Singapore is set to allocate over S$1 billion (approximately $786 million) towards its National AI Research and Development Plan (NAIRD) aimed at enhancing the nation's capabilities in artificial intelligence (AI). This funding, announced by Josephine Teo, the Minister of Digital Development and Information, will be disbursed from 2025 to 2030 as part of the country's updated National AI Strategy (NAIS) 2.0. The initiative aims to bolster Singapore's ambitions in the AI sector, which began with the first national AI strategy introduced in 2019, focusing on projects across education, healthcare, logistics, and security.
The investment is part of a broader S$37 billion commitment from Singapore's National Research Foundation (NRF) announced in December 2025, which includes S$28 billion earmarked for similar technological developments the previous year. The NAIRD plan emphasizes three key areas: foundational AI research, applied AI research, and talent acquisition to support the national AI strategy.
To facilitate these goals, Singapore plans to establish AI research centers that will employ both local and international experts. According to Teo, these centers will tackle complex, long-term challenges, including risk mitigation associated with AI implementation and preventing misuse of such systems. Additionally, the centers will explore various related issues, such as developing multifunctional AI capable of addressing diverse tasks. The new plan also focuses on enhancing industrial support for AI adoption and fostering initiatives proposed by research, innovation, and corporate entities.
Authorities indicate that the plan aims to train "bilingual" researchers who are not only skilled in AI but also possess expertise in specific fields. Singapore aims to bridge the gap between theory and practical application, turning research into tangible products. The initiative will continue to promote interest in AI research among young people, providing opportunities for students at the higher education level to engage with leading research institutions both locally and internationally, along with expanding scholarship programs. Support for educators will also be enhanced, including an AI Visiting Professorship program to foster collaboration between local and international researchers. Leading startups and AI companies are being encouraged to establish their research teams in Singapore.
The Ministry of Digital Development and Information asserts that advancements in AI research will help Singapore maintain its competitive edge in the field. In 2025, the country ranked third in a global AI research index, trailing only the United States and China, based on investments, innovations, and AI implementation. Recently, more companies have established their research laboratories in Singapore, including major players like Microsoft Research Asia and Google DeepMind.
However, Singapore faces significant challenges, including a critical shortage of available energy and land for AI data centers. As a result, competitors are not standing still; neighboring Malaysia has expressed its ambition to become the primary IT hub in the region, while Indonesia and Vietnam have similar aspirations. Moreover, Singapore is increasingly suspected of assisting Chinese companies in circumventing U.S. sanctions.
This substantial investment in AI development signifies Singapore's determination to lead in technology and innovation, a move that will likely increase competition within the region as neighboring countries strive to enhance their own capabilities.
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