Singapore SMEs expect to spend more on new technology and assets: Survey

Small and medium-sized enterprises (SMEs) in Singapore are planning to increase their spending on new technology and assets in the coming months, with the aim of improving their productivity, a new survey has showed.

Some of these investments are expected to result in lower costs over time, thereby helping to combat rising business expenses.

Across sectors, firms in construction and engineering are likely to be investing the most, according to the survey, which was conducted by the Singapore Business Federation (SBF) and DP Information Group.

The survey tracks SME sentiment from October this year to March next year. Its findings are based on 3,000 interviews with SME owners and managers, as well as the financial performance of SMEs.

Five industry sectors are tracked: business services, commerce and trading, construction and engineering, manufacturing, and transport and storage.

The outlook for capital investment by SMEs has increased in each of the last four quarters, from an index score of 5.09 a year ago to 5.45 this quarter.

Construction and engineering companies have the highest capital investment index score of 5.61.

Join ST's Telegram channel and get the latest breaking news delivered to you.