The offices, subject to regulatory approvals, will act as strategic hubs for Temasek and some of its portfolio companies, which are expected to co-locate at the new sites. The expansion will strengthen access to opportunities in Qatar, Central Asia, and Africa.

Temasek said it would actively engage with institutions in Qatar and other regional markets as it pursues investment and partnership opportunities. Temasek sees scope to build on relationships in Saudi Arabia, the UAE, and Qatar.

“The Middle East is an important part of Temasek’s global network,” chief executive Dilhan Pillay Sandrasegara said. He pointed to the region’s economic transformation and long-term fundamentals, saying its priorities aligned with Temasek’s focus.

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Wong’s current annual package is about SUSD 2.2 million. The increase follows an independent review of Singapore’s political salary framework and will take effect under a revised system from October 15.

The government has accepted the review committee’s recommendation to raise the benchmark salary for an entry-level minister, known as the MR4 grade, from SUSD 1.1 million to SUSD 1.8 million. However, ministers will not immediately move to the new benchmark.

Instead, existing political officeholders will receive a one-off adjustment of up to 9%, depending on factors including individual performance, responsibilities, and when their salaries were last adjusted. An MR4 minister currently earning the SUSD 1.1 million reference salary would receive about SUSD 1.2 million after the full adjustment.

Image Credit: Prime Minister’s Office Singapore

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Around it sits a stack of state-built plumbing, from PayNow and its bilateral links with Thailand’s PromptPay and Malaysia’s DuitNow, to Project Nexus, the multi-country instant payment corridor, to Project Guardian on asset tokenisation and the newer BLOOM initiative, under which Visa and Nium have been piloting stablecoin settlement outside business days.

The tax position helps too. Corporate income tax sits at 17% with exemptions that pull the effective rate lower, there is no capital gains tax, and digital payment tokens are exempt from GST.

Hong Kong was the world’s top IPO venue by funds raised in the first quarter of 2026, with 40 listings raising about HKUSD 109.9 billion, up 488% year on year.

It has also overtaken Switzerland as the largest cross-border wealth hub, with USD 2.95 trillion booked in 2025.

Its digital asset push has been louder. The Stablecoins Ordinance, in force since August 2025, produced Hong Kong’s first licensed issuers in April 2026. But the detail is instructive.

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The MAS, alongside Singapore’s Ministry of Finance, said on Wednesday it would introduce the exemption for qualifying funds as part of a broader package of measures designed to keep the city state competitive as an asset management hub. Full details of the exemption are expected to be unveiled at Budget 2027, likely in February next year.

The regulator also announced a new program for hedge fund investments intended to anchor large managers in Singapore, though terms have not yet been disclosed.

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The Ministry of Trade and Industry (MTI) lifted its forecast to 4.5%-5.5%, from its previous range of 2%-4%. It is the second upgrade this year, after the government initially forecast growth of 1%-3%.

The upgrade followed stronger-than-expected first-half performance. Singapore’s economy expanded 5.9% year on year in the second quarter, slightly ahead of the 5.7% advance estimate, taking the first-half growth to 6.1%.

Manufacturing was a major driver, expanding 12.5% in the second quarter, compared with 7.3% in the first. Growth was led by electronics and precision engineering as global demand for AI-related hardware remained strong.

Wholesale trade grew 8.3%, supported by higher sales of machinery and equipment, telecommunications products, computers, and electronic components. Finance and insurance expanded 6.2%, helped by stronger bank lending, fee income, and fund-management activity.

MTI said the global AI investment boom had been stronger than expected and was providing significant support to economies embedded in the global technology supply chain. Further increases in AI-related capital spending could provide additional momentum for Singapore during the rest of the year.

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While life insurance remained the largest growth segment (2,861 billion euro), it was followed by P&C (2,320 billion euro) and health (1,688 billion euro).

“The life insurance market remained robust in 2025, although the exceptional post-rate-hike boom in North America has clearly lost momentum. Global life premiums grew by 6.9% in 2025, down from the exceptionally strong 11.3% recorded in 2024 but still comfortably above historical norms. The moderation was driven primarily by North America, where the annuity boom fuelled by households locking in higher interest rates has started to lose momentum,” Allianz Research noted.

Asia, however, has further consolidated its status as the world’s largest life insurance market, supported by demographic aging, high savings rates, and less comprehensive public pension systems. The life insurance premiums in Asia grew by 9.9% in 2025, with China alone expanding by 11.4%.

“Health insurance is becoming the industry’s clearest structural growth story. Global health premiums increased by 12.3% in 2025, the strongest expansion since 2014, as aging populations, rising medical costs, and pressure on public healthcare systems continued to drive demand for private protection. North America alone grew by 14.9% as medical inflation accelerated further, with the US now accounting for more than 70% of global health premiums. Despite some normalization following the post-Covid surge, long-term growth potential remains particularly strong in Asia, where health insurance penetration is still below 1% in almost all markets,” Allianz Research said.

Among Asia’s key insurance markets, Singapore recorded strong growth of 10.7% in 2025, with total premium income rising to 39.7 billion euro. P&C insurance premiums, on the other hand, expanded by 8.3%, while life insurance premiums grew by 10.8%, well above the 2015-2025 average of 7.5%, supported by population aging and increasing demand for private pension provision. Health insurance premiums rose by 12.6%, reflecting growing demand for supplementary health coverage.

“Overall, the global insurance market is expected to grow at an annual rate of 5.3% over the next ten years, slightly above economic output. For Singapore, overall annual growth is expected to be 5.7% (nominal GDP: 3.7%). For P&C, Allianz expects global annual growth of 4.7% up to 2036 (Singapore: 5.6%). The segment will show solid growth rates in almost all markets, as the increasing need for protection is a global phenomenon,” the agency noted.

Allianz Research also remains confident about the prospects of life insurance in Asia, which can expect annual growth of 4.9% thanks to higher interest rates on the continent.

“Wider Asia remains the growth engine, driven by the need for private provision in the face of accelerating demographic change. The smallest segment, health insurance, should remain the most dynamic, with annual growth of 6.7% (Singapore: 8.4%). Asia, in particular, still has a lot of catching up to do,” it concluded.

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However, the study also noted about APAC’s asset and wealth managers managing less than a quarter of regional client assets, compared with nearly 40% in Europe and nearly 60% in North America, underlining the scale of the untapped opportunity.

“The key issue is that Asia-Pacific is not one market, but many: organizations capturing a disproportionate share of the prize will be those that resist the temptation to apply a single regional playbook and make clear choices about where to anchor operations, build capabilities, and serve clients across markets,” the report remarked.

“Singapore’s role in Asia-Pacific asset and wealth management is being shaped by structural advantages that are hard to replicate—HNW destination capital in the region; a deep sovereign wealth base; a progressive regulatory environment helping define tokenized finance; deepening capital markets; and a tax and fund structuring ecosystem built for cross-border capital. Asset and wealth managers cannot be everywhere, all the time, across a region as diverse and fast-moving as Asia-Pacific. They need to make clear choices about where to anchor operations, build capabilities, and serve clients across markets. Singapore is increasingly that platform—a place from which managers can execute regional strategies with credibility, connectivity, and scale,” said Paul Pak, Asia-Pacific and Singapore Asset and Wealth Management leader, PwC Singapore.

The Asian city-state, along with its principal rival, Hong Kong, has sought to attract wealth managers, banks, and family offices as important parts of their economies. The jurisdictions also benefit from a broader rise in the size of Asia’s affluent and HNW (high net worth) population in recent decades.

As per the Capgemini Research Institute in May 2026, Asia-Pacific posted the highest regional growth in wealth of 10.5% and population growth of 9.4%, as semiconductor demand boosted Asian stock markets.

“Japan and China were among the strongest performers, adding 436,000 and 154,000 millionaires, respectively. India and Australia also saw growth, with HNWI populations increasing by 11,300 and 18,100, respectively. In a separate wealth management report, Boston Consulting Group in late May reported that Singapore is the world’s third-largest cross-border wealth center, home to USD 2.1 trillion of such wealth, and slated to grow in this regard by 9% from 2025 to 2030. Hong Kong and Switzerland are equal first, with the former due to overtake the Alpine state in coming years,” the Capgemini Research Institute noted.

“An around 8% compound annual growth rate is forecast for Singapore’s AuM between now and 2030, compared with the region’s 6.8% CAGR forecast overall, making Singapore one of the highest growth markets in APAC. USD 4.6 trillion managed AuM in Singapore makes it one of Asia-Pacific’s two largest international investment hubs. Some 8% of global SWF assets—the second-largest Asia-Pacific sovereign wealth hub,” PwC stated.

“Singapore continues to attract regional capital. It currently hosts 8% of global sovereign wealth fund assets, making it the second-largest Asia-Pacific SWF hub, while also reinforcing its role as a destination for HNW wealth from across the region. Asia-Pacific HNW assets are predicted to reach USD 52.4 trillion by 2030 (6.9% CAGR)—the standout driver of regional client asset growth—much of which is expected to flow through Singapore’s wealth platforms,” it continued further.

Asia-Pacific-based SWFs (sovereign wealth funds) collectively hold USD 5.2 trillion in investable wealth, and around 28% is allocated to alternatives, compared with 34% in North America. The gap is more pronounced for APAC pension funds, which allocate 8% to alternatives versus 37% in North America, pointing to headroom for further growth in private market allocations as regional pools mature,” PwC said.

The PwC report also pointed to a series of government initiatives that are helping Singapore’s wealth management sector to continue its growth momentum and deepen its positions in the capital markets, including the “Equity Market Development Programme,” expanded from SUSD 5 billion (USD 3.89 billion) to SUSD 6.5 billion at budget 2026, with SUSD 3.95 billion being allocated to nine asset managers, alongside a SUSD 1.5 billion top-up to the “Financial Sector Development Fund” and the new SUSD 3 billion “Anchor Fund.”

“Adding to this momentum, a new Central Provident Fund (CPF) life-cycle investment scheme – announced at budget 2026 and set for launch in 2028 – could channel up to SUSD 9 billion annually into Singapore equities, providing a steady liquidity pipeline and deepening the city-state’s capital markets,” the report stated further.

MAS’s (Monetary Authority of Singapore) proposed long-term investment fund framework, as per PwC, will be the potential route for broadening retail access to private markets—covering private equity, private credit, and infrastructure. Private markets in the city-state have risen from 20.3% of Asia-Pacific AWM revenues in 2012 to 55.4% in 2024 and are projected to rise to 59.5% (USD 99.8 billion) by 2030.

“Singapore’s WealthTech ecosystem is one of the most developed in Asia-Pacific, with homegrown digital investment platforms reshaping the way retail and HNW clients access wealth services,” the firm said. With 77% of Asia Pacific AWM organizations citing technology and digital disruption as the leading megatrend reshaping the industry, Singapore’s digital infrastructure is positioning the city-state as a model that is now being replicated across the region,” PwC concluded.

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The deal hit the headlines after Singapore’s Infocomm Media Development Authority (IMDA) suspended its review of the planned acquisition, as it found out about the possibility of Simba using unauthorised radio frequency bands for mobile services.

“The termination of the deal is a setback to say the least given that it removes a major growth catalyst for the company (Tuas) in the Singapore telecom market,” said Tim ‌Waterer, chief ⁠market analyst at KCM Trade, while interacting with Reuters.

“The sharp initial sell-off shows how much value the market had priced into the deal, while the partial recovery suggests some investors are betting the company (Tuas) can still find alternative growth paths,” Waterer added further.

Stating that it has been working on plan B in case it retains its 83.9% ownership in M1, Keppel remarked, “We have a 90-day plan to drive M1’s efficiency, which we will activate with immediate effect. This would include reducing technology platform costs and network costs and using AI for automation, as well as product rationalisation.”

Under the original deal, Keppel, after selling its 83.9% interest ⁠in M1 to Simba, would have retained the non-telecoms operations for an enterprise value of SUSD 1.43 billion, which would have given the asset manager net cash of SUSD 1 billion. Had the stake sale ⁠gone through, a SUSD 0.07 to SUSD 0.11 per-share special dividend would have been distributed.

With Tuas exiting the acquisition race, telecom operator StarHub has now entered the picture, with reports suggesting the venture likely becoming a suitor for M1, while Singtel, another Singaporean telecommunications conglomerate, may face more regulatory troubles in its potential bid for M1 due to its leading 44% share in the mobile market.

Singtel’s executive officer, Yuen Kuan Moon, said they “would definitely evaluate where the opportunities are” if they are able to be included in the consolidation.

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According to Natasha Hamilton-Hart, Professor in the Department of Management and International Business at the University of Auckland Business School, rules may turn detrimental when they hinder one’s ability to perform effectively. Even though they are supposed to regulate power and provide control, rules do not always lead to people being accountable for their actions. Therefore, Natasha claims that the solution is to have more authority within the organisation, which enables individuals to make decisions, and delete those rules that are unnecessary. Too many rules are an issue in many organisations as they prevent them from making progress and hamper leaders’ actions. With no authority, it is even harder for leaders to work with people and evaluate their performance.

Professor Natasha Hamilton-Hart has extensively published on governance systems in Southeast Asia, focusing on state institutions and property rights. Her current research explores the relationship between the economics-security nexus in East Asia, as well as the role of hierarchy, which she wrote about extensively in her recently released book ’Stupid Rules: Reducing Red Tape and Making Organisations More Effective and Accountable’ (Agenda Publishing). Natasha earned her PhD from Cornell University and has previously held positions at the Australian National University and the National University of Singapore.

In an exclusive interview with International Finance, Professor Natasha Hamilton-Hart discusses the negative impact of too many rules on organisational effectiveness, claiming that accountability is better achieved through proper delegation of authority. She stresses how rules-based organisations tend to discourage decision-making, inhibit leadership, and impede progress, accentuating the importance of hierarchical empowerment, which allows people to make decisions and remove bureaucratic barriers.

In your book ’Stupid Rules: Reducing Red Tape and Making Organisations More Effective and Accountable’, you argue that some rules reduce productivity. What led you to question rule-heavy systems in the first place?

I returned to New Zealand after many years working in Singapore, and found processes surprisingly cumbersome. I had far less control over several aspects of my work, and the rule book was much longer. I then noticed that much of the country seemed to be ’stuck’, unable to deliver public infrastructure efficiently, bogged down in litigation, and many people were fearful of action in case they broke the rules.

In what ways does authority make people more responsible for their decisions?

It is perhaps paradoxical, but if someone has clearly defined authority, meaning they can make decisions based on discretionary judgement, then they can be held to account for those decisions. In contrast, if a manager is reduced to only following and enforcing rules, he or she is not really accountable when things go wrong despite rule-following.

Organisations often introduce new rules after mistakes occur. Why does this response fail to address the underlying issue?

In some cases, a new rule may fix the problem, if the situation really does call for a non-discretionary rule. We can consider a few examples where this might apply, such as speed limits for driving or the requirement to file expense claims within a certain number of days. But often, the problem is a ’mistake’ that is unlikely to be fixed with a simple rule. That could be because the person who made the ’mistake’ has bad judgement, or is a bully, or something like that. In that scenario, a longer, more detailed rule book on its own won’t fix the problem. It just means everyone, including high-functioning personnel, is tied down by red tape, and you still have the incompetent or abusive person to deal with. In other situations, it may be that sometimes mistakes are inevitable, and it does not necessarily signal that the person is incompetent. There are simply situations where the correct decision is not obvious. It is a classic insight originally put forward by Frank Knight, that management in a hierarchy is there to make decisions under uncertainty. Sometimes, the decision may turn out to be the wrong one. It is up to the organisation’s more senior levels to figure out whether the manager is not up to the job, or whether the decision was in fact a reasonable one in the circumstances.

Having studied governance systems in Southeast Asia for more than two decades, how did that research shape your views on authority and bureaucracy?

Southeast Asia showcases a huge variety of bureaucratic systems, both in government and business. Some systems are very informal in practice, meaning that a person’s actual authority may not correspond to their position on the organisation’s chart. Other systems can deliver in a purposeful and disciplined manner. What I noticed was that these more purposeful organisations were not actually rule-bound: decision-makers had quite wide latitude to make choices. But they were still constrained to pursue organisational purpose (rather than their own whims or private interests) by the hierarchy above them.

Some people worry that giving more authority could lead to abuse of power, so how can organisations balance authority with democratic accountability?

Accountability mechanisms are definitely important. But not every organisation needs to be a democracy. Inside the organisation, the primary accountability mechanism should be a well-functioning hierarchy, with oversight and understanding systems that hold managers responsible for detecting and dealing with bad behaviour, such as fraud or harassment. But then, organisations themselves need to be held accountable to ensure their purpose is aligned with what society accepts. My view is that this alignment is best ensured by democratic mechanisms for making and enforcing laws, which may include delegating authority to regulatory agencies or the police, but which ultimately places the decisions about what is or is not acceptable in the hands of the voting public. But other mechanisms might serve the same functions. In some theories, the threat of war or rebellion creates incentives for good government. But this obviously does not always work.

Modern organisations frequently give leaders responsibility without real authority. How does this gap influence decision-making and performance?

Responsibility without authority is a terrible mix. There is a quote in the book from Edmund Burke, who detected this problem in the aftermath of the French Revolution. If you have responsibility but lack the authority to execute, you will either get nothing done or be forced to deliver by taking shortcuts that can have disastrous consequences. It results in poor quality outputs and places undue pressure on staff, ultimately leading to low morale and burnout.

People sometimes resist decision-making authority even while complaining about too many rules. Why do individuals feel uncomfortable with that responsibility?

Well, it probably depends a bit on cultural habits. In societies like New Zealand’s, which is quite egalitarian and conflict-averse, people often find it uncomfortable to tell others what to do, or to point out that their work was not up to standard. So, they prefer to be able to point to a rule book or set of independent, supposedly objective standards, as a kind of backup. And of course, if you don’t exercise personal discretion, you are less to blame if things go badly.

If organisations or governments want to reduce “stupid rules,” what practical steps should they take first?

The first place to look is probably the areas where rules (including standards) or procedural requirements have grown lengthy and complex. The ten-page dress code that General Motors used to have is a light-hearted example. It was reduced to two words: ’dress appropriately’. A simple rule, but it needs a dose of authority as a backstop. In technical areas, there could well be a need for complexity and detail. But if detailed standards and procedures appear to be trying to specify and standardise things that are really context-specific or uncertain, then rule proliferation or increasingly detailed formalised standards could well be replaced with something much simpler: a basic statement of purpose. That allows people the discretion to exercise their professional judgement and skill at all levels in the hierarchy.

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The “Agreement on Trade in Essential Supplies” was signed during New Zealand Prime Minister Christopher Luxon’s visit to the city-state, where he met his counterpart, Lawrence Wong. The terms of the pact, as per The Straits Times, were finalised during Wong’s visit to New Zealand in October 2025.

Regarding bilateral trade between Singapore and New Zealand, the latter sources about one-third of its fuel needs from the Southeast Asian country’s refineries, including diesel used in freight, farming and food production. In return, New Zealand supplies around 14% of Singapore’s food imports.

According to New Zealand’s Ministry of Foreign Affairs and Trade, dairy remains New Zealand’s largest export to Singapore, making up about 31.6% of total exports, alongside fruits and nuts, fats, oils, meat and edible offal.

The “Agreement on Trade in Essential Supplies” also builds on the “Comprehensive Strategic Partnership” signed in October 2025, which expands cooperation in trade, security, innovation and supply chain resilience.

“Some initiatives under that framework are already underway, including the Singapore–New Zealand Leadership Forum held on 4 May, where officials urged businesses to strengthen regional partnerships,” reported The Straits Times.

“We have long seen the world in similar ways. We believe in openness and cooperation. Over the years, we have built a deep reservoir of trust. And we don’t just speak about principles; we act on them,” Wong said, stating that discussions with Luxon focused on expanding cooperation under the partnership, including defence and emerging technologies.

Both countries will continue mutual access to military training facilities, apart from deepening cooperation in emerging cutting-edge areas like unmanned systems.

Luxon said the deal exemplifies how like-minded countries can strengthen multilateral cooperation in a shifting global order.

“The agreement that we’ve just signed today, as a world first, is actually a good example of how we can model out and remake the case for multilateralism in the way we want to as well,” the New Zealand Prime Minister remarked.

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