Singapore has consistently ranked as one of the most sustainable cities in Asia and globally for several years. Hence it is not surprising that the nationwide e-invoicing initiative led by the IMDA aligns with ‘The Singapore Green Plan 2030‘. The Singapore Green Plan 2030 is a strategy to make Singapore a global leader in sustainability by 2030, in line with Singapore’s commitments under the UN’s 2030 Sustainable Development Agenda and Paris Agreement.
The growth projections for the APAC region e-invoicing market show a promising trend. ‘In Asia-Pacific, the e-invoicing market is projected to reach US$ 4,217.6 Mn by 2027 from US$ 1,241.7 Mn in 2019., According to a report by Industry Today, one can expect it to grow at a CAGR of 17.1% from 2020 to 2027. In the Asia-Pacific region, Singapore is one of the forerunners in the adoption of paperless technology by launching the nationwide mandate for e-invoicing called InvoiceNow three years ago.
InvoiceNow is the Nationwide E-Invoicing Network implemented by the IMDA (Infocomm Media Development Authority) in 2019 to facilitate an e-invoicing initiative across Singapore. The idea is to enable small and large enterprises to transact electronically, eliminating the need to print, postal mail, email, or require any paper invoices.
Peppol is the secure framework adopted by InvoiceNow in Singapore to support the data exchange required during E-Invoicing. The OpenPeppol framework is used across 40+ countries around the globe, and IMDA Singapore is the first non-Europe Peppol authority, leading the adoption of Peppol in the ASEAN region. The purpose of Peppol is to enable the electronic transmission of documents between enterprises.
One of the essential benefits of E-Invoicing is the elimination of manual processes that are prone to errors, thereby increasing accuracy and reducing risk across the board. As a result, in Singapore, businesses of all sizes benefit from more streamlined processes thanks to InvoiceNow.
Elimination of manual processes leads to faster invoice turnover and ensures that businesses can save valuable time and avoid time-consuming and tedious processing cycles.
E-invoicing is significantly cutting down on the amount of paper used and is helping businesses in Singapore become greener in their operations. Furthermore, e-invoicing results in higher productivity due to shorter cycle times and sustainable business practices, access to new cost-effective financing options for businesses, and a method to reduce the carbon footprint for firms adopting a CSR strategy.
E-invoicing enables and makes it easier for businesses in Singapore to comply with various legal, tax/GST regulations. It also allows for maintaining invoice records consistent with guidelines defined by the Inland Revenue Authority of Singapore (IRAS).
Digitalization of crucial business processes is a strategic milestone that efficiency-conscious organizations must achieve. Singapore is setting an excellent example for ASEAN countries to follow, with e-Invoicing being a step in the right direction toward a sustainable future. Ask us how Zycus’s Peppol compliant cognitive solutions can help you embrace e-Invoicing with ease.