The Singapore government announced a significant increase in its defence budget for fiscal 3 on March 2025. The budget is expected to reach 17,4 billion Singapore dollars, equivalent to 23,4 billion US dollars, representing a 12,4% increase. While this increase was made to fund defence projects that were delayed or interrupted due to the COVID-19 pandemic, Defence Minister Ng Eng Hen made statements that increases in defence spending will be reduced from 2026. The government aims for defence spending to remain within 3% of its gross domestic product. This rate is considered a ceiling set by Singapore for defence spending.
Tension in the Security Environment
Singapore is paying attention to the changes in the security environment around the world. Collin Koh, an analyst at the Institute for Defence and Strategic Studies, said Singapore is closely monitoring the increasingly tense security environment at a time when the rule of international law is being challenged. Koh said this is a key factor influencing the country’s defence strategies. In this context, the Singapore government plans to invest in new weapons systems to respond more quickly to evolving threats.
New Equipment and Investments
The budget increase will allow for the procurement of new equipment that will enhance Singapore’s defence capabilities. As part of this, two more Type 218SG Invincible-class submarines have been ordered from Thyssenkrupp Marine Systems. These submarines will enter service in September 2024, with the second pair expected to be operational by 2028. Minister Ng stressed that it is important to strengthen the Singapore Armed Forces’ submarine fleet once these submarines have achieved the expected performance in tropical waters.
In addition, new steps will be taken regarding Singapore's maritime patrol aircraft. It is expected that new aircraft such as Airbus C1993 or Boeing P-50 Poseidon will be procured to replace the Fokker 295 aircraft that have been in service since 8. These aircraft will enable Singapore to operate much more effectively against threats in the maritime environment.
New Hardware and Advanced Technology
The increase in the defense budget also includes important innovations for the land forces. Singapore will add a new 8x8 infantry fighting vehicle, the Titan, to its inventory. The Titan will be equipped with a 30mm gun in an unmanned turret and an advanced counter-drone system. Singapore also has 24 HIMARS rocket launchers and aims to further increase its capabilities in the medium term by equipping these systems with more powerful rockets.
There will also be serious investments in defense against unmanned aerial vehicles (UAVs). Singapore will develop and field defense technologies in this area by establishing a Counter-UAV Development and Operations Group. In this way, it is planned to create an effective defense line against UAVs.
Digital and Cyber Defense Investments
Defence Minister Ng also aims to increase Singapore's investments in digitalisation and cyber defence. The country has established the Defence Cyber Command to ensure the security of military networks and build resilience against cyber threats. A second new command has also been established to accelerate military digitalisation.
International Cooperations and Defense Strategies
In its security strategy, Singapore aims to not only enhance its own defence capabilities but also strengthen regional and global partnerships. Minister Ng highlighted Singapore’s commitment to the Five Power Defence Arrangements with Australia, Malaysia, New Zealand and the United Kingdom, as well as high-level exchanges with China and the United States. “We pose no threat to anyone and want everyone to be friends,” Ng said, noting that strong defences underpin strong neighbourhood relations.
The increase in Singapore’s defence budget is seen as a decisive step towards developing a strong defence strategy against the changing security environment and global threats. Investments in new weapons systems and digitalisation will strengthen Singapore’s defence capacity and further strengthen its international cooperation. This strategic move will reinforce Singapore’s role in regional security and ensure that the country’s defence policies are firmly established for the future.
