Singapore, 12 September 2025 – The Singapore government is preparing to roll out a “value unlock” package later this year designed to deepen investor interest in its stock market and strengthen shareholder value for listed companies, especially those outside the benchmark Straits Times Index (STI). The move forms part of broader efforts by regulators and policy makers to raise market vibrancy amid concerns over lacklustre liquidity and dispersed investor attention.
Speaking at the Singapore Institute of Directors conference, Minister for National Development and Deputy Chairman of the Monetary Authority of Singapore (MAS), Chee Hong Tat, said that the new initiative will complement existing programs such as the Equity Market Development Programme (EQDP), and will include measures to improve transparency, encourage capital allocation discipline, and strengthen reporting on corporate strategy. Chee emphasised that companies need to do more than simply deliver earnings—they must communicate growth stories, governance practices, and long-term strategic clarity in order to gain investor trust.
As part of the package, the Singapore Exchange (SGX) will launch a new index that tracks mid- and large-cap companies beyond the top 30 STI constituents. This index is intended to shine a spotlight on companies that are often under-followed and to enable investors to benchmark performance, governance, and capital management more effectively.
Officials have said that listed firms will also be encouraged—or possibly required—to improve shareholder disclosures, particularly around dividend policies, board oversight, and investor relations. Enhancements in corporate governance practices are expected to be key pillars of the value unlock plan, helping promote confidence among both institutional and retail investors.
Strategic Implications
The value unlock package is seen as a signal that Singapore is doubling down on strengthening its capital markets in response to competitive pressures from other regional exchanges. For listed companies, it represents both opportunity and challenge: those that can adapt quickly—by improving transparency, clarifying strategic direction, and engaging more proactively with shareholders—stand to benefit. Conversely, firms that lag in governance, disclosure, or reporting may face valuation headwinds.
Investors, particularly long-term and institutional players, will likely welcome the new measures. Improved disclosure and indices that track a broader swathe of the market may help channel more capital toward undervalued or underexposed companies. For Singapore as a financial centre, these reforms aim to support more balanced growth across large, mid, and smaller caps, rather than concentration in a handful of marquee stocks.
