Singapore Reinforces Its Standing as the World’s 3rd Largest FX Trading Hub

Introduction

The Monetary Authority of Singapore (MAS) has unveiled compelling new data confirming Singapore’s rise in global foreign exchange (FX) markets. As of April 2025, Singapore’s average daily FX trading volumes soared, consolidating its position as the world’s third largest FX centre, behind only the UK and the US.

Key Figures & Highlights

In April 2025, Singapore’s FX average daily trading volume (ADTV) reached US$1.485 trillion, a significant 60% increase over the April 2022 level.
Singapore’s share of global FX volume climbed to 11.8%, up from 9.5% in April 2022.
The growth was broad-based across currencies:
- US dollar, Japanese yen, Euro volumes rose between 36% and 65% over the same period.
- Renminbi and Australian dollar volumes also recorded gains.
In terms of instrument types, FX spot, forwards and swaps — which collectively make up ~90% of turnover — saw volume increases between 42% and 61% from 2022 to 2025. Singapore’s OTC interest rate derivatives market averaged US$208 billion per day in April 2025, a 33% rise over April 2022. Volumes in USD, JPY, and AUD derivatives were most active.

Why This Matters

Singapore’s FX growth reflects more than just trading volumes — it showcases systemic strength, strategic geography, and deep liquidity:

Deeper liquidity in the Asian time zone helps meet the hedging and capital flow needs of regional investors.
Diverse currency activity and growth across instrument types point to strong demand and maturation of Singapore’s FX ecosystem.
This reinforces Singapore’s reputation as a trusted, efficient price discovery hub and as a gateway for global capital into Asia.

Lim Cheng Khai, Executive Director of MAS’ Financial Markets Development Department, noted that the broad-based growth in FX reflects Singapore’s role as a key node linking global investors to Asia’s evolving economies.

Outlook & Next Steps

MAS and market participants will likely continue enhancing infrastructure, regulatory frameworks, and market connectivity to support further FX growth.
Singapore’s position gives it leverage to attract more regional and international FX flows, deepen derivatives markets, and develop synergies with other financial services.
As Asia’s economies evolve, Singapore’s strategic timezone, regulatory certainty, and market depth will be key to maintaining and growing its FX leadership.

Disclaimer: This article is for informational purposes only and does not constitute any professional advice. Feel free to contact us to consult with our professional advisors team for personalized advice and guidance.

Source: https://www.mas.gov.sg/news/media-releases/2025/singapore-strengthens-position-as-third-largest-global-fx-centre