Welcome to the #PayWorldTour page on Singapore, a leading financial hub with a remarkable digital payment landscape. Despite its relatively small local market, Singapore excels in creating innovative payment solutions that extend far beyond its borders. This global influence is evident in the success of homegrown companies that are redefining digital payments across Asia and beyond. From robust card payment systems to cutting-edge digital wallets and the rapidly expanding Buy Now, Pay Later (BNPL) sector, Singapore’s payment ecosystem is dynamic and influential. This page explores the key players, emerging trends, and regulatory frameworks that make Singapore a powerhouse in the global digital payment arena. Dive in to discover how Singapore’s innovations are shaping the future of payments worldwide.
Payment by Card in Singapore
Card payments dominate the e-commerce landscape in Singapore. Credit and debit cards account for over 60% of online transactions, highlighting their significant role in the market. A key player in the local card scheme is NETS, which is widely accepted and used for online payments.
In 2023, statistics showed that 74.1% of online shoppers used credit cards, while 51.6% utilized debit cards. Major credit card issuers such as Visa, MasterCard, and American Express, along with the local scheme NETS, dominate the card payment ecosystem.
The usage of credit cards is increasing annually by 5.3%, and debit card transactions are growing by 4.1% each year. Singaporeans tend to prefer credit cards for larger purchases, reserving debit cards for everyday spending. This preference is supported by the advanced security features of cards, including EMV chips, OTP, and 3D Secure, which ensure secure transactions.
E-commerce platforms in Singapore are well-integrated with card payment gateways, ensuring seamless transactions for users. In 2023, the transaction volume of card payments in e-commerce reached SGD 10.3 billion (CF Affiliate Blog). Singapore boasts one of the highest card penetration rates in Asia, with almost every adult possessing at least one card.
The Monetary Authority of Singapore (MAS) regulates card payments, ensuring their security and reliability. Looking ahead, card payments are expected to continue growing, driven by innovations in security and convenience. Card payments remain a crucial component of Singapore’s e-commerce, providing a secure and convenient method for consumers to conduct transactions online.
Local actors : NETS
Payment by bank transfer in Singapore
Bank transfers are integral to Singapore’s e-commerce ecosystem due to their reliability and speed. The Fast and Secure Transfers (FAST) system, launched in 2014, enables instantaneous bank transfers 24/7 between participating banks and non-bank financial institutions. This system supports transactions up to SGD 200,000 and is heavily used for retail and corporate transactions.
PayNow, built on the FAST infrastructure and introduced in 2017, allows real-time transfers using a mobile number or national ID. This service has seen widespread adoption, with 80% of residents and businesses utilizing it. In 2023, PayNow’s transaction volume reached SGD 5 billion, highlighting its significant role in digital payments.
Several key players and startups are leading the bank transfer and instant payment landscape in Singapore. Major banks like DBS, OCBC, and UOB provide extensive online banking and FAST transfer services. These banks have integrated PayNow into their offerings, enhancing the convenience and speed of transactions.
Nium, formerly Instarem, is a notable fintech leader in real-time global payments. Nium supports instant bank payouts and caters to various industries, including financial institutions and travel. MatchMove is another prominent startup, offering a digital wallet that integrates with the FAST system for seamless transfers. Fiuu (formerly Razer Fintech), part of Razer Inc., provides digital payment solutions, including FAST system integration. Singtel Dash, a mobile wallet by Singtel, supports real-time payments via the FAST system, making it a popular choice for instant transfers (Fintech Singapore).
Local actors : PayNow, Nium, MatchMove, Fiuu, Singtel Dash
Payment by BNPL in Singapore
The Buy Now, Pay Later (BNPL) sector in Singapore is expanding rapidly. This payment method allows consumers to purchase goods and pay in interest-free installments. Leading BNPL providers include Atome, Shopback, Grab and Ablr. Atome, launched in 2019, partners with over 2,000 retailers across Asia, demonstrating strong consumer demand. Shopback (formerly Hoolah), founded in 2018, allows payments in three interest-free installments and has expanded to Malaysia. Grab, known for ride-hailing and food delivery, has diversified into BNPL, meeting growing consumer needs. Ablr, though it recently pulled out of Singapore’s BNPL accreditation process, continues to operate and expand in other markets.
Local startups like Atome, part of Advance Intelligence Group, leverage AI to enhance digital and financial inclusion. The Monetary Authority of Singapore (MAS) and the Singapore FinTech Association (SFA) support and regulate the sector with a BNPL Code of Conduct to ensure responsible practices and consumer protection.
The BNPL market in Singapore is expected to grow as digitalization continues and consumer demand for flexible payments increases. This trend, supported by robust regulatory frameworks, ensures sustainable growth and innovation in the BNPL sector.
Local actors : Atome, Shopback, Grab, Ablr
Payment by digital wallet and X-Pay in Singapore
Digital wallets are transforming payments in Singapore. These wallets offer speed, security, and convenience. GrabPay, integrated into the Grab app, is a leader. It supports ride-hailing, food delivery, and more, with 77% of Grab transactions using GrabPay.
DBS PayLah! is a major player, the most popular bank-owned e-wallet. It offers bill payments and fund transfers, with a goal to double its user base to 3.5 million by 2025. Singtel Dash also stands out, expanding into insurance and investment services. Dash aims to be a financial “super-app”.
Local startups contribute significantly. LiquidPay integrates with PayNow for seamless bank transfers. FavePay, acquired by Pine Labs, offers cashback and discounts, enhancing shopping experiences. BigPay offers multi-currency services, making it popular among frequent travelers. Cherry Credits is known for its use in online gaming, providing a reliable payment solution for gamers. eNETS facilitates online payments, widely used across various sectors. Mintpay and Mobiamo offer mobile payment solutions, expanding the options available to consumers. SingPost provides payment solutions alongside its postal services, ensuring versatility in its offerings.
The integration with PayNow streamlines topping up wallets and transferring funds, promoting a cohesive payment ecosystem. Digital wallet usage will grow as digital payments become more embedded in daily life. Increasing consumer preference for cashless transactions and technological advancements ensure digital wallets remain crucial in Singapore’s payment landscape.
Local actors : GrabPay, Singtel Dash, FavePay, LiquidPay, BigPay, Cherry Credits, eNETS, Mintpay, Mobiamo, Singpost, United Overseas Bank (UOB), DBS
Payment methods in Singapore interesting you?
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