Singapore’s digital economy has expanded to account for 19.3% of the nation’s GDP, according to the latest report by the Infocomm Media Development Authority (IMDA). The report, released today, reveals that the digital economy’s value-added reached S$144.1b in 2025, marking a 5.6% year-on-year growth, outpacing the overall GDP growth of 3.1%.
The demand for tech talent remains robust, with the workforce growing to 222,200 in 2025. Notably, tech professionals are earning 60% higher wages than the national median. The report identifies AI & Data and Cybersecurity as the fastest-growing roles within the sector.
AI adoption continues to gain momentum, with small and medium-sized enterprises (SMEs) increasing their adoption rate from 14.5% to 23.4%, and non-SMEs from 62.5% to 70.4%. Furthermore, the percentage of firms planning to adopt AI in the next year has more than doubled from 5.6% in 2023 to 12.1% in 2025.
The report also highlights a significant gap between workers’ ambitions and access to training. Whilst 68% of workers recognise the need to upskill in AI, only 37% have attended AI-related training in the past year. To address this, IMDA is expanding its TechSkills Accelerator under the National AI Impact Programme to upskill 40,000 tech professionals and 100,000 non-tech professionals in the coming years.
As Singapore’s digital economy continues to grow, the focus on AI and tech talent development is expected to play a crucial role in sustaining this momentum.
