Singapore’s digital economy hits a new milestone in 2024
Singapore’s digital economy surged to 128.1 billion, a record high that represents 18.6% of the nation’s GDP in 2024. According to the latest Singapore Digital Economy Report released by the Infocomm Media Development Authority (IMDA), the sector grew by 12 billion year over year, underscoring the city-state’s pivot toward technology-led growth.
Key drivers of growth
The IMDA report highlights several factors fueling this expansion. Notably, the demand for artificial intelligence (AI), data analytics, and cybersecurity services has surged, helping businesses optimize operations, improve customer experiences, and strengthen digital resilience. The growth in these areas is supported by a rising number of tech professionals, signaling a robust talent pipeline to sustain momentum.
AI and data leadership
AI and data roles led the way, with professionals specializing in machine learning, data engineering, and data governance playing a crucial role in digital transformation across industries. Companies in finance, healthcare, logistics, and public services are increasingly leveraging AI-powered insights to drive efficiency and innovation.
Cybersecurity emphasis
As cyber threats evolve, Singapore’s digital economy has intensified its focus on cybersecurity. This includes strengthening critical infrastructure, implementing zero-trust security models, and expanding security operations centers to safeguard data and maintain consumer trust in digital channels.
Jobs and the digital workforce
The IMDA report notes an uptick in tech-related employment—from 208,300 in 2023 to 214,000 in 2024. This 2.7% growth reflects ongoing investment in digital skills and highlights Singapore’s strategy to future-proof the economy through a strong, adaptable tech workforce.
Policy and ecosystem support
Singapore’s digital economy growth is buoyed by a supportive policy environment and a thriving ecosystem. Initiatives encouraging digital adoption in small and medium-sized enterprises (SMEs), ongoing investments in digital infrastructure, and collaboration across public and private sectors help sustain momentum and attract international tech players to the market.
What this means for the economy
With digital activities contributing nearly one-fifth of GDP, Singapore’s economy remains resilient amid global volatility. The expansion also positions Singapore as a regional hub for technology development and innovation, attracting ventures in AI, fintech, and cyber defense. The continued emphasis on digital skills and infrastructure signals long-term growth potential beyond the immediate gains of 2024.
What’s next
Looking ahead, policymakers, businesses, and educators will likely prioritize advanced AI capabilities, data governance, and cybersecurity to sustain growth. The ongoing digital economy evolution will depend on continued investment in digital literacy, reliable connectivity, and secure tech ecosystems that empower both enterprises and individuals to participate in Singapore’s digital future.
