Introduced a screening regime for national security

28 Mar 2024

On 9 January 2024, the Parliament of Singapore enacted the Significant Investments Review Act. This legislation introduces a new investment management regime to regulate entities critical to Singapore’s national security interests. Under this regime, designated entities must comply with various ownership and control requirements. The law entered into force upon publication of the list of designated entities in the Government Gazette, on 28 March 2024.

Key provisions include: - Mandatory notification or approval for changes in ownership or control; - Required approval for appointing chief executive officers and directors; - Adherence to other provisions ensuring security and reliability of their operations.

Additionally, the Act empowers the Minister of Trade and Industry to review transactions involving entities not designated as critical but acting against Singapore’s national security interests. This regime is applicable to both local and foreign investors.