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The richest 1% of households in Singapore hold about 14% of the nation’s total household wealth; looking at the richest 5%, they collectively own about 33% of the wealth.
According to a report by Lianhe Zaobao, Acting Minister for Transport and Senior Minister of State for Finance, Chee Hong Tat, revealed this data in Parliament on the 25th in response to a question from Workers’ Party MP Sylvia Lim of Aljunied GRC. He said that this level is similar to other developed economies. However, due to the small sample size and the potential for underreporting at both ends of the spectrum, these figures should be interpreted with caution.
In February this year, the Ministry of Finance released the “Trends in Singapore’s Income Growth, Inequality and Social Mobility” report, which disclosed the average household wealth levels and composition among residents, and for the first time published the household wealth Gini coefficient, which was 0.55.
Chee Hong Tat pointed out that this is the first time Singapore has released a wealth Gini coefficient, and there was no similar data in previous years. The government will continue to monitor this indicator moving forward. He said that the next Household Expenditure Survey will be conducted in 2028, and the government will explore whether to provide more related indicators to strengthen the monitoring of wealth distribution.
Several MPs requested more detailed data on wealth inequality, such as breakdowns by asset type, housing type, or age group. Chee responded that the Gini coefficient is calculated on a household basis, not on an individual basis, and thus cannot be split by age group. The government also will not calculate the Gini by asset type, as households can and do shift wealth between different asset categories.
Similarly, when calculating the wealth Gini coefficient, public and private housing are not differentiated between owner-occupied and non-owner-occupied residences.
He pointed out that in developed economies, wealth inequality is higher than income inequality, because wealth accumulates gradually with age. In Singapore, an important component of household wealth is homeownership and CPF (Central Provident Fund) savings, which is especially evident among middle- and lower-income households. Housing and CPF policies have enabled many Singaporeans to accumulate assets over time, helping to moderate inequality and at the same time strengthen long-term social stability.
In response to queries from Sylvia Lim and Ang Mo Kio GRC MP Yip Hon Weng about whether the government would consider forms of wealth tax other than property tax, Chee said Singapore’s approach is to levy wealth taxes in ways that are less susceptible to cross-border mobility and tax planning, while retaining national competitiveness. "This is why Singapore focuses on less mobile assets, such as real estate and vehicles. These taxes are progressive, with higher-valued assets facing higher tax rates.”
He stressed that the government values intergenerational balance and that young families who are still building up assets should not bear an excessive burden. At the same time, holders of high-value properties should make greater contributions.
“For seniors who are asset-rich but have low income, we provide a property tax deferment scheme to ease their financial burden.”