The World Bank In Singapore

Singapore is a high-income economy built on a business-friendly regulatory environment and strong investments in infrastructure, education, healthcare, and public services. The city-state is among the world’s most competitive economies and ranks highest in the 2020 World Bank Human Capital Index.

In the decades after independence in 1965, Singapore rapidly developed from a low-income economy to a high-income economy. GDP growth in the city-state has been among the world’s highest, at an average of about 7% since independence and topping 9.2% in the first 25 years.

After rapid industrialization in the 1960s lifted the island nation’s development trajectory, manufacturing became the main driver of growth. In the early 1970s, Singapore reached full employment and joined the ranks of Hong Kong SAR, Republic of Korea, and Taiwan, China, a decade later as Asia’s newly industrializing economies. The manufacturing and services sectors remain the twin pillars of Singapore’s high value-added economy.

The overall growth of the Singapore economy was 1.1% in 2023. Construction (+5.2% y-o-y) led the growth in goods- producing industries, driven by expansions in both public and private sector projects. Services industries registered broad-based growth, led by accommodation (+12.1% y-o-y), and information and communications (+5.7% y-o-y) on the back of strong international visitor arrivals and robust demand for data hosting services, respectively.  Economic growth is expected to be modest in 2024, with the government forecasting a range of 1% to 3%.

In February 2021, Singapore launched the “Singapore Green Plan 2030”, a whole-of-nation movement to advance Singapore's national agenda on sustainable development. The Green Plan charts ambitious and concrete targets over a 10-year period, strengthening Singapore's commitments under the UN's 2030 Sustainable Development Agenda and Paris Agreement, and positioning Singapore to achieve net zero emissions by 2050.

In the most recent World Bank Human Capital Index, Singapore ranks as the best in the world in human capital development. Together with strong financial support from the government, the city-state continues to strengthen the nimbleness and flexibility of its workforce by providing continuing education such as the Skillsfuture initiative.

Last updated: July 2024

Singapore became the 104th member of the International Bank for Reconstruction and Development (IBRD) on August 3, 1966. Prior to joining the World Bank Group, Singapore received its first loan in 1963 under guarantee from the U.K. government, and its second loan under guarantee from the Malaysian Federation, to which it then belonged. It received its third loan in 1966 after independence.

Over the period 1963 to 1975, Singapore received 14 loans from the World Bank. The first ten were exclusively in the infrastructure sectors and included water supply, port expansion, sewage, power, and telecommunications — reflecting the recommendations of a World Bank analysis in 1963 of Singapore's economy. “Most important for Singapore’s economic future in the long run," the report said, "(are the government’s) investments in the economy’s infrastructure, (which) will shape the framework within which development takes place.”

By 1970, Singapore's development focus expanded to investments in human capital and in the services sector, with the Bank supporting the capitalization of the Development Bank of Singapore (DBS), the establishment of environmental management programs, and for the development of the national university. Support to infrastructure projects continued throughout.

1975 saw the last World Bank financing for Singapore. By the mid-1980s, the loans were repaid.

Today, Singapore is a member of all five World Bank Group institutions and an important contributor to global initiatives such as the Global Infrastructure Facility,  the Climate Action Data Trust, as well as regional initiatives such as the Southeast Asia Disaster Risk Insurance Facility. It inspires many cities and countries striving to reach a similar level of development within one generation.

The World Bank Group Singapore office opened in September 1999 to share knowledge with local networks. In 2009, the office expanded with the establishment of the World Bank - Singapore Urban Hub, aimed to leverage the city-state’s expertise in sustainable urban development.

In September 2011, the partnership was expanded to include representatives from both the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA) in the Hub to strengthen its engagement with the private sector. The Hub's expansion continued, to include the Corporate Finance and Risk Management unit, IFC Treasury, IFC’s Asset Management Company, and the Global Infrastructure Facility, among others.

On October 27, 2015, the agreement for the expansion of the World Bank Singapore Hub for Infrastructure and Urban Development was signed, recognizing the importance of high-quality, sustainable infrastructure and Singapore’s unique strength in facilitating opportunities for emerging and developing economies.  In 2022, IBRD Treasury was added to the growing office, to offer sustainable finance, asset management and client solutions – including the Reserve Advisory & Management Partnership program (RAMP) – to support staff and clients across the East Asia and Pacific (EAP) region.

Today, the World Bank Group-Singapore partnership is focused on areas of mutual interest. These include sustainable finance, global public goods, and long-term investments in infrastructure and human capital, with the aim of promoting broad-based economic growth across the region and combating the effects of climate change. Our common goal is to deliver knowledge and solutions to development challenges at impact and scale, in support of World Bank Group’s mission to end extreme poverty and boost shared prosperity on a livable planet.

Last updated: July 2024

The World Bank Group Singapore Office houses more than 260 staff across World Bank, IFC and MIGA – making it one of the larger World Bank Group offices outside of Washington, D.C., and an important gateway for clients across Asia to access the full suite of Bank Group services.

More than US$38 billion (as of FY24) of World Bank lending operations in the planet and infrastructure verticals across Asia are managed from the Singapore office. Projects address cross-cutting global challenges such as climate change, energy transition, water security, air pollution, food security, and others. Teams based in Singapore also coordinate regional initiatives, such as the Southeast Asia Regional Program on Combating Marine Plastics.

IFC, the private sector arm of the World Bank Group, focuses on advancing cross-border investments and mobilization of capital from and through Singapore. IFC also works closely with Monetary Authority of Singapore and others to promote sustainability-linked investments and blended finance deployment to address climate financing gaps, scale up disruptive technologies, and incubate new business models. Examples of ongoing collaboration with Singapore include Financing Asia’s Transition Partnership (“FAST-P"), and advancing digital inclusion in emerging and developing economies.

MIGA, the guarantees arm of the World Bank Group, seeks to promote foreign direct investments into developing countries to support economic growth. MIGA engages closely with the financing, investing, and insurance communities in Singapore to mobilize private capital for public good, by providing political risk insurance, credit guarantees, and trade finance guarantees for public sector risks. MIGA also collaborates on relevant Singapore-led climate and infrastructure financing initiatives.

The World Bank Group is a regular contributor to Singapore’s flagship knowledge events, such as the World Cities Summit, Asia Infrastructure Forum, Singapore International Water Week and Singapore International Energy Week.

At Singapore International Water Week 2024, the World Bank Group and the Singapore government launched the Singapore Water Center. Located within the World Bank Group Singapore office, the center leverages Singapore’s expertise in urban water management to foster innovation, knowledge exchange, and capacity development among policymakers, utility managers, and stakeholders in the water sector. It integrates advancements in policy, technology, and finance to tackle pressing water security challenges both regionally and globally. The Center offers training programs, joint studies, and pilot projects aimed at sustainable water solutions.

The World Bank Group, Infrastructure Asia and Singapore Management University jointly developed a bespoke thematic course titled “Growing Infrastructure – Enabling & Structuring for Private Sector Participation in Finance and Innovation”, that builds leadership capabilities within the infrastructure sector across Southeast Asia and South Asia. Over 250 regional government officials have attended the training program since 2020.

Looking ahead, the World Bank Group Singapore office will support the newly launched World Bank Group Academy, which aims to facilitating deeper engagement with clients through technical exchange, peer to peer learning, and jointly identifying good practices and proven solutions.

Last updated: July 2024