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The tiny island-state of Singapore continues to build itself as a premier model for a digital economy, having been recognized as one of Asia’s leading nations in the digital payments revolution.
According to local daily The Business Times, citing data from the “Payments’ State of Play 2026” report released by the Singapore FinTech Association (SFA), Singapore’s digital payment landscape is projected to grow from $39.4 billion in 2023 to $113.7 billion by 2030, driven by citizens’ rapid shift toward a cash-lite economy and the government’s support and funding of projects utilizing advanced technologies.
Gen Z and the millennial generations are propelling this digital shift, stated the SFA report, which was compiled with help from PricewaterhouseCoopers (PwC).
The Smart Nation program is said to have greatly reshaped the country’s fintech landscape since its launch in 2014 under then-Prime Minister Lee Hsien Loong. Under the initiative, Singapore will leverage digital technologies in creating new economic opportunities for its citizens.
The initiative supercharged the growth of real-time digital payment systems, including Fast And Secure Transfers (FAST), which registered over 500 million transactions in 2024 and has become popular among small and medium enterprises (SMEs) due to its low transaction fee. The Smart Nation program also gave rise to digital wallets, which have been adopted by 98% of Singaporean adults as of 2026.
Singapore is not alone in its quest toward a cashless economy. Over the years, it has maintained and strengthened trade relations with its neighbors through initiatives like Project Nexus and PayNow, which have increased its cross-border flows with Thailand and Malaysia.
This whole-of-nation approach has allowed Singapore to cement its status as a leading financial hub not only in Asia, but globally as well.
“Singapore stands at the centre of this transformative era, where long-term success as a payments hub—and for industry players—calls for a comprehensive framework of controls and risk management,” said PwC Singapore partner Wong Wanyi.
Asia’s digital economy on upward trajectory
Singapore, along with its Asian neighbors, is expected to benefit from the region’s economic growth this 2026 amid global geopolitical tensions and rising tech competition.
According to the Asia House Annual Outlook report, Asia will remain a “key engine of global growth” this year, partly due to its rapid digitalization. The adoption of artificial intelligence (AI) and the flourishing semiconductor sector will be among the primary drivers of capital flow across key markets.
Currently, Asia accounts for around 38% of the global digital payments market value, with market experts expecting the figure to balloon in the coming years.
It is also this year that the Association of Southeast Asian Nations’ (ASEAN) Digital Economy Framework Agreement (DEFA) is expected to be finalized, further unlocking benefits, including the enhancement of cross-border digital trade and data flows.
DEFA is also projected to drive Southeast Asia’s digital economy to $2 trillion by 2030, opening ASEAN to more robust digital trade rules, better support for digital talents, and advancement of digital payments.
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