Expanding your business into Singapore can increase your customer base in a market with more than 3.51 million ecommerce users. But this city-state’s customers prefer local payment methods. By understanding which options they expect to see, you can begin accepting payments in Singapore and executing your business plan.

Below, we’ll explore how foreign businesses can participate in Singapore’s payment system by:

• Diversifying digital payments
  
• Investing in cybersecurity
  
• Building customer trust
  

The state of the market

With its deeply rooted financial legacy, Singapore combines traditional banking with cutting-edge payment systems. While cash payments aren’t obsolete, they are being complemented—and in some cases, replaced—by digital alternatives, including digital wallets, QR code payments, and electronic funds transfers (EFTs).

The Monetary Authority of Singapore (MAS), the nation’s central bank and integrated financial regulator, oversees Singapore’s bustling financial scene, where the official currency is the Singapore dollar (SGD). The MAS, apart from its core functions formulating monetary policies, emphasizes fostering a robust regulatory environment for the country’s payment systems.

Payment methods

Though retail transactions are still completed using cash, customers are increasingly relying on digital methods, encouraged by technological improvement. Here’s a look at some common payment methods in Singapore, from those currently in use to emerging trends.

Current usage

Credit and debit cards are the prevailing payment method for many Singaporeans. A 2021 study conducted by Visa found that 31% of customers chose contactless card payments as their most preferred payment method, while 23% chose online card payments.

Along with cards, mobile payment adoption is widespread. In 2022, 1.8 million Singaporeans used mobile wallets, a figure that’s expected to grow year over year. Beyond global players such as Apple Pay and Google Pay, demand for local solutions such as GrabPay and Singtel Dash is increasing in Singapore’s mobile payment landscape. A 2021 UOB survey revealed that 46% of Singaporeans who use a digital wallet use GrabPay, an offshoot of the ride-hailing app Grab.

Fast And Secure Transfers (FAST), an EFT service that enables customers to transfer money almost immediately, has become popular for both business-to-consumer (B2C) and business-to-business (B2B) transactions, registering 292 million transactions in 2022. QR code–based payment solutions such as PayNow have also gained traction; PayNow accounted for almost half of all FAST transactions in November 2020. The Singapore Quick Response Code (SGQR), a unified QR code system that combines multiple QR codes into a single SGQR label, has helped simplify QR payments.

Popular B2C payment methods in Singapore

• Credit and debit cards
  
• Digital wallets (e.g., GrabPay)
  
• EFTs (e.g., FAST)
  
• QR codes (e.g., PayNow)
  

Popular B2B payment methods in Singapore

• Credit cards
  
• Bank transfers
  
• EFTs (e.g., FAST)
  

Emerging trends

With its reputation as a global financial hub, Singapore has become a significant player in the crypto space. In 2024, nearly a quarter of Singaporeans had adopted cryptocurrency. The crypto demographic skews young, though; as of 2025, Gen Z and millennials are most aware of the asset.

Ease and friction of entry

Accepting payments in Singapore necessitates particular considerations regarding taxes, chargebacks, cross-border payments, and payment security.

Taxes

Goods and services tax (GST) is a consumption tax that applies to the import and supply of goods and services. In Singapore, the GST rate is 9%. For customers, this means an additional cost on top of the purchase price. Businesses are responsible for collecting GST from customers and remitting this tax to the Inland Revenue Authority of Singapore (IRAS).

Chargebacks and disputes

Singapore’s Consumer Protection (Fair Trading) Act protects customers. While the law primarily addresses unfair practices, it sets the tone for a customer-friendly environment. For instance, when a cardholder disputes a transaction, the onus is often on the business to prove the transaction was legitimate, mirroring practices observed in Europe.

Singapore’s chargeback rules resemble those set out by individual card networks, such as Visa and Mastercard. Customers typically have a 120-day window from the date of transaction or expected delivery of goods and services to file a chargeback. Businesses, in turn, have their own specific time frame—often 45 days—to refute a chargeback using compelling evidence.

International payments

If your business plans to accept payments from tourists or international businesses, it’s important to understand the dynamics of cross-border transactions in Singapore.

• Multicurrency features
  Businesses in Singapore—especially those catering to international clients or operating online—often incorporate multicurrency features into their payment gateways. These systems automatically detect a customer’s location and present prices in the relevant currency.

• Currency conversion
  At checkout, conversion rates are determined in real time, with fees generally ranging between 1% and 3%. Some businesses absorb this cost, while others pass it on to their customers. Third-party platforms such as Stripe, which facilitate currency conversion in Singapore, can help simplify this process.

• Payment methods from other markets
  Accepting popular payment methods from other countries—such as China’s WeChat Pay—can help reduce payment barriers and boost sales among international tourists.

Security and privacy

With a blend of traditional financial services and pioneering fintech solutions, Singapore provides a strong, secure environment for payments that is guided by stringent yet progressive regulatory oversight. Here are the highlights of Singapore’s payments and data security environment:

• Data protection laws
  At the forefront of Singapore’s commitment to data protection is the Personal Data Protection Act (PDPA), which governs the collection, use, and disclosure of personal data by organizations. The law allows data flow that’s beneficial for innovation and business growth while safeguarding customer privacy and interests.

• Payments services laws
  The Payment Services (PS) Act regulates payment systems and service providers in Singapore, covering various aspects from electronic payments and money remittance to digital payment token services. By bringing together different payments services under one piece of legislation, this law creates a cohesive regulatory framework.

• Role of the MAS
  The MAS, the country’s central bank, plays an important role in overseeing the security of payment systems. It issues guidelines, standards, and regulations for financial institutions, with a focus on both large-scale financial institutions and fintech firms—given the rise of digital payments and online banking platforms.

• Anti-Money Laundering (AML) guidelines
  The MAS has a set of AML guidelines that payment service providers must comply with, including customer due diligence, transaction monitoring, and timely reporting of suspicious transactions. Singapore’s policy reflects international standards set by the Financial Action Task Force (FATF).

• Cybersecurity measures
  The Cybersecurity Act focuses on the protection of critical information infrastructure, including systems in the financial sector. Financial institutions are required to undertake periodic risk assessments, engage in regular auditing, and create incident reporting mechanisms.

• Consumer protection
  Aside from transaction security, regulatory measures also emphasize consumer protection. The PS Act, for instance, mandates that certain providers safeguard customer money by either depositing it in trust accounts with a bank or having adequate insurance coverage.

Key success factors

Singapore’s payment challenges are reflective of both its domestic conditions and its role in the global financial system. Addressing these challenges requires a blend of technological improvement, regulatory agility, and a deep understanding of diverse customer behaviors. Here are a few ways businesses can shape their strategies for success:

• Support a variety of payment methods
  While Singapore is moving toward a cashless economy, disparities exist in digital payment adoption. These are shrinking, though: in 2022, 78% of seniors reported using online payments, a sizable jump from 38% in 2018. For now, businesses still need to offer traditional payment methods alongside digital options—potentially complicating their operational setups.

• Include instant payment options
  The SGQR and FAST systems have set high expectations for instant payments. Integrating these technologies from the beginning will offer your customers a convenient checkout experience and show your understanding of local preferences.

• Provide multilingual support
  Singapore has four official languages: English, Mandarin, Malay, and Tamil. Translating your checkout pages and providing real-time customer support in all four languages can be beneficial for building trust among locals and improving customers’ payment experiences.

• Establish fraud detection and prevention
  With a rise in digital transactions comes an increase in cyber threats. A 2022 study found that fraudulent financial charges cost Singaporean customers an average of 1,648 SGD per year, highlighting the importance of increasing payment security measures. For businesses, this necessitates a consistent focus on upgrading cybersecurity and data protection measures.

Key takeaways

Singapore’s advanced financial infrastructure, coupled with its position as an Asia-Pacific hub, offers businesses many opportunities, but tapping into this market requires an understanding of the unique preferences of Singaporean customers. Here’s a recap and some strategies businesses can employ to improve the payment experience in Singapore.

Diversify digital payments

• Incorporate real-time payment tracking
  Singapore’s FAST system enables real-time money transfers across different banks. Accepting this payment type and providing payment tracking can give customers immediate confirmation and peace of mind after a transaction.

• Embrace QR code payments
  Take advantage of the SGQR platform, which allows customers to scan a single standardized QR code to make payments from any of their preferred banking apps.

• Take a mobile-first approach
  Ensure your payment interfaces are refined for mobile by providing a sleek, responsive design that facilitates smoother transactions on smartphones.

Invest in cybersecurity

• Prevent credit card fraud
  Verify customers’ identities through two-factor authentication (2FA), address verification service (AVS), and card verification value (CVV) checks to prevent credit card fraud.

• Protect online transactions
  Employ 3D Secure authentication and AI fraud detection tools to mitigate ecommerce payment fraud whenever possible.

• Stay up-to-date on regulatory standards
  Stay informed about legislation and guidelines regarding data protection, payment services regulations, and consumer protection to ensure your business remains compliant and avoids unnecessary fines.

Build customer trust

• Provide support in multiple languages
  While English is widely spoken in Singapore, you can go the extra mile by providing customer support in other official languages, such as Mandarin, Malay, and Tamil. Catering to a wider demographic can enhance the overall customer experience.

• Establish feedback mechanisms
  Implement ways for customers to leave feedback online and regularly ask customers about their payment experiences to gather valuable insight that can help fine-tune your systems.

• Offer regional promotions and loyalty programs
  Singapore is a cultural melting pot, celebrating various festivals from Chinese New Year to Diwali. You can create regional promotions tied to these cultural events, rewarding regular customers and attracting new ones.