Singapore Firms Lift Revenue 16% and Jobs 8% After AI Adoption, MTI Finds
Updated
Updated · The Business Times · Aug 11
Singapore Firms Lift Revenue 16% and Jobs 8% After AI Adoption, MTI Finds
3 articles · Updated · The Business Times · Aug 11
Summary
A new MTI study found Singapore businesses that adopted AI raised revenue 16% and employment 8% within a year, with new hiring more than offsetting any job losses.
8% of companies were identified as AI users through AI-related job postings, with larger firms and those in infocomm, electronics, professional services, finance and insurance more likely to adopt it.
Workers earning S$7,000-S$10,000 and those aged 35-44 saw the clearest gains, while AI use also increased demand for higher-skilled foreign Employment Pass holders; broader local hiring rose as AI use deepened.
By sector, finance and insurance posted the biggest gains—revenue up 21%, profit up 73% and average local wages up 21%—while wholesale trade saw employment rise 18% and revenue 24%.
The report found no statistically significant productivity or profit boost in the first four years overall, suggesting fuller gains may depend on complementary investments and wider AI deployment beyond 2024.