The exchange rate forecast for the Singapore Dollar (SGD) against the UAE Dirham (AED) reflects a period of stability with significant influences from recent monetary policy shifts and economic developments in both regions. As of November 11, 2025, the SGD to AED exchange rate is reported at 2.8307, slightly below its three-month average, and has remained relatively stable, fluctuating within a 2.5% range from 2.8074 to 2.8786.
Recent adjustments in Singapore's monetary policy have significant implications for the SGD. The Monetary Authority of Singapore (MAS) eased its monetary policy in April 2025 in response to global trade uncertainties, adjusting the appreciation rate of the nominal effective exchange rate (S$NEER). However, by October 2025, MAS maintained its policy amid stronger-than-expected GDP growth, with Q3 figures indicating a 2.9% year-on-year expansion, prompting a raised growth forecast for 2025. This positioning indicates that while MAS is cautious about external risks, there is underlying resilience in the Singaporean economy that may bolster the SGD in the medium term.
In contrast, the UAE Dirham has experienced supportive developments, such as the recent currency swap agreement with Turkey expected to enhance liquidity and financial transactions. Additionally, the Central Bank of the UAE's interest rate cut in September 2025 aligns with broader trends observed in the region, providing a boost to investor confidence and positively affecting stock markets. The AED's strength against various Asian currencies further indicates its solid performance in the current environment, aiding expatriate remittances and sustaining its value.
As analysts observe, the interplay between the SGD's positioning as a potential safe-haven currency and the AED's robust status amid regional economic strategies will be crucial. The SGD is likely to retain its defensive attributes, particularly during episodes of financial stress, while the AED may benefit from anchoring confidence tied to economic initiatives and liquidity measures.
Overall, while the SGD to AED exchange rate is currently stable, it is essential for businesses and individuals engaging in international transactions to stay informed of the developing economic indicators and monetary policies that can shift the market dynamics.
