World Focus

e-Conomy SEA 2023 Report Unveils that Singapore Poised to Lead Digital Lending in Southeast Asia

Singapore is anticipated to lead Southeast Asia's digital wealth market by 2030, growing from US$26 billion in assets under management in 2023 to around US$150 billion.

The e-Conomy SEA 2023 report, commissioned by Google, Temasek, and Bain & Company, presents a thorough analysis of the digital economy in Southeast Asia, particularly spotlighting Singapore's burgeoning digital lending sector.

The report predicts Singapore to lead the digital lending realm in the region from 2023 to 2030, with loan balances escalating from US$24 billion to an estimated US$70 billion. This surge is credited to high lending rates and consumer demand from underbanked demographics, further propelled by intensified competition among digital financial service providers.

The report also outlines the broader digital economy's expected growth, with Singapore's digital economy alone anticipated to expand from US$22 billion in 2023 to around US$30 billion by 2025, driven chiefly by e-commerce and a rebound in the online travel sector.

Other notable mentions include the potential in digital insurance and digital wealth sectors, which are presently significantly under-penetrated despite the high digital payment adoption in Singapore. The comprehensive report encapsulates various digital sectors across six Southeast Asian countries, offering a holistic view of the prevailing trends and future prospects in the digital financial landscape​

CLICK HERE to view the report through the lens of Google's Highlights.