Singapore Budget 2025: Key Announcements and Stocks to Watch
- ellaintan
- Feb 19
- 3 min read
Budget 2025, unveiled by Prime Minister Lawrence Wong yesterday, brings a mix of cost-of-living relief, infrastructure investments, and market incentives aimed at supporting Singaporeans and businesses alike. Whether you’re a consumer, a business owner, or an investor, these measures could have far-reaching impacts on spending, growth, and stock market opportunities. Below are some of the key highlights from the speech. :
Key Announcements from Budget 2025
1. SG60 Handouts – To celebrate Singapore’s 60th anniversary, SGD 600-800 will be given to all Singaporeans. Additional SGD 800 in CDC vouchers per household will help with daily expenses.
2. Support for Businesses & Stock Market – Corporate tax rebates (up to 50%) and tax incentives for fund managers who invest in SGX-listed stocks aim to boost local market activity.
3. Massive Infrastructure & Clean Energy Investments – The government is pumping SGD 5 billion each into Changi Airport development, clean energy projects, and coastal protection.
4. Tech & Semiconductor Boost – A SGD 1 billion national semiconductor R&D facility and a SGD 3 billion top-up for the National Productivity Fund to drive tech innovation.
5. Property & Transport Sector Upgrades – More HDB flats, lower property taxes, and SGD 60 billion in rail network expansion will support long-term growth.
With these measures in place, certain sectors and companies stand to benefit significantly. Let’s take a look at five stocks analysts believe have strong upside potential following Budget 2025.
Eight Stocks That Could Benefit from Budget 2025
1) Sheng Siong (SGX: SSG)
a) Why? More cash in consumers’ hands (SG60 + CDC vouchers) means higher spending at supermarkets
b) Analyst Target Price: SGD 1.80 (Current Price: SGD 1.65) – 9.09% upside
2) Sembcorp Industries (SGX: SCI)
a) Why? SGD 5 billion clean energy fund could accelerate renewables and power import initiatives
b) Analyst Target Price: SGD 7.35 (Current Price: SGD 5.63) – 30.5% upside
3) Keppel Ltd (SGX: KEP)
a) Why? Benefits from clean energy investments, power imports, and infrastructure projects
b) Analyst Target Price: SGD 9.00 (Current Price: SGD 6.85) – 31.3% upside.
4) Singapore Exchange (SGX: SGX)
a) Why? Tax incentives for fund managers and IPO-friendly policies could boost market activity
b) Analyst Target Price: SGD 14.00 (Current Price: SGD 12.71) – 10.1% upside.
5) Frasers Centrepoint Trust (SGX: FCT)
a) Why? Retail malls could benefit from higher consumer spending due to government handouts
b) Analyst Target Price: SGD 2.75 (Current Price: SGD 2.07) – 32.85% upside
6) ComfortDelGro (SGX: CD)
a) Why? EV-related tax changes and public transport investment support its operations
b) Analyst Target Price: SGD 1.77 (Current Price: SGD 1.37) – 29.2% upside
7) AEM Holdings (SGX: AEM)
a) Why? Semiconductor R&D funding could drive demand for testing and automation services
b) Analyst Target Price: SGD 1.72 (Current Price: SGD 1.57) – 9.5% upside
8) Venture Corp (SGX: VMS)
a) Why? Positioned to gain from tech and R&D investments in high-value manufacturing
b) Analyst Target Price: SGD 15.10 (Current Price: SGD 12.86) – 17.4% upside
Final Thoughts: Stocks to Watch in 2025
With the government prioritizing consumer spending, clean energy, infrastructure, and financial markets, certain stocks are positioned for growth. While these stocks have analyst-backed upside potential, investors should remain mindful of market conditions and company-specific developments.
What do you think about these picks? Are you watching any other stocks impacted by the Budget? Let us know in the comments!
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