<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
GENERAL INFORMATION
- --------------------------------------------------------------------------------
THE FUND
The Singapore Fund, Inc. (the "Fund") is a non-diversified, closed-end
management investment company. Its primary investment objective is capital
appreciation, which it seeks through investment primarily in Singapore equity
securities, and to a lesser degree, investment in equity securities issued by
companies in ASEAN Group countries. The ASEAN Group currently is composed of
Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar (formerly Burma), the
Philippines, Singapore, Thailand and Vietnam. The Fund's Investment Manager is
DBS Asset Management (United States) Pte. Ltd. (the "Manager"), an indirectly
wholly-owned subsidiary of The Development Bank of Singapore, Ltd. Daiwa SB
Investments (Singapore) Ltd. provides the Manager with advice regarding
investments.
SHAREHOLDER INFORMATION
The Fund's shares are listed on the New York Stock Exchange ("NYSE"). The
Fund understands that its shares may trade periodically on certain exchanges
other than the NYSE, but the Fund has not listed its shares on those other
exchanges and does not encourage trading on those exchanges. The Fund's NYSE
trading symbol is "SGF". Weekly comparative net asset value ("NAV") and market
price information about the Fund is published each Monday in THE WALL STREET
JOURNAL, each Sunday in THE NEW YORK TIMES, and each Saturday in BARRON'S, and
also in many other newspapers. The Fund's weekly NAV is also available by
visiting www.daiwast.com or calling (800) 933-3440 or (201) 915-3020. Also, the
Fund's website includes a monthly market review and a list of the Fund's top ten
industries and holdings.
INQUIRIES
Inquiries concerning your share account should be directed to EquiServe
Trust Company, N.A. (the "Plan Agent") at the number noted below. All written
inquiries should be directed to the Fund, c/o Daiwa Securities Trust Company,
One Evertrust Plaza, 9th Floor, Jersey City, NJ 07302-3051.
RESTRICTION ON BENEFICIAL OWNERSHIP BY SINGAPORE RESIDENTS
The Fund expects to continue to qualify for a Singapore income tax exemption
granted to non-Singapore resident investors with respect to certain types of
income derived from Singapore sources. In order for the Fund to be treated as a
non-Singapore resident, and therefore qualify for this exemption, not more than
5% of the Fund's issued share capital may be beneficially owned, directly or
indirectly, by Singapore residents. For this reason, the Fund's Board of
Directors has restricted, is currently prohibiting and in the future may
prohibit, the transfer of the Fund's shares to residents of Singapore.
DIVIDEND REINVESTMENT AND CASH PURCHASE PLAN
A Dividend Reinvestment and Cash Purchase Plan (the "Plan") is available to
provide Shareholders with automatic reinvestment of dividends and capital gain
distributions in additional Fund shares. The Plan also allows you to make
optional semi-annual cash investments in Fund shares through the Plan Agent. A
brochure fully describing the Plan's terms and conditions is available from the
Plan Agent by calling (800) 426-5523 or by writing The Singapore Fund, Inc., c/o
EquiServe Trust Company, N.A., P.O. Box 43010, Providence, RI 02940-3010.
<Page>
THE SINGAPORE FUND, INC.
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May 22, 2003
DEAR SHAREHOLDERS:
We are pleased to present the Semi-Annual Report of The Singapore Fund, Inc.
(the "Fund") for the six months ended April 30, 2003.
PERFORMANCE REVIEW
<Table>
<Caption>
NOV'02 FEB'03 NOV'02
TO TO TO
US$TERMS JAN'03 APRIL'03 APRIL'03
Singapore Fund -8.7% -0.5% -9.1%
Straits Times ("ST") Index -10.2% -2.9% -12.9%
Relative to Benchmark Index +1.6% +2.4% +3.7%
</Table>
Source: Bloomberg
Our portfolio performed relatively well for the half year under review, with
a total out-performance of 370 basis points ("bps"). Value added from the first
and second quarters were positive, with out-performance of 160 bps and 240 bps,
respectively. The out-performance was due mainly to our heavy over-weight in
under-researched small and mid-cap industrial stocks, and our selective approach
toward the technology sector. In addition, we also saw strong stock selection
effects from our conglomerate weightings.
MARKET REVIEW
The Singapore market as measured by the ST Index started the year poorly,
falling by 10.2% in the first quarter, followed by another 2.9% fall in the
second quarter. For the six months under review, the market fell 12.9%.
The Singapore market fell during the month of November 2002 on the back of
disappointing economic news and renewed concerns over corporate earnings. The
government revised down significantly Gross Domestic Product (GDP) growth
expectations for 2002 to 2.0% from 2.5%, implying another quarter of contraction
in the fourth quarter of 2002. This was largely due to prolonged weakness in the
external economy, as illustrated by October 2002's non-oil domestic export
growth, which slowed to +5.7% after a +16.9% jump in September 2002. In
addition, domestic unemployment reached a 15-year high of 4.8%, adding to
concerns about the overall economy.
The Singapore market continued to fall in December 2002. The lack of any
positive developments, coupled with continued concerns that economic recovery
was likely to be more distant, resulted in the overall weakness in equity
prices. Despite the improvement in the Producers Manufacturing Index in
November, which reflected expansion in the manufacturing sector for the ninth
straight month, investors remained generally cautious. Policy changes such as
the government's decision to raise the Goods and Services Tax (GST) in two
stages, and the announcement to extend the suspension of land sales to the
second quarter of 2003 failed to lift overall investor sentiment.
January 2003 was another poor month for the market. Economic news remained
negative and continued to weigh down on overall investor sentiment. December
2002's non-oil domestic exports were significantly below market expectations,
falling by 10% seasonally adjusted compared to the previous month. In addition,
the
2
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
cautious economic outlook painted by the Monetary Authority of Singapore (MAS)
suggesting that domestic unemployment could reach as high as 5.5% and that
recovery is likely to be in the second half of this year provided yet further
reasons for investors to shy away from equities.
Most sectors faired poorly over the period, with the exception of selective
transport and small-cap companies. Companies with strong operating cash flow
that are able to deliver high dividend payments also performed well as investors
remain generally defensive.
The Singapore market drifted lower during the second quarter. The lack of
positive economic drivers continued to dampen overall sentiment and selling
pressure persisted for most of the quarter.
Share prices were weak at the beginning of March and only started to rebound
on news of a U.S.-led invasion on Iraq. Share prices across the board rebounded
strongly from their lows as investors began to discount a quick and successful
war, and looked forward to the prospect of economic recovery in the second half
of the year. However, as the war progressed and developments indicating that a
swift war might not be a foregone conclusion, equity prices began to correct
again, leaving the ST Index almost unchanged for the month.
The first outbreak of SARS (Severe Acute Respiratory Syndrome) began to grab
media headlines at the start of April 2003 and resulted in a new wave of selling
across domestic equities. The adverse impact of SARS on the economy resulted in
several downgrades in economic growth estimates for the current year, from
initial estimates of 2.0% to 2.5% to now 0% to 0.5%. Earnings projections in
sectors such as transportation and consumer cyclicals were also significantly
revised downward.
Share prices remained volatile in April 2003, with the market reacting to
the daily news on the spread of SARS. The market began to stabilize toward the
end of the month, as investors grew more confident that the government had
managed to contain the spread of SARS. Improving consumer sentiment toward the
U.S. stock market also helped.
MARKET OUTLOOK & STRATEGY
Market outlook should improve, as the spread of SARS appears to be under
control. Global factors are also improving; for example, the military aspect of
the war in Iraq has ended. In addition, oil prices are trending down and
interest rates are expected to remain low. The picture for U.S. consumption has
also improved, with positive implications for their Asian suppliers, including
Singapore. Corporate information technology spending in the U.S. could also
surprise given an arguably less clouded macro outlook.
The broad based and sharp sell-off in equities on the back of SARS has
presented several compelling opportunities. We have capitalized on these
opportunities to increase the portfolio's holdings in selective companies with
strong fundamentals. Many of these companies are now trading below replacement
cost and we expect share prices to recover over the next six to nine months. In
this respect, we have increased the Fund's weighting in the transportation,
technology and industrial sectors.
3
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
<Table>
<Caption>
OVERWEIGHT RATIONALE
Conglomerate Strong prospects for corporate restructuring and special
dividends. Earnings from core businesses likely to surprise.
Valuations attractive on both PER and NAV discount measures.
Industrial Strong earnings momentum. Valuations yet to reflect growth
prospects.
Technology Earnings should continue to show sequential improvement on
the back of inventory rebuilding and market share gains.
Concerns relating to fund raising unfounded. Valuations fail
to reflect stronger balance sheet and superior technology
road map.
Telecommunication High earnings quality. Contribution from overseas operations
key growth driver (now over 45% versus less than 10% two
years ago) not recognized by market. Compelling valuations.
NEUTRAL
Media Improvements in page counts and potential asset sales
ignored by market. Prospects of special dividends over next
three months should result in renewed interest towards the
sector. Current valuations already discounted slowdown in
domestic advertising market.
Real Estate Lack of growth drivers but valuations attractive.
Privatization could renew investor interest.
UNDERWEIGHT
Transport Significant earnings risk due to SARS scare. Recovery
unlikely to be imminent.
Finance No new catalysts for credit growth. Prospects from cost
savings already discounted. Valuations appear fair.
</Table>
PORTFOLIO MANAGEMENT
Mr. Roy Phua has been the Fund's portfolio manager since October 12, 2000.
Mr. Phua is responsible for the day-to-day management of the Fund's portfolio.
Mr. Phua joined DBS Asset Management Ltd., of which the Fund's Investment
Manager, DBS Asset Management (United States) Pte. Ltd. is a wholly owned
subsidiary, in July 2000. From 1995 to 2000, Mr. Phua worked at Rothschild Asset
Management Pte. Ltd. Singapore as an analyst and portfolio manager.
The Fund's management would like to thank you for your participation in The
Singapore Fund, Inc. and would be pleased to hear from you.
Sincerely,
/s/ Ikou Mori
IKUO MORI
CHAIRMAN OF THE BOARD
4
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THE SINGAPORE FUND, INC.
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PORTFOLIO OF INVESTMENTS
APRIL 30, 2003 (UNAUDITED)
- --------------------------------------------------------------------------------
COMMON STOCKS--90.35%
- --------------------------------------------------------------------------------
<Table>
<Caption>
SHARES VALUE
- --------- -----------
SINGAPORE--90.35%
BANKS & FINANCIAL SERVICES--22.81%
728,000 Oversea-Chinese Banking Corp. Ltd. ..... $ 3,875,394
1,442,712 United Overseas Bank Ltd. .............. 8,452,121
-----------
12,327,515
-----------
BUILDING MATERIALS--4.56%
3,650,000 Hong Leong Asia Ltd. ................... 2,467,328
-----------
COMMUNICATIONS--MEDIA--6.92%
402,690 Singapore Press Holdings Ltd. .......... 3,742,894
-----------
ELECTRONIC COMPONENTS--5.53%
3,675,000 Chartered Semiconductor Manufacturing
Ltd.+* ................................ 1,428,431
728,000 CSA Holdings Ltd.* ..................... 393,691
140,000 Venture Corp. Ltd. ..................... 1,167,192
-----------
2,989,314
-----------
ENTERTAINMENT--3.28%
9,304,500 Star Cruises Ltd.* ..................... 1,770,336
-----------
FOODS--2.86%
343,100 Fraser & Neave Ltd. .................... 1,546,192
-----------
INDUSTRIAL--4.42%
2,650,000 Singapore Technologies Engineering
Ltd.+ ................................. 2,388,463
-----------
PROPERTY DEVELOPMENT--5.52%
660,000 City Developments Ltd. ................. 1,256,647
1,770,000 United Overseas Land Ltd. .............. 1,724,933
-----------
2,981,580
-----------
</Table>
<Table>
<Caption>
SHARES VALUE
- --------- -----------
REAL ESTATE--1.65%
1,970,000 Allgreen Properties Ltd. ............... $ 893,336
-----------
RECYCLING--4.27%
8,451,000 Citiraya Industries, Ltd. .............. 2,308,886
-----------
SECURITY SYSTEMS--1.48%
7,307,000 MultiVision Intelligent Surveillance
Ltd.* ................................. 802,650
-----------
SHIPYARDS--3.50%
752,000 Keppel Corp. Ltd.+ ..................... 1,889,319
-----------
TELECOMMUNICATIONS--8.58%
5,681,000 Singapore Telecommunications Ltd.+ ..... 4,640,294
-----------
TRANSPORTATION--AIR--5.07%
515,150 Singapore Airlines Ltd.+ ............... 2,742,321
-----------
TRANSPORTATION--MARINE--3.06%
2,404,000 Neptune Orient Lines Ltd.* ............. 1,652,141
-----------
WATER TREATMENT SYSTEMS--6.84%
5,051,250 Hyflux Ltd. ............................ 3,699,090
-----------
Total Common Stocks
(Cost--$52,088,632) ............................. 48,841,659
-----------
- ----------------------------------------------------------------
CONVERTIBLE PREFERRED STOCK--0.09%
- ----------------------------------------------------------------
MALAYSIA--0.09%
GAMING--0.09%
65,000 Berjaya Sports Toto Berhad+
(Cost--$51,817) ....................... 48,580
-----------
</Table>
5
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONCLUDED)
APRIL 30, 2003 (UNAUDITED)
- --------------------------------------------------------------------------------
TIME DEPOSITS--2.78%
- --------------------------------------------------------------------------------
<Table>
<Caption>
PRINCIPAL
AMOUNT
(000) VALUE
- --------- -----------
U.S. DOLLAR TIME DEPOSITS--2.78%
$ 289 Bank of New York, 0.10%, due 5/1/03 .... $ 288,635
1,213 Citibank Singapore, 1.00%, due
5/1/03 ................................ 1,212,598
-----------
Total U.S. Dollar Time Deposits
(Cost--$1,501,233) .............................. 1,501,233
-----------
Total Investments--93.22%
(Cost--$53,641,682) ............................. 50,391,472
Other assets less liabilities--6.78% .............. 3,662,857
-----------
NET ASSETS (Applicable to 9,205,304 shares of
capital stock outstanding; equivalent to $5.87
per share)--100.00% ............................. $54,054,329
===========
</Table>
- ------------------------
+ Deemed to be an affiliated issuer.
* Non-income producing securities.
- -------------------------------------------
TEN LARGEST COMMON STOCK
POSITIONS HELD
APRIL 30, 2003 (UNAUDITED)
- -------------------------------------------
<Table>
<Caption>
PERCENT OF
ISSUE NET ASSETS
- ----- ----------
United Overseas Bank Ltd. ......... 15.64%
Singapore Telecommunications
Ltd. ............................. 8.58
Oversea-Chinese Banking Corp.
Ltd. ............................. 7.17
Singapore Press Holdings Ltd. ..... 6.92
Hyflux Ltd. ....................... 6.84
Singapore Airlines Ltd. ........... 5.07
Hong Leong Asia Ltd. .............. 4.56
Singapore Technologies Engineering
Ltd. ............................ 4.42
Citiraya Industries, Ltd. ......... 4.27
Keppel Corp. Ltd. ................. 3.50
</Table>
- -------------------------------------------
TEN LARGEST COMMON STOCK
CLASSIFICATIONS HELD
APRIL 30, 2003 (UNAUDITED)
- -------------------------------------------
<Table>
<Caption>
PERCENT OF
INDUSTRY NET ASSETS
- -------- ----------
Banks & Financial Services ........ 22.81%
Telecommunications ................ 8.58
Communications--Media ............. 6.92
Water Treatment Systems ........... 6.84
Electronic Components ............. 5.53
Property Development .............. 5.52
Transportation--Air ............... 5.07
Building Materials ................ 4.56
Industrial ........................ 4.42
Recycling ......................... 4.27
</Table>
See accompanying notes to financial statements.
6
<Page>
THE SINGAPORE FUND, INC.
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STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2003 (UNAUDITED)
- --------------------------------------------------------------------------------
<Table>
ASSETS
Investment in securities, at value:
Unaffiliated securities (cost -- $39,892,596)........... $37,302,644
Affiliated securities (cost -- $13,730,294)............. 13,088,828 $ 50,391,472
-----------
Cash denominated in foreign currency (cost --
$3,464,471).............................................. 3,448,051
Receivable for securities sold............................ 623,753
Interest and dividends receivable......................... 20,447
Prepaid expenses.......................................... 22,449
------------
Total assets............................................ 54,506,172
------------
LIABILITIES
Payable for securities purchased.......................... 265,840
Accrued expenses and other liabilities.................... 186,003
------------
Total liabilities....................................... 451,843
------------
NET ASSETS
Capital stock, $0.01 par value per share; total
100,000,000 shares authorized; 9,205,304 shares issued
and outstanding.......................................... 92,053
Paid-in capital in excess of par value.................... 106,414,347
Accumulated net investment income......................... 128,596
Accumulated net realized loss on investments.............. (49,331,419)
Net unrealized depreciation on investments and other
assets and liabilities denominated in foreign currency... (3,249,248)
------------
Net assets applicable to shares outstanding............. $ 54,054,329
============
NET ASSET VALUE PER SHARE........................... $ 5.87
============
</Table>
See accompanying notes to financial statements.
7
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2003 (UNAUDITED)
- --------------------------------------------------------------------------------
<Table>
INVESTMENT INCOME:
Dividends:
Unaffiliated securities (net of withholding taxes of --
$89,877)............................................... $ 432,578
Affiliated securities (net of withholding taxes of --
$48,185)............................................... 249,677 $ 682,255
----------
Interest.................................................. 5,564
-----------
Total investment income................................. 687,819
-----------
EXPENSES:
Investment management fee................................. 216,980
Investment advisory fee................................... 106,906
Administration fee........................................ 75,000
Audit and tax services.................................... 38,680
Custodian fees and expenses............................... 29,881
Legal fees and expenses................................... 27,769
Reports and notices to shareholders....................... 23,803
Osaka Securities Exchange fees and expenses............... 23,150
Insurance expense......................................... 19,727
Directors' fees and expenses.............................. 14,876
Transfer agency fee and expenses.......................... 11,515
Other..................................................... 17,853
-----------
Total expenses.......................................... 606,140
-----------
Net investment income before waivers........................ 81,679
Waiver of:
Management fee.......................................... (27,161)
Advisory fee............................................ (27,161)
-----------
Net investment income after waivers......................... 136,001
-----------
REALIZED AND UNREALIZED GAINS FROM INVESTMENT ACTIVITIES AND
FOREIGN CURRENCY TRANSACTIONS:
Net realized (losses) on investments:
Unaffiliated securities................................. (550,979)
Affiliated securities................................... (64,510) (615,489)
----------
Net realized foreign currency transaction gains........... 70,789
Net change in unrealized appreciation (depreciation) on
investments in equity securities......................... (4,852,867)
Net change in unrealized appreciation (depreciation) on
and other assets and liabilities denominated in foreign
currency................................................. (61,539)
-----------
Net realized and unrealized losses from investment
activities and foreign currency transactions............... (5,459,106)
-----------
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS........ $(5,323,105)
===========
</Table>
See accompanying notes to financial statements.
8
<Page>
THE SINGAPORE FUND, INC.
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STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
FOR THE SIX
MONTHS
ENDED FOR THE YEAR
APRIL 30, ENDED
2003 OCTOBER 31,
(UNAUDITED) 2002
----------- ------------
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income..................................... $ 136,001 $ 141,931
Net realized gain (loss) on:
Investments............................................. (615,489) (335,594)
Foreign currency transactions........................... 70,789 (153,724)
Net change in unrealized appreciation (depreciation) on:
Investments in equity securities........................ (4,852,867) 7,438,670
Translation of short-term investments and other assets
and liabilities denominated in foreign currency........ (61,539) 24,199
----------- ------------
Net increase (decrease) in net assets resulting from
operations............................................... (5,323,105) 7,115,482
----------- ------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income..................................... (54,264) (736,063)
----------- ------------
FROM CAPITAL STOCK TRANSACTIONS:
Sale of capital stock resulting from:
Reinvestment of dividends............................... 966 21,400
----------- ------------
Net increase (decrease) in net assets..................... (5,376,403) 6,400,819
NET ASSETS:
Beginning of period....................................... 59,430,732 53,029,913
----------- ------------
End of period (including undistributed net investment
income of $128,596 and $46,859, respectively)............ $54,054,329 $ 59,430,732
=========== ============
</Table>
See accompanying notes to financial statements.
9
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
The Singapore Fund, Inc. (the "Fund") was incorporated in Maryland on May
31, 1990 and commenced operations on July 31, 1990. It is registered with the
Securities and Exchange Commission as a closed-end, non-diversified management
investment company.
The following significant accounting policies are in conformity with
generally accepted accounting principles in the Unites States of America for
investment companies. Such policies are consistently followed by the Fund in the
preparation of its financial statements. The preparation of financial statements
in accordance with accounting principles generally accepted in the United States
of America requires management to make estimates and assumptions that effect the
amounts and disclosures in the financial statements. Actual reporting results
could differ from those estimates.
VALUATION OF INVESTMENTS--Securities which are listed on foreign stock
exchanges and for which market quotations are readily available are valued at
the last sale price on the exchange on which the securities are traded, as of
the close of business on the day the securities are being valued or, lacking any
sales on such day, at the closing price quoted for such securities. However, if
bid and asked quotations are available, such securities are valued at the mean
between the last current bid and asked prices, rather than at such quoted
closing price. Securities that are traded over-the-counter, if bid and asked
price quotations are available, are valued at the mean between the current bid
and asked prices, or, if such quotations are not available, are valued as
determined in good faith by the Board of Directors (the "Board") of the Fund. In
instances where quotations are not readily available or where the price as
determined by the above procedures is deemed not to represent fair market value,
fair value will be determined in such manner as the Board may prescribe.
Short-term investments having maturity of 60 days or less are valued at
amortized cost, except where the Board determines that such valuation does not
represent the fair value of the investment. All other securities and assets are
valued at fair value as determined in good faith by, or under the direction of,
the Board.
FOREIGN CURRENCY TRANSLATION--The books and records of the Fund are
maintained in U.S. dollars as follows: (1) the foreign currency market value of
investment securities and other assets and liabilities stated in foreign
currencies are translated at the exchange rates prevailing at the end of the
period; and (2) purchases, sales, income and expenses are translated at the rate
of exchange prevailing on the respective dates of such transactions. The
resulting exchange gains and losses are included in the Statement of Operations.
The Fund does not isolate the effect of fluctuations in the market price of
securities.
TAX STATUS--The Fund intends to continue to distribute substantially all of
its taxable income and to comply with the minimum distribution and other
requirements of the Internal Revenue Code applicable to regulated investment
companies. Accordingly, no provision for federal income or excise taxes is
required. During the six months ended April 30, 2003, the Fund was subject to
withholding tax, ranging from 10% to 24.5%, on certain income from its
investments.
The Fund continues to meet the conditions required to qualify for the
exemption from Singapore income tax, available to non-Singapore residents who
are beneficiaries of funds managed by approved fund managers, in respect of
certain types of income. Accordingly, no provision for Singapore income tax is
required.
10
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
INVESTMENT TRANSACTIONS AND INVESTMENT INCOME--Investment transactions are
recorded on the trade date (the date upon which the order to buy or sell is
executed). Realized and unrealized gains and losses from security and foreign
currency transactions are calculated on the identified cost basis. Dividend
income and corporate actions are recorded on the ex-date, except for certain
dividends and corporate actions involving foreign securities which may be
recorded after the ex-date, as soon as the Fund acquires information regarding
such dividends or corporate actions. Interest income is recorded on an accrual
basis.
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS--The Fund records dividends and
distributions payable to its shareholders on the ex-dividend date. The amount of
dividends and distributions from net investment income and net realized capital
gains are determined in accordance with federal income tax regulations, which
may differ from generally accepted accounting principles. These book basis/tax
basis ("book/tax") differences are either considered temporary or permanent in
nature. To the extent these differences are permanent in nature, such amounts
are reclassified within the capital accounts based on their federal tax-basis
treatment; temporary differences do not require reclassifications. Dividends and
distributions which exceed net investment income and net realized capital gains
for tax purposes are reported as distributions of paid-in-capital.
FORWARD FOREIGN CURRENCY CONTRACTS--The Fund may enter into forward foreign
currency exchange contracts in connection with planned purchases or sales of
securities or to hedge the U.S. dollar value of its assets denominated in a
particular currency, subject to a maximum limitation of 20% of the value of its
total assets committed to the consummation of such forward foreign currency
contracts. In addition, the Fund will not take positions in foreign forward
currency contracts where the settlement commitment exceeds the value of its
assets denominated in the currency of the contract. If the Fund enters into
forward foreign currency contracts, its custodian or subcustodian will maintain
cash or readily marketable securities in a segregated account of the Fund in an
amount equal to the value of the Fund's total assets committed to the
consummation of such contracts. Risks may arise upon entering into these
contracts from the potential inability of counterparties to meet the terms of
their contracts and from unanticipated movements in the value of a foreign
currency relative to the U.S. dollar.
INVESTMENT MANAGER AND INVESTMENT ADVISER
The Fund has entered into an Investment Management Agreement (the
"Management Agreement") with DBS Asset Management (United States) Pte. Ltd. (the
"Manager"). Pursuant to the Management Agreement, the Manager makes investment
management decisions relating to the Fund's assets. For such services, the Fund
pays the Manager a monthly fee at an annual rate of 0.80% of the first
$50 million of the Fund's average weekly net assets and 0.66% of the Fund's
average weekly net assets in excess of $50 million. Effective June 1, 2002 the
Manager has agreed to reduce the fee to 0.70% of the first $50 million of the
Fund's average weekly net assets and 0.575% of the Fund's average weekly net
assets in excess of $50 million. In addition, as permitted by the Management
Agreement, the Fund reimburses the Manager for its out-of-pocket expenses
related to the Fund. During the six months ended April 30, 2003, no such
expenses were paid to the Manager.
The Fund has entered into an Investment Advisory Agreement (the "Advisory
Agreement") with Daiwa SB Investments (Singapore) Limited (the "Adviser"), which
provides general and specific investment advice to the
11
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
Manager with respect to the Fund's assets. The Fund pays the Adviser a monthly
fee at an annual rate of 0.40% of the first $50 million of the Fund's average
weekly net assets and 0.34% of the Fund's average weekly net assets in excess of
$50 million. Effective June 1, 2002 the Adviser has agreed to reduce the fee to
0.30% of the first $50 million of the Fund's average weekly net assets and
0.255% of the Fund's average weekly net assets in excess of $50 million. In
addition, as permitted by the Advisory Agreement, the Fund reimburses the
Adviser for its out-of-pocket expenses related to the Fund. During the six
months ended April 30, 2003, no such expenses were paid to the Adviser.
At April 30, 2003, the Fund owed to the Manager and the Adviser $30,756 and
$13,211, for management and advisory fees, respectively.
ADMINISTRATOR AND CUSTODIAN AND OTHER RELATED PARTIES
Daiwa Securities Trust Company ("DSTC") an affiliate of the Adviser,
provides certain administrative services to the Fund. For such services, the
Fund pays DSTC a monthly fee at an annual rate of 0.20% of the Fund's average
weekly net assets, with a minimum fee of $150,000. In addition, as permitted by
the Administration Agreement, the Fund reimburses the Administrator for its
out-of-pocket expenses related to the Fund. During the six months ended
April 30, 2003, no such expenses were paid to the Administrator.
DSTC also acts as custodian for the Fund's assets and appoints subcustodians
for the Fund's assets held outside of the United States. DSTC has appointed The
Development Bank of Singapore, Ltd. ("DBS Bank"), an affiliate of the Manager,
to act as the subcustodian for all of the cash and securities of the Fund held
in Singapore. As compensation for its services as custodian, DSTC receives a
monthly fee and reimbursement of out-of-pocket expenses related to the Fund.
Such expenses include the fees and out-of-pocket expenses of each of the
subcustodians. During the six months ended April 30, 2003, DSTC earned $7,252
and DBS Bank earned $19,351 from the Fund for their respective custodial
services.
At April 30, 2003, the Fund owed to DSTC $12,500 and $10,399 for
administration and custodian fees, respectively. The latter amount includes fees
and expenses payable to DBS Bank totaling $9,507.
During the six months ended April 30, 2003, the Fund paid or accrued $27,769
for legal services, in connection with the Fund's on-going operations, to a law
firm of which the Fund's Assistant Secretary is a partner.
INVESTMENTS IN SECURITIES AND FEDERAL INCOME TAX MATTERS
For federal income tax purposes, the cost of securities owned at April 30,
2003 was $52,875,563, excluding $1,501,233 of short-term interest-bearing
investments. At April 30, 2003, the net unrealized depreciation on investments,
excluding short-term securities, of $3,985,324 was composed of gross
appreciation of $3,406,727 for those investments having an excess of value over
cost, and gross depreciation of $7,392,051 for those investments having an
excess of cost over value. For the six months ended April 30, 2003, the total
aggregate cost of purchases and net proceeds from sales of portfolio securities,
excluding the short-term securities, were $22,243,989 and $21,950,112,
respectively.
12
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
At October 31, 2002, the Fund had a remaining capital loss carryover of
$47,544,826, of which $15,210,895 expires in the year 2006, $14,066,604 expires
in the year 2008, $16,509,415 expires in the year 2009 and $1,757,912 expires in
the year 2010 available to offset future net capital gains.
CONCENTRATION OF RISK
Investments in countries in which the Fund may invest may involve certain
considerations and risks not typically associated with U.S. investments as a
result of, among others, the possibility of future political and economic
developments and the level of governmental supervision and regulation of the
securities markets in which the Fund invests.
At April 30, 2003, the Fund had 5,939,124 Singapore Dollars valued at
$3,345,608 on deposit with a single financial institution.
CAPITAL STOCK
There are 100,000,000 shares of $0.01 par value common stock authorized.
During the six months ended April 30, 2003, 202 shares were issued as a result
of the reinvestment of dividends paid to those shareholders electing to reinvest
dividends. Of the 9,205,304 shares outstanding at April 30, 2003, Daiwa
Securities America, Inc., an affiliate of the Adviser and DSTC, owned 14,558
shares.
13
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
Selected data for a share of capital stock outstanding during each period is
presented below:
<Table>
<Caption>
FOR THE SIX
MONTHS
ENDED
APRIL 30, FOR THE YEARS ENDED OCTOBER 31,
2003 ----------------------------------------------------
(UNAUDITED) 2002 2001 2000 1999 1998
----------- -------- -------- -------- -------- --------
Net asset value, beginning of period........... $ 6.46 $ 5.76 $ 8.12 $ 10.07 $ 7.09 $ 7.99
------- ------- ------- ------- ------- -------
Net investment income (loss)................... 0.01 0.02 0.10 -- * (0.04) 0.09
Net realized and unrealized gains (losses) on
investments and foreign
currency transactions......................... (0.59) 0.76 (2.46) (1.95) 3.13 (0.99)
------- ------- ------- ------- ------- -------
Net increase (decrease) in net asset value
resulting from operations..................... (0.58) 0.78 (2.36) (1.95) 3.09 (0.90)
------- ------- ------- ------- ------- -------
Less: dividends and distributions to
shareholders
Net investment income........................ (0.01) (0.08) -- -- -- --
Net realized gains on investments and foreign
currency transactions....................... -- -- -- -- (0.11) --
------- ------- ------- ------- ------- -------
Net asset value, end of period................. $ 5.87 $ 6.46 $ 5.76 $ 8.12 $ 10.07 $ 7.09
======= ======= ======= ======= ======= =======
Per share market value, end of period.......... $ 4.760 $ 5.000 $ 4.480 $ 6.375 $ 8.938 $ 6.375
======= ======= ======= ======= ======= =======
Total investment return:
Based on market price at beginning and end of
period, assuming reinvestment
of dividends................................ (4.68) % 13.39 % (29.73)% (28.68)% 42.44 % (27.14)%
Based on net asset value at beginning and end
of period, assuming reinvestment
of dividends................................ (9.02) % 13.94 % (29.06)% (19.36)% 44.30 % (11.26)%
Ratios and supplemental data:
Net assets, end of period (in millions)...... $ 54.1 $ 59.4 $ 53.0 $ 74.7 $ 92.6 $ 65.2
Ratios to average net assets of:
Expenses, including waiver of Management
and Advisory fee applicable to net
investment income......................... 2.01 %** 2.12 % 2.15 % 1.93 % 1.97 % 2.23 %
Expenses, excluding waiver of Management
and Advisory fee applicable to net
investment income......................... 2.21 %** 2.20 % -- -- -- --
Net investment income (loss)............... 0.50 %** 0.23 % 1.47 % 0.04 % (0.42)% 1.38 %
Portfolio turnover............................. 43.38 % 103.33 % 152.18 % 155.83 % 201.76 % 208.56 %
</Table>
- ---------------------------------------------------------------------------
* Represents less than 0.005 per share.
** Annualized.
14
<Page>
THE SINGAPORE FUND, INC.
- ----------------------------------------------------------------------
RESULTS OF ANNUAL MEETING OF STOCKHOLDERS (UNAUDITED)
- --------------------------------------------------------------------------------
On June 2, 2003, the Annual Meeting of Stockholders of The Singapore Fund,
Inc. (the "Fund") was held and the following matter was voted upon and passed.
Election of two Class III Directors to the Board of Directors of the Fund to
serve for a term expiring on the date on which the Annual Meeting of
Stockholders is held in the year 2006.
<Table>
NUMBER OF SHARES/VOTES PROXY AUTHORITY
CLASS III VOTED FOR WITHHELD
- --------------------------------------- ---------- --------
Austin C. Dowling...................... 6,626,677 166,843
Ikuo Mori.............................. 6,029,828 763,692
</Table>
In addition to the two Directors re-elected at the Meeting, Martin J.
Gruber, David G. Harmer and Oren G. Shaffer were the other members of the Board
who continued to serve as Directors of the Fund.
- ----------------------------------------------------------------------
AN IMPORTANT NOTICE CONCERNING OUR PRIVACY POLICY
- --------------------------------------------------------------------------------
This Privacy Notice describes the types of non-public information we collect
about you, the ways we safeguard the confidentiality of this information and
when this information may be shared with others. In this Privacy Notice, the
terms "we," "our" and "us" refer to the Fund. The term "you" in this Privacy
Notice refers broadly to all of our individual stockholders (including
prospective and former individual stockholders).
In order to provide you with services, we collect certain non-public
information about you. We obtain this personal information from the following
sources:
- Applications and other forms you submit to us.
- Dealings and transactions with us or others.
We do not disclose any non-public personal information about you to anyone,
except as permitted by law. For instance, so that we may effect transactions
that you request or authorize, we may disclose the information we collect to
companies that perform services on our behalf, such as printers and mailers that
assist us in the distribution of investor materials. These companies will use
this information only for the services for which we hired them, and are not
permitted to use or share this information for any other purpose.
We maintain physical, electronic and procedural security measures that
comply with federal standards to safeguard your non-public personal information.
Access to such information is restricted to those agents of the Fund who are
trained in the proper handling of client information and who need to know that
information in order to provide services to stockholders.
15
<Page>
- ----------------------------------------
BOARD OF DIRECTORS
Ikuo Mori, CHAIRMAN
Austin C. Dowling
Martin J. Gruber
David G. Harmer
Oren G. Shaffer
- --------------------------------------------
OFFICERS
John J. O'Keefe
VICE PRESIDENT AND TREASURER
Judy Runrun T. Kushner
SECRETARY
Laurence E. Cranch
ASSISTANT SECRETARY
- --------------------------------------------
ADDRESS OF THE FUND
c/o Daiwa Securities Trust Company
One Evertrust Plaza, 9th Floor
Jersey City, NJ 07302-3051
- --------------------------------------------
INVESTMENT MANAGER
DBS Asset Management (United States) Pte. Ltd.
INVESTMENT ADVISER
Daiwa SB Investments (Singapore) Ltd.
ADMINISTRATOR AND CUSTODIAN
Daiwa Securities Trust Company
TRANSFER AGENT AND REGISTRAR
EquiServe Trust Company, N.A.
LEGAL COUNSEL
Clifford Chance US LLP
INDEPENDENT ACCOUNTANTS
PricewaterhouseCoopers LLP
- --------------------------------------------
Notice is hereby given in accordance with Section 23(c) of the Investment
Company Act of 1940 that from time to time the Fund may purchase shares of its
common stock in the open market at prevailing market prices.
This report is sent to shareholders of the Fund for their information. It is not
a prospectus, circular or representation intended for use in the purchase or
sale of shares of the Fund or of any securities mentioned in the report. The
information included herein is taken from the records of the Fund without
examination by independent accountants who do not express an opinion thereon.
THE
SINGAPORE
FUND, INC.
[LOGO]
Semi-Annual Report
April 30, 2003