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Singaporeans May Feel Richer in 2026 as Currency, Stocks Rally
Your money now goes further in the US and across much of Asia.
Singapore dollar hits the strongest level since 2014 against the greenbackPhotographer: Sam Kang Li/Bloomberg
By Marcus Wong, Abhishek Vishnoi, and Ishika Mookerjee
January 31, 2026 at 9:00 AM GMT+8
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Each week we bring you insights into one of Asia’s most dynamic economies. If you haven’t yet, please sign up here.
This week, Marcus Wong and Abhishek Vishnoi explain what the rallies in the Singapore dollar and stocks mean for your holiday and investments, Ishika Mookerjee speaks to the CEO behind a newly listed firm, and Jasmine Ng visits Native, known for its cocktails with Asian flavors.
Spending Power
If you’re planning a holiday, shopping overseas or thinking about where to put your money this year, Singapore’s strong start to 2026 — for both stocks and the currency — could matter more than you think.The Singapore dollar climbed to its strongest level since 2014 against the US currency. That’s a win for anyone traveling abroad, sending children overseas to study or buying imported goods — your money now goes further in America and across much of Asia.
Singaporean banknotesPhotographer: Lauryn Ishak/Bloomberg
At the same time, local shares have climbed to record highs. The Straits Times Index touched 4,933.88 this week, lifting the value of CPF-linked investments, unit trusts and portfolios tied to the Singapore market. JPMorgan has raised its target for the index to 6,000.
What’s driving this? Globally, investors have been looking for safe places to park their money as confidence in the US dollar wobbles. Singapore has benefited from those flows, helped by a central bank that’s signaled it’s in no rush to ease policy. The Monetary Authority of Singapore kept settings unchanged this week, but hinted it will stay tough on inflation.
Singapore’s economy has been resilient — growing 4.8% in 2025, the fastest pace in four years — bolstered by AI-related demand surge for semiconductors and electronics. A robust economy paired with a more hawkish central bank could keep the Singapore dollar on an upward path.
The dollar debasement trade also gained fresh momentum this week, with gold topping $5,500 for the first time, helped partly by President Donald Trump downplaying concerns about the dollar’s slide. That kind of environment tends to keep haven currencies like Singapore’s in demand.
Still, a weaker US dollar means other Asian currencies are getting a bit of a lift too. Malaysia’s ringgit has risen to a more than three-year high against the Singapore dollar — a sharp reversal from its record low in early 2024. For Malaysians working in Singapore and Singaporeans crossing the causeway, that means money doesn’t stretch as far, potentially denting cross-border spending.
Johor-Singapore CausewayPhotographer: Edwin Koo/Bloomberg
On the equity side, regional dynamics may be working in Singapore’s favor. Some investors say recent turmoil in Indonesia could divert capital toward more stable markets, with Singapore among the likely beneficiaries after the MSCI warned about a possible market downgrade, triggering a sharp selloff there.
