The Kyndryl and Microsoft study shows rising interest in agentic AI

• Kyndryl and Microsoft study shows rising use of predictive and agentic AI in Singapore.
• Many moving beyond ‘quick wins’ by forecasting resource and climate risks.

Singapore companies are moving faster on sustainability than many of their global peers, according to new findings from the third Global Sustainability Barometer Study. The research, produced by Ecosystm and supported by Kyndryl and Microsoft, points to a clear rise in pressure to meet compliance rules and show measurable returns on sustainability work.

The year, 87% of organisations in Singapore said they kept up or increased their sustainability efforts. That figure was 60% in 2024 and is well above the global average of 66%. The study suggests that firms in Singapore are preparing for tighter expectations, including new climate-related disclosures under SGX rules, higher carbon taxes, and guidance on lowering the impact of digital systems.

Many are also leaning more on technology teams to help them reach their goals. Fifty-eight percent said their IT groups now lead sustainability priorities in the company, up from 40% last year, and 63% said their IT and sustainability teams are well-aligned.

“Organisations in Singapore are decisively harnessing technology to advance environmental sustainability outcomes. Rising disclosure requirements and increasing pressure for real-time reporting are driving the need for AI, automation, and trusted data platforms,” said Guat Ling Ang, Managing Director, Kyndryl Singapore. “When sustainability is built into core business operations, businesses can gain clearer insights that help them make smarter, data-driven decisions that build resilience and spark innovation.”

Integration is the new marker of maturity

A major shift appears in this year’s findings: the companies making the strongest progress tend to embed sustainability into daily operations rather than treat it as a separate track of work. The integration-focused organisations perform better than their peers in industries and regions.

Singapore stands out in this area. Thirty-five percent of organisations in the country fall into the integration-focused group, more than double the global average of 16%. More than half – 52% – also view sustainability as a core force behind new ideas, long-term cost savings, and greater stability, compared with just 17% worldwide.

Predictive AI is also becoming more common. Sixty-three percent of Singapore organisations now use it to forecast resource use and emissions, up from 35% the year before. Another 53% use it to anticipate climate risks, an increase from 45%.

“The 2025 Global Sustainability Barometer Study shows that more than half of leading organisations now use predictive AI to anticipate and act on sustainability challenges – rather than just to track and analyse – making forward-looking intelligence central to sustainability strategy,” said Ricardo Davila, GM, Enterprise Partner Solutions, Microsoft. “We’re proud to partner in the ecosystem to help every organisation turn sustainability into a data-driven operating capability.”

What the Singapore data says

ROI remains a major force.

More than half of Singapore organisations – 52% – said the main barriers to progress are unclear ROI and trouble measuring outcomes. Yet only 35% use AI as a core tool for environmental decisions, even though doing so could help address these concerns. Among the firms that advanced their sustainability efforts this year, 67% said they did so after proving a stronger business case, clearer ROI, or new sources of revenue tied to sustainability.

Data issues run deep.

Half of the organisations struggle to pull data from internal systems, while 43% say the information they do have is missing pieces or lacks structure. The gaps limit the accuracy of AI tools and make reliable analysis harder.

Quick fixes still dominate.

Many companies continue to focus on short-term or easy wins. Eighty percent are working on energy-efficient hardware and systems. Sixty-seven percent are improving server use and consolidation, while 63% are focusing on FinOps. Longer-term steps lag behind: only 33% extend asset life or address e-waste, and just 18% are adopting more sustainable IT procurement.

Agentic AI is in early testing.

Only 5% of organisations have deployed agentic AI for sustainability, but another 23% are piloting or rolling it out. The early trials suggest interest in using AI systems that can take action on their own to support sustainability plans.

“Predictive and Agentic AI create a closed-loop system where insight meets action. Predictive AI anticipates risks, while Agentic AI responds in real time, turning strategy into execution,” said Sash Mukherjee, Vice President, Industry Insights, Ecosystm. “When technology and business strategy align, organisations can truly embed measurable environmental outcomes into everyday operations.”

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