Prime Minister Lawrence Wong said Singapore takes illicit financial flows seriously and will act quickly to protect its position as a trusted business and financial centre.

During a discussion on recent money laundering cases and US accusations involving an Asian crime figure, the moderator cited a remark from one of Wong’s ministers that “when we open the windows, some flies may also enter.”

Wong responded that “sometimes we get more than flies” and added that “We do have quite a big fly swatter.”

He said illicit flows are not unique to Singapore and occur across all major financial centres.

Wong noted that incidents are unavoidable, but the key test is how authorities respond.

He said Singapore acts swiftly, works through intelligence sharing and cooperation with other countries and is determined to safeguard its reputation.

He also addressed the rise of global wealth coming into Singapore, including the growth of family offices managing funds from abroad.

Wong said these entities create jobs and economic activity but acknowledged that frictions can arise when displays of wealth are ostentatious.

He added that newcomers are often reminded that Singapore is an egalitarian society with its own social norms, and “for the most part, they do” understand and adapt.

On inequality, Wong said Singapore continues adjusting policies to support lower-income groups.

He highlighted the country’s public housing model, noting that widespread home ownership provides housing equity that boosts the net assets of many households, including those in the bottom 20 percent.

He also pointed to the Central Provident Fund as a core retirement system that receives periodic top-ups.

When asked whether Singapore might consider capital gains or broader wealth taxes, Wong did not commit to any specific measure.

He said Singapore’s policy tools are “not limited to tax alone,” noting that the government also uses wealth transfers and other mechanisms to support lower-income households.

Featured image: Edited by Fintech News Singapore, based on image by Prime Minister’s Office