Singapore finance and insurance sector grew 6.2% in Q2

SINGAPORE, Aug 16, 2026 – Robust lending and wealth management activity continued to underpin Singapore’s financial services sector, which expanded 6.2% year‑on‑year in Q2, up from 5.3% in Q1, according to reports by Nomura and Maybank.

Maybank highlighted strong credit growth of 11.8%, driven by broad‑based resident lending across manufacturing, transport, communications, professional services, and private individuals. Non‑resident lending surged 17.1% in Q2. Wealth management fees also rose amid safe‑haven inflows.

Singapore finance

The sector’s expansion coincides with rapid growth in Singapore’s wealth market. A Boston Consulting Group (BCG) report projects cross‑border wealth booked in the city‑state to grow 9% annually, reaching US$4.22 trillion by 2030 from US$2.68 trillion in 2025. Singapore is ranked the world’s third‑largest cross‑border booking centre.

Meanwhile, DBS is targeting over US$1 trillion in assets under management by 2030, supported by plans to open 18 new wealth centres and upgrade 36 facilities across six Asian markets by 2027.

Beyond finance, wholesale trade grew 8.3% YoY, while manufacturing expanded 12.5%, led by electronics (33.8%) and precision engineering (19.3%). Maybank noted semiconductor demand and related equipment as key drivers.

Overall GDP growth was revised to 5.9% YoY in Q2, bringing first‑half expansion to 6.1%. The Ministry of Trade and Industry (MTI) raised its 2026 forecast to 4.5%–5.5%, citing AI investment momentum and reduced impact from Middle East conflict. Nomura upgraded its projection to 5.7%, while Maybank set 5.2%.

Nomura expects core inflation to rise to nearly 3% by September, keeping the Monetary Authority of Singapore (MAS) vigilant.

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