Singapore’s digital economy has reached a significant milestone, growing by S$12b in 2024 to hit S$128.1b, according to the latest Singapore Digital Economy (SGDE) Report by the Infocomm Media Development Authority (IMDA). This growth now accounts for 18.6% of the nation’s GDP, highlighting the increasing importance of digitalisation across various sectors.
The report reveals that more than two-thirds of this growth comes from non-Information & Communications sectors, with Finance & Insurance, Wholesale Trade, and Manufacturing leading the charge. This underscores the widespread adoption of digital technologies beyond traditional tech industries.
AI adoption has played a crucial role in this expansion. The report notes that the AI adoption rate among small and medium-sized enterprises (SMEs) more than tripled to 14.5% in 2024. Non-SMEs also saw a significant increase, with adoption rates jumping from 44% to 62.5%. Nearly 75% of workers are now using AI tools regularly, enhancing productivity and efficiency.
The tech workforce in Singapore has expanded to 214,000, driven by roles in AI, data, and cybersecurity. These positions offer competitive wages, with the median monthly salary for tech workers at S$7,950, well above the overall median.
As digitalisation continues to permeate various sectors, Singapore’s economy is poised for further growth. The focus on AI and digital tools is expected to drive innovation and efficiency, ensuring the nation remains at the forefront of the digital revolution.