Singapore’s digital banks are reporting record growth in 2025, driven by consumer demand for faster, cheaper, and more convenient financial services. According to the Monetary Authority of Singapore (MAS), the number of customers opening accounts with licensed digital banks has doubled compared with 2023.
Analysts note that Singapore’s strong digital infrastructure and regulatory clarity have created the perfect environment for fintech innovation. Digital banks such as Grab-Singtel’s GXS Bank and Trust Bank have expanded their services to include micro-loans, savings accounts, and investment products targeted at younger, mobile-first consumers.
The shift is also fueled by a government push toward a cashless society. QR code payments, PayNow transfers, and mobile wallets now account for more than 70% of retail transactions in Singapore.
While growth is impressive, challenges remain. Customer acquisition costs are high, and profitability is still a long-term goal for most digital banks. At the same time, competition from traditional banks is intensifying as incumbents launch their own digital-first platforms.
Industry experts believe the next phase of growth will come from partnerships between digital banks and e-commerce platforms, creating integrated financial ecosystems. For consumers, the result will likely be cheaper credit, faster payments, and more personalized financial tools.
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Marks Toms – Editor-in-Chief
Marks oversees editorial policy, compliance, and fact-checking at bankaccountsopen.
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