Industry News

Singapore’s Ministry of Trade and Industry (MTI) has revised the country’s GDP growth forecast for 2025 to approximately 4.0%, up from the previous estimate of 1.5% to 2.5%. This adjustment follows a robust performance in the third quarter of 2025, where the economy grew by 4.2% year-on-year. The growth was primarily driven by the manufacturing, wholesale trade, and finance and insurance sectors, with significant contributions from the electronics and biomedical manufacturing clusters.

The electronics cluster saw a 6.1% increase, largely due to heightened demand for AI-related semiconductors and server products. Meanwhile, the biomedical manufacturing sector expanded by 8.9%, buoyed by the production of high-value pharmaceutical ingredients. The wholesale trade sector benefited from strong global demand for AI-related electronics, whilst the finance and insurance sector was bolstered by improved business and investor sentiment.

Looking ahead to 2026, MTI projects GDP growth to range between 1.0% and 3.0%. This forecast considers potential challenges such as the impact of US tariffs, which could affect key trading partners like China and the Eurozone. Despite these challenges, sectors such as electronics and transport engineering are expected to continue supporting Singapore’s economic growth.

The revised forecast reflects Singapore’s resilience amidst global economic uncertainties, with the AI boom and easing trade tensions contributing to the positive outlook. However, MTI cautions that global economic risks remain, which could influence future growth trajectories.

The Fund for Energy Efficiency Technologies (FEET), the world’s first fund for vessel retrofits employing a pay-as-you-save repayment mechanism, has successfully closed total commitments of up to US$35m. This pioneering initiative aims to facilitate the retrofitting of vessels with green technology, enabling shipowners to upgrade their fleets without upfront costs. The fund’s innovative approach allows repayments to be made from the savings generated by the enhanced fuel efficiency of the retrofitted vessels.

The fund’s closure marks a significant milestone in the maritime industry’s shift towards sustainability. By reducing the financial burden on shipowners, the fund encourages the adoption of environmentally friendly technologies, which are crucial in reducing the carbon footprint of the shipping sector. The initiative aligns with global efforts to combat climate change by promoting cleaner and more efficient maritime operations.

The successful closure of the fund is expected to inspire similar initiatives across the maritime industry, potentially leading to widespread adoption of sustainable practices. As the shipping sector continues to face pressure to reduce emissions, the fund’s model could serve as a blueprint for future projects aiming to balance economic and environmental objectives.

A Singapore-led initiative is set to revolutionise heart failure treatment in Indonesia by introducing a groundbreaking artificial heart assist device. Indonesia.md, a subsidiary of Borderless Healthcare Group, has obtained exclusive rights to launch this next-generation device, developed in Shenzhen, in Southeast Asia’s largest healthcare market. The device is notably the smallest and lightest of its kind, designed for long-term support for patients with severe heart failure.

With over 10 million heart-failure patients in Indonesia and a mortality rate exceeding 34%, the need for advanced medical solutions is critical. The country’s limited heart-transplant programme and low organ donation rates further exacerbate the situation. The new device, which is more than 50% smaller than existing US models, is tailored to fit Asian thoracic anatomy and aims to reduce post-operative complications. Its lightweight design and longer-lasting battery enhance patient mobility and independence.

This initiative aligns with Singapore’s ambition to serve as a gateway for Shenzhen’s medtech innovations into Southeast Asia. It leverages Singapore’s digital-health capabilities and Indonesia’s clinical needs, creating a robust platform for medtech deployment. Indonesia.md will operate its Borderless Medical Cloud from Singapore, facilitating cross-border specialist input, patient evaluation, and remote treatment collaboration.

Dr Lim Chong Hee, a key figure in the initiative, highlights the collaborative efforts across Singapore, China, and Indonesia. The project not only strengthens Singapore’s position as a medtech hub but also provides a scalable model for accelerating medtech adoption across Southeast Asia.

Farm Price Holdings Berhad, a Johor-based wholesaler and distributor, has reported a notable increase in its revenue contribution from Singapore, surpassing 30% for the nine months ending 30 September 2025. This growth is attributed to the acquisition of assets from Hong Yun Vegetables & Fruits Sdn Bhd, which bolstered the company’s market reach and distribution capabilities.

In the third quarter of FY25, Farm Price’s revenue rose to RM32.9m, marking a 7.4% year-on-year increase. Sales to Singapore surged by 42.9% to RM12.2m, reflecting the company’s expanding export momentum. Despite a dip in net profit to RM1.6m due to higher administrative expenses, the company’s gross profit improved by 24.1% year-on-year, reaching RM8.1m.

For the nine-month period, Farm Price achieved a revenue of RM93.3m, up from RM91.9m in the same period last year. The wholesale segment was the primary revenue driver, contributing 94% of total revenue. Managing Director Lawrence Tiong Lee Chian expressed optimism about the company’s growth trajectory, stating, “We are encouraged by the growing export sales to Singapore, where revenue contribution is past the 30%-mark.”

The company is also on track to complete the expansion of its Centralised Distribution Centre in Senai by the end of 2025. This facility will enhance Farm Price’s capacity for pre-packed and fresh-cut vegetables, catering to the rising demand from Singapore. Additionally, the Sabah distribution centre, operational since February 2025, is performing well with a utilisation rate exceeding 80%.

Farm Price remains financially robust, with a net cash position and positive net operating cash flow of RM10.9m for the nine-month period. The company continues to explore opportunities for geographical expansion and collaborations to improve distribution efficiency.

Rental activity in Singapore experienced a downturn for the third consecutive month in October 2025, with both condominium and HDB rental volumes declining, according to the latest report by 99.co and SRX. Despite this, rental prices have remained stable, reflecting a resilient market amidst fluctuating demand.

In the condominium sector, rental prices saw a slight regional variation. The Core Central Region (CCR) and Outside Central Region (OCR) experienced minor decreases of 0.2% and 0.6%, respectively, whilst the Rest of Central Region (RCR) saw a 0.5% increase compared to September 2025. Year-on-year, overall condo rental prices rose by 2.5%.

Rental volumes for condos dropped by 9.7% month-on-month, with 5,819 units rented in October, down from 6,447 in September. However, this figure was still 1.9% higher than the previous year. The distribution of rental activity showed 33.5% in OCR, 34.3% in RCR, and 32.2% in CCR.

The HDB rental market mirrored this trend, with prices decreasing by 0.5% from the previous month. Mature and Non-Mature towns saw declines of 0.4% and 0.5%, respectively. Notably, Executive flats bucked the trend with a 2.8% price increase. Year-on-year, HDB rental prices rose by 1.8%.

HDB rental volumes fell by 5.8% month-on-month, with 2,471 flats rented in October. Despite the monthly decline, this represented a 5.2% increase compared to October 2024. The breakdown by room type showed 32.5% of rentals were 3-room flats, 36.7% were 4-room, 24.9% were 5-room, and 5.8% were Executive flats.

Luqman Hakim, Chief Data & Analytics Officer at 99.co, commented on the stability of rental prices despite the decline in activity, suggesting a balanced market as demand adjusts. The report indicates that whilst rental volumes have decreased, the overall market remains robust, with stable pricing providing a buffer against fluctuating demand.

Global ratings agency Fitch Ratings has announced an upgrade to the ratings of Astrea VI Class B Bonds and Astrea 7 Class A-2 Bonds. The agency also affirmed the existing ratings for Astrea VI, Astrea 7, and Astrea 8 Private Equity Bonds. This development reflects Fitch’s confidence in the financial stability and performance of these bonds.

The upgrade is significant for investors, as it indicates a lower risk associated with these bonds, potentially enhancing their attractiveness in the market. Fitch’s decision to upgrade and affirm these ratings underscores the robust management and strategic direction of the bonds’ issuer, Azalea.

The Astrea series of bonds are known for their innovative approach to private equity investments, offering retail investors access to a diversified portfolio of private equity funds. The upgraded ratings are expected to bolster investor confidence and could lead to increased demand for these bonds.

Azalea Investor Relations expressed satisfaction with Fitch’s decision, highlighting the importance of maintaining strong credit ratings to support investor trust and market credibility. The affirmation of the other ratings further solidifies the standing of Astrea’s offerings in the competitive financial market.

As the market responds to these upgrades, the future implications could include enhanced liquidity and potentially more favourable terms for future bond issuances by Azalea.

Heidi, a rapidly expanding healthcare AI company, has announced the establishment of its regional headquarters in Singapore, following a US$65m Series B funding round led by Point72 Private Investments. The company plans to invest US$8m over the next two to three years, aiming to hire 10–12 roles initially, with further expansion anticipated as the business grows.

The move comes as Singapore grapples with an ageing population and a shortage of clinicians, with projections indicating that by 2030, one in four Singaporeans will be aged 65 or older. Heidi’s AI platform, which transcribes doctor-patient conversations into structured clinical notes, is designed to increase clinicians’ effective capacity, allowing them more time for patient care. The platform has already supported nearly 55,000 consultations in Singapore.

“For Heidi, Singapore represents more than a market entry, it’s a launchpad for the next phase of healthcare innovation and growth across Southeast Asia,” said Dr Thomas Kelly, CEO and co-founder of Heidi. He highlighted Singapore’s supportive ecosystem and initiatives like the TRUST platform as key factors in accelerating AI adoption in healthcare.

Heidi’s Singapore launch is part of its broader global expansion, including recent moves into Hong Kong. The company’s AI tools currently process over 2 million patient consultations weekly across 116 countries. With this latest funding, Heidi’s total capital raised stands at US$96.6m, supported by investors such as Blackbird Ventures and LocalGlobe.

The National University of Singapore (NUS) Business School and Tencent co-hosted the “Technology for Good: Driving Social Impact” conference on 19 November 2025, bringing together 100 academics, industry leaders, and policymakers. The event, held at NUS Business School, focused on how technology can promote inclusion and social progress across Asia. This conference marked a significant milestone in the ongoing collaboration between NUS, Tencent, and the China Association for NGO Cooperation (CANGO).

The conference followed a global research call launched in April 2025, which attracted 134 submissions on AI inclusion, ethics, and corporate responsibility. From these, 60 proposals were shortlisted and developed into full research papers, commentaries, or videos, competing for nine awards. The Best Paper Award was given to Yukun Zhang and Tianyang Zhang for their work on an economic model addressing information pollution from generative AI. The Best Commentary Award went to a team from the Hertie School, University College London, and Berlin Social Science Centre for their analysis of AI regulation in China and the European Union.

Building on this success, NUS and Tencent signed a new Memorandum of Understanding (MOU) to extend their partnership into 2026. This will include another research call and conference related to Technology for Good. Professor Lawrence Loh of NUS emphasised the potential of technology as a catalyst for good when guided by ethical leadership. Tencent’s Xiao Liming highlighted the company’s commitment to social good through technology.

The conference underscored the importance of cross-sector partnerships in harnessing technology for social impact, as noted by Xu Xiaoxiao of CANGO. Further announcements regarding the partnership’s future initiatives are expected in 2026.

OCBC has extended its partnership with Visa, allowing Singapore customers to transfer funds directly to eight major digital wallets across Southeast Asia via the OCBC app. This development builds on last year’s integration of Weixin Pay and Alipay, making the app the most connected in the region with a total of 10 digital wallet options. The initiative aims to simplify remittances for Singapore’s foreign workforce, who often rely on slower and more expensive transfer methods.

The new feature enables near-instant, fee-free transfers to popular wallets such as Coins and GCash in the Philippines, GoPay and Ovo in Indonesia, Momo in Vietnam, and Touch ‘n Go in Malaysia. Collectively, these wallets, along with the Chinese options, serve up to 2.72 billion users. This expansion addresses key remittance challenges—speed, cost, and accessibility—particularly benefiting the unbanked population in the region.

Since the service’s launch with Chinese wallets, OCBC has processed over S$60m in transfers, significantly increasing cross-border transactions to China. The bank anticipates strong adoption among Singapore’s 1.6 million foreign workers. Sunny Quek, Head of Global Consumer Financial Services at OCBC, stated, “By connecting OCBC accounts to eight of Southeast Asia’s most popular wallets, we are removing friction from cross-border payments and making remittances faster, cheaper, and more inclusive.”

Visa Direct powers the app’s capabilities, providing access to nearly 11 billion endpoints globally. Adeline Kim, Visa’s Country Manager for Singapore & Brunei, noted, “Visa Direct is transforming the way money moves globally, helping to bridge financial gaps and support the millions who rely on remittances.”

OCBC’s long-term goal is to connect customers to 50 digital wallets worldwide, further enhancing its comprehensive wallet access.

District 6, encompassing City Hall, Clarke Quay, Beach Road, and High Street, recorded the highest median rent for 3-bedroom non-landed homes at $10,950 (S$15,000) per month in the third quarter of 2025. This figure places it ahead of other districts, with District 1 (Boat Quay/Marina/Raffles Place) following at $6,205 (S$8,500) and District 4 (Harbourfront/Telok Blangah) at $6,055 (S$8,300).

The rental market for non-landed properties saw varied changes across different unit sizes. Whilst rents for 3-bedroom units increased by 3% year-on-year, 5-bedroom units experienced a decline of 2.3%. On a quarter-on-quarter basis, the rental increase was more modest, with a 1.1% rise overall. Notably, 5-bedroom units saw the largest quarterly increase at 4.2%.

The rise in rents is attributed to seasonal factors, such as the start of the academic year for international schools, and the completion of 1,776 new private residential units. These new units, equipped with modern facilities, have attracted tenants willing to pay a premium for the “newness” factor.

Looking ahead, Alan Cheong, Executive Director of Research & Consultancy at Savills Singapore, noted, “For 2026, although there will be more new completions, which has often contributed to lifting rents due to the premium from the ‘newness’ factor, this may be offset by the challenging business conditions. Overall, rents are expected to stay sideways.”

Despite a 2.4% increase in the URA rental index year-to-date, the forecast for private residential rents in 2025 is expected to remain flat, with only minor deviations anticipated.