Singapore Foresees Decline in Tourism Spending Despite Increased Arrivals
Despite a continued rise in visitor numbers, Singapore’s tourism sector is bracing for a potentially challenging 2026. The Singapore Tourism Board has projected a dip in tourism receipts, estimating a range of SGD 31 billion to SGD 32.5 billion ($24 billion to $25.6 billion) for this year. This falls short of the record SGD 32.8 billion achieved in 2025.
International arrivals are expected to increase to 17-18 million visitors, a slight rise from 16.9 million in the previous year. However, the optimism is tempered by the challenges highlighted by STB Chief Executive Melissa Ow at the Tourism Industry Conference 2026. “Global uncertainty will persist and tourism businesses are under strain from ongoing geopolitical tensions in the Middle East,” she stated.
This sentiment echoes wider concerns in the business travel industry. The Global Business Travel Association has identified geopolitical tensions and escalating fuel costs as major factors contributing to instability in international travel markets.
In response to these challenges, Singapore has announced a robust plan of action. This includes a SGD 740 million injection into the Tourism Development Fund over the next five years. The country is also set to welcome new hotel openings, such as Asia’s first The Mora property by TUI Hotels & Resorts and the region’s largest Mövenpick hotel.
Source: CNBC