MAS managing director confirms sector's average growth rate of 4.7% from 2021 to 2024 aligns with the 4-5% annual target set by the Industry Transformation Map 2025.

The Monetary Authority of Singapore (MAS) Managing Director Chia Der Jiun confirmed on July 15, 2025 that the financial services sector recorded an average value-added growth rate of 4.7% from 2021 to 2024, keeping the industry on track to meet the Financial Services Industry Transformation Map (ITM) 2025 target of 4% to 5% per annum over the 2021-2025 period. The announcement, made during the MAS Annual Report 2024/2025 media conference, positions Singapore's financial hub as resilient despite a challenging global macroeconomic environment marked by rising tariffs and geopolitical fragmentation.

Growth Performance and ITM 2025 Alignment

The sector grew by 6.8% in 2024, more than double the 3.1% growth recorded in 2023, according to Chia. This performance builds on a trajectory that has consistently tracked within the ITM 2025 target band since the roadmap was unveiled in September 2022 by then-Deputy Prime Minister Lawrence Wong, who had set the 4-5% annual growth target over 2021-2025.

The ITM 2025 was designed as a successor to the ITM 2020, which had delivered average annual growth of 5.7%, exceeding its 4.3% target. The current roadmap focuses on four strategic pillars: enhancing asset class strengths, digitalising financial infrastructure, catalysing Asia's net-zero transition, and shaping the future of financial networks.

However, MAS expects growth to moderate in the coming years. "Looking ahead, we do not expect this pace to be sustained," Chia stated, citing tariffs and trade restrictive practices that will drive deeper changes to global trade, investment flows, and supply chains. The central bank's mandate to secure medium-term price stability, he added, will provide "an anchor of stability for the Singapore economy."

Value-Added Growth (%) (%)Source: Orionmano Industries

Job Creation Exceeds Targets

Employment outcomes under the ITM 2025 have also outperformed expectations. Between 2021 and 2024, the sector generated an average of 4,400 net jobs per year, exceeding the ITM 2025 target range of 3,000 to 4,000 net jobs annually. More than 90% of these positions went to local workers, underscoring the sector's contribution to Singapore's domestic labour market.

The figures exclude jobs in holding companies, providing a clearer picture of direct financial services employment. The ITM 2025 had set the job creation target as a core metric alongside value-added growth, with MAS and the Institute of Banking and Finance working with tripartite partners—including the Ministry of Manpower, the National Trades Union Congress, and the Singapore National Employers Federation—to develop a skilled and adaptable workforce. A S$400 million grant under the Financial Sector Development Fund is available to support industry professionals in upskilling and career advancement.

Net Jobs (thousands) (thousands)Source: Orionmano Industries

Broad-Based Sector Expansion

Growth across the financial services sector was not concentrated in any single subsector but was broad-based, according to MAS data.

The banking sector demonstrated particular resilience, with total assets growing at a compound annual growth rate (CAGR) of 6.8% over 2021-2024. This steady expansion reflects Singapore's deepening role as a regional financial hub and its attractiveness for corporate and private banking activities.

The insurance industry also recorded meaningful gains, with total assets increasing by 3.6% in 2024 over 2023 to reach S$456.4 billion. This growth aligns with broader trends in wealth protection and retirement planning across Asia.

Singapore's position as a leading foreign exchange hub in Asia strengthened further, with FX average daily traded volumes surpassing S$1.5 trillion in 2024. The milestone reinforces Singapore's status alongside London and New York as one of the world's top three FX centres.

Corporate debt markets registered a notable acceleration, with total issuance in 2024 increasing more than 30% from the previous year to exceed S$300 billion. This surge reflects robust demand for Singapore-listed bonds and debt instruments amid global yield-seeking behaviour.

Assets under management (AUM) in Singapore grew 12.2% year-on-year to exceed S$6 trillion for the first time, driven by both traditional and alternative sectors. Alternative managers—including private equity, venture capital, hedge funds, and real estate and REIT managers—contributed meaningfully to this growth. MAS noted that Singapore continues to be "a trusted and attractive wealth management centre underpinned by high standards of regulation," even as it pursues regulatory actions against financial institutions for anti-money laundering breaches. The central bank reaffirmed its stance: "Singapore continues to welcome legitimate wealth. Our financial eco-system will be tough on suspicious and illegitimate monies, but welcoming and efficient to legitimate wealth."

Outlook and Resilience Factors

Looking ahead, MAS expects the pace of growth to moderate due to global trade fragmentation and rising tariff barriers. However, the sector's diversified strengths—spanning banking, insurance, FX, corporate debt, and asset management—combined with high regulatory standards provide a foundation for sustained resilience. MAS's price stability mandate and proactive engagement with financial institutions on anti-money laundering practices further anchor confidence.

The sector's average growth rate of 4.7% from 2021 to 2024 confirms that Singapore's financial services industry is on track to meet its ITM 2025 targets. As the global economic landscape shifts, the diversified revenue streams and strengthening of connectivity that MAS has prioritised will be critical for navigating the uncertainties ahead.