7,800 jobs added to fintech and financial services sector in 2016-2017: MAS

Growth was driven by the insurance and fund management industries.

The number of jobs in Singapore’s fintech and financial services sector grew by 7,800 over 2016 and 2017, which is already close to the target set by the Industry Transformation Map (ITM), Monetary Authority of Singapore (MAS) managing director Ravi Menon said.

“Job growth was mainly driven by the insurance and fund management industries, and to a lesser extent by the banking industry,” Menon said in a speech. IT has emerged as a key functional area driving hiring demand across financial services—some of the fastest growing job roles are in software development, cyber security, data analytics, artificial intelligence, and business process engineering.”

Moreover, fintech alone is estimated to have contributed close to 2,000 of the net jobs created during these two years. MAS expects job growth in financial services this year to exceed the ITM target.

MAS had previously set the targets for the five year period from 2016 to 2020, including 3,000 net jobs in financial services and 1,000 jobs in fintech. It had also aimed for a value-added growth of 4.3% per annum.

Financial services—defined as the finance and insurance industry excluding holding companies, slightly different from the DOS definition—grew an average of 3.3% per year during 2016 and 2017. This is below the 5-year target of 4.3% per annum.

Menon noted that financial services growth was very weak in 2016, at just 1.8%, reflecting slower regional growth and trade. But growth rebounded strongly to 4.9% last year, driven by the strong performance of the fund management segment and steady growth in financial intermediation.

“We remain confident of meeting the five-year average growth target of 4.3%,” he said.

More finance professionals are going for training and development, Menon noted. About 27,000 financial industry professionals have benefited from SkillsFuture programmes during 2016-2017.

Meanwhile, more than 3,000 consumer banking employees will be reskilled through a professional conversion programme (PCPs) over the next two years, acquiring relevant skills in sales, product development, and digital engagement.