Industry News

The Singapore government has introduced significant changes to the Executive Condominium (EC) Housing Scheme, aiming to support first-time homebuyers. Effective from 8 May 2026, the measures include extending the minimum occupation period (MOP) for new ECs to 10 years, removing the Deferred Payment Scheme (DPS), and increasing the EC quota to first-time buyers to 90% with a two-year priority period for purchasing new EC units.

The EC Housing Scheme, launched in 1995, offers an affordable pathway to private housing for higher-income Singaporeans. The latest changes are designed to address the evolving housing needs and lifestyle preferences of Singaporeans. Kelvin Fong, CEO of PropNex, remarked that the measures are timely and favour first-time buyers, reinforcing the scheme’s intent to meet homebuyers’ aspirations.

Government data shows a decline in first-time EC buyers, from about 50% in 2020 to between 30% and 40% in 2024 and 2025. The new measures aim to reverse this trend by making ECs more accessible to first-time buyers. The extension of the MOP aligns with public housing frameworks, promoting a homeownership mindset over investment.

The removal of DPS is expected to moderate initial take-up rates, as it previously allowed buyers to defer loan servicing. This change may lead to more pricing transparency and financial prudence among buyers. The increased first-timer quota and extended priority period are expected to enhance access for first-time buyers, particularly in popular locations.

These changes could impact EC land bids, with developers likely adopting a cautious approach due to market uncertainties. The five upcoming EC projects in Senja Close, Woodlands Drive 17, Sembawang Road, and Miltonia Close, offering 1,970 units, are expected to see strong demand as they remain unaffected by the new measures.

CIMB Group Holdings Berhad has announced the appointment of Mak Joon Nien as Chief Executive Officer of Growth Markets and CEO of CIMB Singapore, pending regulatory approval. Mak will also join the CIMB Group Executive Committee, focusing on accelerating business growth and enhancing cross-border connectivity in Singapore, Thailand, and Cambodia.

Mak, who brings nearly 30 years of international banking experience, will be based in Singapore. His career began with Standard Chartered in 1997, where he became the first Malaysian CEO of Standard Chartered Malaysia in 2022. He has extensive experience in mergers and acquisitions and leveraged finance, having spent 15 years in Singapore before returning to Malaysia in 2017 to lead Corporate, Commercial, and Institutional Banking.

Novan Amirudin, Group CEO of CIMB Group, expressed confidence in Mak’s ability to advance the Group’s Forward30 strategy. “Mak’s deep regional experience and strong execution track record will accelerate our ambition in cross-border banking, regional wealth management, and investment advisory,” Amirudin stated.

CIMB, one of ASEAN’s leading banking groups, aims to strengthen its ASEAN franchise and position itself as a top-of-mind bank in the region by 2030. With a market capitalisation of approximately RM89 billion as of 31 December 2025, CIMB operates across ASEAN and beyond, with a significant presence in China, Hong Kong, and the UK.

The groundbreaking of Coronation Square Mall and two residential blocks in Johor Bahru marks a significant step in transforming the city centre into a bustling regional destination. The event, held on 7 May 2026, was attended by notable figures including YAB Dato’ Onn Hafiz bin Ghazi, Menteri Besar of Johor, and Ng Kuan Khai, Singapore’s Consul-General to Johor Bahru.

Strategically positioned in Johor Bahru’s city centre, Coronation Square will connect directly to the upcoming Johor Bahru-Singapore Rapid Transit System (RTS), enhancing cross-border mobility and establishing the development as a key business and lifestyle gateway. The project will feature the largest retail mall in the city, alongside residential, hospitality, medical, and commercial facilities.

Datuk Patrick Lim, Managing Director of Coronade Properties, stated, “Today’s groundbreaking marks the next phase of our vision to shape Johor Bahru into a connected and vibrant city centre. We are creating an ecosystem that supports businesses, creates jobs, and serves the daily needs of the community.”

In conjunction with the event, the Singapore Retailers Association (SRA) and CapitaLand Investment (CLI) signed a Memorandum of Understanding to aid Singapore retailers in expanding into Johor Bahru. This collaboration will facilitate market entry opportunities and provide insights into the local consumer landscape.

Vivien Lim, Vice President of SRA, highlighted Johor Bahru’s potential as a promising market for regional expansion. Tan Mui Neo, Managing Director at CLI, added that the partnership aims to connect retailers with market insights and opportunities, reflecting Coronation Square’s ambition to be “Where the World Meets Johor.”

As infrastructure improvements continue, Coronation Square is poised to play a pivotal role in Johor Bahru’s growth as a connected regional destination.

Oversea-Chinese Banking Corporation Limited (OCBC) has announced a 5% year-on-year increase in net profit for the first quarter of 2026, reaching S$1.97b. This growth was primarily driven by a significant rise in non-interest income, which saw a 23% increase to S$1.61b, contributing over 40% to the total income.

The bank’s total income rose by 5% year-on-year to S$3.83b, supported by strong performances in wealth management, trading, and insurance sectors. Wealth management fees alone surged by 34%, reflecting increased customer activity across all product channels. Insurance income also saw a notable 34% rise, bolstered by robust performance and strategic shifts in product mix.

Despite a 5% decline in net interest income to S$2.22b due to a lower interest rate environment, OCBC managed to maintain a steady net interest margin of 1.76%. The bank’s operating expenses increased by 6% to S$1.50b, attributed to higher staff costs and ongoing IT investments, yet the cost-to-income ratio remained below 40%.

OCBC’s asset quality remained stable, with a non-performing loan ratio of 0.9%. The bank prudently set aside S$191m in allowances for non-impaired assets, increasing total allowance coverage for non-performing assets to 163%. The bank’s capital and liquidity positions remain strong, with a Common Equity Tier 1 (CET1) capital adequacy ratio of 17.0% under transitional Basel III reforms.

Looking forward, OCBC is well-positioned to pursue growth opportunities and navigate economic uncertainties, supported by its robust financial performance and strategic focus on wealth management and sustainable financing.

Raffles Education has reported a resilient business performance for the first nine months of 2026, with core earnings of S$22.71m, despite the disposal of Raffles Hefei and the impact of a stronger Singapore dollar. The company has improved its liquidity position, with cash and bank balances rising to S$46.18m as of 31 March 2026, compared to S$16.86m on 30 June 2025.

The group’s total borrowings have been significantly reduced to S$84.99m, down from S$206.78m a year earlier. This reduction includes S$40.99m attributable to its Hong Kong-listed subsidiary, Oriental University City Holdings, and convertible bonds held by the company’s chairman and CEO, Chew Hua Seng. Notably, Raffles Education’s standalone bank borrowings have been reduced to zero.

Finance costs have decreased to S$10.67m, reflecting the group’s ongoing deleveraging efforts and strategic asset monetisation initiatives. The company’s net assets have increased to S$713.17m, supported by substantial freehold property assets.

Raffles Education is focusing on expanding its premium K–12 education segment across ASEAN, with plans to establish a new campus in Jakarta, Indonesia, in the second half of 2026. The group aims to strengthen its financial performance through disciplined cost management, driving margin expansion, and delivering long-term sustainable value as a premier education group in Asia.

Singapore Airlines (SIA) has announced plans to enhance its European network by increasing flight frequencies to Manchester, Milan, Munich, and London Gatwick, alongside launching a new route to Madrid via Barcelona. The expansion, set to commence in July 2026, aims to meet growing demand and improve connectivity through SIA’s Singapore hub.

From 26 October 2026, SIA will introduce a five-times-weekly service to Madrid, marking its 15th European destination and second in Spain. The route will be operated by the Airbus A350-900, featuring 253 seats across Business, Premium Economy, and Economy classes. Tickets for the Madrid service will be available from June 2026.

Key changes include daily flights to Manchester starting 13 July 2026, and twice-daily services to London Gatwick from 25 October 2026, increasing SIA’s total London services to six daily flights. Milan will also see daily flights from 25 October 2026, replacing the current Singapore-Milan-Barcelona service. Additionally, a new three-times-weekly service to Munich will begin on 26 October 2026, raising the total to 10 weekly flights.

Dai Haoyu, Senior Vice President Marketing Planning at SIA, stated, “Europe is an important market for Singapore Airlines, and these adjustments reflect our commitment to it. We are seeing strong demand for travel to Europe, and increasing frequencies to key destinations such as Manchester, Milan, Munich, and London Gatwick in response.”

These strategic adjustments are expected to offer travellers more options for both business and leisure travel across Europe.

Frasers Property Limited has announced a profit of S$88.4m for the first half of the financial year ending 31 March 2026, marking a 77% increase from the previous year when excluding a one-off tax provision reversal. This growth is attributed to successful residential projects in Singapore, Australia, and China, as well as land sales in Australia and Thailand.

The Group’s profit before interest and taxes (PBIT) increased by 13.2%, bolstered by its strategic focus on residential and industrial developments. The company’s increased stake in Northpoint City South Wing in Singapore also contributed to higher retail earnings. However, an impairment on a Thai investment of S$38.2m impacted overall profits.

Panote Sirivadhanabhakdi, Group CEO of Frasers Property, stated, “We remain firmly on strategy, with continued focus on delivery amid the uncertain operating environment. Our integrated investor-developer-operator model positions us to create, sustain and unlock value at every stage.”

Frasers Property’s strategy includes disciplined partnerships to expand its development pipeline and active asset management to sustain recurring income. The recent collective sale award for The Centrepoint’s leasehold rear plot in Singapore is expected to unlock further value from this prime asset.

Looking forward, the Group aims to continue its capital recycling efforts and strategic investments, particularly in Vietnam, to enhance its long-term resilience and earnings quality. The company’s ongoing focus on sustainable value creation is expected to support its competitive edge in the evolving global market.
–

Scoot, the budget airline arm of Singapore Airlines, has announced a firm order for five Airbus A320neo family aircraft and exercised options for an additional six from its 2014 agreement with Airbus. These 11 aircraft, set for delivery starting in 2028, will expand Scoot’s total A320neo orderbook to 20, supporting its long-term growth strategy in the Asia-Pacific region.

The new aircraft will enhance Scoot’s capacity and route flexibility, allowing the airline to launch new services and optimise connections within the Singapore Airlines Group network. This move is expected to strengthen Singapore’s position as a global air hub, particularly in Southeast and North Asia. Leslie Thng, CEO of Scoot, stated, “We expect travel demand to continue growing, particularly in the Asia-Pacific region, in the coming years.”

Scoot’s current fleet includes 63 aircraft, comprising Boeing 787 Dreamliners, Airbus A320 family aircraft, and Embraer E190-E2 jets. The airline plans to phase out its older A320ceo models by 2028 as part of its fleet renewal programme. The A320neo family aircraft are noted for their fuel efficiency, burning up to 20% less fuel, which aligns with the Singapore Airlines Group’s goal of achieving net zero carbon emissions by 2050.

By June 2026, Scoot aims to serve 85 destinations, with 37 operated exclusively by the airline, highlighting its role in enhancing Singapore’s air connectivity.

ST Engineering has announced a significant expansion of its smart mobility initiatives in the Middle East, securing two major projects valued at over $100m. The projects involve the maintenance of an intelligent transport system (ITS) in Qatar and the deployment of the GoParkin smart car park solution in Jordan.

Under a three-year contract that began in the first quarter of 2026, ST Engineering Urban Solutions has been selected by EGIS QBC JV to support Qatar’s national ITS. This involves comprehensive maintenance for the Road Management Centre of Ashghal, Qatar’s Public Works Authority, ensuring efficient traffic management and safe tunnel operations across the country’s road network.

In Jordan, the company will implement its GoParkin smart car park system at the King Hussein Business Park, with the rollout expected to start in the third quarter of 2026. This system will feature automatic number plate recognition, electric vehicle charging, and multimodal payment capabilities, aiming to enhance user experience and operational efficiency.

Gareth Tang, President of ST Engineering’s Urban Solutions business, stated, “These wins underscore our customers’ confidence in our ability to support complex, mobility systems at both national and city scale.”

ST Engineering has a strong presence in the Middle East, having delivered projects like Dubai’s iTraffic AI-powered ITS and Abu Dhabi’s multimodal intelligent transportation platform. Globally, the company has completed over 60 ITS projects in more than 40 cities, contributing to safer and more efficient urban mobility.

The Urban Redevelopment Authority (URA) tender for a residential site at Holland Plain closed with just one bid, submitted by Sim Lian Group. Despite the muted participation, the bid price of $1,491 per square foot per plot ratio (psf ppr) was at the higher end of expectations, according to Tricia Song, Head of Research at CBRE Singapore and Southeast Asia. This follows Sim Lian’s previous acquisition of an adjacent plot at Holland Link in August 2025 for $1,432 psf ppr.

Developers are becoming more selective in their land acquisitions due to economic uncertainties and potential construction cost increases linked to supply chain disruptions from the Middle East conflict. Sites with less attractive features, such as those further from MRT stations, are seeing less interest. The Holland Plain site, which can accommodate 280 units, is located within a 10 to 15-minute walk from King Albert Park MRT station, an interchange for the Downtown Line and the upcoming Cross Island Line.

The Holland Plain precinct is designed to integrate with its green surroundings, featuring park spaces and water-sensitive elements. The URA plans to introduce two new parks in the area. Nearby, the Dunearn Road plots have seen more competitive bidding, with the latest tender closing in April 2026 with six bids.

Sim Lian Group may consider combining the two adjacent plots into a 510-unit development, potentially launching at an average price of $3,000 to $3,100 psf. This move reflects the group’s confidence in the location’s long-term potential.