Industry News

Singapore’s retail sales experienced a second consecutive month of growth in February, with a 3% month-on-month increase, according to UOB Global Economics and Markets Research. However, year-on-year figures revealed a 3.6% decline, attributed to shifting holiday effects. The January to February period saw a modest 0.8% year-on-year rise, bolstered by a recovery in tourist arrivals, which reached 96% of 2019 levels.

Motor vehicles remained a significant contributor to retail sales, with a 10.4% year-on-year increase in January to February. Excluding motor vehicles, retail sales would have declined by 0.5% year-on-year. The report also noted that upcoming Lady Gaga concerts in May are unlikely to significantly boost retail sales, although hotel revenue per available room may benefit as Singapore will be her only Asian stop.

Looking ahead, the opening of new attractions, including a local theme park and Singapore’s fifth zoological park, Rainforest Wild Asia, could enhance domestic tourism and support retail sales. However, escalating tariffs and trade tensions pose risks, potentially impacting both domestic and tourism spending if regional labour market conditions deteriorate.
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Singapore’s private residential market saw a continued rise in prices in the first quarter of 2025, driven by new launches in fringe and suburban areas. According to Knight Frank’s latest report, non-landed private home prices increased by 0.6% quarter-on-quarter and 4.3% year-on-year. Nicholas Keong, Head of Residential and Private Office at Knight Frank Singapore, noted that these areas are offering “good value opportunities for savvy buyers.”

The report highlighted that the total transaction volume for non-landed homes, excluding Executive Condominiums, fell by 11.2% quarter-on-quarter to 6,085 units. However, this marked a significant 54% increase compared to the same period last year. The strong sales momentum from the end of 2024 carried into 2025, with new projects recording robust sales during launch weekends.

In the Core Central Region (CCR), new sales rose by 41.2% quarter-on-quarter, although overall transactions fell by 4.6%. The Rest of Central Region (RCR) saw a 1% quarterly price increase, driven by the successful launch of The Orie. Meanwhile, the Outside Central Region (OCR) experienced a marginal 0.3% price rise, with new sales up by 57.4%.

Rental contracts for non-landed private homes increased by 4.7% in early 2025 compared to late 2024. Despite moderate rent hikes across most segments, the ultra-luxury segment saw a 3% decline.

Knight Frank projects that new home sales in 2025 could reach between 7,000 and 9,000 units, with overall transactions potentially hitting 19,000 to 23,000 units, assuming no new cooling measures are introduced. Prices are expected to rise by 3% to 5% throughout the year.
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Singapore has emerged as the leading city for startup innovation, overtaking San Francisco, according to HubSpot’s 2025 Hypergrowth Startup Index. The report, created in partnership with PitchBook, indicates a significant shift in the global startup landscape, with a new emphasis on sustainable business models over rapid expansion.

The report reveals that whilst the number of monthly deals has halved since 2021, the average deal size has increased by nearly 43%, from $35m in 2023 to $50m in 2024. This shift reflects investors’ growing preference for sustainable growth. Laurence Butler, Head of HubSpot for Startups, noted, “Companies that focus on building strong customer relationships from day one are outperforming those that prioritise rapid scaling above all else.”

Traditional sectors are also showing robust growth, with the energy sector leading at a 37% growth rate, slightly ahead of IT at 36%. Meanwhile, mergers and acquisitions have become the dominant exit strategy, accounting for 43% of exits, compared to just 6% for initial public offerings.

Singapore’s rise as a startup hub is part of a broader trend, with Asia becoming a new epicentre for innovation. The report underscores the importance of strategic partnerships, with joint ventures averaging $9.9b in deal size, significantly larger than traditional buyouts.

As the startup ecosystem evolves, the focus on sustainable growth and strategic partnerships is expected to continue shaping the future landscape, positioning Singapore as a key player in global innovation.
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CGS International has released a strategy note advising investors to focus on large-cap defensive stocks in Singapore as the nation grapples with a 10% tariff on its exports to the US. The note, authored by analysts Lock Mun Yee and Lim Siew Khee, highlights the potential negative spillover effects on Singapore’s economy despite the exclusion of semiconductors and pharmaceuticals from the tariffs.

The strategy note suggests that investors should consider stocks such as ST, CLAR, KDCREIT, and STE, which are seen as more stable amidst the current economic uncertainties. Conversely, stocks like SATS and YZJSB, which are directly impacted by tariffs, may experience choppy sentiment. Additionally, companies with significant exposure to Vietnam, Malaysia, and Thailand, such as KEP, FPL, and THBEV, could face challenges due to high tariffs in these regions.

The ASEAN+3 Macroeconomic Research Office (AMRO) warns that increased protectionism could reduce regional growth by 1-2 percentage points over 2026 to 2027, potentially bringing Singapore’s GDP growth to the lower end of the 1.0% to 3.0% forecast range. CGS International currently predicts a 2.5% GDP growth for Singapore in FY25.

The note also addresses the impact on tech companies, which are navigating tariff challenges through strategies like the “China+1” approach. However, with new tariffs in Malaysia and Vietnam, these companies are reassessing their strategies. The end of de minimis tariff exemptions for small packages from China and Hong Kong could further increase costs and affect demand.

In light of these developments, CGS International reiterates a near-term risk-off strategy, advocating for investments in stocks with more predictable earnings and high dividend yields.
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Some of the world’s finest triathletes are set to launch their T100 Triathlon World Tour campaign in Singapore this weekend. The Singapore T100, taking place on 5 and 6 April at Marina Bay, will feature the Women’s Pro race on Saturday followed by the Men’s Pro race on Sunday.

Reigning T100 men’s world champion Marten Van Riel will defend his title against a formidable line-up, including Singapore T100 defending champion Youri Keulen and Paris Olympics medallists Hayden Wilde and Léo Bergère. In the women’s race, Australian Ashleigh Gentle aims for a third consecutive win in Singapore, facing tough competition from Olympic silver medallist Julie Derron and Tokyo 2020 champion Flora Duffy.

The Singapore T100 is more than just a professional race; it is a multi-sport festival catering to various fitness levels. Over 7,000 enthusiasts are expected at the F1 Pit Building for age-group races on Sunday. Participants can choose from a 100km triathlon or two duathlon races. Additionally, the Music Run on Saturday evening offers a 5km fun run with music along the route.

Road closures will be in effect to ensure the smooth running of the event, affecting several major roads on both days. The T100 Triathlon World Tour will continue across nine locations, culminating in the Qatar T100 Triathlon World Championship Final in December.

Ashleigh Gentle remarked on the challenging conditions, stating, “Singapore is definitely one of the hardest races on the circuit. You can’t go there unprepared.” Meanwhile, Youri Keulen expressed his excitement to return, saying, “I love to be back. It felt like I’m back at the place where I belong.”

The Singapore T100 marks the beginning of a thrilling season, with athletes vying for points towards their T100 Race To Qatar ranking.
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Pet lovers are in for a treat as CapitaLand hosts the third Furkids Fiesta at CQ @ Clarke Quay on 12 and 13 April. This pet-friendly event, co-organised by Hope For Animals and supported by B2K Pet Care, promises a weekend filled with engaging activities for pets and their owners from 12 PM to 9 PM at Fountain Square.

The event celebrates National Pet Day with a variety of attractions, including a Bird Exhibition and Adoption Drive, where visitors can meet and adopt adorable pups. A Pets Market will offer a range of treats and products to pamper furry companions. For those seeking adventure, the Pawer Course combines agility challenges like the Temptation Trail and Pawlympic Hoops.

Participants can complete a Furkids Fiesta BINGO card to earn a scenic bumboat ride along the quay, limited to the first 250 redemptions per day. The event also features a photobooth to capture memorable moments with pets.

Special workshops include “Bark n Bake” by B2K, where attendees can learn to make pet-friendly treats, and an Easter Egg Hunt for a fun-filled adventure. On day one, Nibnib will host a Pet Food Workshop, whilst day two offers grooming tips from 7Paws.

With 11 pet-friendly dining spots along the riverside, visitors can enjoy meals with their pets, thanks to the Singapore Food Agency’s new rule allowing pets at outdoor refreshment areas from 1 January 2025.

The Furkids Fiesta not only provides entertainment but also strengthens the bond between pets and their owners, making it a must-visit event for pet enthusiasts.
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The Real Estate Developers’ Association of Singapore (REDAS) has announced significant progress with its Real Estate Analytics Performance Indicators Dashboard (RAPID), which has been adopted by over 20 development projects across various asset classes. Launched in November 2023, RAPID is designed to enhance digital project delivery within Singapore’s built environment sector.

RAPID’s adoption spans private residential, hotels, mixed-use integrated developments, and institutional sites, representing approximately 35% of the Gross Floor Area (GFA) from Building Under Construction residential sites awarded between 2023 and 2024. Chew Peet Mun, Co-Chair of the REDAS Lead Project Steering Committee, expressed satisfaction with the industry’s support, stating, “We are pleased by the industry support for RAPID, which REDAS championed as a digital building block compliant with the common data environment.”

The platform, developed by REDAS in collaboration with industry players, aggregates data from multiple systems to provide a comprehensive view of key performance indicators such as Time, Cost, Quality, and Safety. It is compatible with widely used platforms like Excel, MS Project, and Autodesk Construction Cloud, making it adaptable to existing workflows.

RAPID is part of the broader Built Environment Industry Transformation Map and is supported by Enterprise Singapore’s LEAD programme. It has also received endorsements from government agencies including the Building and Construction Authority (BCA) and Housing Development Board (HDB). Looking ahead, REDAS aims to enhance RAPID’s capabilities with AI-powered predictive analytics, positioning it as a future-ready platform for high-performance developments.

As Singapore’s real estate sector faces challenges such as rising costs and sustainability expectations, RAPID offers a strategic, data-driven pathway to navigate these complexities.
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Retail sales in Singapore experienced a 3.6% decline in February 2025 compared to the same month last year, according to the Singapore Department of Statistics.

The drop was more pronounced when excluding motor vehicles, with a 6.7% decrease. The food and beverage services sector also saw a downturn, with sales falling by 5.6% year-on-year.

The timing of the Chinese New Year, which occurred in February last year but shifted to January this year, significantly impacted these figures.
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In the first quarter of 2025, artificial intelligence (AI) companies have captured a significant share of the global venture capital landscape, securing 20% of all venture deals, according to the latest State of Venture report. This marks the highest share on record, doubling since the launch of OpenAI’s ChatGPT in 2022.

Singapore’s overall funding and deals activity both fell during the period. The quarter saw 78 deals versus the 99 registered in the previous period. Furthermore, funding was pencilled at $0.9b, compared to the $1.9b previously.

The report highlights a notable trend towards early-stage investments, with seed and Series A deals accounting for 70% of AI transactions, although this is a slight decrease from the previous year. The quarter also set a new record for early-stage AI mega-rounds, with companies like Isomorphic Labs, Apptronik, and Lila Sciences raising a combined $1.8b in deals worth $100m or more.

The median deal size for early-stage investments has risen to $2.7m, up from $2m in 2024. This increase suggests that investors are focusing their resources on fewer, more promising opportunities rather than spreading capital across a wide range of start-ups.

Additionally, the quarter witnessed 12 mergers and acquisitions (M&A) exits valued at over $1b, surpassing previous records. Google’s $33b acquisition of Wiz stands out as the most valuable M&A deal for a private, venture capital-backed company, contributing to a total of $56b across these transactions.

Despite a decline in the number of deals to 5,846, global venture funding reached $121b, the highest since Q2 2022. OpenAI’s substantial $40b deal played a significant role, accounting for one-third of the total funding. This trend underscores a growing concentration of capital in fewer, larger deals, particularly within the AI sector.
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US President Donald Trump has announced a 10% tariff on imports from Singapore, a move expected to significantly affect local businesses. Nearly half of these companies plan to pass on the increased costs to their customers, according to a recent survey. Yogesh Sangle, Global Head of Instarem, offers insights on how businesses can navigate these rising operational costs amidst economic uncertainty.

The tariffs are likely to hit sectors such as manufacturing and those dependent on export-focused supply chains the hardest. Sangle suggests that instead of absorbing the costs or transferring them to customers, small and medium-sized enterprises (SMEs) should seek efficiencies elsewhere. “This could include renegotiating supplier contracts, consolidating software and service subscriptions, or reducing overheads through smarter automation and outsourcing,” he advises.

One often overlooked area for potential savings is in the management of financial transactions. Sangle highlights that foreign exchange markups and cross-border transfer fees can quietly erode profit margins, particularly for SMEs making regular international payments. By adopting smart, transparent financial solutions, businesses can reduce these hidden costs and gain better control over cash flow.

In conclusion, whilst the new tariffs present challenges, they also offer an opportunity for businesses to reassess and optimise their operations. By focusing on cost-saving measures and efficient financial management, Singaporean companies can not only weather the storm but potentially reinvest savings into growth, even in uncertain economic times.
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