Artificial intelligence (AI) and technology are now among the leading drivers influencing international expansion and capital deployment strategies, HSBC‘s recent survey showed.

According to the survey, access to AI, critical technologies and infrastructure will be the most important influence on respondents’ international strategies over the next three years (50 percent), on par with market growth and client demand (49 percent).

This is even more pronounced in Singapore, where 88 percent cite access to critical technologies and infrastructure as a strong influence on their international strategy.

These showed technology is now central to the global investment decisions of business leaders and institutional investors.

Meanwhile, having strong AI and data-related infrastructure and attractive energy costs is also one of the most important drivers when deciding to increase exposure to individual markets (51 percent), just behind strong growth prospects and customer demand (52 percent).

For Singapore-based businesses and institutional investors, strong AI and data-related infrastructure is likewise among the top reasons to increase exposure to a given market, alongside growth prospects and customer demand.

Globally, respondents believe that the most significant potential benefits of AI over the next three years will be improved productivity and workforce efficiency (56 percent).

Forecasting and modelling (48 percent), and increased innovation, ideas and operational cost savings (46 percent) were also significant.

That said, a meaningful 32 percent expect AI to play a more strategic role in three years’ time by fundamentally reshaping their core business model.

This indicates an anticipated shift in not just how work gets done, but what products and services are offered, how they are delivered, and how value is created.

In Singapore, expected benefits are led by improved productivity and workforce efficiency (55 percent), followed by better forecasting and decision-making (50 percent) and transformation of the core business model (37 percent).

According to the report, globally, 49 percent of institutional investors cite increasing exposure to AI and technology themes as their most common strategy for positioning client portfolios in 2026 in response to the current economic climate. This is the primary focus for portfolio repositioning.

Meanwhile, only 14 percent expect to make no material changes to their overall approach.

The survey involved 3000 businesses leaders and institutional investors in ten markets. It was conducted in March against the backdrop of recent world events. It involved respondents from Singapore.

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