29 September 2025 - SINGAPORE extends CPF 4% interest floor
The government has extended the 4% interest rate floor for Special, MediSave, and Retirement Accounts (SMRA) until 31 December 2026, to provide stability amid a low-interest rate environment.
Key points
- • Ordinary Account (OA) interest remains at 2.5%, and
- • HDB loan rate stays at 2.6% (0.1% above OA) from 1 Oct to 31 Dec 2025.
Extra interest continues
- • Below 55: +1% on the first $60,000 (capped at $20,000 from OA).
- • 55 and above:
- – +2% on the first $30,000, and
- – +1% on the next $30,000 (OA cap applies).
CPF LIFE members will also continue earning the extra interest, including on the amount used for CPF LIFE.
22 September 2025 - INDIA implements 2 GST rates effective 22 September 2025
India began levying 2 standard rates of goods and services tax (GST) from 22 September 2025.
The current 4 rates of 5%, 12%, 18% and 28% were condensed into 2 rates of 5% and 18%. A 40% rate applies to sin goods, luxury yachts and cars. India also retained the 3% rate of GST on jewellery and 0.25% rate on precious stones.
22 September 2025 - INDONESIA to review minimum wage following worker protests
Manpower Minister Yassierli has addressed workers’ demands for a minimum wage increase following mass protests on 22 September 2025.
Thousands of demonstrators, led by the Indonesian Trade Union Confederation (KSPI) and the Labour Party called for an 8.5% to 10.5% wage hike. The government still has time to deliberate before the official announcement of the 2026 minimum wage in November 2025.
The final decision, will be followed by the issuance of updated regulations on the Provincial Minimum Wage.
22 September 2025 - CAMBODIA sets new minimum wage for 2026
The Cambodian government has approved a new monthly minimum wage of $210 for workers in the garment, footwear, and travel goods industries, marking a $2 increase from the current rate.
It will officially take effect on 1 January 2026. Employers must update payroll systems, employment contracts, and compliance procedures to implement the new minimum wage.
17 September 2025 - THAILAND's 7% VAT rate extended until September 2026
The Cabinet has approved an extension to the application of the 7% value-added tax (VAT) rate until September 2026. The measure was due to expire on 1 October 2025.
The measure was first introduced in response to the COVID-19 pandemic, reducing the standard rate from 10%.
9 September 2025 - Japan raises minimum wage to 1,121 yen
The Japanese Ministry of Health, Labour and Welfare has approved a 6.3% increase in the minimum hourly wage to 1,121 yen (around USD 7.56), the largest rise since 1978. The new standard, which will gradually take effect from October 2025, is expected to benefit about 3 million workers nationwide.
Employers should review pay structures, update payroll systems, and budget for higher labor costs to comply with the new wage. Employees can expect higher hourly pay, better job security, and improved living standards, though some may see adjustments to work schedules.