Business Banking in Singapore – Complete Guide (2025)

Banking in Singapore is more than just opening an account. It’s how you pay suppliers, manage cash flow, and connect with international markets. But if you’re new to the system, the process can feel overwhelming. Requirements vary between providers, checks are strict, and for foreign-owned companies, the path isn’t always straightforward.

The upside is that Singapore offers one of the most stable and trusted banking environments in the world. You’ll find strong regulation, safe funds, and a wide choice between traditional banks, digital banks, and other providers. The real challenge is deciding which option fits your needs — and what it takes to get approved.

This guide will walk you through:

✅ How the banking system is structured and regulated

✅ The role of the Monetary Authority of Singapore (MAS)

✅ What traditional banks offer and require

✅ How digital banks work and who they serve

✅ Alternatives to consider if opening a business bank account is challenging

Let’s get started.

Banking in Singapore keeps money moving. It enables payments, provides financing, and supports international trade. For entrepreneurs, SMEs, and expats, this means a secure way to handle transactions, access to credit, and a trusted system for cross-border business.

The system has three moving parts: banks that deliver core services, MAS as the regulator ensuring stability and protection, and payment service providers (PSPs) that add flexible international options.

Together with strong regulation, a stable economy, and a strategic Southeast Asia location, these elements make Singapore one of the world’s most reliable banking hubs.

One reason Singapore’s banking system is trusted is the Monetary Authority of Singapore ( MAS). MAS acts as both the central bank and the financial regulator. It manages the money supply and sets the rules on how banks operate.

In practice, this affects you in three key ways:

• Keep prices stable so businesses and households can plan ahead.
• Make sure banks operate safely through supervision and risk controls.
• Protect the financial system during global shocks by managing reserves.

For depositors, MAS also oversees the Deposit Insurance Scheme. If a full bank or finance company fails, deposits are protected up to SGD 100,000 per depositor, per institution. This includes savings, current, and fixed deposits, as well as CPF monies (Singapore’s retirement savings scheme). 

For both individuals and SMEs, this provides peace of mind that essential funds are secure.

MAS sets what each type of bank is allowed to do. Full Banks, Wholesale Banks, and Merchant Banks are licensed under the Banking Act, while Finance Companies are licensed under the Finance Companies Act. Each licence type sets limits on what services a bank can offer.

Here’s how they compare, with examples you may recognise:

For most individuals, SMEs, and expats, Full Banks cover almost all everyday banking needs. If you’re an SME looking for financing, Finance Companies can be a useful alternative, though they are smaller in scale. Wholesale and Merchant Banks play more specialised roles, so you can usually skip them unless your business is large or involves raising capital.

Now that you’ve seen how MAS regulates the system, here are your options as a customer. Broadly, you can choose traditional banks for credibility, digital banks for speed, or payment service providers (PSPs) for flexibility.

The next sections show how each option works so you can decide what fits your needs.

Think of DBS, OCBC, and UOB. These are the backbone of Singapore’s financial system. They’re tightly regulated by MAS, trusted across the region, and cover almost every service you might need.

For most entrepreneurs, SMEs, and expats, opening an account with a traditional bank is the natural first step. Why? Because it gives your business credibility with clients, suppliers, and investors. It also helps you stay compliant with accounting and tax obligations. On top of that, you’ll get access to services like loans, trade finance, and credit lines that can support your growth.

Features of Traditional Banks 

Here’s what you can typically expect when you choose a traditional bank:

• Multi-currency accounts and treasury tools for international operations
• Cheque services and ERP/accounting system integrations for daily management
• SME banking packages with relationship managers and tailored lending support

These features are built for scale and stability, making traditional banks a strong choice if you plan to grow in Singapore or expand across the region.

Requirements for Traditional Banks 

Opening an account at a traditional bank involves more checks than at digital banks or PSPs. MAS requires strict Anti-Money Laundering and Counter-Terrorism Financing (AML/CFT) compliance, so banks must verify more information before approving your account.

Here’s what you can expect:

For every company

• Standard documents: ACRA BizFile, company constitution, IDs of directors/shareholders, proof of address
• In-person interview: Often required for non-residents or companies with overseas shareholders
• KYC checks: Screening against sanctions lists and assessing potential risks

If your company is foreign-owned: 

• Extra documents: Proof of business activity (invoices, contracts), tax residency information, or letters of reference
• Ownership details: Banks may ask for proof of ultimate beneficial owners (UBOs)
• Source of funds/wealth: You will need to document where your money comes from

There’s no official MAS timeline, but foreign-owned SMEs should expect 4 to 8 weeks for approval. Delays happen because banks apply the rules cautiously and may ask for additional documents.

Digital banks let you open and manage an account without ever stepping into a branch. Everything happens in an app from onboarding to payments to applying for credit. They’re licensed by MAS just like traditional banks, but they’re designed to be faster, more affordable, and mobile-first.

Because everything is online, you can usually expect quicker onboarding, lower fees, and features built with SMEs and digital-first businesses in mind.

Today, several digital banks are active in Singapore. Examples include GXS Bank and Trust Bank, which focus on everyday personal banking, while MariBank and ANEXT Bank are geared more toward SMEs and cross-border trade.

Features of Digital Banks 

Digital banks cover most of the services you’d expect from a traditional bank, but everything is built around mobile-first tools. Common features include:

• Business and personal accounts with no minimum balance
• Multi-currency accounts for SMEs handling international transactions
• Real-time payments, transfers, and digital wallets
• Spending insights, budgeting tools, and APIs for businesses
• Business loans, credit lines, and sometimes fixed deposits

The main difference is convenience. You won’t get cheque books or full trade finance facilities, but you will get fast, low-cost services that suit digital-first operations.

Requirements for Digital Banks

It’s generally simpler to open a digital bank account, but you’ll still need to meet eligibility criteria and provide documentation.

For businesses:

• Must be incorporated in Singapore with a valid ACRA registration
• Some banks require at least one owner or director to be a Singaporean or permanent resident (PR)
• Others accept foreign-owned companies, as long as they’re registered locally and have Corppass access
• Required documents include your ACRA business profile, shareholder details, and proof of address
• Some banks may also ask for proof of business activity (invoices, contracts)

Approval is usually faster than with traditional banks. Some applications are instant, while SME accounts with more complex structures may take up to 14 business days.

If you don’t want to open an account with a traditional or digital bank, you can consider payment service providers (PSPs). These firms are regulated under the Payment Services Act by MAS, but they aren’t banks.

The big difference is this. PSPs can provide multi-currency accounts, cross-border payments, and FX services, but they don’t offer loans or deposit insurance. In Singapore, some PSPs are licensed locally (like Wise and Aspire), while others are licensed overseas (like Statrys).

Their appeal lies in speed and flexibility. Onboarding is often remote, faster than banks, and PSPs are usually more open to international or foreign-owned companies.

Features of PSPs

• Online onboarding, often fully remote
• Multi-currency accounts for receiving and sending payments
• Real-time FX conversions and payment tracking
• Virtual and physical corporate cards for team spending
• Integrations with accounting and business tools

The trade-off is that while funds are safeguarded, they’re not covered by the Singapore Deposit Insurance Scheme (SDIC). PSPs also don’t provide lending or credit facilities.

Requirements for PSPs

What you’ll typically need:

• A company incorporated in Singapore or another approved jurisdiction
• IDs and proof of address for directors, shareholders, and UBOs
• An ACRA BizFile and other standard company documents
• No need for a local director in most cases

Approvals are usually much quicker than banks. Sometimes, within a single business day if documents are ready.

Examples of Providers

* Statrys is licensed in Hong Kong. If you run a Singapore-incorporated company, you can still open an account through its Hong Kong entity. It is a practical option if you’re a foreign-owned business or find local bank approvals difficult.

Singapore’s banking system offers credibility, speed, and flexibility depending on whether you choose a traditional bank, a digital bank, or a payment service provider. The best option for you will come down to your business structure, timelines, and how global your operations are.

This guide is just the starting point. Explore our in-depth reviews of Singapore’s digital banks, comparisons of PSPs, or detailed breakdowns of traditional bank requirements to decide which route makes the most sense for your business.