Despite its small land size, Singapore has consistently demonstrated exemplary economic performance, with GDP growth among the world’s highest at an average of 7.7% since independence. Due to its global connectivity, generous tax incentives and ease of doing business, it is one of the top foreign investment destinations in the region, ranking 5th for global foreign domestic investment (FDI) in 2017. Innovation also remains one of the country’s key priorities and strengths with Singapore ranked 3rd in the 2018 Bloomberg Innovation Index. In 2018, Singapore start-ups raised USD 7.5 billion in funding and 75% of all start-up funding deals in Southeast Asia went through Singapore.

Climate change has always been an issue due to Singapore’s geographic landscape, size and location. Its rapidly ageing population similarly creates a new set of challenges relating to social security and health care amidst the steady decline of the total fertility rate. Improving social mobility across class divisions and reducing inequality, such as through the provision of quality education for all, are also key issues to be tackled.

As one of the regional hubs for financial investment and multinational corporations, Singapore’s social economy is noteworthy for its density of funders for social impact. Corporates are increasingly integrating sustainability into their business practices and are important supporters of social enterprises. International impact investors with operations in Southeast Asia often locate their offices in Singapore. Singapore-based family offices are also beginning to engage with the sector. Several initiatives have been launched recently to promote sustainable finance and green finance.

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Singapore’s 2018 Fact File

World Giving Index Rank

2017
30 28 in 2016
  • 58%giving money
  • 25%volunteering time
  • 41%helping a stranger

Population

2017
5.6 million

GDP (PPP)

2017
USD 527 billion World Rank 38

GDP Growth

2017
3.6%

Per capita GDP (PPP)

2017
USD 93,905 World Rank 4

Number of Millionaires

2017
152,000

Global Competitiveness Index

2017-2018
3/137 Global Competitiveness Rank (2016-2017) - 2/138

Ease of Doing Business Rank

2019
2/190 Ease of Doing Business Rank (2018) - 2/190

Source: : ADB, Charities Aid Foundation, Credit Suisse, World Economic Forum, World Bank. Figures are accurate as of March 2019

SDG Dashboard

Singapore’s strong economic growth has transformed it into a largely affluent society. Average wealth has more than doubled from 2000 to 2018, reaching USD 283,120 per adult. As of 2018, Singapore was 9th in the world in terms of household wealth, giving it the highest rank in Asia. However, this wealth is not shared equally between citizens, with Singapore’s self-calculated Gini coefficient of 0.356 after accounting for taxes and transfers placing it among the 10 OECD countries with the highest Gini coefficients in 2017. Concerns over inequality have also expanded to include Singapore’s declining productivity rate in recent years and the accessibility to quality preschool education and affordable health care.

To ensure that its national development is aligned with the Sustainable Development Goals (SDGs), Singapore established the Inter-Ministry Committee on SDGs(IMC-SDG) in 2018 to assess SDG implementation. Under the Sustainable Singapore Blueprint (SSB), first
launched in 2014, there are 5 focus areas:

  • An active and gracious community
  • Towards a Zero Waste Nation
  • “Eco Smart” Endearing Towns
  • A Leading Green Economy
  • A “Car-Lite” Singapore.
 
The SSB encourages Singaporeans to take ownership of the environment by maintaining green spaces, reducing reliance on private car transportation and engaging in conscientious consumerism. By integrating innovative design and technology into everyday spaces, SSB hopes that Singaporeans can interact with natural spaces in a sustainable way.

  • No Poverty
  • Zero Hunger
  • Good Health and Well-Being
  • Quality Education
  • Gender Equality
  • Clean Water and Sanitation
  • Affordable and Clean Energy
  • Decent Work and Economic Growth
  • Industry, Innovation and Infrastructure
  • Reduced Inequalities
  • Sustainable Cities and Communities
  • Responsible Consumption and Production
  • Climate Action
  • Life Below Water
  • Life On Land
  • Peace, Justice and Strong Institutions
  • Partnerships for the Goals

Source: sdgindex.org (2018)

Note: The "traffic light" colour scheme (green,yellow, orange, red) illustrates how far a market is from achieving a particular goal

Government Initiatives to Address Development Gaps

Impact Area SDG Goals Gap Government Initiatives
Climate action
SDG Goals
  • Sustainable Cities and Communities
  • Climate Action
Gap
  • In the 2018 Environmental Performance Index of 180 countries, Singapore ranks 49th overall and 134th for air quality.
  • In 2018, less than 3% of Singapore’s energy came from renewable sources.
Government Initiatives
  • Singapore implemented Southeast Asia’s first carbon tax in January 2019. Industrial facilities currently must pay SGD 5 (USD 3.60) per tonne of greenhouse gas emissions with plans to increase it to SGD 10-15 (USD 7.20-10.80) per tonne by 2030.
  • The government designated 2018 as the Year of Climate Action. As one of its initiatives, Singapore reduced the growth allowance for private cars to zero in February 2018.
Education and employability
SDG Goals
  • Quality Education
Gap
  • In the 2015 Programme for International Students Assessment (PISA) test, socioeconomic differences accounted for 17% of the variation in students’ science performance.
Government Initiatives
  • In 2017, the Ministry of Education announced it will manage 50 kindergartens in the next 5 years, an increase from 15, to better ensure children have access to quality preschool education.
Social protection
SDG Goals
  • Good Health and Well-Being
  • Reduced Inequalities
Gap
  • Although there are no official government statistics on poverty, economists estimate that 10-14% of Singaporeans face severe financial problems and have difficulties meeting basic needs.
  • A 2015 study by the Lee Kuan Yew School of Public Policy estimated that the poverty rate among the working elderly jumped from 13% in 1995 to 41% in 2011.
Government Initiatives
  • Nearly 500,000 of Singapore’s Merdeka Generation (those born in the 1950s) will benefit from a SGD 8 billion (USD 5.8 billion) health care support scheme starting in June 2019.
  • In 2018, the government committed to extend its Community Networks for Seniors pilot nationwide by 2020. This initiative provides greater social support for the elderly. The government also added SGD 400 million (USD 290 million) to 2 seniors-related community funds.

Social Economy

Singapore is building on its strong business environment and international attractiveness to establish itself as a regional hub for impact investing, sustainable finance and green finance

Category Factor Rating Description
SPOs
Factor
Presence, size, and maturity of SEs
three-quarter
  • As of March 2018, there were 336 SEs supported by raiSE, but 73% reported annual turnover of less than SGD 200,000 (USD 145,000).
  • There were 2,263 registered charities with the Ministry of Culture, Community and Youth in 2017.
SPOs
Factor
SEs' sectoral presence
three-quarter
  • SEs in Singapore operate in education, training, and health and wellness with intended outcomes of employment, education and skill development.
Investors
Factor
Philanthropic contributions
three-quarter
  • CFS, established in 2008, had received nearly SGD 100 million (USD 72.5 million) as of March 2018.
  • CFS and NVPC’s Colabs are fostering cross-sector collaboration and knowledge-sharing for targeted philanthropy efforts.
Investors
Factor
Managed funds
full
  • Singapore is a regional hub with many domestic and international institutional investors and family offices engaged with impact investing.
  • Asia Impact Investment Fund (AIIF) is a co-investment impact fund for high net worth families and investors led by UOB Venture Management and Credit Suisse.
Investors
Factor
Corporate sector
full
  • NVPC’s Company of Good programme to drive corporate giving lists 51 corporate members on its website since its founding in 2016.
  • Other corporate initiatives include SE support from Singtel and DBS Bank and the sustainability-linked loan by CapitaLand and DBS Bank.
Enablers and Intermediaries
Factor
Policy environment
three-quarter
  • Singapore provides the highest incentives for donations in the region with both individuals and corporates qualifying for 250% tax deductions on donations to IPCs.
  • raiSE provides financial and non-financial assistance to SEs and MAS has supported initiatives for sustainable finance and green finance.
Enablers and Intermediaries
Factor
Incubators, accelerators, and capacity-builders
full
  • There are numerous incubation and accelerator programmes, such as Singapore International Foundation (SIF)’s Young Social Entrepreneurs programme and Impact Hub Singapore. Singtel Future Makers and DBS support SEs and also provide funding.
Enablers and Intermediaries
Factor
Networks and platforms
full
  • Numerous platforms have been established to support stakeholder engagement in the social economy, such as NVPC Company for Good, ASFI and A4S.
Enablers and Intermediaries
Factor
Knowledge and research
full
  • Several Singapore universities conduct research on the social economy and offer SE courses, such as the Singapore Management University, NUS Asia Centre for Social Entrepreneurship and Philanthropy (ACSEP), Nanyang Technological University and Singapore University of Social Sciences.
  • Other examples of SE courses include SIF’s Young Social Entrepreneurs programme and the INSEAD Social Entrepreneurship Programme.
Enablers and Intermediaries
Factor
Partnerships
full
  • Singapore has introduced several innovative finance mechanisms such as the world’s first sovereign water bond and IIX and DBS Bank’s listed social sustainability bond.
  • DBS Bank and CapitaLand introduced the first sustainability-linked loan in Asia’s real estate sector.

partnership Partnership Opportunity

Demand & Supply of Capital in Singapore

Note: Data is based on AVPN's analysis. If there are any inconsistencies or errors in the information listed, please let us know at knowledge@avpn.asia

Case Studies in Singapore

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Capacity building through a variety of tools which aims to create real value for the social purpose organisation.

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Social Investment Landscape in Asia

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