Loan curbs on private-hire car buyers: 2026 monthly registrations up two-thirds so far

In the past year, the monthly average registrations of individual private-hire cars in Singapore have surged by 66 percent compared to the previous year, according to data from the Ministry of Transport. Prior to October 30, the monthly average was around 300 registrations, while it is now approximately 500 registrations per month from January to September 2026.

These private-hire cars, also known as individually-owned, self-drive PHCs, are now subject to the same financing limits as private cars. Under the new rules, the loan quantum cannot exceed 70 percent of the purchase price and the maximum loan tenure is seven years. The government imposed these restrictions on all individuals, including sole proprietors, in an effort to curb the surge in individuals registering private-hire vehicles for the purpose of securing easier financing arrangements without providing ride-hailing services.

Before the rule change, privately-owned PHCs were exempt from financing restrictions under the assumption that they were being used for commercial purposes. The Monetary Authority of Singapore, the Ministry of Trade and Industry, and the Ministry of Law released a joint statement on Thursday, stating that these measures were taken to address the issue.

However, the restrictions do not apply to other financing arrangements such as in-house loans or lease-to-own schemes offered by private-hire car companies. The government will continue to monitor market developments and consider further steps to apply the same restrictions across financing arrangements. Industry observers welcomed the rule changes but believe that they are unlikely to impact Certificate of Entitlement premiums.