Singapore is poised to lead Southeast Asia in the transition to a digitally advanced green economy.

But will it inspire commitment to AI/digital literacy and sustainability in the wider region?

Singapore is ‘Green by Design’

As the world confronts a reskilling emergency, two powerful forces are triggering a massive shift in the skills economy. One is the rise of digital technology; the other, the call for greater sustainability.

These trends were identified in a new strategic guide published by KPMG.

When it comes to preparing people for the dual challenges of advancing tech and sustainability, Singapore is on the leading edge.

The country follows the principles of being ‘Green by Design’ as it strives to develop a tech-savvy workforce while incorporating sustainable business practices.

“Green by Design means embedding sustainability into every layer of an organisation – from product development to operations, supply chains, and ICT infrastructure,” KPMG said. “It is not a retrofit or an afterthought; it is an ethos ensuring every decision actively contributes to environmental goals.”

Also Read: AI meets sustainability in Singapore

How digital tech and sustainability are integrated

The approach – which incorporates ESG principles in business processes – is “not just about meeting environmental goals; it is a response to multiple external and societal pressures”.

After all, in a world constantly shaped by radical developments in AI and automation and simultaneously at the mercy of the next climate disaster, knowing how to employ digital tech effectively entails knowing how to navigate sustainability challenges just as well (and vice versa).

At many junctures, these two forces are flowing into one,” KPMG said.

“This growing digital economy brings rising environmental costs, from energy-heavy data centres to the rapid adoption of generative AI (Gen AI) and the associated increase in processing requirements.”

Governments and experts worldwide aim to “maximise the economic and sustainability upsides of digitalisation while minimising its costs”.

These efforts are also where talent and skills are most crucial, the firm pointed out.

Nine in 10 businesses recognise sustainability as crucial for global competitiveness. And so, many are developing their workers on skills that align technological expertise with environmental objectives.

“Demand is rising sharply for professionals who understand how to improve the sustainability of the digital economy. Supply has yet to catch up,” KPMG said.

How Singapore is leading the digital green economy

Two factors position Singapore as an exemplar in green innovation: first is the quality of its education system, or how it enriches and nurtures its human resources. Second is its efficiency in optimising its natural resources, KPMG said.

An important element of Singapore’s success is how it offers talent of any age – but more so, midcareer professionals – the opportunity to upskill, reskill and adapt to shifting demands of the economy.

One of these demands is for a workforce with technical proficiency suited for the green economy, especially since nascent tech such as AI, blockchain, the Internet of Things (IoT) and quantum computing have the potential to improve how the region and the world optimise resources and even mitigate environmental impacts.

Also Read: The many facets of sustainability in HR, revealed

Equally important is how the country demonstrates the ROI of developing, managing and preserving its limited physical resources through sustainable practices.

“Singapore as a hub of green innovation aligns naturally with its history of engineering competitive advantages from constraints. Limited land and natural resources drove the city state to pioneer sustainable urban solutions, which now inspire nations worldwide,” KPMG explained.

With skilling initiatives that complement sustainability efforts, Singapore shows the world an example of “how to transform a workforce so that every industry has the specific sustainability skills it needs”.

KPMG’s strategic guide, Advancing Digital Sustainable Talent for the Future, was developed in partnership with Infocomm Media Development Authority of Singapore (IMDA) and the Singapore Computer Society (SCS) Sustainable Tech SIG.