Understanding Singapore’s Significant Investments Review Act
These ownership and control provisions over a handful of designated entities apply to all holders of the designated entities and they are required to abide by these regulations.
The Significant Investments Review Act (SIRA) in Singapore has been effective from March 28, 2024, is a regulatory framework designed to safeguard national security interests in relation to investments in critical entities and applies to all holders of the designated entities. It requires investors, both foreign and domestic, to notify or seek approval for acquiring significant stakes in designated entities.
SIRA mandates government approval for key personnel appointments, introduces ownership thresholds (5%, 12%, 50%, 75%) triggering different levels of regulatory scrutiny, and grants the government “calling-in” powers to review transactions potentially affecting national security.
Administered by the Office of Significant Investments Review (OSIR), SIRA aims to balance Singapore’s openness to foreign investment with the need to protect its national security interests in an evolving global landscape.
The Office of Significant Investments Review (OSIR) operates under Ministry of Trade and Industry who will administer and operationalise the Act.