Industry Transformation Map 2025 aims to sustain Singapore's financial hub status with strategic investments and workforce development.

Industry Transformation Map 2025: Setting the Targets

On 15 September 2022, Deputy Prime Minister and Finance Minister Lawrence Wong launched the Financial Services Industry Transformation Map (ITM) 2025, establishing the central framework for Singapore's financial sector development through 2025. The Monetary Authority of Singapore (MAS) projects the financial sector to grow at an average of 4.0-5.0% per annum between 2021 and 2025, with a target of 3,000-4,000 net new jobs created on average each year. To underpin these ambitions, MAS committed S$400 million from the Financial Sector Development Fund for the 2021-2025 period, directed toward workforce competencies and talent programmes.

The ITM 2025 is the second iteration of Singapore's sectoral blueprint for financial services, which was first launched in 2017 as one of 23 industry transformation roadmaps. The refreshed plan reinforces the Republic's objective to maintain its position as a leading international financial centre in Asia that connects global markets, supports Asia's development, and serves Singapore's domestic economy.

Benchmarking Against Past Performance

The ITM 2025 targets are set against the strong track record of its predecessor, ITM 2020, which delivered outcomes that exceeded initial projections. Under ITM 2020, the sector was targeted to achieve 4.3% annual value-added growth; actual average growth reached 5.7% between 2016 and 2020. Similarly, while the original target was 3,000 net jobs per year, the sector created an average of 4,100 net jobs annually over the same period. Over 20,000 net jobs were created in financial services from 2016 to 2020, with most filled by Singaporeans.

In 2021, the first year of the ITM 2025 target period, net job creation was within the 3,000-4,000 range targeted under the refreshed roadmap, according to an MAS spokesperson. This suggests the sector is positioned to meet or potentially surpass the new benchmarks, mirroring the pattern of overperformance seen under the previous plan.

Value (Growth: % ; Jobs: thousands per year)Source: Orionmano Industries

Strategic Pillars and Workforce Development

The ITM 2025 is built on five key strategies designed to deepen Singapore's financial sector capabilities and ensure its competitiveness amid rapid technological and structural shifts. These strategies are: digitalising financial infrastructure; catalysing Asia's net-zero transition; shaping the future of financial networks; fostering a skilled and adaptable workforce; and strengthening Singapore as an international financial centre.

Workforce development receives particular emphasis. MAS has committed to partner with the Institute of Banking & Finance (IBF) to work closely with the financial industry and tripartite partners. The S$400 million Financial Sector Development Fund provides grant funding to the Talent and Leaders in Finance programme for 2021-2025, enabling industry professionals to take up skilled roles and advance in their careers through upskilling and international exposure.

The composition of the financial sector workforce remains stable. As at end-2021, approximately 71% of the financial sector workforce were Singapore citizens, with 14% being permanent residents and the remaining 15% comprising other foreign workers. An MAS spokesperson confirmed that these proportions have remained stable over the years, indicating that the sector continues to provide substantial employment opportunities for locals even as it draws on global talent for specialised roles.

%Source: Orionmano Industries

Positioning Singapore as a Leading Financial Hub

The overarching objective of ITM 2025 is to maintain Singapore's status as a premier international financial centre in Asia—one that connects global markets, supports Asia's development, and serves Singapore's economy. The refreshed roadmap builds directly on the foundations laid by ITM 2020, which delivered stronger-than-targeted outcomes across both growth and employment metrics.

Industry leaders have responded positively. Patrick Lee, cluster chief executive officer for Singapore and Asean markets at Standard Chartered Bank, described the updated plan as "comprehensive and ambitious," adding that the roadmap serves as a strategic compass for industry players to align their strategies in a rapidly changing world by encouraging collaboration, connectedness, and the building of enterprise capabilities.

While the ITM 2025 targets of 4-5% value-added growth and 3,000-4,000 net new jobs per year are ambitious, the sector's strong track record under ITM 2020 provides confidence that these goals are achievable. Continued focus on digital innovation, green finance, and workforce development will likely be the key drivers of outcomes as Singapore's financial services sector navigates a period of significant structural change and opportunity.