Staff Reporter | Dhaka | 16 September 2025, Tuesday
O
nce considered a safe haven for wealthy Chinese families, Singapore is now losing its allure. The huge inflows of capital that once came to Singapore as investors shifted away from Hong Kong and Japan are now reversing.
After the pro-democracy movements in Hong Kong in 2019 and Beijing’s strict response—including the 2020 National Security Law—mainland Chinese families began seeking alternative safe investment and residency options. At that time, Singapore became attractive due to its political stability, family office-friendly policies, independent judiciary, and widespread use of Mandarin.
However, in 2023, following the “Fujian Case” involving the illicit transfer of S$3 billion (US$2.3 billion), Singapore’s banks and regulators implemented stricter compliance measures. Wealthy clients, especially in the crypto sector, faced heightened scrutiny, leading to a notable decline in interest.
In 2025, new regulations require institutions to obtain licenses to offer cryptocurrencies, stablecoins, or tokenized equity to foreign clients. The licensing conditions are strict, demanding high capital, adherence to anti-money laundering laws, and technical risk management. As a result, many wealthy Chinese investors have exited Singapore.
According to Henley & Partners, the number of millionaire migrants to Singapore is expected to fall by half in 2025, with only 1,600 high-net-worth individuals arriving, compared to an estimated 3,500 in 2024. Meanwhile, Hong Kong and Dubai are offering tax incentives and relaxed residency rules to attract wealthy investors.
Experts say that strict laws, increased oversight, and social changes in Singapore are pushing wealthy Chinese to seek privacy and flexibility elsewhere. While Singapore’s reputation as a vibrant and secure financial hub has dimmed somewhat, the country continues to welcome legitimate wealth while maintaining strong regulatory oversight.
