Singapore faces retirement strain as ageing accelerates by 2050

In many Asian markets, around 20% of the population is currently aged 65 or above, and is expected to reach up to 40% in some countries by 2050.

By 2050, one in every three people in Singapore will be aged 65 or older, according to new data published in the QBE Asia Ageing Workforce Report.

The report projected the proportion of older adults in Singapore will rise from 19% in 2023 to 33% by mid-century.

Singapore is amongst the fastest-ageing nations in Asia, alongside Hong Kong and Macau. The report suggested that without appropriate policy responses, the shifting demographic will have significant implications for retirement adequacy, labour market participation, and healthcare demand.

The trend is not unique to Singapore. In many Asian markets, around 20% of the population is currently aged 65 or above, and this is expected to reach up to 40% in some countries by 2050.

In Singapore’s case, the increase is particularly notable due to the city-state’s compact population and ageing at a faster rate than most of its regional peers.

One of the key insights from the report is that older adults are staying in the workforce longer. In a breakdown of the motivations behind this, 50% of older workers in Asia cite financial necessity as a reason for continuing employment, whilst the other half identify social engagement as their primary motivator.

Rising costs of living, inflation, and insufficient retirement savings were all flagged as contributing factors to delayed retirement.

The findings also pointed to wider implications for businesses and governments. As the working population ages, employers may need to reconsider how they design roles, manage productivity, and address workplace safety for older staff.