SGX Weekly Review | STI Rises 1.8%; OCBC Jumps 4%; DBS and UOB Gain 3%; SIA Falls 2%; NIO Sinks 12%
Singapore stocks rose this week, with the STI up 1.8%, as investor sentiment improve due to slimming chances of the US Federal Reserve hiking interest rates.
In terms of individual stocks, OCBC rose 3.9%; DBS rose 3.3%; UOB rose 3%; Sembcorp rose 1.7%; Seatrium fell 1.8%; SIA fell 1.9%; NIO fell 12.4%.
Market News
Singapore Tax Revenue Hits Record S$97.3 Billion, up 9.4% on Stronger Economy
The Inland Revenue Authority of Singapore collected S$97.3 billion in tax revenue in the financial year 2025/2026, up 9.4 per cent from the previous financial year, driven by stronger economic activity and consumer spending.
According to IRAS data dating back to 2002, this marks the highest tax collection on record.
The sum accounted for 74.8 per cent of the Government’s operating revenue and was equivalent to 12.3 per cent of Singapore’s gross domestic product.
Corporate income tax remained the largest source of revenue, rising to S$34.4 billion from S$30.9 billion in the previous financial year, and accounting for 35.4 per cent of total collection.
Singapore Plans $173 Million in Fintech Funding Over Three Years
Singapore has earmarked S$220 million ($173 million) over three years to fund financial technology and innovation, as it seeks to stay competitive with other rival hubs including Hong Kong that are also investing in this area.
The new program aims to support talent as well as accelerate the development, adoption and deployment of financial technologies with a focus on frontier ones, among its goals, the Monetary Authority of Singapore said on Monday. Under the program, the MAS plans to back at least 1,000 internships, as well as ensure its financial sector is ready for so-called frontier technologies such as artificial intelligence.
The city-state attracted S$2.9 billion in financial technology investments last year, according to the MAS. There are more than 1,800 firms employing close to 10,000 professionals across technology, data, AI, compliance, cybersecurity and business roles, underscoring the importance of the sector. Meanwhile in Hong Kong, the regulators this year Hong Kong Regulators Launch Expanded GenA.I. Sandbox for Finance a generative AI sandbox for finance.
Singapore Advances Stablecoin Rules as Global Adoption Picks Up
Singapore has opened a new version of its proposed stablecoin regime to public consultation, as the city-state takes another step in the race to build infrastructure around the rapidly expanding asset class.
The Monetary Authority of Singapore on Tuesday published the latest proposed MAS Opens Consultation for Stablecoins Regulation (1) to the Payment Services Act, which would introduce a long-awaited stablecoin regulatory framework. The changes would establish the legal basis for regulating stablecoins issued in Singapore. The MAS first announced the framework in 2022, but no time frame has been set for passing it into law.
The latest changes would prohibit stablecoin issuers from paying interest on regulated stablecoins and require stress testing. Licensed issuers would also need plans in place for recovery and orderly winding down.
The proposal would allow foreign stablecoin issuers to apply for MAS recognition as well, but only if they are subject to comparable regulations in their home jurisdiction.
Keppel DC REIT, Keppel to Buy Two Tokyo Data Centres for $1.2 Billion
Keppel DC REIT said on Tuesday the company and its sponsor Keppel (KPLM.SI), opens new tab had agreed to buy 90% effective interest in two data centres in Tokyo for 190 billion yen ($1.19 billion).
The data centre REIT launched a private placement to raise at least S$600.0 million ($472.11 million) to finance its contribution of 168.4 billion yen for the deal.
Keppel DC REIT will hold an 88.62% effective interest in each asset and Keppel 1.38%, while the existing unnamed operator will have 10% interest.
Air India Closes in on $1.1 Billion Financial Aid From Owners
Air India Ltd. is close to securing 100 billion rupees ($1.1 billion) in financial aid from its owners Tata Sons Pvt. and Singapore Airlines Ltd., according to people familiar with the matter, as the carrier grapples with the fallout from a turbulent year.
The money is conditional on reaching certain performance milestones and will be paid out in installments, said the people, who asked not to be named because the matter is private. The support would be proportional to shareholding, the people said, with Tata Sons owning 74.9% of Air India and Singapore Airlines the remainder.
India’s flag carrier is coming off a difficult period marked by the deadly crash of a Boeing Co. 787 Dreamliner, the closing of Pakistani airspace to Indian carriers, and the Middle East conflict that’s disrupted travel and driven up fuel costs. Air India reported a record loss of 220 billion rupees in its fiscal year through March.
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