partnering with Vietnam Airlines to enhance the checkout experience and deliver a more intuitive and inclusive customer experience at scale.”

Nguyen Quang Trung, Executive Vice President of Vietnam Airlines, added, “Our partnership with 2C2P by Antom enables us to further expand our digital payment ecosystem across the Asia Pacific region, enhancing customer experience and convenience.”

This partnership is part of Ant International’s broader efforts to support Vietnam’s digital and financial development, reflecting its commitment to cross-border connectivity and fintech innovation.

iWOW Technology has reported a significant financial upturn, with revenue increasing by 19% to S$41.3m and operating profit soaring by 150% to S$3.6m. The company is making strides in the longevity economy through a proposed S$11.2m acquisition of The Gentle Group and a partnership with GetSetUp. These moves are part of iWOW’s strategy to build a comprehensive, data-driven ecosystem focused on safety, social connection, and sustenance.

The company’s financial health is bolstered by cash and cash equivalents of S$11.5m as of 31 March 2026, up from S$4.4m the previous year. The completion of the three-year earn-out arrangement for the ROOTS Singapore acquisition has also removed a significant earnings overhang.

Raymond Bo, CEO and Executive Director of iWOW Technology, stated, “FY2026 marks a meaningful turning point for the Group. Our operating profit grew 150% on the back of a 19% rise in revenue, with all five business segments contributing to top-line growth.”

iWOW is also progressing with a S$50m AgeTech WAAS contract, which is expected to generate recurring revenue. The company is advancing its international expansion, with planned AgeTech trials in the US and ongoing exploration of overseas opportunities in its IoT business.

These developments underscore iWOW’s commitment to delivering sustainable growth and creating long-term shareholder value, as it continues to innovate in the wireless IoT solutions sector.

SG Enviro Pte Ltd, a Singapore-based company specialising in sustainable water and wastewater treatment solutions, has successfully closed its Series A funding round. The funding, provided by Emerald Ventures and SEEDS, will be used to expand the company’s core technologies and solutions throughout Southeast Asia, targeting industries facing complex environmental challenges.

The funds will enable SG Enviro to enhance its presence in Singapore, Malaysia, and Indonesia, and support its entry into the Thai market. The company also plans to strengthen its talent pipeline and forge strategic partnerships to drive sustainable impact. SG Enviro is already active in key sectors such as oil and gas, palm oil, and food and beverage, where resource efficiency is crucial.

Looking forward, SG Enviro intends to venture into new sectors like data centres, semiconductors, and pharmaceuticals. These industries increasingly require advanced environmental management and sustainable utilities solutions. The company aims to help clients transition to more resource-efficient and lower carbon operations, aligning with evolving environmental and regulatory standards.

Founder and CEO Guah Eng Hock expressed enthusiasm about the partnership with SEEDS, stating, “We hope to leverage SEEDS’s extensive networks and expertise and hopefully collaborate with fellow synergistic portfolio companies to unlock growth opportunities.” Dr. Helge Daebel from Emerald Ventures highlighted SG Enviro’s role in supporting Singapore’s industrial sector and its regional expansion.

SG Enviro, established in 2018, focuses on delivering practical engineering solutions that meet local environmental and regulatory standards. The company’s expansion is expected to address pressing environmental challenges in the region.

DBS has announced a significant expansion of its wealth management services, with plans to open 18 new wealth centres across Asia by the end of 2027. The bank will also upgrade 36 existing centres over the next 18 months, enhancing its presence in Singapore, Hong Kong, mainland China, India, Indonesia, and Taiwan. This move aims to cater to the growing demand for wealth management among affluent clients seeking closer relationships with their banks.

The expansion represents DBS’s largest physical growth in its wealth franchise to date. Sanjoy Sen, Group Head of Consumer Banking at DBS, highlighted the importance of personal relationships in banking, stating, “What clients tell us, more than anything else, is that the relationship they want with their bank should feel personal, familiar and close to home.”

The new wealth centres will be designed to support clients’ entire wealth journey, offering services from portfolio advisory to sophisticated wealth solutions. They will also provide spaces for relationship managers to engage in meaningful conversations with clients, focusing on long-term wealth planning and multi-generational discussions.

DBS’s decision comes as Asia’s affluent wealth pool is projected to reach $4.7t by 2026. Despite the rise of digital platforms, many clients still value face-to-face interactions, with surveys indicating that nearly half of respondents in Hong Kong and Singapore prefer in-person meetings with their relationship managers.

The first of the new wealth centres is expected to open in the third quarter of 2026, with further details on market-specific launches to be announced in the coming months.

OCBC has announced a strategic partnership with the Singapore Chinese Chamber of Commerce & Industry (SCCCI) and the China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME) to accelerate cross-border trade, investment, and financial flows between Greater China and ASEAN. This collaboration, signed on 28 May 2026 at the Conference on International Industrial Cooperation, aligns with OCBC’s corporate strategy, The Next Frontier, which focuses on capturing ASEAN-Greater China trade and investment flows.

The partnership leverages CCCME’s network of over 10,000 Chinese enterprises, SCCCI’s regional business connections, and OCBC’s strong ASEAN presence and financial capabilities. In 2025, OCBC supported a 50% increase in new Chinese companies establishing a presence in ASEAN, highlighting the growing momentum in intra-Asia flows.

The collaboration aims to support SMEs and mid-sized corporates in accessing cross-border opportunities, focusing on sectors such as green development, digitalisation, and advanced manufacturing. A joint coordination group will be established to ensure sustained momentum and tangible outcomes.

Roy Tan, Head of Enterprise Banking International at OCBC, stated, “Partnering with CCCME and SCCCI enables us to deliver a more targeted and holistic proposition that addresses market access, business matching, and providing on-ground ecosystem support combined with integrated financing solutions.”

Additionally, the Singapore Investment Guide 2026/2027 was unveiled at the conference. Developed by SCCCI with contributions from OCBC, the guide aims to simplify the market entry process for foreign companies in Singapore and ASEAN, amidst Singapore’s strengthening as a global innovation hub and China’s increasing openness.

UOB Deputy Chairman and CEO Wee Ee Cheong met with Vietnam President To Lam on 30 May 2026 during the Shangri-La Dialogue in Singapore. The meeting focused on UOB’s long-term commitment to Vietnam’s economic growth and regional integration. UOB, which has operated in Vietnam for over 30 years, is the only Singaporean bank with a subsidiary in the country, boasting five branches in Ho Chi Minh City and Hanoi.

UOB Vietnam, with a charter capital exceeding S$500m, is the second largest foreign-owned bank in Vietnam. The bank’s acquisition of Citi Vietnam’s consumer banking business in July 2025 has significantly expanded its customer base. UOB has been instrumental in promoting Foreign Direct Investments (FDI) into Vietnam, supporting over 400 companies with projected investments of about S$9b since 2020, creating more than 60,000 jobs.

The bank is also constructing a new headquarters in Ho Chi Minh City, with a groundbreaking ceremony planned for July 2026. Additionally, UOB is considering involvement in the Vietnam International Financial Centre, which aims to enhance capital flows from Singapore and ASEAN into Vietnam.

Wee Ee Cheong stated, “Vietnam is a key market in UOB’s ASEAN strategy and is one of Southeast Asia’s most dynamic and resilient economies. We see tremendous opportunities in Vietnam’s continued transformation and its growing role as a key hub in ASEAN.”

UOB’s initiatives underscore its commitment to facilitating cross-border trade, supporting FDI flows, and empowering local enterprises in Vietnam.