Singapore Strengthens Global Competitiveness with Investments in Financial Sector and AI
As part of Singapore’s continued push to solidify its global competitive edge, the government has committed an additional S$2 billion to enhance the financial sector and another S$3 billion to boost research and development (R&D). Finance Minister Lawrence Wong made this announcement in his Budget 2024 speech, underlining the nation’s dedication to long-term growth and innovation.
A key focus of the investment is the Financial Sector Development Fund (FSDF), with S$2 billion aimed at maintaining the flow of investment, talent, and capital into Singapore’s financial services. The FSDF, managed by the Monetary Authority of Singapore, will continue to provide essential grants to firms and individuals in the sector.
In addition, Singapore will allocate S$3 billion to support the Research, Innovation, and Enterprise 2025 (RIE2025) plan. This strategic initiative, which initially committed S$25 billion in 2020, will now see an even greater focus on national priorities like advanced manufacturing, sustainability, the digital economy, and healthcare.
Finally, a significant S$1 billion investment over the next five years will be directed towards artificial intelligence (AI) capabilities. This investment will enhance AI computing capacity, support the development of AI talent, and secure access to advanced chips critical for AI innovation. This funding aims to strengthen Singapore’s National AI Strategy 2.0 and cement the country’s role as a global AI leader.
