Fee income, recovery in loan growth are key drivers for Singapore banks in 2026

But analysts expect overall results to be flattish or lower, weighed down by net interest income

Fee income and a recovery in loan growth will likely be the key earnings drivers for the three local banks – DBS, OCBC and UOB – in 2026 as net interest income continues to fall, analysts said.

Meanwhile, wealth management will probably remain the biggest contributor to non-interest income growth. But analysts also believe other non-interest income segments can become bigger contributors in the year ahead as interest rates decline.

“This year, non-interest income was largely just the wealth segment picking up steam, while the other contributors weren’t really there yet,” said Thilan Wickramasinghe, Maybank Securities’ head of research and regional financials.

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