06/01/2026
Singapore pawnshops disbursed over $5 billion in loans in first half of 2025, the highest amount for the same period in the past decade.
The Singapore Pawnbrokers' Association attributed the surge to rising gold prices and stronger appetite for liquidity. Gold prices surged more than 65% year-on-year to hit record highs. A pure gold necklace worth $10,000 in 2023 is now valued at around $22,000.
Association president Ivan Ho Khiam Seng saw pawn amounts at his Heng Seng Pawnshop rise 15% last year to $4.2 million, with nine in 10 items pawned being gold. He said pawnbroking offers flexibility not found in traditional loans - "Anytime you can redeem it at your own wish. You have options, not like the banks, they have a lot of red tapes and restrictions."
Demographic shift also noted, with more younger professionals in late 20s to 40s using instant cash to support business needs. Interest charges tend to be lower as loan amounts are smaller, with no late fees or administrative charges unlike bank loans.
ValueMax Group managing director Yeah Lee Ching said "pawning today is less about necessity and more about financial flexibility" as customers leverage higher gold prices to access liquidity while retaining asset ownership.
The trend also gaining popularity in India according to World Gold Council.
This is Truly SG 🇸🇬
Source: CNA
