Singapore has unveiled a comprehensive set of initiatives to harness artificial intelligence (AI), including tax incentives for businesses and expanded training support for workers. Presenting the country’s Budget, Prime Minister Lawrence Wong announced the formation of a new National AI Council, which he will chair, to steer the responsible development and use of AI in line with national priorities.

A key initiative is the “Champions of AI” programme, which will provide customised support to firms seeking to transform their operations through AI, including enterprise restructuring and workforce training. Singapore will also expand its Enterprise Innovation Scheme, offering a 400% tax deduction on qualifying expenditures, with AI-related spending capped at S$50,000 annually for 2027 and 2028.

To strengthen skills, the government will redesign the SkillsFuture platform to make AI learning pathways easier to access. Singaporeans enrolling in selected AI courses will receive six months of free access to premium AI tools, enabling hands-on learning.

Separately, Wong announced a S$1.5 billion top-up to the Financial Sector Development Fund to boost capital markets, alongside measures such as streamlining listings and creating a dual-listing bridge between the Singapore Exchange and Nasdaq. These steps aim to enhance market depth and position Singapore as a global hub for innovation and finance.