1. Introduction

The relationship between urban religious sites and economic development is a fascinating area of study. As a multi-cultural and multi-religious city-state, Singapore offers a unique perspective on the contribution of religious institutions to the urban economy. The article focuses on Buddhism because Buddhists represent the largest religious group in Singapore, comprising 31% of the population, and Buddhist temples are widely distributed across the city. Additionally, the substantial income and extensive prospering holdings of some large Buddhist temples highlight their economic significance. This paper examines Buddhist temples in Singapore, employing sociology methodology and statistical analysis. By adjusting for inflation to estimate annual reports, using linear regression to predict the unknown profits of certain temples and conducting in person surveys at temples, the study explores their role in increasing tax revenue, attracting immigrants and supporting the local economy.

2. Overview of Buddhist Temples in Singapore

The history of Buddhism in Singapore has a long history, and its development is closely linked to Singapore's status as an international trading port and a meeting point of diverse cultures. From ancient times, cultural exchanges between the Malay Peninsula and India, Southeast Asia and China gradually introduced Buddhist ideas to Singapore. Historians generally agree that Singapore was influenced by Indian culture, including Brahmanism and Buddhism, around 400 or 500 B.C [1]. In more recent times, with the influx of a large number of Chinese and Thai immigrants, northern Mahayana Buddhism rapidly spread and took root in Singapore [2, 3]. These immigrants not only brought the Buddhist faith, but also established many Buddhist temples and became the backbone of the development of Buddhism in Singapore.

In Singapore, Buddhist temples are not only the centre of religious activities, but also an important platform for community culture, spiritual nourishment, and social services. The temple has enriched the spiritual life of believers and promoted cross-cultural exchanges and integration by holding various activities such as religious celebrations and meditation courses. At the same time, the temple also actively participates in social charities [4], such as poverty alleviation, educational support, medical assistance, etc., making positive contributions to the development and progress of the community. In addition, Buddhist temples, through the establishment of Buddhist colleges, the publication of Buddhist books and other activities, provide believers and the public with an in-depth understanding of Buddhist teachings and experience Buddhist culture. It has enhanced people's sense of identity and belonging to Buddhist culture, and also promoted the prosperity and development of diverse cultures in Singapore [5].

3. The Direct Contribution of Buddhist Temples to the Economy of Singapore

3.1. Attracting Immigrants

Singapore’s Buddhist temples play a significant role in its economy by attracting immigrants drawn to the city’s religious tolerance, rich Buddhist resources, and social opportunities [2,3]. These temples serve as community hubs where newcomers can establish social connections, explore career opportunities, and integrate into society, supported by temple activities and resources [6].

The involvement of immigrants in temple activities extends to financial contributions. Their economic contributions further bolster Singapore’s prosperity, contributing to government revenues that support public services and infrastructure development, thereby creating a cycle of benefit and growth [7].

3.2. Tax Contributions

Table 1: Buddhist temples in Singapore their status.

In Singapore, as an important non-profit organization (NPO), the tax status of Buddhist temples not only affects their operation and development, but also has a positive impact on the economic development of Singapore. Table 1 shows the total 27 Buddhist temples in Singapore, and 15 of them benefit from tax-exempt status due to their Institution of Public Character (IPC) designation. However, the remaining 12 temples are subject to taxation under Singapore's tax laws, directly contributing to the government revenue. These funds support public infrastructure, social welfare programs, education, and healthcare, thereby fostering steady growth in the overall economy.

Table 2: Reference data for regression line.

To more accurately assess the tax contribution of Buddhist temples to the Singapore economy, this study used a regression analysis method to calculate the annual income range of all temples in Singapore based on data from four temples with known years of establishment, annual income and total area. The linear regression formula:

\( {y_{i}}=β+{α_{1}}{x_{1,i}}+{α_{2}}{x_{2,i}} \)

In the formula, i is the index of each variable and \( {y_{i}} \) is the dependent variable, which refers to the predicted income of each temple. \( β \) is the intercept, and \( {α_{1}} \) and \( {α_{2}} \) are coefficients. \( {x_{1}} \) refers to the age of the temple, while \( {x_{2}} \) refers to the number of floors times the area of the temple.

Although this method has some limitations (such as small data sample size), it provides a foundational framework for estimation. On this basis, we can further estimate the total amount of tax contributed by those temples that are subject to taxation, thereby gaining a more comprehensive understanding of their role in economic development. Of the four temples, income data for three were collected in 2023, while one had data from 2021, which was adjusted to 2023 values based on inflation to finalize the regression analysis.

In this regression analysis, a linear regression model was built to examine how temple income is affected by temple age and size. The area variable is expressed as the product of the number of floors and the area, with the age and area of the temple as the independent variable and the income as the dependent variable. Through the model, the regression coefficients for each independent variable were estimated: temple age and area. These coefficients represent the marginal effect of each independent variable on temple revenue. The results can help to understand the extent to which temple age and size contribute to income and determine whether these factors significantly affect a temple's economic performance.

Table 3: Non-IPC Buddhist temples and their predicted income (The code for the linear regression is in the appendix).

Table 3 shows the size and age of all temples that are not on the IPC list and predicts the likely income of these temples by linear regression. However, as mentioned before, the small sample size will lead to some anomalies, including two instances of negative income estimates. By summing the total income excluding negative value with errors and applying the 17% corporate income tax rate mandated in Singapore [8], we estimate that the annual tax revenue from Buddhist temples in Singapore is approximately 38.42 million Singapore Dollars, which is 0.0057% of the Gross Domestic Product of Singapore in 2023.

3.3. Tourism promotion

In Singapore, temples maintain a balance between modernity and tradition in addition to promoting cultural heritage and spiritual tourism. Tourists are drawn to these temples not only for religious purposes, but also to appreciate the architectural, historical and cultural significance. Temples help deepen understanding of local customs and values and promote cultural diversity. In addition, their free admission and affordable thread incense (less than US $3 or US $2) make it more accessible to local worshippers and international visitors. This balance between cultural preservation and tourism supports both the cultural vitality of the city and its economy.

In contrast, Chinese temples, such as Jing 'an Temple in Shanghai, also attract a large number of domestic and foreign tourists. These temples are important cultural landmarks, boosting tourism and the local economy through ticket sales, incense, donations, and temple-related merchandise such as lighting bracelets and lighting kits. However, commercialization has raised concerns. However, over-commercialization has raised concerns, as it may affect the original cultural and religious significance of these temples. For example, the high cost of visiting Jing 'an Temple (around 70 yuan or $10) and buying items such as bracelets (no less than 900 yuan or $128) has sparked complaints about over-commercialization. shifting focus from spiritual and cultural practices to profit-making. These higher prices are in stark contrast to more accessible practices in Singapore, highlighting the differences in temples' contributions to the local economy and the potential for over-commercialized development in some cases.

4. The indirect contribution of Buddhist temples to the economy in Singapore

The indirect contribution of Buddhist temples to Singapore's economy is not only in terms of economic activity, but also in strengthening community cohesion. The temple serves as a hub for social interaction, bringing together diverse groups, including natives and immigrants, to foster a sense of belonging and shared values. By organising cultural events, festivals and religious ceremonies, temples promote social harmony and mutual understanding among different ethnic groups and cultures [9, 10].

In addition to religious activities, temples often initiate educational programs and cultural preservation efforts, attracting the participation of local residents and immigrants. These initiatives not only help bridge generational differences and preserve cultural heritage, but also provide migrants with opportunities to engage with local communities, learn new skills and better integrate into society. As such, temples have played an important role in promoting social cohesion and social progress, indirectly contributing to Singapore's social stability and economic prosperity.

5. Conclusion

This article explores the contribution of Buddhist temples in Singapore to the economic development of the city, revealing how these religious sites contribute to the prosperity of the local economy through both direct and indirect means. Research shows that Buddhist temples not only play an important economic role in attracting immigrants, increasing tax revenue and promoting tourism, but also play an important indirect role in strengthening community cohesion, promoting social harmony and promoting social progress. By attracting immigrants and supporting the local economy, these temples have contributed positively to Singapore's multicultural and economic growth. However, the study also points to the over-commercialization of temples in economic development, which may diminish their original cultural and religious significance. Therefore, how to balance the religious function of temples with their economic impact will be an important direction for future research and policy making.