The economic cost of inaction on gender parity in Singapore

In Singapore, women make up nearly half the workforce, yet hold only 13% of CEO roles.

Why is progress on gender parity panels still so slow — even when we already know the solution?

Despite all the data, resources, and collective brainpower dedicated to closing gender gaps, real, systemic change continues to lag. In Singapore, a nation known for economic efficiency and innovation, the underrepresentation of women in leadership and entrepreneurship is not just a missed opportunity — it’s a strategic oversight.

The truth is clear: gender parity isn’t only about social justice. It’s about economic performance, innovation, and long-term value creation.

Social norms perpetuating exclusion
In Singapore, women make up nearly half the workforce, yet hold only 13% of CEO roles and fewer than 1 in 5 board seats on SGX-listed companies. These numbers are not just disappointing — they are a liability in today’s economy.

According to McKinsey, closing the gender gap in Asia Pacific could add US$4.5t to regional GDP by 2025. That growth is not hypothetical. It’s tied to productivity gains, diversified leadership, and improved decision-making — all of which directly impact a company’s bottom line.

Firms with diverse executive teams are much more likely to outperform their peers in profitability and value creation. Singapore’s corporate leaders know this, yet many companies treat gender parity as a “soft” Environment, Social and Governance (ESG) goal, rather than the business priority it truly is.

No investment, no progress 
Organisations in Singapore have made progress in areas like diversity statements and symbolic initiatives. However, these efforts need to evolve into scalable business strategies. The companies that will lead the next decade are those that embed inclusivity across leadership, capital allocation, talent development, and governance.

We need to stop treating women’s advancement as a corporate social responsibility checkbox and start treating it as a board-level business agenda.

In the US, women-founded companies have historically received less than 2% of funding, with an even lower 1% in Europe. And in emerging economies, funding beyond microcredit barely exists; women-owned businesses continue to be unsupported, undervalued, and underfinanced.

We're not just failing women – we're failing our economies.

But pointing out problems without offering solutions is an exercise in futility. So what will it take to transform the status quo?

Active steps towards gender parity 
Globally, women-founded businesses receive less than 2% of venture capital funding. In Southeast Asia, that figure is even lower. Despite this, women-owned businesses often outperform male-led peers in capital efficiency and return on investment.

It is time for Singapore’s investors, family offices, and corporates to re-evaluate their capital flows. Gender-lens investing should no longer be niche — it must be part of a broader strategy for de-risked, high-return portfolios.

Venture capitalists, private equity firms, and banks in Singapore have an opportunity to lead here: back women entrepreneurs, build gender-diverse deal teams, and unlock new markets through inclusive funding strategies.

First, there must be tangible action to address issues that limit women’s participation and growth. Singapore can’t afford to underutilise half its talent pool, especially as we navigate challenges like declining birth rates, an ageing population, and increased global competition.

When women advance, companies don’t just gain moral credibility — they gain market share. Diverse teams innovate faster, adapt better to changing consumer needs, and are more likely to identify new revenue streams. Gender parity is, quite simply, a good business strategy.

The pandemic revealed just how vulnerable our systems are. As we rebuild and reimagine the economy, we must also redesign leadership structures to be more representative and resilient.

Second, we need serious investment in critical areas that prevent economic and career advancement. I’ve seen firsthand how economic empowerment transforms not just individual women but entire ecosystems. Women who gain access to capital, leadership opportunities, and education don’t just improve their outcomes — they become catalysts for community-wide growth.

Singapore’s private sector has always been the engine of the economy. Now, it must also be the driver of inclusion.

We don’t need pilot programmes or pledges. We need boardroom accountability. We need measurable targets tied to leadership KPIs. We need investment strategies that reflect our commitment to inclusive growth.

Third, we must reframe these conversations from being exclusively a women’s social issue, to an economic issue. Gender parity is not a “women’s issue”. It is a national economic strategy.

And the question for business leaders today is simple: Will we lead from the front, or continue to trail behind?

The next generation of talents, consumers, and investors are watching. They are demanding more, and will align themselves with companies that walk the talk.

Singapore’s competitive edge has always come from our adaptability — swiftly, strategically, and decisively. Let’s apply that same mindset to gender equality. Not because we’re told to, but because it’s the smartest business move.

Redefining the future starts here
Gender parity is no longer a “nice-to-have” — it is a proven growth strategy. The data is in: companies with diverse leadership teams consistently outperform their peers in profitability, innovation, and long-term value creation (IFC, 2019; BCG, 2018).

And in Singapore, closing the gender gap isn’t just a matter of national pride — it’s an economic necessity in an increasingly competitive global landscape.

We have the frameworks, from the Singapore Council of Women’s Organisation, Singapore Women’s Development White Paper, to the Council for Board Diversity’s targets. The public sector is moving — but for real transformation, Singapore’s private sector must take the lead.

It’s time for CEOs, investors, and boards to stop treating gender equality as a corporate social responsibility side project and start embedding it into the core of business strategy — from capital allocation and succession planning to innovation pipelines and investor relations.

The next generation of talents, customers, and shareholders will reward companies that lead with purpose and performance. The future of Singapore’s economy is inclusive, dynamic, and resilient. But only if we choose to build it that way.

The question is not whether we can afford to invest in women — the question is: can we afford not to?