PUBLISHED ONOctober 05, 2026 4:32 AMBYSean LerSingapore's digital economy accounted for over 19 per cent, or about $144.1 billion, of the Republic's gross domestic product (GDP) in 2025.
Meanwhile, the number of tech jobs rose 3.8 per cent year on year to 222,200 in 2025, the Infocomm Media Development Authority (IMDA) reported.
In the fourth edition of its Singapore Digital Economy Report released on Monday (Oct 5), IMDA said the digital economy grew by $7.6 billion last year, accounting for 19.3 per cent of the country's GDP.
This was an increase from the $136.5 billion in 2024, which made up about 18.8 per cent of the GDP then.
The authority said it used two components to calculate the digital economy:
Most of the growth — around two-thirds, or 13 per cent of GDP — came from digitalisation in non-tech sectors rather than from tech firms, while the information and communications sector (I&C) accounted for the remaining one-third, or 6.3 per cent of GDP.
IMDA said this shows that digital growth was driven by broader digitalisation efforts across all industries, and not just by tech companies.
Similar to last year, the finance and insurance sector remained the largest contributor to growth ($39.1 billion), followed by wholesale trade ($29.3 billion) and manufacturing ($10.4 billion).
Last year, both small and medium enterprises (SMEs) and non-SMEs made progress in digital adoption, with 96.4 per cent of firms here adopting at least one of six digital areas, namely, cybersecurity, cloud, e-payment, e-commerce, data analytics and artificial intelligence (AI).
AI adoption among firms grew steadily to 23.5 per cent across all enterprises in 2025, up from the 14.7 per cent in 2024.
Alongside the growth in adoption, its usage has also become more widespread among workers, with 85.7 per cent of workers surveyed reporting that they used AI tools at work in 2026.
This marks a nearly 8 per cent increase from usage rates in 2025.
The top three perceived benefits cited by workers are: productivity (72.9 per cent), quality of work (68.9 per cent), and ability to solve problems (68.2 per cent).
Demand for tech professionals in Singapore also grew, in line with the continued digitalisation of the economy, data showed.
In 2025, the number of tech professionals grew from 214,000 to 222,200, or about 5.4 per cent of total employment in Singapore.
The report noted that the non-tech sector accounted for the 59 per cent of all tech professionals
Their median monthly wage also grew from $7.950 in 2024, to $8,000 in 2025. This is higher than the overall resident median monthly wage of $5,000.
IMDA noted that rapid advances in AI and other emerging digital technologies will present new opportunities to grow Singapore's digital economy.
"IMDA will continue to work closely with government agencies, industry partners and the workforce to deepen enterprise capabilities, support workforce transformation and foster innovation, strengthening Singapore’s position as a leading digital economy," it said.
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