Singapore: Singapore’s government has called on financial institutions to use artificial intelligence to create stronger career opportunities and improve productivity instead of relying solely on automation to reduce staffing costs.
Deputy Prime Minister Gan Kim Yong said the country must continue embracing AI technology to remain globally competitive while ensuring workers are prepared for changing job demands.
Speaking at the DBS Leaders Dialogue event in Singapore, Gan said slowing down AI adoption would ultimately damage both economic growth and employment opportunities in the long term.
His remarks came shortly after Standard Chartered announced plans to cut more than 7,000 jobs over the next four years as part of its increasing use of artificial intelligence technologies.
Meanwhile, HSBC chief executive Georges Elhedery acknowledged that generative AI would eliminate some jobs while also creating new roles in the financial sector.
Gan said companies implementing AI should think beyond cost reduction and instead focus on how technology can help employees move into higher-value positions through training and reskilling.
A new report released by DBS Group ranked Singapore among the world’s top AI financial hubs, behind only New York and San Francisco.
The report highlighted Singapore’s strong combination of technological capability, financial infrastructure and institutional trust as key advantages in the AI sector.
DBS chief executive Tan Su Shan said artificial intelligence could become a major force multiplier for Singapore because of the country’s relatively small workforce.
She added that businesses must ensure workers and customers remain part of the AI transformation process, stressing that human involvement continues to matter despite rapid technological advances.
Singapore has been actively positioning itself as a leading global centre for AI innovation, digital finance and technology investment.
Officials believe the next stage of the country’s financial growth will depend on large-scale AI adoption combined with strong public trust, safety standards and workforce readiness.
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