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[+5 sentences]Mr Speaker, my reply to this second Forward Singapore Budget is in three parts. First, I will address the important Budget announcements related to Singapore's long-term future. Thereafter, I will make some broad comments about the Budget. And finally, I will speak on Singapore's fiscal situation and the Government's Budget marksmanship. First, the big picture and our physical infrastructure. At the beginning of this term of Government, COVID-19 put plans for Changi Airport Terminal 5 on hold. This year, the Finance Minister announced that Terminal 5 will break ground. With its completion, Changi Airport's capacity will increase by 50%, ensuring that Singapore will remain a critical gateway for global travel and trade.[+20 sentences] The development of Tuas Port and Singapore's record highs in vessel arrival, tonnage, container throughput and bunker sales have, in the words of the Finance Minister, reinforced Singapore's role as a leading maritime hub. These are no mean feats and Singaporeans are proud of the achievements of all who made this happen. The future is exciting and we will herald more changes and transformation. The advent of nuclear power and the signing of the "123 Agreement" on civil nuclear cooperation with the United States (US) portends a future in Singapore that comes out of science fiction. Even the import of electricity from neighbouring countries may be difficult to fathom for some Singaporeans more used to scenarios from not too long ago, where acrimony surrounded the purchase of critical resources, such as water. It is not out of place for the public to ask important and far-reaching questions on nuclear safety and resource resilience. Equally legitimate, are queries on the cost implications for Singaporean households. What will be the impact on the bills for clean power, compared to those for electricity generated by fossil fuels? The Government, naturally, must address these concerns. As these and other new vistas open, from artificial intelligence (AI) and sustainability to climate change, Singaporeans must be well-prepared by our education and retraining systems, to be the ones best placed to take on the jobs in these areas. The Finance Minister has sought to assure the public of the Government's intentions in this regard, and there is significant public interest in seeing Singaporeans compete and succeed in securing jobs, created or transformed by these developments. Let me move on to more general comments about the Budget. Coming on the cusp of General Elections, that Budget 2025 would be an "Election Budget" was not a surprise. The Prime Minister and Finance Minister, and Senior Minister Lee Hsien Loong had set the stage by providing numerous assurances that cost of living concerns would be addressed. The concerns on the ground about cost of living are known to all in this House. We started the first Budget of this Government's term in 2021, with the disbursement of Community Development Council (CDC) Vouchers worth $100. Today, the vouchers are at $800. Cost increases have hurt people from across all segments of society. Beyond the $800 CDC Vouchers and $800 SG60 vouchers, more than a few political watchers noticed the People's Action Party (PAP) Members of Parliament (MPs) thumping their armrests in unison when the Finance Minister announced that Climate Vouchers worth $400 were being extended to private household dwellers too – a relatively small and, generally, more well-off segment comprising of about 15% of our population. Reflecting on the cost of living crisis, this enthusiastic gesture was both telling and ironic. The Finance Minister dished out the broad statistics for 2024 in his speech: 4.4% growth; inflation continuing to ease; wage increases outpacing inflation; median income of resident workers rising 3.4% above inflation; and income inequality being at its lowest since 2000.[+6 sentences] But for many, the lived reality of Singaporeans over the last 12-odd months does not correspond with the bright summary revealed by these figures. Life is very tough for the Singapore that is in the heartland. Concerns over jobs, prices, housing costs and opportunities continue for many Singaporeans and their households. The numerous vouchers will give us help for a little while, but not for long. After all, no Goods and Services Tax (GST) Offset Package lasts forever. Sir, 2024 was noteworthy for other reasons too. For the first time in our history, our total fertility rate (TFR) fell below one.[+18 sentences] For the first time ever, our total population crossed six million. The 2019/2020 Housing and Development Board (HDB) annual report stated that the projected ultimate number of dwelling units in Singapore would be slightly above 1.55 million. According to the latest HDB report for 2023/2024, this number has gone up by 53,000 dwelling units even as the earlier number of 1.55 million was not intended to be a target to be reached, according to the answer to a Parliamentary Question (PQ) given to Sengkang Group Representation Constituency (GRC) Member of Parliament Mr Louis Chua in 2021. If the ultimate dwelling units number is not a target, on what basis is it moving upwards? For some, these realities make the Singapore of tomorrow a difficult one to imagine and for others, a difficult one to find affinity with. With finite land, other Singaporeans question, in the interest of their children, how many more does the Government seek to squeeze in? And what cans are we kicking down the road for future generations of Singaporeans, who will live in a far-denser city than today? In 2017, it was announced that auxiliary police officers (APOs) would be hired from Taiwan. Last month, the Ministry of Home Affairs confirmed that it was looking at hiring APOs from China, India, the Philippines and Myanmar. A few days ago, it was announced that the Singapore Civil Defence Force (SCDF) would be looking to hire foreigners as paramedics. With a growing population and a manpower shortage in many areas, it is inevitable that more of such basic manpower needs of our country will go down a similar path. Alongside these recruitments are fears that Singaporeans may face competition from foreigners who apply for some of these jobs, which were traditionally filled by Singaporean men and women. Integration and a sense of rootedness will continue to be a major issue in Singapore in the years to come and no amount of vouchers can make people feel rooted to Singapore. The Government is aware of this and it is no surprise to hear Government leaders extolling the importance of unity and integration of foreigners into Singapore society. This issue continues to be a soft underbelly of our society with fault lines that can be easily exploited. Government policy leaves much to be desired, for example, with democratically elected opposition MPs being kept away from new citizens during their citizenship ceremonies by design – ostensibly for political expediency and advantage. Creating a sense of unity in Singapore is a work-in-progress that is made tougher by the PAP itself, when it hamstrings integration efforts with such small-minded and short-sighted policies. Businesses found 2024 tough. More than 3,000 food and beverage (F&B) businesses closed their doors for good in 2024, citing dwindling business and higher operating costs. This is more than eight F&B businesses shutting every single day, the highest number since 2015.[+19 sentences] While there are even more newcomers to the scene, a CNA report earlier this month identified the entry of cash-rich foreign players, prepared to pay higher rents and salaries as a reality of the local F&B scene. Sir, 2024 was noteworthy for other reasons too. In business circles, the Johor-Singapore Special Economic Zone, while on the whole received positively, has also raised concerns about the hollowing out of businesses in Singapore, particularly, those that serve the Singaporean middle class. Arising from the cost-of-living crisis, the increase of the costs of basic goods in Singapore leads many Singaporeans to make regular trips across the border, to extract a good 30% or more in savings. Services are cheaper in Johor Bahru too, from seeing a dentist to getting a thorough health check-up at a reputable private medical facility. With the Johor Bahru–Singapore Rapid Transit System Link starting operations in 2026, many businesses will have to seriously review how far they can expect Singaporeans or other local customers to continue patronising them. It also remains to be seen how long bookstores and cinemas will be able to continue surviving in Singapore, and whether the Government is prepared to offer such businesses a helping hand with grants or by requiring building owners to reserve a portion of their built-up areas for such businesses, to ensure that Singaporeans have localised, high quality, holistic and affordable options within our borders. In May last year, I asked a PQ on JTC and whether it was empowered to lease industrial properties to local small- and medium-sized enterprises (SMEs) at a discount to the market rate, and whether the Ministry had plans to expand schemes that reduce business costs for local SMEs by way of lower rentals. The Minister for Trade and Industry shared that his Ministry and the Singapore Business Federation (SBF) had formed an Alliance for Action (AfA) on business competitiveness to deep dive into how businesses can remain competitive amid global uncertainties and structurally higher business costs. While the AfA's business competitiveness report released last November covered a range of business related issues, in the main, they addressed matters specific to bigger enterprises. With the Government the largest landowner in Singapore and a not insignificant player in the in the industrial space, land costs and rentals are something that need to be looked into more acutely to appreciate the challenges to business and entrepreneurship in the immediate term. On a separate note and to assist more SMEs, some measures announced at the Budget should be reviewed immediately. For example, the Government should free the second portion of the SG60 Vouchers for use anywhere beyond just participating supermarkets, to include all small businesses and shops located in shopping malls too. Apart from helping SMEs, this will enlarge choice for Singaporeans. The Workers' Party (WP) spoke on the cost-of-living crisis in a Motion this House debated about 18 months ago, where we looked beyond voucher relief towards structural changes to address the cost of living, looking at utilities and healthcare among others. To that end, and among other subjects, I will revisit the subject of land costs for Housing and Development Board (HDB) flats in the Committee of Supply (COS) debate. Sir, let me now speak on the fiscal situation and the Government's Budget marksmanship. Apart from the goodies that were expected in this Budget, it was the fiscal position at the end of the term which raised many eyebrows. The Government's exceedingly healthy fiscal position has led many Singaporeans to question why the GST had to be raised in 2023 and 2024. A fiscal surplus of $6.8 billion is projected for the financial year (FY) 2025. As for 2024, even after the latest CDC and SG60 Voucher programme, 2024's fiscal surplus, originally estimated at a healthy $778 million, has been revised massively upwards to $6.4 billion.[+2 sentences] And if one casts their memory back earlier in this term, it was estimated by the Government that 2021 and 2022 would see deficits. However, these turned out to be surpluses instead. The overall fiscal surplus for the years 2021 to 2025, or this term of Government, is set to hit around $14.3 billion.[+3 sentences] Sir, even as the international scene remains in flux with all eyes on the relationship between the US and China, Singapore has been able to leverage its unique value propositions for investment. Some years ago, I spoke of how the chill felt by some multinational enterprises (MNEs) in Hong Kong could result in an advantage for Singapore, as these businesses relocated to other jurisdictions. The increase in corporate income tax collection, overtaking even the Net Investment Returns Contribution (NIRC) has been attributed to a change in the investment decisions of MNEs. The Government has also reviewed its position on Base Erosion and Profit Shifting (BEPS 2.0), and is anticipating even higher corporate income tax revenue from FY2027, provided Singapore remains attractive to MNEs.[+40 sentences] With another $3 billion devoted to the National Productivity Fund, in addition to the $2 billion last year, all things being equal, it is hard to see how Singapore would suddenly turn unattractive, despite the US withdrawal from BEPS 2.0. The fiscal situation appears healthy, notwithstanding the absence of financial medium-term projections, which other jurisdictions publish. This naturally has led many to question the necessity of raising the GST. The WP raised this matter on numerous occasions in this House, even participating actively to consider alternative levers of revenue in the Budget debate of 2023. Even as imported inflation contributes to price rises locally, there was no need for the PAP Government to add fuel to the fire and fan the flames of inflation further with the GST hike. Even if a decision was made to raise it in 2023, there was ample policy space to delay the second increase in 2024 when the country was in the thick of inflation. Why the PAP went headlong and headstrong into raising GST, and thereby turbocharging inflation further, is something only the PAP itself can answer to Singaporeans for. As every Singaporean knows, a 1% rise in GST does not lead to a 1% rise in the cost of a cup of coffee. Increases are incremental, as we have experienced in how purchases from the local shop or weekly supermarket trip have cost a good 30% to 40% for Singaporeans since the GST was hiked in an inflationary environment never seen before in decades. The decision to go ahead with the GST hike, with inflation raging, was poor. We have seen Assurance Packages and CDC Vouchers dished out to cushion the GST blow for many Singaporeans. But when these handouts stop, as they eventually will, the 9% GST will remain, until any subsequent increase the PAP Government sees fit to impose. It would not be out of place to ask then, how many Singaporeans would believe the accuracy of a PAP Government's projections about the need or the immediate need for future expenditures? The Government has shown poor fiscal marksmanship in trying to match Singapore's expenditure needs with revenue. In fairness, at last year's Budget, I recounted the reflection of economists quoted by The Straits Times, who commented that it was getting very hard to project Government revenue because budgeting accuracy in specific tax collections could vary between 17% and 27%, and that gone were the days when Budget marksmanship of 2% was the norm. Sir, if this continues, it will be difficult to support future tax increases or even accept policy moves meant to equalise the cost of owning a car, such as by introducing new taxes or charges on electric vehicle (EV) drivers announced in this Budget. Singaporeans would not be out of place to ask: why is there a need to collect so much money when the Government's fiscal projections are so unpredictable, but somehow always so healthy when elections have to be called? While I am sure the fiscal headroom is politically attractive and even desired by the PAP at the end of the term, notwithstanding its constitutional obligations, it should not underestimate the correlation between this poor marksmanship and potential public cynicism in future when taxes must be increased for legitimate reasons. I anticipate the Finance Minister to reply that all these increases were either down to one-off abnormalities or upsides that could not be anticipated. Even if we accept this, the Government's poor fiscal marksmanship raises and strengthens a different argument – and that is, that the money set aside for spending can certainly be accounted for in a more institutionalised fashion with greater public scrutiny. The WP brought up the idea of an independent Parliamentary Budget Office at the beginning of the term. This was roundly rejected by the former Finance Minister and with the Leader of the House positing that it would only benefit the Opposition. My colleagues and I beg to differ; and perhaps in light of unpredictable projections, such an institution would also benefit the Government. Compared to 10 years ago, total public expenditure has close to doubled in nominal terms. The age-old question of greater fiscal accountability and the introduction of institutions that track and account for public expenditure in a dedicated manner are ideas whose time has come. To this end, and in the throes of COVID-19, the Government committed $25 billion to fund its Research, Innovation and Enterprise 2025 (RIE2025) plans. In the name of fiscal prudence, is it out of place to ask how well these monies have been spent? Have the plans proved to be value for money? The public has a right to know because while expenditures can be tracked, tracking returns is a different matter altogether. In the same vein, it would be important for the Government to issue a report card on initiatives that have come to an end. For example, when the Capability Transfer Programme was first mooted at Budget 2017, the aim of the programme was to improve local foreigner workforce complementarity by facilitating transfer of capabilities from foreigners to locals, with the goal of ensuring that there is a sufficient supply of Singaporeans with the requisite job skills. A number of Members, including myself, have spoken or asked questions about the programme during this term of Government. I hope to see the Ministry of Finance's occasional papers reporting on the outcomes of such initiatives, complete with an impact assessment on jobs and opportunities for Singaporeans. Only then can better alternatives be promulgated and advanced, not just by the Opposition, but by ordinary Singaporeans who care about their country and the direction it is headed. As I have said so previously, the new social compact between citizen and state, as flagged by Forward Singapore (Forward SG), demands it. Our social compact would be strengthened by such accountability for public expenditure and programmes. This scrutiny would represent a different approach to governance, but it is one that the WP would opine is the expectation of a participatory society and of the Singapore that is imagined by the Forward SG report. In conclusion, Mr Speaker, I began my speech by talking of infrastructural developments that are taking shape in Singapore in a section titled "The Big Picture". They stand to change Singapore for the better. However, there is a bigger picture whose focus has changed even more sharply since the inauguration of the Trump Administration. The comments of the Defence Minister at the Munich Security Conference less than a fortnight ago – of the US now behaving like a landlord seeking rent and no longer being the force of moral legitimacy that it used to be – portend a world that may not be changing for the better and a security architecture that may have to be reconfigured.[+5 sentences] Much international media attention was focused on the phrase "landlord seeking rent". However, I found the question put to his audience at the end of the speech more significant. The question was, "who, if anyone, any one country or region or bloc, can step in if the US declines to protect the global commons, and how effective and against what resistance". This is even as the 2024 Asian Barometer Survey believe that China far outstrips the US in influence over Asia and this gap will only widen going forward. This is the perspective of Singaporeans who were surveyed. Only two days prior to the Minister's speech, the new US Defence Secretary at the Ukraine Defence Contact Group said, in the context of pivoting away from Europe, and I quote: "we also face a peer competitor in the Communist Chinese with the capability and intent to threaten our homeland and core national interests in the Indo-Pacific. The US is prioritising deterring war with China in the Pacific, recognising the reality of scarcity and making the resourcing trade-offs to ensure deterrence does not fail".[+1 sentence] To this end, Sir, and in my last Budget speech, I devoted a final section on a call to strengthen our national unity – a multiracial national unity – in an uncertain world. The wider strategic atmospherics lead me to reiterate that our national unity, a subject I mentioned briefly in my speech, in these unpredictable times is actually vital. This outlook reinforces the importance of the Singapore Armed Forces (SAF), the Home Team and the importance of National Service (NS).[+2 sentences] The security these agencies provide is an important source of strength for Singapore and all Singaporeans must give our men and women in uniform our full support. Mr Speaker, the WP supports the Budget.
Mr Speaker4 words
[+1 sentence]Mr Liang Eng Hwa.
Mr Liang Eng Hwa (Bukit Panjang)2425 words
[+10 sentences]Mr Speaker, there is something unique and distinctive about Singapore's Budget, quite unlike other countries' or jurisdictions', and it about the way we go about doing it. At its core, we adhere to two key main thrusts, to achieve long-term fiscal sustainability: firstly, consistent prudent financial management; and secondly, growing the economy to generate sustainable streams of revenue. It has served us well all these years and has, time and again, enabled us to make available substantial fiscal resources in each Budget to deal with both the immediate and longer-term challenges, as well as still have the financial means to invest into the future, whether it is to enhance our economy or to improve our social well-being. We see that manifest again in this year's Budget. The immediate task, of course, on hand, remains to help Singaporeans tackle cost pressures. Support schemes have been upsized, such as the CDC Vouchers and the U-Save Rebates, and more broad-based schemes added, such as the Child LifeSG Credits and expanded Climate Vouchers. These are over and above the Enhanced Assurance Package and other earlier announced support packages. There is also more support for families and the seniors, such as the Large Families Scheme, the Matched MediSave Scheme, the enhanced support for long-term care costs and the enhanced Home Caregiving Grant, to mention a few. These assistances are spread across most calendar months, till January 2026. Taken together, these support packages amounted to substantial assistances for each family. For example, a six-person, middle-income, three-generation family living in a 5-room HDB flat can receive total benefits of about $10,000. Besides tackling the immediate concerns, the Budget also allocates substantial resources to push our economic growth frontier, investing in technology, enterprises and infrastructure. There is the $3 billion top-up for National Productivity Fund to help us anchor high-quality investments in Singapore; the $1 billion investment is to keep our R&D infrastructure at cutting edge; and up to $150 million is allocated to the new Enterprise Compute Initiative to help enterprises develop bespoke AI solutions. To boost our air hub status, the Changi Airport Development Fund will be topped up by another $5 billion.[+5 sentences] In the Budget Statement speech, Prime Minister Lawrence Wong also signposted the potential future deployment of nuclear power in Singapore, given the promising developments of safer operational small modular reactors. This could be a game changer in our efforts to build energy resilience. Sir, there is also no let-up in our efforts to upskill our workers. The SkillsFuture Level-Up Programme that supports mid-career Singaporeans to reboot their skills has been enhanced to include part-timers. A new SkillsFuture Workforce Development Grant and the redesigned SkillsFuture Enterprise Credit have been introduced to provide funding support to companies for job redesign activities. The National Trades Union Congress (NTUC) will also get an additional $200 million funding to set up more company training committees and to push for more skills advancement at the company level.[+33 sentences] These are again, over and above the comprehensive set of schemes introduced to support workers in earlier Budgets. Sir, allow me come back to the point that I started, which is that our Budgets are unique and distinctive. In each of our Budgets, we make sure that we always have the fiscal capacity to carry out the key priorities of the Government, many of which are multi-year commitments. The ability to always have significant stable funding to tackle short- to longer-term challenges and yet able to invest for a better future and, of course, still have savings for rainy days is what makes Singapore's budgets unique and distinctive. Many governments in the world would find achieving this an uphill task or an almost impossible task to achieve. For example, let us look at a jurisdiction quite similar to us: Hong Kong. A city economy and a financial centre like Singapore, Hong Kong has been running persistent large deficits in the last three years. In fact, in the last five years, they have run into four deficits. In the current fiscal year, it is estimated that Hong Kong will, again, run into deficit to the tune of around HK$100 billion or S$17.1 billion. This is more than what they have forecast at the start of the year. Recently, the Hong Kong Financial Secretary has assured the Hong Kong public that its government aims to balance the book in the next two to three years, "primarily through reducing expenditures, complemented by generating revenue". What that could mean is that the Hong Kong government would likely have to either raise taxes and fees, or to significantly cut expenditures, or to do both to reduce the large deficits. Otherwise, the Hong Kong international ratings may be at risk of being reviewed. In the case of Hong Kong, revenue from land sales form a major source of the government's revenue unlike Singapore and it has seen significant decline due to weaker property market. Based on reports, they have also dipped into their fiscal reserves and which has seen shrinkage to the tune of about 40% from the high. Today happens to be Hong Kong's budget day and their Financial Secretary has started his speech, so we will wait for more details from there. But Sir, I want to say that I do not wish to critique on Hong Kong's fiscal management, but there are valuable learning points for Singapore here. What happened to Hong Kong, in terms of running multi-year budget deficits, can happen to Singapore as well. Especially in our case, where we have other big-ticket spending items, like defence and foreign affairs as well as strategic areas that we need to invest and commit capital expenditure, such as water and energy security. Unlike Hong Kong, we also do not have the hinterland of China to help us underpin or backstop the economy. So, for Singapore, it goes back to the twin mantra that I mentioned at the start; prudent fiscal management and growing the economy to generate top-line revenue; which are critically important to achieve long-term fiscal sustainability. Being prudent has never failed us in our history. It strengthens our financial position for the longer term and provide insurance against our inherent vulnerabilities. Over the years, the Government has stepped up spending in more areas, in particular, healthcare and social support spending. They have all increased significantly and would continue to grow. These are commitments that the Government made to our people. It gives Singaporean a peace of mind that the Government have their backs and the people take our assurance that the Government will have the sustainable funding to continue providing the subsidies. Just imagine, if we mismanage our finances and are no longer able to fulfil these commitments, it would immediately add anxieties to Singaporeans and, of course, to impact the quality-of-care that they would receive later. So, we must manage our finances responsibly. Sir, I want bring to the attention of the House this report by the Organisation for Economic Co-operation and Development (OECD) on Budgeting in Singapore, published on 13 January 2025. In the report, it mentioned Singapore as having an international reputation for fiscal discipline in budgeting and policies and that has helped ensure Singapore's long-term fiscal sustainability. It credited the Government of Singapore as having "a well-defined budget framework with clear fiscal objectives". It said the fiscal rules, such as the Constitutional requirement to maintain a balanced budget over each term of Government, instill responsible budgeting. For example, it also mentioned in the report that to sustain Singapore's increasing expenditures and the pressure to spend even more, the Government has to "diversify its tax base and increase tax rates to improve sustainability and to maintain a balanced budget".[+25 sentences] The report also mentioned that these tax changes has made our tax system more progressive. Sir, this report is a credible endorsement of our unique and distinctive Budget framework, where the Budget measures are designed for purposeful impacts that clearly aligned with our national objectives and priorities and where the needs of both the current and future generations of Singaporeans are being taken care of. It reflects the value system of this Government and is the foundational bedrock that will ensure Singapore's long-term survivability. In the Budget speech, the Prime Minister shared that we are now in a fragmented and troubled world, with the situation likely to worsen in the coming years. Singapore, once again, has to find ways to navigate a turbulent and troubling external environment. Like Hong Kong, Singapore is also exposed to the escalating trade tensions, including the potential knock-on effects of a slowing global economy as a result of the trade war. Given this backdrop of greater global uncertainty and downside risks, the last thing we want is to face this turbulent landscape in a position of weakness. We neither have the domestic scale, the size nor the hinterland to help us to buffer the external shocks. Hence, Singapore must brace the future unknowns and uncertainties that will surely come in a position of strength. Our strong financial position is the best defence and insurance to protect Singaporeans from effects of external shocks, some of which could devastating or prolonged. So, let us not give away that security cover and as a result, fully expose Singaporeans to the ill-effects of any crisis that comes our way. Sir, in Mandarin, please. (In Mandarin): First, I want to highlight a unique aspect of our Budgets. Prudent fiscal management has enabled us to have substantial financial resources in each Budget to address the challenges before us. For instance, in this Budget, we continue to strengthen our efforts to help Singaporeans cope with the current high costs of living. Furthermore, we ensure sufficient fiscal resources to tackle our medium- and long-term challenges. These include building more healthcare facilities to meet the demands of future demographic changes, developing long-term stable energy supplies, rejuvenating our towns sustainably, strengthening our national security and defence, and caring for vulnerable groups in our society. Few countries' budgets can match Singapore's fiscal strength – not only can we address immediate needs, but also pave the way for future development, ensuring steady progress and giving Singaporeans peace of mind. As the saying goes, "Caution enables a boat to sail for thousands of years." Since Independence, we have upheld the philosophy of prudent fiscal management. This has allowed us to accumulate valuable resources and prepare for future challenges, greatly enhancing our ability to respond to various international crises. This is indeed our best strategy to enable Singapore to develop and prosper with stability and resilience. : Sir, in this Budget and the one before, many of our wish lists were answered. I am pleased that a number of my suggestions to the Prime Minister, have also found its way into the Budget. Indeed, many ideas and suggestions from Singaporeans were taken on board, especially those from the Forward Singapore exercise. It shows that the Government is listening. And it reflects a refreshing relationship between the new Prime Minister's Government and Singaporeans.[+2 sentences] Sir, in closing, I would like to seek a clarification, put forward a suggestion and make a request. Let me start with the clarification. It is about the overall surpluses for FY2024 and FY2025, of $6.4 billion and $6.8 billion respectively.[+1 sentence] These are eye catching numbers. Such large surpluses would, understandably, bring into question whether we have prematurely raised the GST rates.[+3 sentences] Although it should be noted that the Assurance Packages in earlier Budgets would have delayed the effect of the GST rates increase by at least five years for the majority of Singapore households. And with this Budget on, it could be delayed further. Sir, I took a closer look at Annex H-1, in the Budget documents. The main contributor to the large overall surpluses is the significant increase in the corporate income tax collections.[+1 sentence] In Budget 2024, the corporate income tax was initially estimated as $28.03 billion and later revised to $28.38 billion. The latest revised figures for corporate income tax, in this year's Budget paper, now stands at $30.88 billion, an increase of $2.5 billion from the earlier estimate. The estimate for corporate income tax for the next FY is a higher figure of $32.67 billion.[+2 sentences] I can understand that with a stronger than expected economic growth in 2024, the corporate income tax revenue is expected to rise. Conversely, if the economy slows, or enter into a recession, there could be downside to corporate income tax. In Annex H-1, it also reported high figures for the capitalisation of Nationally Significant Infrastructure, estimated to be $4.17 billion for FY2024 and $4.63 billion in FY2025.[+11 sentences] These large capitalisation numbers get added into the overall fiscal position and contributed to the larger overall surplus numbers. So, I would like to seek clarification from the Prime Minister and the Finance Minister, as to why are these capitalisation values being added to the overall computation of the fiscal surplus? Is this capitalisation an accounting item or is it a cash item that can be used to fund current expenditures? Sir, my second point is a suggestion. I applaud the Government for introducing the Large Families Scheme to support families with three or more children. Having more kids would also mean higher household expenditures for families. Hence, any additional assistance and support would be welcomed by families. So, can I ask if the Government can extend this rationale of support to housing as well? It is understandable that families with three or more children would also need more spaces in their home. So, I hope HDB can look into helping these larger families and consider giving them priorities when they apply for bigger flats, like the 5-room flats. Sir, my final point is a request that is related to public transport fare. At last year's Budget debate, I asked the Government to keep watch of the public transport fare and to consider a once-off assistance to moderate the fare increase if the Budget position permits. I am glad and thankful that the Government did provide a once-off additional subsidy of $250 million, over and above the $2 billion a year subsidy, to moderate the fare increase.[+3 sentences] So, this year, I would like to put up a similar request for the Government to consider another once-off subsidy should the Public Transport Council again recommend to increase the public transport fare. It would go a long way to help relieve public transport costs for commuters and, hopefully, help nudge more to move towards a car-lite society. Sir, with that, I support the Budget.
Mr Speaker3 words
[+1 sentence]Mr Henry Kwek.
Mr Kwek Hian Chuan Henry (Kebun Baru)2509 words
[+9 sentences]Mr Speaker, I stand in support of the Budget, and I begin by acknowledging the additional support it provides for my residents living in private estates, especially frail seniors and seniors who are asset-rich and cash-poor. The Budget measures help to ease their financial burdens and ensure that they can continue living with dignity and security in their homes. Today, I would like to centre my speech on three areas: one, evolving our housing and national development policies to further support social mobility and community development; two, developing a holistic model to enable seniors in private estates to age in place; and three, ensuring that Singapore fully harnesses the potential of AI by building a national AI system that is anchored in our values. These are critical issues that will shape our society and economy for the future, and I believe that we must act decisively to ensure our policies remain inclusive, forward-looking and resilient. Singapore's property market has remained strong, despite multiple rounds of cooling measures introduced in the last few years. This underscores the resilience of our housing market, but it also raises questions about affordability and accessibility for some young families and first-time buyers. At the same time, the global economic uncertainty – rising interest rates, inflationary pressures and external shocks – not to mention the looming trade war, adds to the complexity of ensuring that our housing policies remain sustainable and equitable. In this context, it is critical that we continue to strengthen access to homeownership without destabilising the long-term value of our housing market. And this is why some of the proposals put forward in this House over the last few years merit serious scrutiny. For example, the Progress Singapore Party's (PSP's) Affordable Housing Scheme and Millennial Apartments Scheme may seem appealing at the surface, but they risk destabilising the housing market without solving the core issues at hand. By removing land costs from the upfront price of new flats, the Affordable Homes Scheme creates a two-tier housing market where older resale flats must compete with significantly cheaper new ones.[+15 sentences] This will put downward pressure on resale values, affecting homeowners who have spent decades building their housing equity in their flats. Meanwhile, the Millennial Apartments Scheme, which expands the state-controlled rental housing, could dampen demand for both resale HDB flats and private estate rentals, reducing rental yields and making it harder for homeowners to monetise their flats in their later years. I am raising this issue because for many in Kebun Baru – my constituency – their HDB flat represents not just a home, but a key pillar of their retirement adequacy. A sudden depreciation in housing prices or rental values would mean less financial security for seniors looking to right-size or lease out their flats to support their retirement. We must not take housing price stability for granted. In China, housing values were seen as rock-solid – until they were not – and now millions of homeowners face uncertainty and financial distress. And it is not just in China. Sweden, Germany, South Korea and New Zealand have seen meaningful drops in their property market value in the last few years. Singapore's housing market is built on trust, careful planning and a fair balance between affordability and asset appreciation. If we introduce policies that artificially suppress resale values and weaken the rental market, we risk shaking that foundation, eroding confidence and hurting homeowners who have worked hard to invest in their future. While we should always strive to make housing affordable for young families and first-time buyers, we must do so without destabilising the savings and retirement planning of existing homeowners. Our push should be one of careful balance, not drastic experiments with uncertain outcomes. The recent Plus/Prime/Standard model is a powerful way for us to ensure that many Singaporeans, even those with less income, have a chance to stay at central locations. But there is more we can do. Specifically, we can look at the income ceiling and supply of or executive condominiums. Some young and capable Singaporean couples today find themselves earning just above the eligibility threshold for Build-To-Order (BTO) flats but not enough to comfortably afford a private condominium. By increasing the income ceiling, we can ensure that young professionals, some of whom do not have deep financial support from their families, still have access to public housing options.[+12 sentences] This allows them to own their own quality homes at reasonable prices, rather than being placed into the much higher price points of private condominiums. And now that the supply and demand is more in balance for the BTOs, I believe it is a timely period to consider this. At the same time, increasing the supply of executive condominiums – our hybrid housing model – will provide not just aspirational yet attainable housing ownership for Singaporeans, ensuring that we preserve the well-structured housing ladder that has been a key driver for our social mobility. By strengthening rather than disrupting the existing system, we can make housing ownership more accessible for the next generation while ensuring that the housing market remains stable and resilient. Singapore's public housing market has been one of the most successful in the world, precisely because it balances affordability with long-term value retention. Instead of drastic experiments that risk destabilising housing values and retirement adequacy, we should enhance our current framework to help young Singaporeans own homes without compromising the financial well-being of existing homeowners. This is how we can continue to preserve the ladder of social mobility, ensuring that capable and hardworking Singaporeans can progress in life without extreme financial stress or strain or undue reliance on family wealth. Beyond ensuring housing affordability and stability, the Ministry of National Development (MND) can also play a greater role as an enabler of evolving social needs, making our neighbourhoods more vibrant and inclusive. One way of doing so is by working with National Parks Board (NParks), volunteers and grassroots organisations to fully activate our community parks, particularly in private estates, where community engagements may be more limited. Many of these green spaces remain underutilised when they could be more active social hubs. Therefore, I recommend that NParks could facilitate the development of community-driven amenities, such as public tennis courts similar to what you see in Luxembourg Gardens and Paris, or designate, let us say, pickleball courts, creating accessible space for sports and recreation. Additionally, investing in infrastructure to support Sunday markets – such as power and water access for pop-up stalls – could transform these parks, including the upcoming beautiful Hillrock Park within Kebun Baru, into vibrant weekend markets, gathering sports, sparking stronger community bonds and giving local entrepreneurs a platform. By supporting such initiatives, MND can help private estate residents feel more connected to the broader community, strengthening the social fabric of our neighbourhoods. I am particularly delighted about the introduction of the Estate Upgrading Programme for Silver Estates as well as the extension of the Enhancement for Active Seniors 2.0 programme to private estates which benefit seniors in Kebun Baru.[+6 sentences] These are very important steps to ensure that our senior Singaporeans, regardless of where they stay, can continue to age in place safely and with dignity. Many of these seniors, especially those in our private estates, face unique challenges when it comes to home accessibility and care support. The Government's efforts to extend accessibility and upgrade and retrofitting private homes with elderly-friendly features are truly commendable. However, I believe that more can be done to help frail seniors, especially those in private estates, to remain independent and well-supported in their own homes. One important way is to build Active Ageing Centres within large parks within private estates, such as the Kalidasa Estate, which is part of the Teachers Estate in Kebun Baru, which is also going to be benefitting from the upcoming Estate Upgrading Programme for Silver Estate soon. We can go beyond physical infrastructure to rethink how Active Ageing Centres can operate within these private estates. One idea is to develop a framework where Active Ageing Centres can work with domestic helpers, with the full consent of seniors and their families, so that the small team of Active Ageing Centre staff can tap into a larger pool of caregivers to organise activities, providing companionship, and extending support beyond the physical Active Ageing Centres.[+1 sentence] This will allow frail seniors to benefit from structured engagement within their parks near their homes. Additionally, we should also look at regulating senior care and home care services, ensuring that all service providers are digitally listed, transparent in pricing, and accountable for the quality of care provided.[+3 sentences] A trusted digital platform could help caregivers, whether it is children, grandchildren or domestic helpers, to track services, billing and medical needs in real-time, reducing the stress of care coordination. Beyond structured care, technology can also empower caregivers and improve emergency response. One simple but powerful step is to extend the Singpass app and our seniors for local activities, while caregivers can authorise key decisions remotely. Furthermore, we should empower SCDF emergency services with digital access to homes of frail seniors, should a fall detection alert be triggered.[+23 sentences] With proper safeguards in place, this could significantly reduce response times in life-threatening situations. To truly build an ecosystem of care, we must bring together the private sector, residents and Government agencies to design a comprehensive framework that ensures that every senior, whether in HDB or private estates, receives the support they need. In Kebun Baru, we have one of the largest numbers of seniors living in private estates. If there is anything I can do as a Member of Parliament to push this agenda forward, I will be happy to step up to work with the Government, industry and community to make these ideas a reality. Ageing in place should not be a privilege; it should be a right, supported by the best that our society can offer. Lastly, I like to touch about how Singapore can fully harness the potential of AI by building a national AI system that is anchored on our values. AI is advancing at an unprecedented pace and we are rapidly approaching a future where AI will surpass human capabilities in certain domains. Sam Altman, chief executive officer of OpenAI, has observed that AI programmers could soon be among the best in the world within the next few months. Meanwhile, Google DeepMind's AlphaFold 2.0 has effectively solved the complex challenge of protein folding, opening up revolutionary possibilities in biological and pharmaceutical research. These breakthroughs demonstrate that AI will fundamentally reshape industries, scientific discovery, and global competitiveness. It is not an issue of whether AI will transform economies; it is a question of whether Singapore will lead or follow in this transformation. We have faced this moment before. In the 1990s, Singapore was ahead of the curve in embracing digitalisation and computerisation, even before its full potential was clear. Our early investments paid off, enabling us to build a highly efficient and technology-driven public sector that continues to serve us well today. We must apply that same foresight to AI. We have a unique opportunity to leverage AI to enhance governance, streamline public service, reduce regulatory complexity for businesses, and empower our research institutions to push the frontiers of science and technology. By embracing AI early, we not only improve governance but also strengthen Singapore as a trusted global hub for AI innovation, ethics, and responsible deployment. However, deploying an AI at a national scale is far more complicated than simply subscribing our civil servants to existing AI tools. Large enterprises and our Government cannot simply embrace and adopt generic AI models off the shelf. Doing so would pose risks to security, regulatory compliance and adherence to our national values. Even cutting-edge AI systems, such as Palantir, which integrates truth-seeking AI models like Grok, may not always align with Singapore’s approach to governance. Such models may optimise for efficiency and raw intelligence, but they may not fully account for humanistic considerations, such as social harmony, security and ethical decision-making. We must ensure that our AI systems are both powerful and aligned with our national priorities. To achieve this, Singapore must develop a national AI system, one that is sovereign, human-centric and cost-effective.[+3 sentences] But this does not require us to reinvent the wheel. Instead, we could consider collaborating with AI service providers that prioritise ethical AI alignment, such as OpenAI and Anthropic. Rather than building costly AI infrastructure from scratch, we can finetune existing models to align with Singapore's governance framework and cultural values. A key component of this initiative could be the establishment of a Centre of Excellence for AI Alignment, which will develop AI frameworks that ensure that AI models adhere to our needs. To keep costs manageable, we can leverage commercial AI data centres for training and finetuning of AI models, rather than investing heavily on on-premise compute infrastructure.[+14 sentences] This is especially since we may face increased restriction on AI-compute power from America's likely AI-deficient loop. Once finetuned, the national AI model can then be deployed within Singapore, using both locally controlled AI data centres for inference and integration with sensitive national datasets. This hybrid approach balances cost-effectiveness with security, ensuring that Singapore has full control over critical AI decision-making or minimising infrastructure investment. Building a national AI system, finetuned for Singapore's values, is not just an option. It is essential. AI-driven governance and business processes will increasingly shape regulatory frameworks, public sector efficiency, and economic development. Moreover, as we integrate AI-enabled e-businesses from global providers, our national AI can also act as a check and balance, ensuring that externally sourced AI solutions do not introduce misaligned incentives or governance risks. Beyond our national interests, developing expertise in AI alignment will also enable and allow Singapore to influence global AI governance. AI will eventually be embedded into international decision-making processes, from global trade regulations to maritime and air traffic systems. By establishing a strong foundation in AI alignment, Singapore can contribute to the development of ethical AI standards globally, shaping the rules that govern AI at the international level. Additionally, this expertise will enhance Singapore's attractiveness as a hub for AI research and development, regulatory alignment services and business continuity planning (BCP) for global AI firms, such as OpenAI and Anthropic. Let me now conclude. Our policies must strike the right balance between preserving what works, improving what is necessary and embracing what is possible. In housing, we must ensure that affordability for young families do not come at the expense of existing homeowners' financial security. In ageing, we must move beyond infrastructure and rethink care models that empower seniors to live independently with dignity, even in private estates. And in AI, we must act decisively to develop a sovereign AI system that serves Singapore's interests while ensuring alignment with our values, security needs and our ability to shape the world.[+2 sentences] The choices we make today will define whether Singapore remains a beacon of stability, innovation and inclusiveness in the decades ahead. With that, I stand in support of the Budget.
Mr Speaker3 words
[+1 sentence]Ms Hazel Poa.
Ms Hazel Poa (Non-Constituency Member)1916 words
[+1 sentence]Mr Speaker, Sir, Budget 2025 continues to help Singaporeans deal with rising cost of living through vouchers. While many Singaporeans will welcome the $600 or $800 SG60 Vouchers and additional $800 CDC Vouchers, they are not enough to help Singaporeans in the long-term or solve Singapore's structural economic issues.[+12 sentences] These vouchers and credits are ad hoc benefits given out by the Government. They are dependent on the availability of surplus collection of tax revenues and at the discretion of the government of the day. Older Singaporeans may remember the $2.6 billion Progress Package in 2006 and the $3.2 billion Grow and Share Package in 2011, before the General Elections in those years. We have gone from Growth Dividends every few years to CDC Vouchers seemingly every year. It would be unhealthy if Singaporeans become increasingly reliant on these ad hoc gifts to manage rising costs. In contrast, PSP has proposed a package of systemic measures to reduce cost of living. Our policies are structural and not ad hoc. They are intended to empower Singaporeans and allow Singaporeans to achieve as much financial independence as possible on their own, without being dependent on ad hoc handouts from the Government. PSP's policy proposals are also based on a better balance of social and economic considerations, unlike PAP's current policies, which are too heavy on economic considerations. Let me provide some examples to explain. The PAP's current policy of transferring the full market cost of land used for HDB flats into the reserves is based on economic considerations. But this places a heavy burden on Singaporeans because the land cost must be recovered from Singaporeans through the cost of flats or additional taxes. PSP's proposed Affordable Homes Scheme will price new HDB flats to recover only the construction cost but not the land cost at first purchase.[+11 sentences] Flat buyers only need to pay the land cost upon selling it in the resale market. This places a greater emphasis on social considerations of keeping housing more affordable for Singaporeans. By doing this, we are also empowering Singaporeans to have the financial resources to achieve their dreams, instead of chaining them to 30-year mortgages that are increasingly unaffordable. My colleague, Mr Leong Mun Wai, will speak more on housing later. Earlier, Mr Henry Kwek has said that PSP's Affordable Homes Scheme has the potential to destabilise the resale market. Perhaps, he does not understand our proposal well. We have already explained repeatedly that under our scheme, when the flats are resold, the owners will have to repay the land cost with interest. So, it is not going to crush the resale market. And in any case, since resale prices have increased by 50% since the last General Elections, far outpacing general inflation or wage increases despite the cooling measures that have been implemented, does the Member not think that the resale market needs some dampening? Another example is hawker rents. The Government's policy of setting rent based on the highest bid is purely based on economic considerations. But this policy has consequences on food prices. That is why PSP has advocated for a fixed rental system of $500 per month or 3% of the hawker's gross turnover per month.[+7 sentences] This places more weight on social considerations of keeping food prices lower for Singaporeans. Our proposal is a structural change to lower cost of living. In contrast, Budget 2025 provided a one-time rental support of $600. Finally, the current policy of awarding Certificate of Entitlement (COEs) to the highest bidder is also purely based on economic considerations. PSP has proposed a new system that incorporates needs factors with bidding, so that those who have greater needs for a car will have a better chance of obtaining one and can do so at a lower cost. This, again, better balances social and economic considerations. Another contributor to higher cost of living is the raising of GST from 7% to 9% in 2023 and 2024, at a time when Singaporeans were hit with high inflation. PSP has long proposed to either maintain GST at 7% or to reduce GST from 9% to 7%.[+13 sentences] We believe that any additional revenue required for higher social expenditures can be raised from reforming the corporate income tax. We have stated before, in my Budget speech in 2023, that under our current corporate income tax regime, companies with the highest profits actually pay the lowest percentage of their profits in corporate income tax. This is inequitable. The global agreement on a minimum effective tax rate for large multinational enterprises has compelled us to adjust the taxes on the largest companies. We hope that it will not be affected by the US President’s Executive Order that has no force and effect in the US. Even under this agreement, many companies are not covered, because it applies only to very large companies with a group revenue of at least €750 million annually. Adjustments will still need to be made to make our corporate tax regime to make it more progressive and equitable. Corporate income tax reform would allow us to reduce GST, which is a regressive tax, even though the Government says that the GST Voucher scheme makes it not regressive. The Government has said on many occasions that the tax revenue from different sources all go into the same Consolidated Fund, from which all expenditures are then paid for. We do not designate specific revenue streams for specific purposes. So, there is nothing linking the GST to the GST Voucher scheme. The vouchers can still be paid for even if we raise the additional revenue for it by increasing corporate income tax on the most profitable companies, instead of by raising GST. This will make our tax system even more progressive. The Government's $6.4 billion surplus for FY2024/2025 and the expected $6.8 billion surplus for the next FY further underlines that there was no necessity to raise GST from 7% to 9% Let us also not forget that larger surpluses that go into the reserves mean bigger cost burdens on taxpayers when the Government collects more than is needed to spend on public programmes.[+10 sentences] Finally, I wish to touch on the Large Families Scheme introduced to support married couples who have, or aspire to have, three or more children. The Government has said that this scheme is not intended to incentivise more couples to have three or more children, and, drawing from past experience when large baby bonuses have failed to raise the TFR, PSP also believes that it will not. What we need are structural changes to incentivise employers to be more family-friendly and to create better work-life balance so that Singaporeans have more time to find life partners and to raise families. What we need is to move the needle for those who want children but do not currently feel ready or that they have sufficient resources to have children. PSP has previously urged the Government to introduce incentives to family-friendly employers. We will pursue this further during the COS debates. Today, we would like to make two new proposals to improve Singaporeans' work-life balance, by increasing the number of public holidays and enacting the right of workers to disconnect. The number of public holidays in Singapore has remained unchanged since 1968, when the Government reduced the number of public holidays from 16 to 11 to improve Singapore's competitiveness. Since then, Singaporeans have worked hard and our nation has prospered. Now, we face new problems, such as a lack of work-life balance and overwork that are impacting family formation. PSP proposes to increase the number of public holidays from 11 to 14, with one additional holiday for each of the three major races in Singapore.[+3 sentences] The exact holidays should be determined in consultation with each community, but we can consider the possibilities of observing Chinese New Year's Eve, the second day of Hari Raya Puasa and Thaipusam as public holidays. With the increased 14 days of public holidays, it will still be in line with the norms in the region and globally. Next, PSP would like to lend its support for "right to disconnect" legislation to be progressively implemented in Singapore. Workers in Singapore already work very long hours compared to others around the world, but this may not even include time spent at home responding to work-related texts or emails, which prevent workers from spending quality time with their families. We can first introduce the "right to disconnect" legislation for employees who are on paid leave and eventually extend to the "right to disconnect" between 7.00 pm and 7.00 am or outside the normal working hours of the employee.[+14 sentences] These would allow employers and employees to adjust to these new workplace norms. We can also do more to create work environments that are friendly to parents, especially single parents, and improve childcare arrangements. Mr Leong Mun Wai will speak more on this during his speech. These changes also need to be coupled with changes to the education system to reduce the stress and competition for students and parents. I will speak more on this during the COS debates. Mr Speaker, Mandarin, please. (In Mandarin): Mr Speaker, this year's Budget continues to use vouchers to help Singaporeans cope with rising costs of living. While these vouchers can provide short-term relief, they cannot offer long-term assistance nor address structural cost issues. As Singaporeans become increasingly dependent on these temporary benefits, it would not be a healthy trend. Vouchers are not a sustainable solution. The Prime Minister said that the Budget would help Singaporeans cope with living costs, but the result has fallen short of people’s raised expectations. In contrast, the Progress Singapore Party (PSP) has proposed a series of structural measures to reduce cost. Our policies consider not just economic factors but also carefully weighed social factors. These policies aim to enable Singaporeans to achieve economic independence rather than creating dependency on temporary Government subsidies. For instance, regarding public housing, PSP has proposed the Affordable Homes Scheme, where new HDB flats will be priced at construction cost only, excluding land cost.[+8 sentences] Compared to PAP's policies, we are more concerned about whether Singaporeans can afford their HDB flats. The Affordable Homes Scheme would also give Singaporeans more financial resources to pursue their dreams rather than letting a 30-year mortgage become a lifelong burden. PSP has also proposed reducing hawker stalls' rentals to lower food prices at hawker centres, reducing GST to 7% and having the Government pay for healthcare insurance to reduce the burden of medical expenses on citizens. These are long-term measures based on social considerations, not one-off solutions. We also need more structural changes to create a more family-friendly environment for citizens. To help Singaporeans better balance life and work, PSP proposes legislating the Right to Disconnect, giving citizens the right not to respond to work-related messages and emails. PSP also proposes increasing public holidays from 11 to 14 days. While the Government can discuss with various ethnic groups which specific holidays to add, PSP suggests considering Chinese New Year's eve, the day after Hari Raya Puasa and Thaipusam. : Mr Speaker Sir, PSP believes that our cost of living issues should be addressed through structural policy changes, of which we have proposed several, rather than the band-aid approach of ad hoc gifts and handouts. Notwithstanding our reservations, PSP will support the Budget because short-term assistance is necessary for Singaporeans to cope with the rising cost of living, until structural changes are implemented.
Mr Speaker3 words
[+1 sentence]Ms Joan Pereira.
Ms Joan Pereira (Tanjong Pagar)1053 words
[+7 sentences]Mr Speaker, Sir, as we round out this term of Government, I have taken stock of the support provided to Singaporeans over the years, with a longer-term holistic view on various schemes and programmes. In my speech on last year’s Budget, I had appealed for more support for the sandwich generation, whom I referred to as the group that is providing for the care and expenses of children and elderly parents, while having to plan and prepare for their own retirement needs. I am heartened to note that in the year since then, and in this year’s Budget, we have seen additional support for large families, and subsidies and grants for the caring of our elderly. We celebrate the amount of support given, but we must recognise that some of our families continue to be under significant financial strain as they navigate higher costs of living and a challenging job market globally. While assistance has been provided, much more remains to be done and I hope that our Government can continue to focus on addressing this issue in this current term and successive terms of Government. Today, I would like to propose several specific and actionable recommendations that have yet to be fully implemented to ease the financial and non-financial burdens on the sandwiched group. First, caregiver support beyond tax reliefs. Currently, we have tax reliefs in place for those who support their parents at home and I am fully supportive of the enhanced Home Caregiving Grant which provides direct cash support of up to $600 per month.[+1 sentence] I also see that we have increased subsidies for residential long-term care services as well as home and community long-term care services. The maximum household income per capita has also been raised to $4,800.[+19 sentences] However, there are instances where the elderly are not staying with their children and grandchildren, and yet the working children are still providing for their elderly parents. Since we have a staggered approach for subsidies by per capita household income, can we also continue to provide some level of support for those earning per capita household income above $4,800? Otherwise, can we ensure that parents or grandparents who are dependents but have a different residential address be included in the computation of per capita household income for such subsidies? The MediSave top-ups for large families are very much welcome. I hope that the Government can also consider additional MediSave top-ups for large families not simply because they have more children, but also if they have elderly dependents. Since October last year, MediSave funds could already be used for home medical and nursing providers supported by the Ministry of Health (MOH). I look forward to the early extension of MediSave funds to cover a greater variety of caregiving-related costs such as private home and nursing care providers, respite care and other home care costs like adult diapers and other related items. Mr Speaker, in Mandarin. (In Mandarin): The Medisave top-ups for large families are very much welcomed. I hope that we can also consider additional Medisave top-ups for large families, not simply because they have more children, but also if they have elderly dependents. Since October last year, Medisave funds could already be used for home medical and nursing providers supported by MOH. I look forward to the early extension of Medisave funds to cover a greater variety of caregiving-related costs, such as private home and nursing care providers, respite care and other home care costs, like adult diapers and other related items. : Second, the transportation needs of middle-income families. The cost of private transportation in Singapore is relatively high and families with young children are worried about the safety of their kids on public transportation. While there are already subsidies for low-income groups, middle-income families face challenges in covering daily transport costs in a safe and sustainable manner. We have also seen how school bus fares have increased the past few years, and school bus operators continue to struggle with manpower and cost pressures as well. I would therefore like to propose a targeted transportation subsidy scheme for middle-income families, especially to partly subsidise school bus fares. Third, a comfortable living environment for all. Over the years, there have been steps taken to improve the support given to residents living in private estates. However, we must also recognise that the property tax hikes have also affected some of these residents, especially the retirees who are living in their own homes and did not rent them out. I hope that there will be continued and frequent reviews of our property tax regime to ensure that it remains equitable and sustainable, especially for groups that do not necessarily have the cash resources to afford taxes in the long run. There are 32 private estates in Singapore who will have new or improved facilities, such as new recreational spaces, wheelchair-accessible ramps and estate markers in the next five years under the Estate Upgrading Programme.[+3 sentences] While this is very encouraging, there are private estates in my Henderson Dawson Division that will also require works to be done as the population in our estates continue to age rapidly as well. Therefore, I hope that the Government can consider extending senior-friendly works to all private estates around Singapore as well. For HDB estates, I would also like to shine the spotlight on HDB flats nearing or above 40 years, which would require more extensive estate upgrading or maintenance works. Could the Government consider offering the Voluntary Early Redevelopment Scheme on an accelerated timeline for these flats, or additional support to help ensure that the infrastructure of these flats remain liveable for our residents? The Government needs to continue looking after the needs of our sandwiched group, given that their very specific financial circumstances are addressed with targeted, meaningful solutions. These proposed initiatives are designed to provide both immediate and long-term relief, ensuring that no family is left behind as the cost of living continues to rise. By introducing comprehensive caregiver relief, enhancing transportation subsidies and improving their living environment, we can create a Singapore where our sandwiched families are empowered to thrive, rather than being left behind due to the pressures of daily life.[+2 sentences] Sir, I would like to conclude with my support for the Budget. Mr Speaker: Mr Saktiandi Supaat.
Mr Saktiandi Supaat (Bishan-Toa Payoh)3253 words
[+7 sentences]Mr Speaker, Sir, I support Budget 2025 that is a Budget for all Singaporeans and a Budget for the future. Since last week, after the Prime Minister delivered the Budget Speech, I have heard and seen many Singaporeans comment that it is "more of the same" – distributing more vouchers, investing in research and development (R&D) and upskilling our workforce. In some ways, I beg to differ. I think Member Liang Eng Hwa has laid out in detail earlier, measures and efforts, which are extensive in this current Budget and not to forget past Budgets which are still ongoing, in helping our residents and helping Singaporeans. But "more of the same" is not a bad thing. It means our Government is not going to take short-term and populist stances just for special events happening this year. More importantly, it means our approach is working and achieving its aims. Income inequality is at its lowest since 2000 and we achieved better-than-expected economic growth of 4.4% last year.[+8 sentences] But one thing that is clear is that the global environment is different and fast-changing. Trump 2.0 has just kicked off and many asset managers and funds are already predicting more volatility and turbulence ahead. The first area, Mr Speaker, I would like to speak on is attracting investments and good jobs to Singapore. This is key to a small and resource-lite country that we are. Even as we debated our unexpectedly high corporate income tax collections on several occasions last year, and I am sure this year, some Members will raise this, there is little disagreement that we cannot take it for granted that corporates will always choose to stay in Singapore and not move somewhere else. As global supply chains shift in the wake of the pandemic and geopolitical tensions, we are also seeing de-globalisation as countries seek to secure their resources and protect domestic jobs. With that backdrop, countries are competing more aggressively to attract investments and multinational companies (MNCs) to set up operations and bases. We cannot afford to lose ground. According to the Economic Development Board's Year-in-Review 2024 statistics on commitments to invest into Singapore, we are seeing falls across the projected contribution of value-added per annum, the number of jobs expected to be created and total business expenditure per annum. While Amazon Web Services and pharma giant AstraZeneca have announced major investment commitments into Singapore, other MNCs, like Dyson, Samsung Electronics, Shein and Electrolux, have either scaled down or shut down their Singapore operations.[+13 sentences] Given the evolving changes in the global economic, business and political environment, the question I have is whether we have performed an in-depth study of the impact of specific factors on a company's decision to reduce or completely remove its presence in Singapore. This falls back to the volatility of corporate tax revenue going forward as well. So, the general points are well-known and often repeated – that Singapore cannot afford to compete on cost, that we need to focus on value-add and that our attractiveness lies in our political stability and the rule of law. But from industry-to-industry or company-to-company, do we have the mechanisms to study the particular factors that are causing a company to "offshore" its functions from Singapore to another country? The risk is always there. Think of it as an "exit interview" for a departing employee. We should take the chance to learn what did not go well, what we can do better and whether there will be further opportunities to collaborate again in the future. Second, besides doing reflections after the fact, we should also think forward and rationalise our existing investment attraction toolkit. I had raised this when we debated the Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill in November 2024. The Minister of State Mr Alvin Tan responded that both the Ministry of Trade and Industry (MTI) and MOF have been continuously refreshing our incentive toolkits to ensure relevance and competitiveness, and updating legislation under their purview as required. On top of incrementally adding, tweaking and removing specific incentive schemes, is it time for a holistic rethink of our investment attraction toolkit and how they fit together to achieve our strategic objectives and which Ministry should take the lead in such an effort? This is all the more the case when we have recently passed relevant measures that are based on OECD's BEPS 2.0 rules. In light of President Donald Trump's Executive Order on 20 January 2025 withdrawing the US from the BEPS 2.0 consensus, how will Singapore respond? In view of our recent moves to implement BEPS 2.0, the 50% corporate income tax rebate announced by the Prime Minister is a positive surprise.[+13 sentences] Nonetheless, would such rebates be BEPS 2.0-compliant? If not, I would have thought that corporates in Singapore should be conditioned to accept and understand that large corporate tax breaks are a thing of the past. Third, I was hoping to see plans to accelerate novel growth pillars in Budget 2025, such as cybersecurity or AI, and possibly, these might be discussed during the COS debate. But I use these examples because I believe they are horizontals which have the potential to shake up different industries with their development and deployment. What concrete programmes or schemes are we going to push out to further the 15 Actions and 10 Enablers in our National AI Strategy 2.0? What is the Government's assessment of our businesses' uptake of AI presently, especially our SMEs? And whether the Government play a greater role in facilitating our Singaporean businesses' AI transformation, as I believe it would be a massive gamechanger in the years ahead. I am sure the Prime Minister cannot mention all of that in his Budget Statement and I look forward to the COS debate from the different Ministries on this. Fourth, the continued emphasis on worker upskilling and reskilling will certainly boost our attractiveness as a hub to do business. There are some concerns in this House whether the OECD's Programme for the International Assessment of Adult Competencies (PIAAC) flagged a significant decline in literacy after the age of 35, from the Singapore Citizens and Permanent Residents who were surveyed. It is a good idea to redesign the SkillsFuture Enterprise Credit to operate like an online wallet, so that companies can use the credits to immediately offset staff training costs rather than do so on a reimbursement basis. While not exactly similar, I think of this like the LifeSG credits, which can now be used through PayNow to shops and vendors directly. Is there scope to do something similar to make it even easier for individual Singaporeans to utilise their SkillsFuture credits? In response to a PQ last month, Minister Chan Chun Sing shared that only about 26% of eligible Singaporeans have used their one-off SkillsFuture Credit top-up of $500, even though the top-up was given in 2020 and expires by the end of this year.[+5 sentences] Have any surveys been done to study why Singaporeans are not utilising these training benefits which the Government has given to them? Mr Speaker, the second part of my speech is on helping families with dependents, such as elderly parents. And I would like to thank the Prime Minister and MOF for the Budget measures to help families in general. But in particular, families, middle-income families with dependents, such as elderly parents. Families are the building blocks of our society as well as an individual's closest support net. Based on the Department of Statistics' 2024 data, at least 51.7% of resident households comprise children staying together with their parents or parent.[+6 sentences] This does not include "other" household living arrangements, such as a divorcee living with elderly parents only. When I was preparing this speech, it was also difficult to find the number of households with other dependents, such a person with special needs. Based on the Inland Revenue Authority of Singapore's (IRAS') data on dependent reliefs claimed, how many resident households have dependents, such as elderly parents, minor children and persons with special needs? These are important, as if there are a significant number of families with these dependents, the increasing need for financial help to them might be important. As they do their best to support their family members, it is only right that we provide them with whatever support that we can. At a Budget dialogue I attended last year, interestingly, there were a number of questions and feedback requesting for help for working adult children taking care of their elderly parents and whether more help can be done to help them – the sandwich class, middle-class, who are also living with their parents. So, Budget 2025 provides support for families and even more for vulnerable families, and I am very thankful for that. I share the National Population and Talent Division (NPTD) and Minister Indranee’s hope that the Large Families Scheme will encourage more Singaporeans to have three or more children and bring our Total Fertility Rate up from 0.97.[+5 sentences] My three children are way older than six years old now, but even without enjoying the Large Families Scheme benefits, the joy and fulfilment brought by my kids to my life have been immeasurable and irreplaceable. But I have also heard from some parents with young kids who have expressed some disappointment because they were expecting more help. While I would explain that the Government cannot cover all child-raising expenses, and that there are more affordable children's programmes compared to others, I do see their point in the message that we are sending across. Do we risk looking out of touch for thinking that amounts newly offered would be sufficient to move the needle or are we interested in getting only the married couples who would like, but cannot afford, to have a third child to do so? Ultimately, as this House has heard in a Motion filed by my fellow PAP colleagues, Ms Hany Soh and Mr Zhulkarnain, promoting parenthood is a multifaceted endeavour. We should, therefore, work continuously to address the various issues that are currently discouraging our people from having children or from having more children. But besides financial support, perhaps one area that the Government can facilitate more is in creating a family-friendly environment at work and, like I mentioned earlier, the feedback from the Budget dialogue last year, could we, perhaps, look at increasing parental leave and family care leave for working, adult caregivers?[+2 sentences] As our Baby Boomers age and health issues emerge, working children and caregivers would need more family care leave to send their elderly parents for medical visits, health checkups and emergency health needs. So, I understand that policies for additional parental leave to care for children who are not newly-born can vary greatly from company to company, but such parental leave will not only allow for working parents to bring their children to the doctors when they are sick, but it can also provide time for working parents to attend at preschool events and celebrations, or just to spend meaningful time with their children or parents during official school holidays and for emergency needs, for example. Another area which will alleviate the burden on working caregivers is flexible work arrangements (FWAs). So, since the Tripartite Guidelines on FWA Requests were launched in April 2024, how many complaints has the Ministry of Manpower (MOM) received regarding employers who are not complying with the guidelines?[+18 sentences] What is the next step for us to strengthen the regime and set some standards on flexi-time, flexi-load or flexi-place arrangements that employers must offer? Mr Speaker, my third area would be to touch on retirement adequacy, and I have raised this for the past four Budget speeches that I have highlighted. It is the third consecutive Budget debate in which I focus on this issue, given the extraordinary inflationary environment in recent years, which has diluted Singapore's nest eggs and I have been hearing concerns. So, Mr Speaker, I will do this in Malay and not English. Mr Speaker, in Malay, please. : With an ageing population, it is important that our workers today are able to take care of themselves when they eventually retire. We try to achieve this aim through the CPF system, which is recognised as one of the top pension systems in the world. In recent years, there has been increasing concerns over whether our retirement savings will be enough. The pandemic and other global issues are causing our daily costs to keep rising. A mee soto that cost $2.50 just five years ago, costs $4.00 today. So, we must protect ourselves against more inflationary pressures ahead. Last year’s Budget contained several measures to boost our seniors’ CPF savings. We enhanced the Matched Retirement Savings Scheme (MRSS) for Singaporeans aged 55 and above. The Government also provided bonuses through the Majulah Package. How effective have these measures been in ensuring that our seniors’ long-term needs are taken care of? What criteria was used to assess the state of retirement adequacy of each senior, and of our society as a whole? For example, it may be useful to find out if the MRSS’ utilisation rate has improved and whether more families are taking advantage of such dollar-for-dollar Government support. In contrast, Budget 2025 does not seem to announce any specific measure to boost the CPF or retirement funds of seniors. But I am also looking forward to the discussions during COS debates, for instance, for MOM. Given the long-term inflation outlook and the fact that market interest rates continue to be above 2%, how can we enhance the CPF LIFE Escalating Plan, which increases payouts by 2% annually?[+21 sentences] At the same time, we must continue encouraging and facilitating seniors to stay employed longer. This requires a change in mindset. Instead of looking forward to retiring at 55 years old, Singaporeans will need to see the value of staying active and be a contributing member of society, amid increased life expectancies of 80.7 years old for men and 85.2 years old for women. The Senior Employment Credit and the increased senior worker CPF contribution rates will help. But as I had suggested during the debate of the Workplace Fairness Bill last month, we must go beyond anti-age discrimination to provide positive reasons for employers to employ seniors. What is being done on this front in engaging employers or otherwise? May I also ask whether there are any concrete timelines for the Tripartite Workgroup on Senior Employment, which Annex D-3 to the Budget speech says, “MOM will convene later this year”? When will the workgroup be expected to come back with their recommendations and when will public consultations be held? Are there general time periods where we can expect such progress? : So, I mentioned earlier about the retirement adequacy in Malay, but I think it is a very important topic for Singaporeans at large going forward, especially with the rising cost and also the longer age that we might achieve because of health improvements. A final point I just want to highlight is to address social equity and social mobility and on the cost-of-living support in Budget 2025. I have received feedback asking why this is being given to all Singaporeans and not just the less well-to-do, like in previous Budgets. Members in the first few earlier speeches, including the Leader of the Opposition, mentioned this. The suggestion seems to be that we are taking a step backward in making Singapore a more equal society. But we must not forget that costs are rising for everyone, not just lower-income groups. Middle-income households also need help. Ultimately, it is not a zero-sum game. It is not true that every dollar that we take from upper- or middle-income households will, otherwise, have automatically gone to a lower-income household. That is too simplistic. We also should not ignore all other programmes that are aimed at helping lower-income groups. Just in Budget 2025 alone, there is the tiered U-Save utility support as well as the Progressive Wage Credit scheme that we are enhancing. There is also ComCare, for which I thank the Prime Minister for raising the financial assistance amounts from April 2025. Anyone who has been involved in constituency or community work would know the important role that ComCare plays in taking care of those in need around us. So, may I ask how often are the financial assistance amounts reviewed and how is the quantum of the upcoming increase determined?[+2 sentences] For ex-offenders, another area that the Prime Minister mentioned in his speech, who are another group of Singaporeans that Budget 2025 seeks to uplift, the extension of the uplifting employment credit to end-2028 is a welcome announcement. I thank the Prime Minister for that and look forward to hearing more about our plans at MOM's COS. How much has the Uplifting Employment Credit been tapped on since it was introduced in Budget 2023?[+6 sentences] Besides tracking the number of ex-offenders who have benefited from the uplifting employment credit, do we also track how long each individual manages to stay in employment? In assessing the success of the scheme, we should also consider how many of these individuals managed to progress in their employment, securing higher roles and even better jobs. What else can we do to help ex-offenders secure good and suitable jobs beyond the Yellow Ribbon Project's employment assistance? And since I am on the topic of leaving no one behind, there is one other group which is not mentioned as often, that is, Singaporeans working and living abroad. They are Singaporeans as much as you and me and, this year, being election year, essentially, many of them will travel distances and even across states to exercise their Citizens' right to vote. Whereas many of us here would just need to cross the road from our home to a nearby school or HDB block to do so, but because they might not have an address in Singapore, they may not be able to get many of the vouchers, rebates and other benefits that are given to Singaporeans in Budget 2025. One avenue where we can include them is to extend the SkillsFuture Jobseeker Support scheme to Singaporeans working overseas. A resident has recently informed me that Workforce Singapore had told him that overseas Singaporeans will not be eligible for monetary help under the SkillsFuture Jobseeker Support scheme because one of the requirements is that you had to be previously employed in Singapore for at least six of the past 12 months. If we would like more younger Singaporeans to dare to venture abroad to build Singapore's competitiveness in the longer term, we should extend the SkillsFuture Jobseeker Support to cover the more than 200,000 overseas Singaporeans.[+3 sentences] This will provide them with the protection we think Singaporeans deserve in the event of overseas layoffs. My final point, Mr Speaker, before I end, is on the point of inflation and the cost of living. And I have highlighted this in same part as social equity and being equitable across all groups. Earlier, Members have highlighted and many of those outside this Chamber have also raised the point about inflation and the cost of living. And I think some Members here today have highlighted that as well about inflation being turbocharged due to GST and the question is whether that has actually raised concerns about whether that will continue to have an impact on the cost of living.[+2 sentences] I do note that point. The cost of living is a major concern —
Mr Speaker10 words
[+2 sentences]Mr Saktiandi, you have a minute left. Just wrap up.
Mr Saktiandi Supaat301 words
[+3 sentences]— but inflation being impacted by GST, been turbocharged, may not be a fair point in general. Because inflation went up in Singapore, like all other countries, due to other things, like war and supply chain disruptions. Inflation at its peak was not as high in Singapore as compared to many other countries in the region or even globally. In fact, in a PQ on 6 February 2024 which Member Mr Liang Eng Hwa had raised, the response highlighted that GST rate increase is estimated to contribute only slightly less than one percentage point to core inflation. There are other factors, such as high electricity and gas tariffs which are due to increase in oil prices, as well as production costs.[+4 sentences] So, I just want to highlight that point in general about the impact of GST on inflation, but there are other factors beyond GST and GST impact is quite slight. Mr Speaker, to end off, the world has become more uncertain. It looks to continue down that path. Geopolitical tensions continue to be unresolved. Global supply chains are shifting as countries seek to protect their supply chain resilience as well as their domestic economy and priorities. But despite all that uncertainty, Budget 2025 demonstrates consistency – consistency with past Budgets to continue the good work we have done to bring an unexpected level of growth amid our lowest level of income inequality since the turn of the century; consistency with our ideals as identified in the Forward Singapore exercise to help involuntarily-unemployed jobseekers bounce back stronger, supporting families and seniors, empowering and uplifting those in need; and consistency in our Government philosophy that the long-term interests of Singaporeans must remain the key priority regardless of how the upcoming General Election will turn out.[+1 sentence] That is why I support Budget 2025.
Mr Speaker3 words
[+1 sentence]Mr Darryl David.
Mr Darryl David (Ang Mo Kio)1152 words
[+18 sentences]Mr Speaker, Sir, the Budget 2025 debate is taking place amid some truly tumultuous times around the world. In the last 12 months, right-wing and ultra conservative movements have made significant in-roads worldwide, with Europe bearing the brunt of the surge in such right-wing politics. The Parliaments of several European countries are now held together by shaky coalitions that could fragment at any moment due to the fundamental differences that the coalition partners have with each other. Societies are also fraying, often due to tensions between immigrants and locals over access to economic opportunities and differing ways of life. Countries that could not transform their economies and workforces are struggling with persistently high structural and non-structural unemployment, with unemployment and underemployment among youths being particularly worrisome. Topping all this off is a capricious and less-dependent USA with mercurial policies that could sometimes leave the rest of the world scrambling for a response. Sir, these are not alarmist statements, but rather the reality that many countries, Singapore included, is facing. If left unchecked, each of these issues could easily derail a country from its trajectory, potentially plunging it into an irrevocable slippery slope. I started off this speech with reference to the global landscape because, in today's increasingly fragmented world, only good policies and good politics will ensure that we continue to thrive. Singapore's economy and social compositions are more complex today than 60 years ago. Of course, cost of living is a significant and righting concern for many Singaporeans, as with many aspects of our lives, like job security, raising a family, living a dignified life, retirement adequacy, inclusivity and so on. While many of these are "wicked" problems that do not have easy solutions, this year's Budget, I am heartened to say, has, to a significant extent, tried to tackle these challenges, especially the cost of living and helping our Singaporeans. The Budget has been lauded by many as a generous one that not only provides relief to alleviate immediate cost of living concerns of Singaporeans, but also one that aims to transform Singapore's economy in the longer run by nudging businesses to innovate and individuals to continue to embrace lifelong learning and upskilling. I would like to speak now about elevating our workforce, Sir. In this era where technological breakthroughs are occurring at an unprecedented pace and countries are trying to outdo each other to incubate the next tech unicorn or to develop the next global company, we need to continue to motivate Singaporeans to strive to be the best versions of ourselves and to inspire Singaporeans to chase their dreams both locally and on the global stage. I laud the Government's effort to support our local companies to innovate, as well as the range of schemes that have been put in place to support our workforce, especially lower-skilled workers and workers whose jobs are facing disruptions, to upgrade and upskill themselves. Amid implementing these schemes, I hope that the Government can consolidate our efforts to nurture Singaporeans to not just be the best versions of themselves as workers but also to be global leaders. I believe that Singapore's future success depends on a bifurcate workforce strategy, comprising renewing the skills of our local workforce so that we are the most competitive, the most educated, well-skilled and productive workforce in the region. But at the same time, I hope that the Government will not neglect the efforts to nurture and develop Singaporeans with the potential to lead. I would like the Government to consider introducing a more programmatic approach on a national and international level to provide Singaporeans with the exposure and training that they need to step up to be global leaders.[+5 sentences] Ultimately, we do not want Singaporeans to known only as good workers, but also good global leaders as well. And the dividend of the bifurcation strategy will take years to realise, I understand that. But it will certainly pay off in the longer run when we have an ambidextrous workforce that is not only hungry, capable and competitive, but also excels in leadership and leading. I would like to talk also, Mr Speaker, Sir, on SkillsFuture. It has been a decade since SkillsFuture was introduced. Today, there are thousands of SkillsFuture and micro-credential courses offered by training providers and a plethora of funding schemes that Singaporeans can leverage on in their skill acquisition journey. But while this is good, my question is: how strongly are the SkillsFuture and micro-credential courses driving employment outcomes, especially for mid-career and senior Singaporeans?[+6 sentences] How do these courses translate into tangible employment benefits like job growth, career transitions and wage growth? SkillsFuture was introduced with the noble intent to support workforce transformation and was designed to encourage Singaporeans to embrace lifelong learning and acquire new skills so that they can continue to be relevant in emerging industries. The intent of the programme must and should rightly remain so. The programme must therefore never be reduced to a numbers game where the focus is on introducing as many courses as possible so that Singaporeans have a wide range of courses when it comes to upskilling. But neither should it be seen as an avenue for some to turn a quick profit by cashing in on the Government's funding. Mr Speaker, I hope that the Government can share more information on the efficacy of the SkillsFuture programme in supporting career growth, and whether the various jobs-related schemes have led to actual and tangible career outcomes. In the same scheme, I would like to know whether SkillsFuture Singapore (SSG) has conducted audits on the courses offered to find out their correlation with tangible employment outcomes. Would SSG thus consider tightening the number and the genres of courses offered and deregister courses that do not lead to strong employment outcomes? And lastly, apart from what Employment and Employability Institute (e2i) is currently doing, are there specific programmes to support long-term unemployed individuals or those who have chosen to take a break from the full-time employment to get back to work?[+1 sentence] Sir, Singapore celebrates SG60 this year. It is a wonderful accomplishment for us to come this far. But while we bask in a general mood of celebrations, let us not forget that there are dark clouds gathering on our horizon and take heed that SG60 did not happen because it is meant to happen, but rather, it happened because we, collectively, as a country made it happen. SG60 belongs to all Singaporeans, past and present, and to everyone who has, in their own way, made this happen. I hope that Singapore will continue to defy the odds, thrive in this age of uncertainty and be an exemplar of how a country can stand united, with every member of the society being given the support and opportunity to succeed, regardless of our station in life.[+1 sentence] I thus end my speech in firm support of the Budget, Sir.
Mr Speaker4 words
[+1 sentence]Mr Ang Wei Neng.
Mr Ang Wei Neng (West Coast)1739 words
[+3 sentences]Mr Speaker, Sir, I rise today in full support of the Budget and wholeheartedly echo the Prime Minister's call for Singapore to become a more inclusive society. When our nation was young, our priorities were clear and urgent: grow the economy, create jobs and ensure every Singaporean had a chance to thrive. And 60 years ago, in 1965, unemployment rate stood at a staggering 10%. Today, thanks to decades of hard work and sound policies, unemployment has fallen to less than 3% and our median household income has risen to $11,297.[+13 sentences] This is a testament to our collective resilience and determination. Yet, as we celebrate these achievements, we must also recognise that not everyone has benefited equally. While the majority of Singaporeans have seen their lives improve, there are still those at risk of being left behind. This is why I am heartened to see our Gini coefficient, a measure of income inequality, reach a new low after Government transfers. This is a healthy sign, but it is not enough. We must do more, especially for those who need our help the most: people with special needs (PSN). Some may refer to this group as people with disabilities, but I prefer the term "people with special needs" because it reflects their unique challenges and extraordinary potential. Over a decade ago, I had the privilege of being involved in the Enabling Master Plan 2 and 3, initiatives aimed at improving the lives of PSN from cradle to grave. Since then, we have made significant progress. Special Education (SPED) schools, for instance, are no longer run as charities but are now well-funded by the Ministry of Education (MOE). This means these schools can focus on what truly matters: providing quality education and improving outcomes for PSN. Today, the focus has shifted to employment outcomes for PSN. I am proud to share that my son, who has special needs, has been able to work part-time in a factory – thanks to the School-to-Work Transition Programme run by the Enabling Village. In recent years, the Ministry of Social and Family Development (MSF) has developed the Enabling Master Plan 2030, effectively implemented by its Senior Parliamentary Secretary Mr Eric Chua. I am also grateful that Prime Minister Lawrence Wong has agreed to extend the Enabling Employment Credit to the end of 2028, ensuring employers continue to receive wage offsets for hiring PSN.[+18 sentences] But while we celebrate these milestones, we must not forget the unsung heroes in this journey: the caregivers. As a parent of a child with special needs, I know first-hand that caring for a PSN is a lifelong mission. It is not easy. When a PSN behaves differently in public, bystanders often rush to judge, blaming the parents for a lack of discipline, unaware of the immense challenges that they face. This is why it is crucial to provide caregivers with the support they need, whether it is connecting them to resources, offering emotional support or providing respite care. In Nanyang, we have taken a step in this direction with Project Purple Heart, inspired by the Purple Parade. This initiative brings together caregivers of family members with special needs. Our early sessions were emotional as caregivers candidly shared their struggles. But as we connected them to resources and to one another, a strong support network emerged. Today, we have about 60 caregivers in our network and we have renamed the initiative “Family of Purple Heart” to reflect our long-term commitment to their well-being. These caregivers meet monthly and stay connected through a WhatsApp group, offering each other tips, encouragement and emotional support. Just last night, I received a message from one of the caregivers stating her concern on how her son with special needs can claim the SG60 vouchers as he would not be able to use it, the $600 vouchers, on his own. I hope MSF can look into this concern. One of the members of the Purple Heart, Mdm Sim, joined us recently. At 58, she cares for her 25-year-old daughter, who has Angelman Syndrome. Both Mdm Sim and her husband work as delivery personnel with low wages and they also have to support two younger daughters who are still studying. Life is tough for Mdm Sim, but through the Family of Purple Heart, she has found solace and strength in the company of others who understand her struggles. Mdm Sim's story is not unique. There are countless caregivers across Singapore who are equally — who are also quietly bearing the weight of their responsibilities with little recognition or support. That is why I urge MSF to consider providing caregivers with a quarterly grant of $200, similar to the Silver Support Scheme, through LifeSG credits or otherwise.[+13 sentences] While this amount may seem modest, it would serve as a meaningful gesture of recognition and help ease the financial burden that many caregivers face. Mr Speaker, now, let me turn to another pressing issue: residents living in HDB segmented units without direct lift access. About 30 years ago, when HDB built these segmented blocks, residents appreciated the privacy they offered. Back then, climbing stairs was not a problem. But today, as these residents age, mobility has become a significant challenge. What was once a prized feature has now become a source of frustration and hardship. Last month, I met Mr and Mrs Chew. Mrs Chew, who has mobility issues, struggles to navigate steps, especially when going down. They stay in a segmented unit. They have tried multiple times to apply for a BTO flat but have been unsuccessful due to their status as second-time applicants. When Mrs Chew shared her story with me, she was on the verge of tears. I promised her then, as I have done year after year since becoming the MP for Nanyang, that I would raise this issue in Parliament once again. Mr and Mrs Chew are not alone. Many households staying in the 2,000 segmented units across 140 blocks in Singapore share similar hardships and challenges.[+5 sentences] In Nanyang alone, there are 224 such units in 14 blocks. I urge HDB to explore the latest technology to install lifts in segmented blocks to relieve the pain of residents staying in these units. If technical or cost constraints prevent the construction of additional lifts, I propose the following solutions. Firstly, allow owners to sell their segmented units back to HDB at the market value, ensuring they are not financially disadvantaged. Secondly, grant these owners priority when applying for HDB BTO flats, akin to the first-time applicants, to ease their transition. Thirdly, repurpose these segmented units by leasing them to workers through agencies like JTC, rather than reselling them and repeating the cycle again. Fourthly, provide cash assistance to owners of segmented units, with higher assistance for families with members who have physical disabilities, to help them relocate to flats with direct lift access. Last but not least, waive the resale levy, if applicable, when owners sell their segmented units to purchase a BTO flat with lift access to reduce their financial burden.[+9 sentences] With over a million HDB flats in Singapore, almost all of which have direct lift access, it is only fair that we find a permanent solution for the residents still staying in these 2,000 segmented units. Let us not leave them behind. Let us make a bold decision to end their hardship and ensure that every Singaporean can age with dignity and ease. Mr Speaker, Sir, allow me to say a few words in Mandarin. (In Mandarin): Mr Speaker, Prime Minister Lawrence Wong conveyed a clear message in the SG60 Budget. We will not forget any group, including persons with special needs (PSN). With this in mind, we established the Project Purple Hearts in Nanyang to provide support for residents who care for family members with special needs. We call them caregivers. The hardships of caregivers are often difficult for outsiders to understand. To lighten their burden, I suggest MSF consider providing a quarterly grant of $200 to caregivers who hold a blue CHAS card, similar to the Silver Support Scheme.[+15 sentences] We could call this the “Caregiver Support Scheme” to express society's care and support for them. Next, I would like to focus on the segmented HDB units, flats where residents cannot access the lift on the same floor. In Nanyang, 224 units face this issue. Taking Mdm Er for example, she has a seven-year-old child with special needs who has mobility difficulties, requiring her to carry him up and down the stairs. As the child grows and gains weight, Mdm Er is finding it increasingly difficult to manage. She thought of applying for a BTO flat but she knows it is not easy as she is not a first-time buyer, and she faces the pressure of paying the resale levy. Mdm Er's predicament is not unique. Residents living in segmented units face similar challenges. Therefore, I urge HDB to utilise advance technologies wherever possible to install lifts which will allow residents to access them on the same floor. If this is not feasible due to technical limitations or high costs, I hope MND could consider the following: (i) first, allow segmented unit owners to sell their units back to the Government at market price, ensuring they are not financially disadvantaged; (ii) second, grant these owners priority for BTO applications and waive the resale levy to reduce their financial burden; (iii) third, provide grants for owners who want to purchase new flats, with enhanced grants for families with members with mobility issues; and (iv) fourth, units bought back by the Government should not be resold to Singaporean or Permanent Residents. Instead, the Government can work with JTC to rent these units out to young foreign workers, preventing the problem from recurring. Mr Speaker, the segmented unit issue has been around for years, affecting not just residents' quality of life but also their dignity and sense of well-being. I urge HDB to take bold steps to resolve this issue once and for all, so these residents no longer have to struggle with daily stair climbing. : Mr Speaker, Sir, in closing, I urge this House to remember that progress is not just about numbers and statistics. It is about people, real people with real struggles, hopes and dreams. Let us continue to build a Singapore that leaves no one behind, a Singapore that is not only prosperous but also compassionate and inclusive.
Mr Speaker3 words
[+1 sentence]Mr Dennis Tan.
Mr Dennis Tan Lip Fong (Hougang)2702 words
[+2 sentences]Mr Speaker, for my Budget debate speech this year, I will start with the issue of our ongoing efforts for green transition, as I have done in past years, followed by the issue of support for adults with disabilities before touching on a few issues relating to healthcare and support for our seniors. Mr Speaker, the Prime Minister announced in his Budget speech that Singapore submitted our new climate target, that is, Singapore's 2035 nationally determined contribution (NDC) to the United Nations Framework two weeks ago and that we have committed to reducing our emissions to between 45 and 55 million tonnes of carbon dioxide equivalent by 2035. The NDC is a concrete commitment we have made to the international process and I am glad that for the first time the Government has committed to a downward trajectory in the country's emissions after the plan peak in 2028.[+6 sentences] On our latest NDC, I would like to ask how much our plan is currently aligned with the Paris Agreement's 1.5 degrees warming target. If it is not aligned, how much warming is our plan consistent with, that is, is it a two-degree warming world, three-degree warming world, or so on. Second, can the Government clarify what is stopping us from bringing forward our transition even further? Is it possible to accelerate negotiations on renewable imports with our neighbours? On transport, which I often speak on in this House, I hope the Government can incentivise a faster shift towards vehicle electrification for private vehicles, as well as to expedite the electrification of our public fleets, given that it has more direct control over it. A Straits Times article on 12 November 2024 reported that a number of public buses currently running on batteries have risen to 420, which is 7% of the current overall public bus fleet. I have also previously spoken on my concern for the slower electrification of our logistics vehicles, including lorries and other heavy vehicles. I welcome the Prime Minister's announcement of a new Heavy Vehicle Zero Emission Scheme and an Electric Heavy Vehicle Charger Grant, providing incentives for the purchase of heavy vehicles and co-funding of charging infrastructure.[+11 sentences] I hope these incentives will help push the needle on heavy vehicle conversion. I look forward to Ministry of Transport's elaboration of these features and other clarifications during the COS. Mr Speaker, in this Budget, about a year since its launch, the Prime Minister also doubled the Future Energy Fund to $10 billion. I would like the Government to explain how each disbursement is accelerating our energy transition as well as to give more details on the nature of projects that have been funded. Thirdly, the NDC does not explain the proportion to which novel tools, such as carbon captured utilisation and storage and carbon credits, will contribute to the downward trend in emissions after 2028. To what extent will Singapore be relying on them? Is the Government's view that such tools will be as predictable as incentivising efficiency and emission reductions through higher carbon taxes from 2028 onwards? On carbon capture, utilisation and storage, the responses to the public consultation on the NDC included concerns on the use of carbon capture and storage, which may not be fully proven and difficult to scale. Can the Government explain how it took into account feedback on the NDC from the public who are key stakeholders in this climate crisis? Fifth, my understanding is that emissions from international aviation and shipping are not covered under our climate targets. Is there a timeline for when our targets will eventually cover these two sectors? In this Budget, the Government will provide $5 billion more to the Changi Airport Development Fund, some of which would go to Terminal 5, which the Prime Minister has said that when completed, will increase our airport capacity by 50%.[+15 sentences] While Singaporeans may all look forward to our air hub expanding, the 50% increase in capacity will, if it goes according to plan, mean a staggering increase in flights and, consequently, aviation emissions. What are our Government's plans of cutting aviation emissions per plane seat so that we will not inadvertently be accelerating climate change with the increase in airport capacity and flights? How will our sustainable air hub blueprint be stepped up in the next few years to mitigate the increase in aviation emissions after T5 opens? Mr Speaker, I have spoken previously on the green transition of our petrochemicals industry. Our linkages in the brown economy are still deep for now, even as we see in 2024 a significant sale by Shell of their assets in Pulau Bukom and Jurong Island. I would like to seek, once again, the Government's update on the green transition of our petrochemicals industry, where we stand now with the Shell sale and other developments in the petrochemicals industry. Are there any shifts toward green transition following the sale, which the Government is able to provide some updates? I would also like to ask about the manpower transition efforts for our workers in this industry, whether following Shell's sale or generally, what are being done to transition our workers as the industry undergoes green transition? I have asked about this previously and I hope we will get some assuring answers from MOM this time. Mr Speaker, I look forward to the Government's responses and elaborations on the concerns that I have raised, whether at the Budget debate or at the Committee of Supply. Although global geopolitics has changed dramatically over the past year, climate change is still the number one existential risk to the world and to Singapore. To be clear, the Workers' Party supports ambitious climate action, we have and will continue to back the Government on good, effective climate policy. Mr Speaker, I welcome the Prime Minister's announcement that he will provide more support for adults with disabilities. In my Budget debate speech last year, I have said that, as a society, there is a lot more that we can and should do for adults with disabilities among us. In particular, adults with serious special needs as well as their caregivers. I spoke on doing more for the care and education of adults with special needs, including post-SPED school education and training as well as doing more for their caregivers. I am therefore happy to hear that the Government is looking into the post-18 pathways for persons with disabilities, to see how more support can be given to those transiting to work, building up work readiness at the workplace.[+1 sentence] For persons with disabilities, the range of disabilities do vary a lot. Reasonable accommodations are essential for a person with disability in entering the workforce and attaining and maintaining employment, and this would be consistent with the requirements the United Nations Convention on the Rights of Persons with Disabilities. I note that there are already state funding and subsidies for improvements to workplace, job redesign, assistive technology to aid persons with disabilities in their workplace and there is also the Enabling Employment Credit, which has just been extended to end-2028 under this Budget, and these are all beneficial for persons with disabilities in the workplace.[+21 sentences] On the other hand, knowledge and appreciation of the importance of reasonable accommodations to persons of disabilities can be instilled from young in school in both children and youth with or without disabilities. This can be specifically included in the character and citizenship education syllabus, where we have been told that the current curriculum aims to develop students to be empathetic, sensitive and respectful to all, including those with special educational needs or disabilities. Can the MOE clarify or consider whether the concept of reasonable accommodations or at least the key aspects of it are currently being taught to both children and youth, with and without disabilities, to better prepare them to foster any inclusive work environment for all when they enter working age? Mr Speaker, I hope the Enabling Masterplan 2030, with its focus on inclusive employment practices, will continue to facilitate improvements in employment experiences for persons with disabilities, getting more support for employers to provide appropriate accommodations in their workplace that can facilitate a working environment where persons with disabilities can thrive. However, transiting persons with disabilities and getting employers to be PwD-ready is one thing. A suitable working environment for disabled persons will also require good understanding, empathy and support from their colleagues. And, indeed, when we talk about disability, there is a wide range. Provisions can range simply from rent for wheelchair access for the physically handicapped persons to providing assistive technology for those with sight problems and so on. For those with special needs, for example, mild autism, depending on the individuals, it may involve suitable calibration in lighting or noise or providing for task management assistance or specific communication modes at work and so on. How many of us can say we know with some details, of the workplace needs of different categories of disabled persons? I recently had conversation with some Singaporeans who are high-functioning autistic working adults, including a resident. They shared with me their life journey of struggling with their autism at their workplace, both before and after discovering, belatedly, their autism after they became adults. A person shared with me her fear of group projects causing her to do badly in school, right through to university and even at work. Another successful, highly educated and intellectual individual shared with me that he will often struggle if his superior did not provide clear instructions or guidance or understandable guidelines for certain administrative tasks, or when he had to conduct seminars or workshops. A sticking issue is the lack of understanding from colleagues of their condition and their needs at work. There is even fear of discrimination of affecting promotion or job security, preventing one from sharing about one's own condition or challenges. I hope that SG Enable can consider how to continue to enhance public education and understanding of the disabled persons at work, so that employers, colleagues at the workplace and, indeed, all Singaporeans will have better knowledge, understanding and empathy for their colleagues with disabilities or special needs. Mr Speaker, in my Budget debate speech last two years, I had spoken on issues relating to our Active Ageing Centres, including staffing. While Active Ageing Centres are expected to reach out to many seniors in the cluster they are assigned to, given the number of seniors, there may inevitably be a shortage of resources in terms of spaces for centre activity, time as well as staff or volunteers attending the residents. This may create a situation in centres that residents may not get to participate in as many organised activities as they wish or to use the centre space as often as they would like to. I am only concerned that this will lead to loss of interest for some residents, which will be a great waste after centre staff have tried so hard to bring them to the centre. So, I hope MOH and other stakeholders can give some thought as to how centres can be given more resources so that they can take care of more residents assigned to their cluster and residents can use their centres for activities more optimally.[+1 sentence] Mr Speaker, in our 2020 manifesto, WP called for residential long-term care to be more heavily subsidised so as to relieve the out-of-pocket financial burden of social care for many families. We are heartened to note that the Budget has stepped up quite significantly to this end and we support the raising of the maximum subsidy level to 95% for the non-residential long term care services for per capita household incomes below $1,500, to allow more people to age in place with financial support. We also welcome the maximum subsidy level of 80% for residential long-term care, which we had proposed in our manifesto. We are heartened that the qualifying income for their maximum level of subsidy has been raised to $1,500 per capita.[+15 sentences] Mr Speaker, in November 2023, during the WP Motion on the cost-of-living crisis, I spoke about removing the annual value as a method of means testing when the household income is zero. Earlier that year, the hon Member for Aljunied GRC Mr Gerald Giam, had also urged the same in a PQ. WP continues to believe that the annual value should be removed as a means testing criterion for healthcare subsidies. Firstly, healthcare affordability should not be tied to property values. They are determined outside of one's control as they are influenced mainly by the rental prices of neighbouring units. Imagine a retiree couple who have lived in their low value walk-up apartment for decades. As a result of gentrification of their estate and perhaps the work from home habits of younger people, the area is sought after. Rents rise in their area. The annual value of their flat goes above $21,000 and, just like that, they lose the entirety of the healthcare subsidies they had enjoyed. The rise of rents since COVID-19 makes this scenario more common than we know or admit. Secondly, looking at the household data from the Department of Statistics, particularly, the recent key household income trends 2024, released on 13 February 2024, we have found that households with no per capita household income and those who live in properties with annual value above $21,000, which assume are private properties, make up just 3% of total household. By extension, at any one time they occupy less than 600 beds in the residential long term care sector, based on bed numbers as at end-2023. Thirdly, as I have spoken in my cost-of-living Motion speech, there may be a variety of reasons why individual owners are unable to monetise their property, and they are not the only people who are affected by the annual value. There are also family members living together who are caught by the rule. They are sharing a high annual value property to help care for each other, but they may not be able to get their relatives in the same household to pay for their unsubsidised medical expenses. For all these reasons, I hope the Government will reconsider and to remove the annual value criteria and provide the same subsidies to all household that have no income.[+3 sentences] Next, the cost of dental care in Singapore has become a concern, anecdotally, we have heard of Singaporeans crossing the border to Johor Bahru to seek cheaper treatment, a subject of the PQ in November 2024 by my colleague, MP for Sengkang, Ms He Ting Ru. For more serious conditions, they are riskier. It may be a case of paying for more expensive treatment locally or ignoring the problem that will worsen with neglect. Is it surprising that the National Adult Oral Health Survey of 2019 revealed that three-quarters of those aged between 21 and 64 in Singapore suffer from periodontal disease?[+2 sentences] Much more can be done to overcome the accessibility and affordability of local dental services by addressing the overlooked role of dental health in our healthcare system. A few experts have weighed in over the last few months. First, the subsidy framework should be expanded to holders of the Community Health Assist Scheme (CHAS) green card, so that subsidised care may be available for all at private dental clinics under the Primary Care Partnership scheme.[+3 sentences] Second, increase the capacity of the current public dental system, which is currently overburdened. By shortening the waiting times, we may encourage regular visits and turn more patients that need urgent attention away from having to seek more expensive private dental clinics. Last but not least, in my speech during the 2022 Motion debate on Building a Healthier Singapore, I have asked for oral health to be covered in the Healthier SG programme. In his Straits Times Forum letter on 22 November 2024, the dean of the National University of Singapore dental faculty, Prof Chris Peck said that the omission of dental care from Healthier SG "needs rectification".[+2 sentences] With encouragement on prioritising prevention over corrective treatments, I hope MOH will consider this. Mr Speaker, in closing, I look forward to the replies to all the concerns I have raised.
Mr Speaker4 words
[+1 sentence]Ms Tin Pei Ling.
Ms Tin Pei Ling (MacPherson)2421 words
[+2 sentences]Mr Speaker, Sir, we started we started this year with a generous Budget, one that offers something to everyone. From babies to seniors, from families to enterprises, this Budget addresses immediate needs and prepares for the future. Of special mention is the SG60 vouchers that are to be given up in celebration of our 60 years of Independence.[+10 sentences] These SG60 vouchers are not handouts. They symbolise the economic progress we have achieved since nation building. Our forefathers sowed the seeds of resilience and foresight, coupled with the careful stewardship by our leaders and, today, we reap those benefits. Two days after the Budget Statement, I did my house visits, went around to visit my residents and shared with them what would be encompassed in the Budget. Many of them have expressed joy and excitement. Seniors, themselves, were also especially heartened to know of the enhanced measures, such as the enhanced CDC Vouchers, the long-term care support and, of course, the SG60 vouchers. They were excited that they now have more support to help them cope with the daily cost of living. Economic growth is not just about statistics or gross domestic product (GDP) percentages. It is about the lives that we touch. It means better standards of living, meaningful employment opportunities and the resources to fund public goods and services. As highlighted in the latest MTI report, Singapore's economy grew by 4.4% last year, with median incomes rising 3.4% above inflation and income inequality reaching its lowest since the year 2000.[+15 sentences] This is progress. But as history has shown, past success is no guarantee of future prosperity. This bears repeating and remembering. We are operating in a world rife with geopolitical contestations. The intensifying US-China rivalry tests countries around the world in many ways. It is reshaping global supply chains, technology ecosystems and economic partnerships. Singapore, as an open economy, feels these ripple effects. The most recent example is that of DeepSeek. DeepSeek's emergence prompted multifaceted response from the US, ranging from government scrutiny, industry reactions and strategic reassessments. Countries, such as Australia, Canada, Italy, the Netherlands, Taiwan and South Korea, also indicated that they would ban the AI app, citing privacy and security concerns. Then, Singapore came under the spotlight and pressure as the US alleged that DeepSeek got Nvidia chips through Singapore. This issue was clarified in the media and thoroughly discussed in this House last Tuesday, so I will not belabour these points. But what is clear is that Singapore can get caught when major powers contest. If the geopolitical contestation continues to escalate to a point where even breathing the same air becomes offensive to the other party – obviously, I am exaggerating a little bit here – how shall Singapore manage these sensitivities going forward and ensure that our own national survival and interests are served? Then, domestically, we are also not without challenges. An ageing population, low total fertility rate – now, very low, at below one, at 0.97 – high cost of living, these are potent combinations of challenges that we face.[+15 sentences] In MacPherson, we are a mature estate with a higher than national average proportion of seniors. Over the past many years, I have met with senior residents who are struggling with old age, with having little or no family support as well as the pressures, the worries from having to cope with daily living needs. Just very recently during the Chinese New Year period, I went with my team to visit one of our rental blocks. And at the very last part of my visit, I met an uncle who was living alone. Just about a month or two before that he had a fall, fractured his leg and found it very difficult to move around. He used to be very active, but because of his fracture, his ability of mobility becoming affected, he has been coping up at home. So, even though at the beginning when I knocked on his door, he was still generally positive and joyful and cracked a few jokes with me. But towards the end of that visit, towards the end of our conversation, he broke down in tears. Why? Because he has been feeling so lonely. He felt that his sense of ability, that self-esteem has been debilitating, has been regressing and that fear gripped him. So, when we suddenly came to visit him, even though we have been seeing each other before that, but when we were there at his doorstep, he realised that he has not been forgotten, that there is still someone caring about him. He broke down into tears. So, obviously, we mobilise community resources to support him, to help him, to make sure that he is connected. We also found Befrienders through our community partners to continue to engage him, but this is one of those manifestations of how Singapore could be like with an ageing population, with dwindling family support and, if we do not manage this carefully, we are going to have a lot more seniors who will feel very lonely, isolated and then, the whole psychosocial state of them will be affected. This is our future, so we must avoid this. I must say that our Government has put in place a robust system to support our seniors and the entire population for healthcare, subsidies, the three Ms and also, with this budget, we have greater support in terms of the longer-term care, as well as the caregiver home grant support.[+10 sentences] But more than the financial support that we can give them, it is also us, people within the community, across the nation, through our partners, what can we do to help them to give them that moral support, that human touch that cannot be replaced. So, we need to do our best to keep them healthy. We have Healthier SG, thankfully. We need to help them recover after they become unwell. I know that the hospitals are working with our community partners to follow-up with them on that, but we also need to socially engage with them. And this, beyond our usual grassroots, I think this needs all of us to come in to support them. So, this is just one of the challenges that I can see from my ward, my constituency. And we ourselves are also doing our best to support them. Not only are we mobilising our own fellow neighbours and volunteers, but we also raise funds to put in place schemes to also give them the extra support, like the MacPherson Care Fund, helping them, to give them that assurance that, apart from what the Government is able to offer them, we help them with their medical needs, including dental needs, as well as other areas that they find important to them. With challenges looming large, whether if it is outside of Singapore and inside, opportunities are still abound. For example, in technology and innovation leadership, Singapore is a global leader in semiconductor manufacturing and life sciences, producing over 10% the world's chips and 80% of DNA chips. A continued investment in R&D will anchor our relevance in global supply chains. And, of course, in sustainable energy and climate resilience, something that has been termed as an existential one for us, the Budget's $5 billion top-up to the Future Energy Fund and investments in hydrogen, nuclear and renewable energy sources are forward-thinking steps toward energy security and carbon neutrality.[+11 sentences] Yet, with these opportunities, we must continue to remain vigilant. Against a dynamic world and widespread digitalisation, Singaporeans today worry about job security, skills obsolescence and whether the Government can continue to have their backs in times of crisis. These concerns, if unaddressed, can fray social cohesion and erode trust in institutions. Hence, not only must we continue to ensure we have the right policies, infrastructure and resources for economic success, we must also continue to build up our people so that they can continue to ride waves. In this budget, we have many measures that address immediate pain points and needs of Singaporeans, mitigating cost of living and costs associated with caring for the old and growing families. These measures are so notable that several commentators wondered if the Government has given a bit too much, but at the same time, together with Budgets over the past many years, we can clearly observe the long-term provisions and strategies that our Government has in place and this is heartening. Hence, I am in favour of the many measures targeted at building up our nation's capabilities. These include continued investment into infrastructures, R&D, specific enterprise support, such as the Enterprise Compute Initiative, aiming to help businesses harness the power of game-changing technologies as well as enhanced SkillsFuture schemes and employment credits to empower our workforce to stay employed and keep pace with the latest market demands. Building capabilities and resilience in our people and enterprises is far-sighted and the best way in inoculating ourselves against the possible challenges of our future. That being said, to keep Singapore resilient, I still have a few points to raise. Firstly, on replenishing our Reserves. Given that we had a relatively good fiscal year with surplus, I would like to reiterate my call on the Government to put back into the Reserves what we had taken out during the pandemic.[+15 sentences] This need not be done at one go, but in tranches over the next few years, whenever we can, will be assuring. This pot of gold accumulated by our forefathers served us well during the crisis of our generation and we owe it to the next generation to restore it whenever we can, if not in full, at least, in part, for the benefit of future generations. Second, strengthening economic resilience. As geopolitical competition continues to intensify, there will be impact on our economic structure, supply chains and even how we deploy technologies. Hence, I hope the Government will continue to build redundancy into our supply chains, foster local tech ecosystems and reduce reliance on external shocks. Third, securing sustainable energy. As a related point, competition between major powers is expected to still escalate in the realm of technology, which, in turn, rely on energy. It will thus not be surprising that the competition overspills into the energy space. As a small country, how do we secure sustainable sources of energy while maintaining low carbon emissions? As such, the exploration of nuclear options, hydrogen fuel and regional electricity imports must accelerate to buffer against future geopolitical shocks. Fourth, sharing the fruits of growth. It is important that we continue to share the fruits of our collective labour with Singaporeans. This helps to keep our social compact strong. This gives meaning to why we are pursuing economic growth. This is definitely demonstrated in the many social policies and schemes that our Government introduced or enhanced over the past years and, most definitely, this year. Specific to SG60 vouchers, which is quite unlike the GST or CDC Vouchers that are purposed to address everyday costs and also, in a large part, to help drive business to our micro-SMEs within the heartlands and beyond, it is a special commemorative benefit for Singaporeans age above 21. But given that there are many vouchers already, would MOF reconsider distributing part of it in cash so that individuals can choose to save it, donate it or use it for other legitimate purposes?[+20 sentences] In Mandarin, please. (In Mandarin): Mr Speaker, the new year began with a generous Budget. This is a Budget that benefits all Singaporeans. The SG60 vouchers are not just a one-off gesture; they symbolise our economic achievements since Independence. The fruits we enjoy today come from our pioneers' vision and perseverance, the careful stewardship of our successive leaders and the full cooperation of our people. Economic growth is not merely about statistics, nor is it a report card to boast about. A vibrant economy with opportunities means higher living standards, more meaningful employment opportunities and more fiscal revenue to fund public services and infrastructure. In short, economic growth is not just a country’ s heartbeat; it is the continuation of hope for families and people. Globally, we are in an era of intense geopolitical competition. The intensifying US-China rivalry is reshaping global supply chains, technological ecosystems and economic cooperation. Singapore, as a highly open economy, cannot remain unaffected. Any trade restrictions or technology decoupling will directly impact us. As the saying goes, when elephants fight, the grass gets trampled. Therefore, Singapore must be like bamboo, flexible yet firm, and needs to maintain a manoeuvring space and capability in this complex environment. Domestically, we face our own challenges. An ageing population, low birth rates, high costs of living and workforce transformation amid AI and automation waves are all pressing concerns. Therefore, our leadership and Government must not only address immediate concerns like costs of living but also continue to invest for the future, strengthen foundations and pursue new opportunities. I believe this year's Budget addresses these various aspects comprehensively. However, I have several points to raise. Firstly, regarding putting back the draw on Reserves. Considering this year's fiscal surplus, I would like to again urge the Government to gradually replenish the Reserves used during the pandemic to assist Singaporeans and businesses. I hope that at least some portion of the surplus can be returned to the Reserves. Even if not all at once, I hope it can be gradually returned in future years when there are surpluses.[+3 sentences] This treasure trove, which is passed down through generations, played a crucial role during the crisis in our generation, and we have a responsibility to preserve this important national asset for future generations. Secondly, regarding sharing the fruits of economic growth. Social cohesion depends on fair wealth distribution and, with economic growth, we naturally hope to share these achievements with all citizens. The SG60 vouchers are a sincere gesture to Singaporeans. However, I suggest the Government reconsider distributing part of the vouchers in cash, giving people options to save, donate or spend it.[+4 sentences] (In English): In conclusion, in these uncertain times, we must do all we can to build for the future, while giving assurance to Singaporeans, present and future. With this Budget, it is clear that opportunities will remain, that safety nets exist and that the Singapore story will continue to be one of success and solidarity. So, come what may, I believe we will forge ahead together as one Singapore, for a better tomorrow. With that, I support the Budget.
Mr Speaker4 words
[+1 sentence]Mr Lim Biow Chuan.
Mr Lim Biow Chuan (Mountbatten)1368 words
[+6 sentences]Mr Speaker, Sir, it is difficult to quarrel with this year's SG60 Budget Statement. It has been generous and there is something for almost everyone. That is why Prime Minister and the Finance Minister had said that it is a Budget for all Singaporeans. But the Budget Statement is more than an announcement of the goodies dished out to the citizens. It is also a statement setting out the Government's plans to address the current concerns of citizens, to rally Singaporeans together and it is a roadmap to chart the future direction for Singapore. Sir, I support the Budget Statement. I agree with the proposals to help businesses plan for growth, the push to help our citizens upskill themselves and the plans to prepare Singapore for the future which is always changing. And I am grateful that, with a Budget surplus, the Government has decided to share more with its citizens, for example, by providing $3 billion in MediSave top-ups.[+10 sentences] Sir, the global minimum tax rules, which more than 136 countries have joined to establish a minimum corporate tax of 15%, this has caused uncertainty about our tax revenue. It makes budgeting a lot more uncertain, especially with a new US government with uncertain government policies and quick to impose tariffs. Social expenditure will go up and corporate and tax revenue may be uncertain. So, in an uncertain global economy, I urge Members of this House not to take tax revenue for granted. Sir, allow me to make three comments for the Finance Minister's consideration. The first is equitable treatment for all citizens, regardless of housing type. For the past many years, I had advocated for Budget surpluses to be distributed in a manner that does not consider a citizen's housing type. In previous years, the Finance Minister had always given GST Vouchers, U-save rebates, and service and conservancy charges rebates to residents living in HDB flats only. Residents who live in private estates are left out. In July last year, several Members and I had asked the Government why it did not provide Climate Vouchers to private estate residents because energy efficiency should be practised by every resident. I also recall my Budget speech a few years ago, where I had urged the Government to consider ways in which we can allow our retirees and middle-income Singaporeans to share or enjoy the growth of the country and to move together as a nation, regardless of where they stay. Thus, for this year's Budget, I am really pleased that the Finance Minister has heard our pleas and given Climate Vouchers to all households, including those in private properties. I am also glad that the SG60 vouchers, SG60, ActiveSG credit top-ups and SG60 Culture Pass will be given to all Singaporeans, regardless of housing type.[+19 sentences] Many of my residents who are retired or are in the lower- middle-income will certainly appreciate the Government sharing the growth of the Singapore economy with them. Some of my residents who live in private estates and may be better off, they do not need such vouchers. However, I think it is important that the Government signals that it acknowledges the efforts of all Singaporeans who have worked hard, paid taxes and contributed to the growth of the country. So, my hope is that Budget 2025 will mark a slight shift in the Government's financial policy to recognise the efforts and contributions of all Singaporeans who have built up Singapore, regardless of their house type. Next, Sir, if I can touch on cost of living. In a recent survey by Blackbox Research's SensingSG, a large number of citizens have expressed concern about rising costs of living and inflation. Whenever I speak to my residents, they, too, complain at the rising costs of consumer products each time they go to the market, supermarket or hawker centre. And this is despite the fact that over the past few years, the Government has been giving CDC Vouchers and outright cash payouts through the Assurance Package to the residents. The payouts from the Assurance Package did not seem to alleviate the concerns of Singaporeans about the increased costs of living. For residents in the middle-income squeeze, they simply have to tighten their belts as they get much lesser help from the Government schemes. In a recent CNA article, former newspaper editor, Mr Han Fook Kwang, said, "The problem is that handouts are at most band aids that do not address the issue itself which is, the rising prices of things that people need. They will hence never be sufficient, especially if prices keep going up." Sir, I think the Government must review this concern, which is valid. How can the Government do its part to manage costs of living? When I speak to businesses, they invariably raised two concerns of running a business: manpower costs and rental. I think it is time to consider whether we should review the need to allow more foreign workers in areas where Singaporeans clearly do not want to work in. So, I urge the Government to consider adjusting the foreign worker ratio for industries like cleaning, shipping, construction and the service line. A cleaning contractor told me that he is forced to look for 60- or 70-year-old Singaporean senior citizens to work as cleaners. This is to allow his company the ratio to employ more foreigners. So, reviewing the foreign worker ratio will enable businesses to keep their labour costs down. I also urge the Government to adjust rental costs for businesses on JTC- and HDB-owned industrial and commercial properties and also to consider reducing rental costs for hawker stalls.[+6 sentences] I hope that these issues are not sacred cows that cannot be reviewed. Sir, early this year, our local banks have announced increased profits for the year. While I am happy for the banks and happy for the shareholders, I do urge MAS to review whether borrowing costs for businesses can be reduced. Excessive profits for banks may simply mean that some organisations down the chain may be paying a higher price for these financial products. Sir, finally, the Large Families Scheme. I truly appreciate what the Government is intending to do by providing more financial support to couples with more children. Indeed, it will ease some of the concerns of the couples because of better financial support. However, if this scheme is intended to encourage couples to have more children, I think the Government must go back to the drawing board to ask why are many couples not even having children.[+3 sentences] The Catholic Pope Francis has also urged couples to raise children and build families, and not just keep pets. Sir, is the reluctance of having more children due to a lifestyle preference? Or is it because many couples do not want their children to be stressed due to the education system? Or is it due to work stress that makes it difficult for couples to plan for children? I personally think that Singaporeans lead too stressful a life.[+2 sentences] We need to reset our definition of what is success in life. Many of us work long hours, with reduced family time. Even in Parliament, Sir, our Clerks and other staff work such long hours because MPs debate long hours, spend time debating Bills until late in the evening and sometimes until late at night.[+2 sentences] Sir, I have on many occasions, received emails from Ministers late in the middle of the night. Sir, if the entire civil service were to follow the lead of their Ministers, then, sadly, all of us will have a stressful life and we know the reason why many couples feel burnout. So, I urge the Government to please review this culture of working long and stressful hours.[+1 sentence] When I visit Australia or the European countries, I see many people out there enjoying the weather and parks from 5.00 pm onwards. Will a better lifestyle allow us to consider a bigger family?[+3 sentences] Sir, I do not have the answer, but I think there is scope to carry out a thorough study if we want our TFR to improve. Sir, in closing, let me thank the Finance Minister for his Budget Statement. I repeat my support for Budget 2025.
Mr Speaker20 words
[+2 sentences]Mr Lim Biow Chuan, thank you for acknowledging the hard work of our Parliamentary staff. Ms Foo Mee Har.
Ms Foo Mee Har (West Coast)1654 words
[+4 sentences]Mr Speaker, Sir, this year, as Singapore marks 60 years of Independence, we celebrate not just our remarkable journey but also our continued ability to plan with foresight and responsibility. Budget 2025 is a testament to this vision: a Budget that is both generous in addressing immediate needs and disciplined in preparing for a brighter future. The Prime Minister and Finance Minister has unveiled a landmark Budget to tackle cost-of-living pressures, support the development of workers and businesses and commemorate SG60. At the same time, it invests in Singapore's long-term needs, including climate resilience and energy security. Despite these comprehensive measures, the Finance Minister reported a surplus of $6.4 billion for FY2024, and a projected $6.8 billion surplus for FY2025.[+8 sentences] This unexpected surplus is primarily attributed to strong corporate income tax revenue. With 20/20 hindsight, there have been questions about whether we could have delayed the GST increase or been even more generous with the handouts. These reflections must be viewed in context. With geopolitical tensions and trade frictions intensifying, Singapore, one of the most trade-dependent economies, faces heightened risks from geoeconomic fragmentation. In this volatile landscape, it is absolutely prudent to maintain some fiscal dry powder to respond swiftly to unexpected economic shocks that may come our way. Moreover, this fiscal strength will give us the agility to seize opportunities as they arise in this rapidly changing world order. At the same time, we must recognise that Budget 2025 already provides substantial support across key areas. From FY2019 to FY2024, overall expenditure surged by over 50%. In FY2025, this year, healthcare spending alone will grow by over 16% to about $21 billion, while defence spending will rise by over 12%.[+22 sentences] Other critical areas, including sustainability, trade and industry and social development, will see spending growth of around 20% and more. So, by any measure, this year's Budget is not just generous, but a demonstration of fiscal resilience, reflecting a financial strength that few economies can rival. Sir, our ability to sustain significant public spending growth while maintaining fiscal discipline is what sets Singapore apart. This has been made possible through years of strategic and disciplined adjustments to our tax system, ensuring a resilient and diversified revenue base. Hong Kong offers a stark contrast. Its over-reliance on land sales and property market cycles has led to ballooning deficits whenever the market turns, forcing the government to make painful fiscal adjustments. At its peak, Hong Kong's land sales revenue contributed 27% of total government revenue in FY2017. But in the last three years, it has declined to an average of less than 7%. So, as a result, it has recorded annual fiscal deficits exceeding the equivalent of US$20 billion in three of the past four years. So, Hong Kong just announced its Budget today and it is now taking painful steps to address deficits by cutting expenditure by 7%. Sir, let me remind this House that PSP and WP have long advocated a similar approach as Hong Kong: using land sales revenue to fund recurrent spending. Had we followed this path, Singapore could be facing the same fiscal vulnerabilities as Hong Kong today. Instead, we chose a more stable and forward-looking approach. We manage land sales revenue prudently, investing the proceeds as part of our Reserves and spending only the investment returns through the Net Investment Returns Contribution (NIRC). This has provided Singapore with fiscal stability, allowing us to support economic growth and social development without being at the mercy of market fluctuations. Mr Speaker, some SMEs have voiced concerns that they have been left out in this year's Budget. However, while certain measures may not be explicitly labelled as SME-specific, I think many initiatives in Budget 2025 will directly benefit them. For example, providing CDC Vouchers instead of cash for SG60 Vouchers will strongly channel and boost footfall to local enterprises, ensuring that our SMEs benefit from increased consumer spending. Increase in co-funding levels for the Progressive Wage Credit Scheme and extension of Senior Employment Credit and Central Provident Fund (CPF) Transition Offset will help SMEs manage wage costs, easing pressures on their operations while ensuring fair wages for workers. Sir, the introduction of the Global Founder Programme, the establishment of the Private Credit Growth Fund and the launch of the Equity Market Development Programme are timely and strategic moves to drive investment, foster entrepreneurship and strengthen capital market vibrancy. These initiatives send a clear and confident signal that Singapore is serious about attracting world-class entrepreneurs, anchoring high-impact innovations and deepening our financial ecosystem to remain a leading global hub. However, for these initiatives to truly deliver on their promise, their design and execution must align with market realities. An example is the new requirement under the Equity Market Development Programme, which mandates that all new single-family office applicants under the Global Investor Programme category eligible for Permanent Residency, allocate at least $50 million of their assets under management to equities listed on approved Singapore exchanges.[+7 sentences] While I agree that mobilising capital from family offices add vibrancy to Singapore's equities market, the implementation details require careful consideration. Sir, from a strategic asset allocation perspective, this new requirement represents a significant overweight to Singapore equities for Global Investor Programme family offices investing across global public equity markets, given the relative size and liquidity constraints of our market. Moreover, the historical performance of Singapore equities relative to the global benchmarks presents an implicit opportunity cost for investors. Additionally, the current investment options tend to cater to selected objectives, such as dividend stocks or yield plays. Unlike the US and China or Hong Kong markets, which offer a broader mix of tech, healthcare and high-growth innovation-driven firms, Singapore has relatively fewer such listings. As a result, any new capital inflows into the local market will likely benefit only a small subset of Singapore-listed stocks. Beyond these concerns, there are also questions regarding investment timeline, lock-in period and the consequences of non-compliance over time. Furthermore, I note from an answer to a PQ that only 200 individuals were granted Permanent Resident status through the Global Investor Programme from 2020 to 2022. So, to fully tap the family office capital for a more diversified investor base, we should consider engaging the 2,000 family offices already established in Singapore.[+8 sentences] However, any adjustments to the rules must be carefully calibrated, timed and aligned with strategic asset allocation principles, ensuring that they do not impact Singapore's competitive position relative to other global family office hubs. Mr Speaker, Budget 2025 provides generous support for AI adoption, reinforcing Singapore's commitment to harnessing technology for economic growth. However, as AI adoption intensifies in the workplace, it is critical that we also address its impact on the workforce, particularly on less experienced workers who are most vulnerable to automation. As AI models continue to rapidly advance, they will not only boost productivity but also commoditise skills and automate tasks. It is often junior inexperienced staff or those involved in routine tasks who face the greatest risk of displacement. This raises urgent questions. How do we prepare new workforce entrants for a future where traditional entry-level roles shrink or disappear? How will they gain the necessary experience to progress in their careers if they struggle to secure their first job? Indeed, based on the latest Joint Autonomous University Graduate Employment Survey, we are already seeing fresh graduates' employment outcomes softening.[+4 sentences] AI adoption must go hand in hand with comprehensive strategies to manage job displacement, retraining, career redefinition and industry transformation, ensuring that workers are equipped to adapt and thrive in an AI-driven economy. For institutes of higher learning, exposure to industry AI tools must be integrated into all curricula. Mr Speaker, my next point is on Singapore's commitment to climate change even as the global momentum on climate has slowed. Climate change is real, accelerating and unforgiving – nature waits for no one. Budget 2025 reflects Singapore's firm commitment to sustainability with a $5 billion top-up to the Coastal and Flood Protection Fund and other initiatives, such as the extension of climate vouchers to private properties.[+3 sentences] Staying the course is not just about mitigating risks. It is about seizing opportunities. The green economy represents one of the biggest growth frontiers in the coming decades. Renewable energy, green finance, sustainable infrastructure and carbon services are all high-value industries where Singapore can play a leadership role.[+14 sentences] By investing early and also decisively, we strengthen our position as a global hub for green innovation, attracting investment, creating jobs and securing long-term economic competitiveness. Sir, as we celebrate SG60, we must recognise that our greatest asset is not just our economic success, but the trust and confidence that the world has in Singapore. Over six decades, we have built a Singapore brand defined by trust, stability, unity and good governance. These values are what make Singapore stand out globally and they will be even more critical in the years ahead. It has even transformed what it means to be Singaporean. On my overseas travels, I have had bizarre experience of encountering "fake Singaporeans", including professionals, business owners, even tourists who claim to be "Singaporeans", even when they are of some other nationality. They do this so as to appear more trustworthy, more capable or more professional. So, the Singapore brand has become so exceptional that it is well worth faking, much like a Rolex watch or a Louis Vuitton handbag. And, like these global brands, you know you have made it when imitation becomes the greatest form of flattery. In an increasingly uncertain and fragmented world, the Singapore brand will be more valuable than ever. As businesses and investors seek stability amid volatility, our reputation for transparency, consistency and long-term planning will be our trump card. It is what justifies our premium cost position. Let us never take this hard-earned advantage for granted, but instead, build upon it to secure our place in an ever-changing world. Sir, I support the Budget.
Mr Speaker34 words
[+5 sentences]Order. I propose to take a break now. I suspend the Sitting and will take the Chair at 3.00 pm. Sitting accordingly suspended at 2.39 pm until 3.00 pm. Sitting resumed at 3.00 pm.
Mr Deputy Speaker4 words
[+2 sentences]Order. Mr Neil Parekh.
Mr Neil Parekh Nimil Rajnikant (Nominated Member)1314 words
[+6 sentences]Mr Speaker, Sir, thank you for allowing me to join this debate on Budget 2025. In my view, Budget 2025 is not just a financial plan, but a significant milestone that underscores the Government's unwavering commitment to economic resilience, worker reskilling and fostering a stronger business ecosystem. As we celebrate 60 years of Independence, Budget 2025 holds a special significance for all of us. It is a testament to our resilience, unity and unwavering commitment to progress. This Budget is not just a financial plan, but an opportunity to reflect on our achievements, acknowledge the challenges ahead and reaffirm our collective vision for a prosperous and inclusive nation. The SG60 Package is a targeted and timely initiative that not only eases cost-of-living pressures but also reinforces our long-standing commitment to shared prosperity. It reflects our nation's approach to ensuring economic growth, translating into tangible benefits for all Singaporeans. This is a result of our strong economic performance in 2024, with Singapore registering GDP growth of 4.4%, a notable acceleration from the 1.8% growth we saw in 2023.[+12 sentences] This expansion has been driven by increased productivity, workforce upskilling and strategic investments in innovation and sustainability. Such economic resilience underlines our ability to navigate global uncertainties and presents an opportunity to strengthen social mobility and economic inclusion, ensuring that every Singaporean benefits from our nation's progress. Mr Deputy Speaker, Sir, to support businesses in managing costs, a 50% corporate income tax rebate, capped at $40,000, will be implemented for the Year of Assessment 2025. This is further complemented by a cash grant to help enterprises mitigate financial pressures and focus on growth. The Partnerships for Capability Transformation initiative has played a crucial role in fostering MNC-SME collaborations, thereby fostering a more dynamic business ecosystem. Perhaps, the Government can provide an update on the number of SMEs that have benefited from Partnerships for Capability Transformation over the past year and explore increasing funding support or tax incentives to encourage deeper and longer-term SME-MNC partnerships, driving greater industry transformation. Even as we provide direct support to Singaporeans, we must continue strengthening our economic fundamentals to remain resilient and competitive in an increasingly uncertain global landscape. As we navigate the global landscape, the expansion of the National Productivity Fund is not just an investment, but a strategic move that enables targeted investments in high-growth industries. These investments will drive innovation, boost productivity and create employment opportunities. This investment is key to securing Singapore's position as a global economic leader and in instilling confidence in our financial future. As we plan towards Singapore's next stage of economic growth, strengthening our position as a global hub for startups and innovation is crucial. I look forward to the Government sharing its plans for attracting and supporting high-performing, innovative companies and growing our research and innovation ecosystem, particularly in semiconductors and biomedical sciences. Businesses appreciate the Government's extension of the mergers and acquisitions (M&As) scheme until December 2030, demonstrating our continued commitment to supporting business growth through M&A.[+6 sentences] May I make two suggestions to strengthen the M&A landscape? First, our SMEs need broader support to navigate complexities of M&A successfully. The Government could possibly partner trade associations and chambers to establish dedicated advisory units that provide end-to-end support for SMEs pursuing mergers, acquisitions and joint ventures. Second, we must leverage existing foreign demand for cross-border M&As, especially in the energy and technology sectors. I suggest introducing a legal framework facilitating cross-border corporate amalgamation, like the European Union, United Kingdom and Delaware frameworks. This should include establishing reciprocal agreements with key jurisdictions – particularly with our ASEAN trading partners as well as developed financial hubs – to enable smoother deal execution. Strengthening business resilience lies at the heart of the Enterprise Financing Scheme, which has been enhanced to provide SMEs with better access to funding and working capital support for internationalisation and mergers and acquisitions.[+7 sentences] However, to address the evolving financing needs of enterprises, particularly startups and high-growth firms, additional flexible financing mechanisms tailored to businesses at different stages of growth are needed. One such improvement could be introducing alternative financing options, such as revenue-based financing, where repayments are tied to business performance. This would reduce the burden on companies facing temporary cash flow constraints. Additionally, streamlining the application process and improving loan approval transparency will help SMEs access funding more efficiently, ensuring that financing remains accessible to a broader range of businesses, especially those that may not fit traditional credit assessment models. We must also strengthen our intellectual property framework to complement these financing initiatives. While the IP Grow initiative has made commendable progress in educating businesses, we must take further steps to help SMEs commercialise their IP and integrate it into their M&A growth strategies. I propose extending incentives for SMEs to acquire and license strategic IP for business expansion, possibly integrating these into existing M&A grant schemes. The newly established Private Credit Growth Fund will provide alternative financing options to businesses, particularly in emerging and high-growth sectors. This fund is an essential step in enhancing Singapore's financial ecosystem, allowing companies to secure capital from diversified sources. At the same time, the Enterprise Compute Initiative will play a crucial role in equipping our businesses, especially our SMEs and startups, with greater access to computational resources, ensuring they can harness artificial intelligence and high-performance computing to stay competitive.[+8 sentences] To ensure accessibility, I suggest that the Government explore subsidised access to computational resources for SMEs and provide structured training programmes so that local enterprises can maximise their use of advanced digital technologies. Singapore's position as a financial hub will be further solidified with the new listing tax incentives designed to encourage more businesses to list on the Singapore Stock Exchange. The move will enhance our capital markets, attract investors and offer companies more opportunities to raise funds locally. I welcome the Government's focus on strengthening our equity markets. The recent initiatives announced by the equity markets review group chaired by Minister Chee Hong Tat align well with this objective, with significant measures for improving liquidity, enhancing research coverage, introducing incentives for institutional investors as well as simplifying the regulatory framework. These reforms are essential in boosting investor confidence and fostering a more vibrant capital market. Mr Deputy Speaker, Sir, a strong commitment to social progress must match a resilient economy. Budget 2025 takes a significant step in uplifting low-wage workers and enhancing social security. The Progressive Wage Credit Scheme has been further improved, providing employers with higher co-funding support to encourage fair wages and career progression for lower-income workers.[+3 sentences] However, while wage increases are essential, they must be accompanied by broader efforts to enhance job quality, provide workplace protection and facilitate long-term career development. I urge the Government to ensure that training and upskilling programmes for these workers remain industry-relevant and accessible, helping them transition into higher-paying, sustainable careers. Finally, a word on the Budget surplus. Our nation's continued fiscal prudence has allowed Singapore to maintain a surplus, reflecting the Government's commitment to long-term financial stability.[+5 sentences] I suggest to the Prime Minister and Finance Minister that the Government may want to leverage this surplus to address emerging challenges with even greater allocations to help businesses to adapt quickly to a digital economy and to the changes brought about by AI. I would also like this surplus to help our citizens over 60 who have paid their dues, to be able to retire with dignity and maintain the quality of life they were used to during their working lives. Mr Deputy Speaker, Sir, I rise today in support of Budget 2025, a bold and forward-thinking Budget that strikes a balance between providing immediate support for Singaporeans and businesses while laying the foundation for our nation's future growth and competitiveness. Let us move forward with confidence and determination, embracing the opportunities that lie ahead while staying true to the Singapore spirit. I wholeheartedly support this Budget.
Mr Deputy Speaker3 words
[+1 sentence]Mr Vikram Nair.
Mr Vikram Nair (Sembawang)993 words
[+4 sentences]Mr Deputy Speaker, I support this Budget. For many Singaporeans, this Budget addresses some of the key concerns that they have in an increasingly uncertain world. First, it provides broad-based assistance with the cost of living. While inflation seems to be lower in the last quarter, people are still adjusting to higher prices of the last few years. Against this backdrop, the continuation of the CDC Vouchers and GST vouchers will be appreciated, especially by families with lower incomes who look forward to these.[+4 sentences] The CDC Vouchers also encourage spending with our local merchants and small business owners in the heartlands whose businesses have been impacted over the last few years. Second, we are living in an age where jobs and work are facing disruption like never before. The latest disruptor is AI. Many companies, including major tech companies and banks, have announced job cuts and restructuring over the last few years. The Government’s intervention in providing assistance for retraining through SkillsFuture, as well as, importantly, generous allowances that make up for lost income while people retrain, will be important buffers for people as they cope with this disruption.[+27 sentences] Related to this, there is extensive Government spending as well as tax breaks in a range of sectors, including heavy investments in transport, education and health infrastructure as well as tax breaks for qualifying tech startups. I would suggest that it will be important to tie and track these investments against local job creation as far as possible so that the economic opportunities being created by these investments will translate into jobs and opportunities for our people. Third, the Budget provides comprehensive support for families to gently encourage people to have families and children. It is heartening to note that the Government is catching up on the supply bottlenecks for construction of new HDB flats that occurred as a result of the COVID-19 pandemic and that it has plans to continue with construction of significant projects in the coming year. The delays and shortages in BTOs had been a concern over the last few years, especially for young couples hoping to start families, and I am glad that we are now crossing this hill. One point I would ask for though is for the Government to consider bringing back larger HDB flat formats. This will be important if we want families to have more children. Currently, the largest flat formats in BTOs are 5-room flats, and these generally have three bedrooms. If we are considering multi-generation families or families with more children, three bedrooms may not be enough for them. Many have given feedback that as children get older, they prefer to have their own rooms. Additionally, large families may need domestic help, and domestic helpers will also need their own bedrooms under the law. I understand that the reason for holding back on development of larger flat types in recent years has been that there did not seem to be much demand for them among first-time buyers. But I think it is also important for us to consider not just first-time buyers, such as young couples, but also older, middle-aged couples who have higher incomes but are also likely to have larger families and extended families to care for. Many of the older large HDB flats, such as jumbo flats, are popular and fetch high prices in the resale market, which suggest that it would be good to have a pipeline of new supply of them as well. I had also argued for the socialisation of early childcare costs from my early days in this House, even before I was married or had a child of my own. My view was that, given that having more children is a national priority that benefits the country, more of the costs should be socialised rather than privately borne by the parents in the early years. Costs for older children, from primary school onwards are generally well covered, but the earlier costs, when couples have lower incomes, may have been a concern. I am glad that this Budget continues with the Government's plans of the years of subsidising a greater part of these costs. The cost of early childcare will now be comparable to the costs at the primary school level of education. I welcome this move. Additionally, there is significant financial support for families with three or more children. These measures will hopefully make it easier for couples who decide to have children, to have bigger families as well. Mr Deputy Speaker, in Tamil, please. : The Singapore Government has been generous in its support for programmes that support the Tamil language in Singapore. The Tamil Language Learning and Promotion Committee, which I chair, is a committee under MOE that supports the learning of the Tamil language outside the classroom and has several signature programmes. This committee also supports community organisations in their efforts to organise activities for schoolgoing children. Separately, the Tamil Language Council, of which I am an advisor, a committee under the National Heritage Board (NHB), promotes the use of Tamil in Singapore and organises the Tamil Language Festival each year, which sees more than 40 events organised by different community organisations. These initiatives help keep the Tamil language vibrant in Singapore. In this year’s Budget, I note that $300 million is being set aside for the SG Cultural Pass. This translates into $100 to every Singaporean to spend on local arts events.[+1 sentence] The Indian arts community in Singapore is a thriving one. I would strongly encourage local groups to consider organising events that can tap on these funds. These vouchers can be redeemed from September 2025 to the end of 2028, so there is a good window of time for groups to plan activities. : Mr Deputy Speaker, this is a wide-ranging Budget that provides support that Singaporeans need in a range of areas, including cost of living, employment and having families.[+1 sentence] I support this Budget.
Mr Deputy Speaker4 words
[+1 sentence]Ms Ng Ling Ling.
Ms Ng Ling Ling (Ang Mo Kio)2774 words
[+2 sentences]Mr Deputy Speaker, I rise in support of Budget 2025 which reflects the Government’s commitment to building a resilient, inclusive, and forward-looking Singapore. As we mark Singapore’s 60 years of Independence this year, the well-thought-through Budget not only sets a path for the survival of Singapore in a more uncertain and dangerous world, but more importantly, a lamp to light the way for Singaporeans to seize opportunities at every stage of life to continue to thrive individually, as a family, and as a nation together. Singapore’s economy grew by 4.4% last year against all odds, driven by better-than-expected performance in wholesale trade, finance and insurance, as well as our manufacturing sectors. Looking ahead, our gross domestic product (GDP) growth is projected to moderate between 1% and 3% in 2025 as global uncertainty and emerging market risks continue to impact our economy. However, our core inflation rate is expected to ease to an average of 1.5% to 2.5%.[+28 sentences] These economic figures, working together, will hopefully alleviate the cost-of-living pressures that have been hanging in the minds of both Singaporean households and businesses this past year. Last year, I spoke on support for three key groups during my Budget 2024 debate speech. They are: one, supporting working adults; two, caring for seniors; and three supporting young families and couples. These three groups form most of my residents in Jalan Kayu constituency living in both HDB and private estates. I am heartened to know that Budget 2025 continues to address their needs. Today, I will again focus on the Budget support for these three groups. Firstly, as technological advancement in areas like AI and intensifying global economic and geo-political competition place pressures and need for continual transformation on our workforce, it is crucial to ensure that Singaporean working adults have the knowledge and skills as well as opportunities and support to continue thriving. I am encouraged by the key measures in Budget 2025 to empower Singaporeans at every career stage, while promoting a more inclusive and resilient workforce. I welcome the enhanced tier of support under the Workfare Skills Support Scheme, which allows lower-wage workers to upskill earlier with financial assistance for longer-form courses. I have three blocks of rental flats in Jalan Kayu, mostly comprising families with young children. One or both of their parents, my residents, may have been struggling with drugs, incarceration or divorce problems which render them many difficulties in coping with life and work. I hope that the Government will continue to support Workfare Skills Support Scheme training courses aligned with industry needs so that these residents can have the best chance of keeping and progressing in better jobs. In this regard, I would like to ask the Government what the job placement support for participants who completed Workfare Skills Support Scheme courses are and those who are still struggling with just being able to continue with lower wage tough jobs like food delivery even if they aspire for better jobs through Workfare Skills Support Scheme training. Second, I am pleased that the Senior Employment Credit has been extended to 2026. This can continue to encourage employers to hire and retain older and experienced employees and recognise their contributions. With the upcoming enactment of Workplace Fairness Act 2025, I believe that there will be more protection against discriminatory employers’ behaviours due to age of employees or would-be employees. In my Jalan Kayu constituency, our Ang Mo Kio Town Council’s contracted cleaning vendors actively employ our residents who want to work as our cleaners. Among about 70 cleaning supervisors and cleaners in Jalan Kayu, about 10 of them are our residents or those living in nearby constituencies. All of them are aged above 60 years, with the oldest almost 80 years old. They are a jovial group who shared with me during my Chinese New Year luncheon and ang pow distribution with them that cleaning keeps them active and happy. I would like to share what my Jalan Kayu resident, Ms Karen Lai, who lives in Buangkok Crescent and works in Eng Leng Contractors Pte Ltd which provides cleaning services to JTC and our army camps said about older Singaporean cleaning employees to me. She said: “They are responsible, punctual, seldom take MC and keep active by working.” I hope that the Government will continue the good efforts to help our senior employees and that everyone in Singapore take responsibilities to render them with respect, care and consideration as they work. In 2021, I spoke in this House about the importance of balancing legislative amendments with tripartite consensus, ensuring that employers and employees both benefit from flexible and sustainable re-employment strategies. As we extend the Senior Employment Credit, can the Government also track and evaluate whether companies which have received the offsets have effectively supported their older workers. I also urge the Government to create more platforms for good companies with exemplary age-inclusive human capital practices to share with more companies so that we can create a conducive workplace and culture that allow Singaporeans who want to work as long as they can, a good environment to do so. Third, promoting inclusive employment is essential in building a fair workplace. I am encouraged that the Enabling Employment Credit has been extended to 2028 to support employers who hire PwDs. Likewise, extending the Uplifting Employment Credit to 2028 is essential to assist ex-offenders in reintegrating into society. I note that the credit supported nearly 700 employers in hiring over 1,000 ex-offenders last year.[+5 sentences] Employment not only provides financial independence but also builds dignity and fosters social inclusion for PwDs and ex-offenders. I would like to ask if the Government can track and publish more granular employment data to track the job retention and progression of PwDs and ex-offenders, so that employment schemes for them can be improved continually. This should include persons with mental illnesses as this unseen disability and illness have been increasingly afflicting Singaporeans from all ages and walks of life. Finally, on the employment of our young Singaporeans. In a most recent report by CNA on 24 February, the Joint Autonomous Universities Graduate Employment Survey 2024 showed that fewer graduates found jobs six months after graduation compared to 2023, although the median gross salary for fresh graduates in full-time permanent employment increased 4.3% to S$4,500 in 2024. The recent results cited in a Straits Times article on 6 February from the Graduate Employment Survey by the five polytechnics in Singapore released on 13 January showed that 54.6% graduates were in full-time permanent jobs in 2024, compared with almost 60% in 2023 and 59% in 2022.[+8 sentences] I await to see the results of our ITE graduates’ employment rate in 2024. In my 2023 Budget debate speech two years ago, I already raised my concern then that while I celebrate the 87.5% of fresh university grads for landing in full-time permanent jobs with higher pay than the year before, the 6.3% in freelance or part-time or temporary jobs and 3.6% who remained unemployed and still looking for a job need some attention. The continued downward trend since 2023, according to results of the annual surveys for our university and polytechnic grads warrant deeper analysis by the Government to understand the trends are due to expectation-reality gaps, educational-career interest gaps or some emerging phenomenon leading to unemployment or underemployment of our young people. This is to ensure that our young people do not fall behind the career start line without understanding the implications of such delays. Next, let me move on to the seniors in Jalan Kayu, whom I care dearly for as most of them are at the age of my own parents and parents-in-law, and the younger seniors are my age. I am heartened to read the enhancements in healthcare affordability, retirement support, senior mobility support, long-term care, caregiving and community care options are all key priorities in Budget 2025. Healthcare costs has been inevitably increasing as our population ages, like all developed ageing societies are confronting. I welcome the introduction of the Matched MediSave Scheme to alleviate some of the financial pressures faced by seniors and their families. The Matched MediSave Scheme will offer dollar-for-dollar matching grants of up to $1,000 annually for lower-income seniors aged 55 to 70, complementing the existing Matched Retirement Savings Scheme.[+4 sentences] I would like to ask the Government how much this additional $1,000 annual matching grant will defer on average in healthcare expenses of a typical 70-year-old Singaporean at today’s healthcare costs in our public hospitals and polyclinics? To support seniors in their desire to age in place, we need to ensure they have access to quality long-term and end-of-life care that respects their preferences. Building on my previous call in this House through my Adjournment Motion titled “Enhancing End of Life with Choices and Dignity” in May 2023, I urge the Government to create greater awareness and accessibility for long-term care and palliative care to Singaporeans. I am heartened to know that the Government will increase subsidies for home and community care to alleviate long-term care costs for seniors. Nonetheless, I hope that the Government would also continue to consider enhancing more use of MediSave funds by seniors and their family members to manage long-drawn commitment to long-term and palliative care costs. I recommend increasing the lifetime withdrawal limit for seniors with limited MediSave savings when utilising a family member's MediSave, currently capped at $2,500 per patient to an amount more commensurate to the real cost of such long-term care costs of an average Singaporean senior at the average lifespan that we are enjoying as one of the longest, if not, the longest living people on earth now.[+1 sentence] On the same note, I propose reviewing the daily MediSave withdrawal limits of $250 for general palliative care and $350 for specialised care to ensure they remain aligned with the rising healthcare costs. I strongly advocated in a PQ in this House last year on providing senior-friendly enhancements under the MND's Estate Upgrading Programme for private estates as seniors ageing in their private homes require similar support as those living in HDB estates, especially if they are asset-rich but cash poor and unwilling to sell a home that they have bought many decades ago and where they have treasured memories of bringing up their children in. I am thus extremely delighted to hear that the Enhancement for Active Seniors programme will be extended to also cover private properties for three years until 2028, in addition to HDB flats.[+7 sentences] This initiative reflects the Government's commitment to supporting seniors across different housing types. I hope that the Government will not be too quick to take away this extension after 2028, even if take-up rate may not be high in the first three years as outreach to private estates are usually more onerous even for MPs like me who are committed to conducting regular evening house visits to have the best chance of meeting residents in my residents in the four private estates in Jalan Kayu. I have also previously advocated for senior-care facilities under Age Well SG to be cited in both HDB and private housing estates. I hope to see more such facilities in the public spaces of HDB and private estates alike, with a higher proportion of seniors, to promote social engagement, intergeneration interaction and community inclusion for our seniors in their familiar neighbourhood. An Active Ageing Centre cited in the heart of larger private estates, like Seletar Hill and Luxus Hills in Jalan Kayu, will be another public policy and implementation breakthrough that I keenly hope for. I also recommend that the Government consider expanding the Enhancement for Active Seniors programme in both HDB flats and private houses to include technological features, such as installing Smart Home devices, for seniors with mobility challenges or cognitive impairments. Lastly, supporting seniors to age well requires many hands-on board approaches with also caregivers being well supported. On this front, I welcome the Home Caregiving Grant enhancement, which increases the maximum grant to $600 monthly and raises the qualifying income ceiling to $4,800 per capita, ensuring more caregivers can receive financial support to defray caregiving costs.[+6 sentences] Building on my previous inquiry regarding the adequacy of Home Caregiving Grant in covering caregiving expenses, I hope that the Government will also, over time, tier support for caregivers of seniors based on the required intensity and duration of care they need to sustain. For instance, caregivers supporting seniors requiring assistance with all six activities of daily living could receive a higher subsidy to offset the costs associated with more complex care needs. To the final group of Jalan Kayu residents, the young couples and families, whom I feel strongly for, having experienced the ups and downs of settling into a marriage, having a child and constantly juggling with work-life balances throughout the past two decades myself. Strong and resilient families are essential for Singapore's long-term social and economic well-being. As young couples and families in Jalan Kayu navigate the complexities of starting and building a family, I am happy that Budget 2025 offers several good supports in critical areas of: one, childcare affordability; two, assistance for large families; and three, enhancing social support networks. Access to affordable and quality childcare is vital for working parents balancing their careers and family responsibilities. The reduction in the monthly fee caps of Government-supported preschools will go some way in lightening the financial load on young parents. I was excited to hear the announcement of the Large Families Scheme by Prime Minister Lawrence Wong and Finance Minister in his Budget 2025 speech last week.[+9 sentences] In my speech just last month in this House regarding the Motion on Supporting Singaporeans in Starting and Raising Families, I opened with the sharing of the large extended family that I was blessed to grow up in and concluded with stories of Jalan Kayu residents and Singaporean friends I know who have three or more children. I am so grateful to Prime Minister Lawrence Wong that I can convey the good news of the big "ang pow" that he and his hardworking team in Prime Minister's Office (PMO) have prepared for some more of my residents and friends who are expecting to deliver their third child this year in SG60 and, I hope more, for many more years to come. As we bring children to this world, we must take care of the vulnerability that some will face due to family circumstances that are not of the children's doing. Initiatives like ComLink+ to offer personalised coaching and mentorship to lower-income families, assisting them in overcoming challenges and achieving greater social mobility, are thus important to be continued in earnest. I hope that my inquiries previously about family coach-to-family ratio and family coach's qualification and experience will be continually reviewed to ensure that vulnerable families receive the guidance they need to enhance their lives. Mr Deputy Speaker, please allow me to say some words in Mandarin. (In Mandarin): Budget 2025 demonstrates the Government's commitment to building a resilient, inclusive and future-ready Singapore. Amid a complex and changing global environment, this Budget not only addresses Singaporeans' practical needs but also charts a blueprint for Singapore's future development. This year, I will focus on three key areas that are supported by the Budget: (i) first, supporting working residents; (ii) second, caring for the elderly; and (iii) third, helping young couples raise family. For working residents, the Government has strengthened support through the enhanced Workfare Skills Support scheme and extended the Senior Employment Credit, the Enabling Employment Credit and the Uplifting Employment Credit to help employees of different ages and backgrounds upgrade their skills and keep their jobs.[+7 sentences] These are very good schemes. I hope the Government can promote more training courses aligned with industry needs and provide clearer career development pathways. I suggest strengthening job matching services for employees participating in the Workfare Skills Support scheme to ensure training leads to actual employment opportunities. To encourage companies to hire senior workers, I suggest increasing the wage subsidy ratio of the Senior Employment Credit for employers offering full-time, part-time or long-term positions. This will benefit seniors who wish to continue to work. Regarding elderly care, I suggest further integrating elderly-friendly public facilities in both HDB and private estates alike, with a high proportion of seniors. to promote active and healthy living in their neighbourhoods. Furthermore, as more seniors choose to spend their golden years in familiar surroundings, I hope the Government can expand the Enhancement for Active Seniors (EASE) programme to include smart home technologies, helping seniors with social mobility or cognitive impairment challenges to age safely and comfortably at home.
Mr Deputy Speaker20 words
[+1 sentence]Excuse me, Ms Ng Ling Ling, could I ask you to wrap up as you are approaching your 20-minute mark?
Ms Ng Ling Ling205 words
[+10 sentences](In English): I will wrap up. Mr Deputy Speaker, I would like to applaud Budget 2025 for its comprehensive capture of many needs of Singaporean households and businesses. I spoke in my maiden Parliamentary speech in this House in 2020 about happiness, which is one of the aspirations for our people in the Singapore pledge. I would like to end my Budget 2025 debate speech with a intimate conversation I heard from a sacrificial old grandma, who has been through many hardships in her younger days, with her wise and thoughtful grandson, who is doing very well in an investment banking job today. The grandma asked, "Tell me the truth, when old people talk of suffering, isn't it tiresome?" The grandson answered, "Isn't that the point? To burden us." I felt the profound depth of wisdom and love of both the grandma and the grandson for each other. As an advocate for healthy living, intergenerational bonding and sustainability in my Jalan Kayu constituency, my sincere hope is that our residents and all Singaporeans can make the full use of the benefits provided in Budget 2024 to chase after your true happiness that can be passed down from generation to generation. Sir, I support Budget 2025.
Mr Deputy Speaker17 words
[+2 sentences]Assoc Prof Jamus Lim. Mr Dennis Tan, do you have a clarification for Ms Ng Ling Ling?
Mr Dennis Tan Lip Fong25 words
[+2 sentences]No, Mr Deputy Speaker. I have a clarification regarding a point that I made earlier, just correcting the figures for my previous speech this morning.
Mr Deputy Speaker9 words
[+1 sentence]So, you want to make accurate your previous speech?
Mr Dennis Tan Lip Fong7 words
[+1 sentence]Yes, just a clarification on the figures.
Mr Deputy Speaker3 words
[+1 sentence]Yes, proceed, please.
Mr Dennis Tan Lip Fong58 words
[+1 sentence]Very, very brief, Sir. Just now, in my earlier speech, I said that in Singapore's NDC recent submissions, we had committed to reducing our emissions to between 45 to 55 million tonnes of carbon dioxide equivalent by 2035. I wish to clarify that the correct figure should be between 45 to 50 million tonnes instead.[+1 sentence] That is all.
Mr Deputy Speaker11 words
[+1 sentence]Is there anything else you wish to add, Mr Dennis Tan?
Mr Dennis Tan Lip Fong2 words
[+1 sentence]No, Sir.
Mr Deputy Speaker4 words
[+1 sentence]Assoc Prof Jamus Lim.
Assoc Prof Jamus Jerome Lim (Sengkang)2790 words
[+1 sentence]Over the course of the past year, inflation has tamed substantially. At the brink of 2024, prices were rising at an uncomfortable rate of 3.7%, relative to the previous year. But by the end of last year, this had slowed to 1.6%, lower than the Monetary Authority of Singapore's (MAS') unofficial target of just under 2%.[+6 sentences] It is amply clear to all Singaporeans, however, that while the speed by which prices increase have slowed substantially, price levels remain painfully high. We need not go again into comparisons of just how much kopi-o or mee rebus or biryani now command, compared to a few years ago. But suffice to say that, especially for those reliant on fixed incomes, the cost of living has become ever harder to bear. Yet, even those who are still currently working for a living feel the pinch of how costly things are. And if we look at the data, it should not be much a surprise. Annual real basic wages, that is, take home pay, after adjusting for sticker prices, has failed to keep pace with rising costs. From increases that were mostly between 3% and 4% in the 2010s, this fell to 2.3% in 2020, 0.9% in 2021, -1% in 2022 and 0.2% in 2023.[+11 sentences] While, as Prime Minister Wong shared in the Budget, this has rebounded last year, real wage growth over the past half-decade has lagged overall. This was, perhaps most distressingly, against a backdrop where labour productivity actually increased, especially in 2021 and 2022, and remains at a level substantially higher today as compared to the pre-pandemic period. By a similar token, the employment rate has consistently improved, hitting highs for all age groups, with the exception of youths, aged 15 to 24 years, in 2024. In other words, it was not for want of productivity improvements or a soft labour market that wages have been suppressed. The Government routinely trots out numbers for how measured real median household incomes are high. In 2024, it clocked in at $11,297, higher than most comparable advanced economies and have steadily progressed, with median earnings growing at an average annual rate of 3.8% over the past five years. Annual earnings per employee have also moved gradually upward, from around $5,500 per month in 2019 to $6,500 in 2023. But these impressive figures mask some important truths. For starters, the large headline number applies to a typical resident household where both husband and wife work, in contrast to other countries where it is possible to survive on a single breadwinner. More importantly, the dual-income household is not always the result of how both father and mother would like to work, but because they feel that they must, if they hope to make ends meet. Furthermore, once we correct for inflation, wage growth over the most recent five-year period is actually much lower. By the MOM's own calculus, real wages grew by only 0.7% between 2019 and 2024, significantly lower than the prior decade where it was closer to 3%.[+27 sentences] And as every worker will attest, this high gross wage quickly dissipates once standard deductions are made. After subtracting CPF contributions and taxes, disposable incomes have to be made to stretch further and further. Perhaps most troubling in terms of actual progress among local households is that this median may actually be capturing a moving target. Recall, the numbers trotted out apply to residents, which include permanent residents (PRs) and new citizens. This resident population has, of course, been creeping up. But since the criteria for those granted PR or citizenship explicitly require economic contributions, it should be unsurprising if the new additions tend to be higher income. The data support this: wage growth was three times higher in the top decile relative to the middle ones. The upshot of all this is that, whether one relies on mean or median wages, we are faced with a moving benchmark, one that is steadily drifting upward, even if the standing of our homegrown workforce may be changing much more slowly, if at all. That is why claims like rising standards of living – like what Prime Minister Wong articulated in his Budget speech – sometimes ring hollow to many low- and middle-class families here. To be clear, what I am stating is not meant to foster discord between native-born Singaporeans and new arrivals. Like the Government, I agree that immigrants that come here – and make Singapore their home – enrich the economy and society of our Little Red Dot. But we must not deny how many local households feel – that despite impressive statistics, they do not feel like they have enjoyed much of the vaunted progress that the Government crows on about, since the growth of their median earnings do not reflect their own absence of economic progress. If we accept this state of affairs, then the relevant question is what policymakers can do about. The Government’s approach – which, to be clear, I had supported, and even called a moral imperative, has been to rebate much of the higher nominal tax take to workers, as illustrated by the giveaways in last week’s Budget speech which I support. But such handouts, while welcome, are also perceived by many Singaporeans as palliative measures and insufficient to meet the structural changes required in escalation in costs of living. For the remainder of my speech, I will offer some suggestions on how we can better realign the seemingly stagnant incomes of working Singaporean families with the harsh realities of a seemingly inexorable rise in the cost of living. The bottom line is actually remarkably simple: nominal wages will need to rise and more decisively than they have in the post-pandemic era. In the short run, this may add some near-term pressure in terms of wages. In the medium to longer run, however, so long as the increases are in line with overall productivity trends, we should see a rebasing of wages in a manner that reflects the overall higher sticker prices that have emerged over the past half-decade. This will restore the purchasing power of our workers to what had prevailed prior to the post-COVID-19 outbreak of inflation. Sir, I believe that this process should begin with the civil service. The reason is simple: doing so will have a salutary effect. It not only sends the message that the Government is taking leadership in setting expectations for how economy-wide wages should evolve in light of higher prices but also ensures that our hardworking agents in the public sector are not shortchanged in their service to the nation. And how has wage growth been for this class of workers? Unfortunately, the Government does not make public granular data on civil service salaries. Still, we can make some inferences, indirectly, using the expenditure on manpower line item in fiscal budgets from years past. In what follows, I will use data from MOE. Based on my calculations, between 2019 and 2024, wages grew, in inflation-adjusted terms, at an average annual rate of 1.1% for this group. This means that our school teachers and other education service professionals – the ones that we entrust to preside over our children’s learning and development – saw their incomes increase at a rate not much different to the very modest nationwide increase of 0.7%.[+5 sentences] Is this sufficient? If MOE is representative of how the rest of the bureaucracy is paid, civil servants are, at least, not falling behind. But if we believe in the signal value of Government action in nudging the private sector, then we must surely feel that this relatively slow rate of wage progression, in the face of high inflation rates, falls short. Of course, the Government has not entirely abdicated its strategic role in the economy. The National Wages Council (NWC) has consistently offered advice on the direction that wages should trend, and in its most recent guidelines, it stressed that, and I quote, “employers who have done well… should reward their employees with built-in wage increases variable payments”. The NWC has advocated for built-in wage increases of between 5.5% and 7.5% for lower-wage workers.[+10 sentences] This push is welcome and helps redress the still-yawning gap in income inequality. And NWC direction on this front has not been for naught: last year, this group saw their real incomes expand at a rate that was more than 1% faster than that of the median. However, the council held back from analogous recommendations for the workforce as a whole. Admittedly, it is harder to dictate similar increases across the diverse economic conditions faced by different sectors and industries. But we need to remember that much like lower-wage earners, the middle class has seen their purchasing power erode in recent years. The inflation tax is borne by everyone, regardless of income. Just as important, wage increases premised on addressing rising costs of living should not be made conditional on upskilling and productivity improvements. This is not to say just let real wages rise indiscriminately over time, in blatant disregard of efficiency improvements. Rather adjustments to nominal income that neutralise the effects of past inflation is the very least that employers owe to their workers, especially with so many companies also posting record profits, due to higher sticker prices alone. Notwithstanding the difficulties of prescribing generalised increases, NWC guidelines I believe should at least recommend that all workers in profitable firms, not just those at the lower end of the distribution, be inflation-proofed. With cumulative inflation over the past two years of around 7%, it is fully justifiable for the NWC to expand its recommendations to an across-the-board, one-off wage hike of between 5.5% and 7.5%.[+13 sentences] To help expedite adoption, the Ministry could also monitor adherence to these guidelines across companies, not least how the civil service has fared. While NWC recommendations should not be mandatory, an economy-wide stocktaking – especially for firms reporting sales turnovers in excess of $10 million – will nevertheless impress on businesses that the Government does indeed care about the extent to which corporations take guidelines seriously. In my classes in macroeconomics, I teach my students about the benefits of stabilisation policy. Typically, I talk about either monetary policy, via the interest rate, or fiscal policy, via taxes and government spending. But interventionist policies also include those affecting the exchange rate and, crucially, wages. Wage policy is tricky, however; in most economies, workers, that is, voters would often be up in arms if the government were to recommend wage cuts, even if it could, in principle, shore up the aggregate economy during downturns. When asked for an example, I use our CPF system. The employer’s share does not generally factor into household day-to-day expenses – families make ends meet with their take-home salaries. So, Singapore has historically used this tool to promote economic recovery, with temporary cuts of the employer’s CPF contribution. There is grumbling and discontent, but the implicit understanding is that there would be compensation, after the storm has passed. Contribution rates have certainly changed over time. When the scheme was in its infancy, forced saving amounted to a mere 10% of wages, with 5% each from employer and employee. In these early decades, the employer share was even occasionally higher than that of the employee's. Overall contributions gradually rose to a peak of 50% in 1984 before tapering down to 40% in the late 1990s.[+5 sentences] Through it all, the shares borne by workers and their companies were roughly equal. This changed in 1999. In response to the Asian Crisis, the employer share was slashed in half, to 10%. While this was then incrementally increased to 16% at the turn of the millennium, it was cut again in 2003. This rate then crept up to the present 17% by 2015, but we never again saw a restoration of an equal employer share. Two Budgets ago, the Government raised the CPF monthly ceiling, from $6,000 to $8,000.[+15 sentences] This move, as Prime Minister Wong shared at the time, allows CPF contributions to better keep pace with rising salaries. But the policy is only material to those who earn above the ceiling. In contrast, raising the employer share will help all workers. I understand that, ultimately, employers look at an employee’s overall cost in making hiring decisions and that any call for restoring the employer’s contribution to a higher rate amounts to an increase in the company’s overall wage bill. Regardless, the imbalance in employer and employee shares should be redressed. Others have suggested the same. In 2014, the Labor Movement asked that employers’ contributions be increased to more than those of employees’. In other instances, NTUC has also called for a delay to employer contribution cuts or an accelerated restoration. But momentum behind this has stalled and our workers have endured an extended wage cut for the better part of two decades. With costs of living so high, there is no better time than now to make workers’ gross incomes made whole again. Sir, I have focused on policies that will promote faster adjustment in overall wages. For lower-income earners, we can do more, notwithstanding the gains that the group has managed to eke out over the past year. In particular, the time is right for us to formalise our minimum wage. Following revisions to the Local Qualifying Salary (LQS) framework in 2022, which expanded the scheme to all companies hiring foreign employees, rather than just those bound by a foreign worker quota, there is now an effective minimum wage for all Singaporeans. At the same time, the LQS salary, which used to be around $1,000, has been revised upward. In last year’s Budget speech, Prime Minister Wong set this at $1,600 for full-timers.[+1 sentence] This is in line with the WP's advocacy of a $1,300 take-home minimum wage. Since the coverage of low-income earners by either the minimum wage component of the Progressive Wage Model or the LQS is now nine in 10 workers, I believe that the minimum wage should simply be made statutory and universal.[+23 sentences] After all, the beneficial effect of a higher minimum wage is not limited to low-income earners. Research has consistently identified spillovers of a higher minimum wage for those further up the wage distribution. Therefore, elevating the minimum wage is not just good for just those on low salaries; they benefit all workers, by shaping everyone’s earnings expectations and improving their bargaining positions in the labour market. Just as important, businesses have adapted. While it is true that some companies have suggested that they will pass on some of these costs to their customers, many others have been able to adjust with productivity improvements. A small price rise is to be expected and was a possibility I had alluded to. What is more, there have been no clear detrimental unemployment effects. The unemployment rate – including that for youths, the group that is most likely to be negatively affected by a minimum wage – has steadily tapered downward since 2022. The natural concern with pursuing increases in wages is that it could have negative implications for inflation, employment or productivity. On inflation, some have cautioned against pushing for wage increases, under the premise that this could revive inflationary pressure and in the extreme, set off a negative feedback loop of higher wages prompting price hikes, and vice versa. But neither theory nor data lend much support that such a “wage-price spiral” will emerge in response to a one-off wage hike. One may also worry that rising wages could lead to companies shedding workers. But the relationship between wage inflation and unemployment has, in recent decades, been very weak. And as I have shared with this House before, the majority of minimum wage studies point to little or no job loss effects, especially when the increases are modest. With our labour market unprecedentedly tight, it is difficult to envision mass redundancies triggered by a one-off increase. Finally, some argue that wages should only rise when productivity does. Yet as I have argued earlier, productivity has risen, while wages have not caught up. There are even many reasons why slightly higher wages may improve efficiency, by reducing shirking, improving morale, lowering turnover and making hiring easier. Mr Deputy Speaker, since the pandemic, wages have fallen behind both increases in inflation as well as productivity. It is high time for our salaries to rise and there is more the Government can do to expedite this adjustment. This includes ensuring that NWC guidelines are more widely adopted, equalising the employer share of CPF and instituting a statutory universal minimum wage. Restoring the real purchasing power of wages is a sure-fire way to help working Singaporeans cope with sky-high costs of living. It is time for wages to rise.
Mr Deputy Speaker4 words
[+1 sentence]Mr Gan Thiam Poh.
Mr Gan Thiam Poh (Ang Mo Kio)1112 words
[+8 sentences]Speaker sir, the Budget is one of the most generous and inclusive, with something for everyone, and has been widely welcomed by our people. I would like to take this opportunity to share my views and opinions, and make some suggestions which I hope will be useful for Singapore’s long-term planning. Firstly, we must continue to support our lower-income workers in lifelong learning and training programmes to upgrade their skills. With relevant and in-demand skillsets, they will be empowered to get better and higher paying jobs. However, for some of them, due to family and work demands, committing time and energy for training is indeed challenging. Their priority is to earn as much money as possible to meet their families’ immediate needs, so some take on more jobs or shifts to supplement their incomes. Their working hours may be long and if they do manual work, physically tiring. Their children may be young and they may need to look after elderly, sick or disabled family members. Hence, to help these lower-income workers cope better, we should consider boosting our Workfare Income Supplement (WIS) Scheme. I am heartened that since January this year, employees on WIS received higher payments of up to $4,900 per year, with 40% in cash and 60% in CPF. For the self-employed and platform workers, payouts are up to $3,267 per year with 10% in cash and 90% in MediSave. Can the payouts be increased to take into account the rise in the cost of living and adjusted to provide a higher cash component?[+12 sentences] For workers living hand to mouth, more cash in hand would alleviate the daily financial stresses they face. There are some senior citizens who need to work due to challenging circumstances. They may have no one to support them or they need to support children in trouble and even grandchildren, despite their advanced age. For elderly workers in the low-income groups, additional WIS would be helpful. I would like to appeal for the qualifying wage ceiling for the Senior Employment Credit, Enabling Employment Credit and Uplifting Employment Credit to be increased from $4,000 to $5,000, to bring them closer to $5,500, the nominal median monthly income in Singapore. This would allow a bigger group of workers to qualify for wage offsets for their employers and boost their employability. Next, I would like to express my appreciation for the new measures to support large families. Many of these large families are also part of the sandwich class, having to provide for more children and to take care of their elderly parents. In our endeavour to push for a higher fertility rate, we must continue to incentivise, reward and support them. For those willing to have more children, let us do more to support and assist them. Let us commit to long-term subsidies, with more for every additional child they have. In additional to financial support, I urge the Government to consider providing them with reserved allocations, higher priority and even grants for bigger HDB flats, with the quantum correlated to the number of children they have. Can a greater number of Sale of Balance flats be set aside for their selection? I urge MND to commit more resources to the building of BTO flats to reduce the waiting time to 12 to 18 months.[+23 sentences] Would the Ministry of Manpower consider exempting large families from maid levies? To the Ministry of Transport, I would like to request that it considers providing large families perhaps with COE rebates for family-friendly cars. For working mothers, would the Ministry of Finance consider removing or increasing the cap of $80,000 on personal income tax reliefs so that their families get benefit from the Working Mother's Child Relief? Let us give these mothers as much support as we can. After all, the number of working mothers earning higher incomes who also have more children are not many, hence the loss of tax revenue to the IRAS should be insignificant. As for couples intending to have children or who are already expecting, MOH should work with doctors to conduct more public education outreach to encourage couples to take up the free genetic screening programme, PaREnthood genetic Disease Carrier Test (PREDICT), at the KK Women’s and Children’s Hospital. This will help them make informed decisions about family planning. I also urge MOH to consider allowing couples planning to get married to qualify for this free assessment. Would MOH also consider the building of public subsidised confinement and infant care centres to help mothers recover after delivery? Next, I have some concerns regarding our ageing population. We need to expedite the building of additional healthcare facilities as soon as possible to meet the increasing demand for nursing homes and day care for senior citizens. Would HDB also build more smaller single room rental flats for needy singles, so that they can stay by themselves in each unit without having to share these flats with strangers and having disputes often? I personally receive quite a number of such requests at my Meet the Peoples Sessions. Mr Speaker, in Mandarin. (In Mandarin): Presently, international trade barriers are rising, which may have an impact on investments and the economic environment. Inflationary pressures may continue. Would we need to reserve more surpluses to help the people cope with the unfavourable economic environment that may appear in the next few years and, at the same time, cope with the challenges of an ageing society and help the people to provide for their old age? As the average number of family members decreases, young couples may have to support two sets of parents and raise children at the same time. Reducing the burden on young people and couples is also a top priority, requiring us to think out of the box. Can the Government take advantage of the surplus to increase funding and increase childcare subsidies significantly, so that all infants and young children receive the same subsidies? Make all Government-subsidised childcare services uniformed, which can reduce the family pressure of young couples, thereby encouraging them to have children and consider having more children. This may also reduce psychological pressures and promote fertility. Psychological pressure is one of the factors causing infertility. At the same time, the annual credits of $1,000 per child can be considered extended until the age of 21 or the completion of National Service.[+3 sentences] Mr Speaker, since our current economic situation allows us to invest more in childcare, the Government can boldly provide more comprehensive and integrated support and funding to couples who are willing to have children. I hope the Government will carefully consider the above opinions. I support the Budget.
Mr Deputy Speaker5 words
[+1 sentence]Senior Parliamentary Secretary Eric Chua.
The Senior Parliamentary Secretary to the Minister for Social and Family Development (Mr Eric Chua)1599 words
[+5 sentences]Sir, some parts of the world are home to an unusually high number of centenarians, individuals who live past 100. These communities also often have a high quality of life. Enter the “Blue Zone", a term coined by explorer, author and longevity researcher Dan Buettner in 2004, as part of a study that examined longevity hotspots around the world. Among these pioneering Blue Zones were: Okinawa, Japan; Sardinia, Italy; Loma Linda, California; Nicoya, Costa Rica and Ikaria, Greece. These regions share common lifestyle habits such as plant-based diets, frequent low-intensity physical activity, strong community ties and a sense of purpose. Singapore was declared a Blue Zone 2.0 in August 2023.[+6 sentences] This was an accolade significant for reasons beyond the longevity marker that Blue Zones represents. Unlike first generation Blue Zones like Okinawa, Singapore does not boast of a deep-rooted tradition of healthy living. Our pace of life is fast and often hectic, and not getting enough good quality sleep is something many in Singapore as well as in this Chamber, struggle with. Yet, Singapore bucks the trend, becoming a Blue Zone mainly because of stable governance, economic security, accessible healthcare and effective public health measures. So, in essence, being a Blue Zone was not something that came along organically for Singapore, but rather, through careful orchestration via policy and programming. Indeed, we are living longer here in Singapore than many other parts of the world. Singaporeans have an average life expectancy of 84.3 years, with men having an average life span of 84 years, while women living to an average of 88 years.[+2 sentences] Does that mean then that all is well? Not quite. The health span of Singaporeans, that is, years lived in good health is at 74.2 years.[+22 sentences] A significant 10-year gap between health span and lifespan exists. What this means is that Singaporeans spend the last decade of their lives in poor health, struggling with chronic illnesses, disabilities, or other age-related illnesses and issues. While Singapore has a high life expectancy, health difficulties have a substantial impact on quality of life in our later years. How then, can we address this? The answer does not lie in what we can do when we turn 60. We do need to go way upstream. Let us examine the factors determining good health. According to the World Health Organisation, factors affecting one’s health are an individual’s social and economic environment, physical environment and their characteristics and behaviours. It is not merely how good or advanced a population’s healthcare system is that singularly determines the people’s healthcare outcomes. In fact, social determinants of health play a much more significant role in ageing well than the state of the healthcare system alone. Therefore, a comprehensive approach to ageing well must consider various non-healthcare and non-medical components such as social connections, physical activity, dietary habits, cognitive engagement and employment. Social connections – strong community ties significantly support ageing well. Conversely, research suggests that social isolation contributes to cognitive decline and poor health outcomes. Physical activity – encouraging daily movement, natural movement, such as gardening or walking, rather than structured workouts, helps maintain long-term mobility and independence. Dietary habits – this is an obvious one, for we are what we eat. Consume in moderation. Less salt, less sugar. We can almost see and hear the Health Promotion Board's various campaigns flashing before our eyes. Cognitive engagement – learning new skills, playing memory-enhancing games, engaging in purposeful activities reduce dementia risks, and from my own non-clinical experience, senior members of my extended family who played mahjong remained lucid throughout their golden years. Employment – continuing to work provides mental stimulation, encourages social interaction, adds to financial stability, facilitates a sense of validation, esteem and actualisation, all of which contribute to overall well-being. Our ambition for Singapore goes beyond what we had already achieved. In the words of our Health Minister, we are setting our sights to becoming a Blue Zone 3.0, moving beyond policy-driven longevity, to embedding healthier habits into everyday living. By 2030, one in four in Singaporeans will be 65 or older.[+13 sentences] As Singapore ages, it is essential to reframe the ageing narrative. Negative descriptors that are often used today, like "Silver Tsunami", "has beens", "burden on society" should be immediately abandoned. And we must shift our perception of ageing. No longer should ageing be seen as a period of decline, but rather as a phase of life that represents opportunity, contribution and vitality. By fostering a society that not only values longevity, but also the potential and contributory role that seniors can play, we can create an ecosystem where older adults are empowered to contribute and to thrive. In Queenstown where I serve, nearly three in 10 residents are 60 and above. I have been concerned about various aspects about our seniors in the community: their physical and mental well-being, their retirement financial adequacy, social isolation and the many associated downsides. As our population ages, we must rethink senior employment in our society. Should retirement mean stepping aside completely, or can we reimagine a model where their experience and contributions continue to shape our community in a positive manner? How should we think about productivity, employment and social participation in our senior years? For some insights, let us go back in time. For much of human history, retirement was not a formalised concept. People worked for as long as they were able to, and labour formed an integral part of an individual's identity. In 1889, Germany introduced the world's first pension system: giving Germans who were 70 years and older, especially those who could no longer work, financial security in their old age.[+5 sentences] Now, the rest, from the late 19th century onwards, was history. An official retirement policy is arguably one of the best policy implementations that bolsters well-being in one's senior years. Over time, however, attitudes towards retirement evolved. As people generally live longer, there is a growing sense of inertia in extending our working years. Take France, for example. In 2023, France experienced widespread protests raising the retirement age from 62 to 64.[+2 sentences] Some see the raising of retirement age as an obscene violation of their well-deserved rest after years of toil. The real question is though: does employment in our senior years have to be cast purely as a binary, black-or-white construct: either you work full-time or you do not work at all? At retirement age – which in Singapore's context will be 64 by 2026 – many seniors whom I meet are still physically active, cognitively sharp and more than able to be involved in a productive activity, one way or another.[+21 sentences] In fact, I jokingly tell many of my Queenstown seniors that I meet that I would have to "check their IC" to be sure that they are telling me their real age! Many of them look way younger than their actual "NRIC age". To be sure, many seniors find purpose, mental stimulation and social engagement in continued employment. Work is more than just an income source. It provides structure, a sense of purpose and a continued role in society. Some seniors actively resist retirement because their professions define their identity. The challenge, then, is not merely extending work life but rethinking its structure. How can employment be made more flexible, more meaningful and adapted to the strengths of an ageing workforce? Also, what is the reality in our employment market today? Do employers perceive the resumes of senior applicants they receive as prospective assets with decades of experience, or do they reflexively dismiss them on the assumption that senior workers would be a drag on efficiency and productivity? What changes can be implemented at the workplace to facilitate the reintegration of more seniors as part of our active workforce? Would employers be willing to consider process automation, AI, redesigning full-time roles as micro jobs as ways to not merely hire more seniors, but also, to fulfil our manpower needs in a labour-tight market? Among senior workers, many are rightly concerned about the perception of age discrimination at the workplace and many would also want to prioritise time for loved ones in their golden years. Concerns over physical and mental well-being also mean many are hesitant to re-enter or stay on in the workforce in their senior years. Clearly, mindset shifts and tangible action, on both the employer and employee ends of the spectrum, are needed. If we are serious about our Blue Zone 3.0 ambition, then surely, we must lead the charge in reframing retirement and senior employment, among other issues. After all, to discriminate based on age, is merely the act of discriminating against our very selves – the future versions of ourselves. Sir, Singapore's journey to becoming a Blue Zone is unlike any others. As we strive towards being a Blue Zone 3.0, our goal is not just to live longer but to live well. And to get there, we will be sailing through uncharted waters, where no one before us has gone. Our true measure of success lies not just in productivity, but in the collective well-being of every passenger on board this ship. Beyond the various measures like the Matched MediSave Scheme, the enhanced Home Caregiving Grants and broadening of HDB's Enhancement for Active Seniors programme under this Budget, there is scope for us to do more, to move the needle on senior employment.[+2 sentences] After all, if there is any vessel that we can navigate all on board to the promised land of wholesome, empowered longevity, I have every confidence that that vessel's name must be Singapore. Sir, I support the Budget.
Mr Deputy Speaker4 words
[+1 sentence]Ms He Ting Ru.
Ms He Ting Ru (Sengkang)103 words
[+1 sentence]Mr Deputy Speaker, like every Budget in recent years, this year's Budget has a long title underlining our country looking to a better future. As the volume over the General Elections builds, many expect that the spending taps will be turned on during this year's Budget, and we have certainly seen generous schemes and various vouchers announced across the board, paid for by higher-than-expected corporate tax revenues. We see the introduction of, for example, the $100 SG Culture Pass, $100 ActiveSG credits, including private property into the Climate Vouchers scheme, hawker centre stall rental rebates, and even LifeSG credits for children under 18.
[Mr Speaker in the Chair]2915 words
[+106 sentences]We do not object to these schemes as improving access to arts and cultural activities is something that we have advocated, particularly given rising ticket prices, and also easing the financial impact that raising children has on families in today's ultra-competitive society, but we can and we must improve, by ensuring that we have a Budget that is more targeted towards today's social outcomes, and to have a clearer and more significant investment in the social outcomes of tomorrow. By social outcomes, I mean the impact of our policies, especially our economic policies, on our societal well-being. Our people are not economic digits. GDP growth should not be the goal. Instead, we have to realign our goals to make sure that our country is a flourishing society on a liveable, healthy planet, and to ensure that we leave behind the foundation for our children and grandchildren to thrive, and also to improve our resilience to take us there, we have to come from a position of strength and abundance, not fear and scarcity. I first raised the potential of a strength-based approach during last year's Motion on mental health and repeat the call that we can apply this to our society at large. There is abundant research on individual flourishing that shows that we should work on our strengths, rather than just focusing on improving our weaknesses and that this approach predicts higher levels of resilience. It is also positively correlated to well-accepted resilience-related factors, like positive effect, self-efficacy and life satisfaction. Additionally, Barbara Fredrickson's Broaden-and-Build model shows that a positive emotion in individuals put them in pole position to explore new avenues of growth, building skills and resources, and it increases coping and survival. This theory has been applied to the work context to generate good outcomes and there is no reason to suppose that societies, too, cannot benefit. Contrast this to theories of scarcity, where perceptions of, or coming from a place of scarcity, may end up leading us to react more strongly to situations and events, or increase competition to unhealthy levels. I, therefore, believe that on a societal level, we should approach our policies from a position of strength, not scarcity. What do I mean by this? Here are some real-life examples. Like all constituencies, WP-held divisions organise events for residents throughout the year, and we have to do so with no access to taxpayer funds through the People's Association, or even venues like community centres. Instead of sitting around bemoaning about how unfair this all is, our teams forge ahead with planning community events to be held in spaces that still welcome us, such as void decks and multipurpose halls. In Buangkok, our Christmas event takes this a step further. We identified early on in the term that our community possesses an abundance of strengths, such as kindness, love and justice, and thus crafted our event to make full use of these community strengths. Our residents turn up each year en masse to drop off gifts of essentials, such as oil, rice, noodles and cleaning items, which we collect and this benefits residents of Cheshire Home in Serangoon Gardens, and it is so special to see familiar faces every year and to hear the latest updates on their families and loved ones. Unless we be accused of politicking or electioneering, another example from our Sengkang community would be one of our condominiums, where residents were kind enough to share their experiences with me. The Management Corporation Strata Title operates on a tight budget and fully acknowledges this and works within their limitations. But instead of focusing on what they lacked, they have, over the years, fully harnessed their creativity and zest in ensuring that their compound is well-maintained and beautifully decorated with festive updates. These efforts range from taking the initiative to source for landscaping pieces from dissolving country clubs and, more recently, commissioning a snake sculpture from a dragon dance manufacturer in China, ensuring a cost-effective, but beautiful way of getting the grounds ready for Chinese New Year. To bring about a social budget, we should revisit the idea of a developmental budget dashboard that I first brought up during Budget 2022. To reiterate, this dashboard would measure how well we are doing as a society and economy, and give a good account of our human, social and natural assets. Aside from my calls to use the dashboard to measure how well Singapore is doing in terms of poverty reduction, social mobility and wealth distribution, the dashboard should also be used when developing and announcing the Budget package each year. It would thus be used to spell out not just the economic, but also social elements of spending, with clear descriptions of how specific spending allocations are designed to lead to positive social outcomes. The dashboard and its targets should be developed together with the public, especially as we already have attempts made to get a wider segment of Singaporeans to share their perspectives on development in exercises, like the recent Forward SG. The next step would be to formalise this, so that we can collect qualitative and quantitative data from Singaporeans on what they would like our social KPIs to be and, crucially, to publish the results of these findings as part of our dashboard. These could include collecting and publishing data, such as time-use studies for informal carers, a call I made in my maiden speech, how fulfilled Singaporeans are with the career path they have chosen, or how easily they feel they are able to achieve their dreams and aspirations. Taken together, these measures can be compared alongside more traditional economic measures to help the public better understand the trade-offs necessary to maintain a balance between the measures of societal well-being, and economic and business demands. To be clear, it is not always an either-or scenario where economic progress comes at the cost of well-being, but neither is it the case that economic growth is the only way in which a community can flourish. Development then, would be our measure of how we can achieve our social goals while remaining an attractive place to do business and to also know at what point we start to see negative trends creeping in due to economic and social policy shifts. To develop these social measures for our dashboard, we can make use of a mechanism similar to citizens' assemblies, which I spoke about in last year's Budget. These would comprise groups of citizens randomly selected from, but representative of the population, to learn about, analyse and make recommendations on this topic in the form of a report, which the Government would have to publicly respond to. They may be supported by advice from experts, but it is up to them to carefully deliberate and propose which measures to include. While the Government will ultimately be the final arbiter in whether or not to adopt the proposed measures for the scorecard, the process has the added benefit of being transparent and democratic and provides a formal avenue by which the wisdom of crowds can be used to inform policymaking. The Government also would have to defend their position where they disagree with the recommendations made, contrasted to the one-way format of the consultative processes we are more used to. Mr Speaker, I am not saying that the Government does not pay attention to social outcomes when devising this Budget. SingStat's data does show that the Gini coefficient of employment income per household member in 2024 was at the lowest since records began in 2000. But I believe that if we ask the man in the street if they feel better off, the picture might not be so rosy. One possible explanation is that the highest and lowest quintile of income earners have seen real wages increase, but the large middle section not so much. This is why many would tell you that they do not feel like they have done well. Another reason is that our measures of wealth inequality are still struggling. The UBS Wealth Report published in July last year, shows that our Gini measure on wealth inequality rose by 22.9% since 2008 and has now overtaken economies, such as Hong Kong, Indonesia and South Korea. Wealth matters because people are now living longer and care costs are expected to increase and this gives rise to a feeling that depending on employment income alone will not suffice, particularly in our golden years. The dashboard we propose should thus have measures of both economic and social inequality, because both are intertwined. Social inequality is clearly linked to both income and wealth inequality and, having consistent measurements, such as those used by sociologists, allows us to get more familiar with how well we are doing in this area. It is why I spoke about the dangers associated with the perception of elitism and lack of social mobility, in my maiden speech. And I believe the same concerns still apply today. Time and again, whether during our Sengkang conversations, town hall sessions or regular engagement with residents, we are told of parents and grandparents' worry for the next generation of whether their children and grandchildren will be able to keep up with what feels like an increasing rat race and pressure cooker society. This is especially so if you consider the increasing number of vouchers and assistance schemes that we have today in Singapore. While nobody will fault support being given in challenging times with ever rising costs of living, we have to be careful about the inadvertent impact that these vouchers may have on our social fabric. Former Nominated Member of Parliament (NMP) Eugene Tan commented recently that there is an irony in large amounts being doled out each year, and that it confirms a popular perception that Singapore is too expensive to live in. Academics Linda Low and Pang Eng Fong, in Monday's op-ed in the Straits Times, go even further. They worried about whether such policies will foster an entitlement culture and entrench a rentier society. The idea that a large proportion of our population now relies on vouchers to mitigate everyday spending, significantly undercuts many decades of the Government telling us that Singapore is not a welfare state. What impact do these schemes have on how we see ourselves as a nation? Does it continue to encourage seeing our country through a lens of scarcity, resulting in Singaporeans being afraid to take risks in their careers to found potentially groundbreaking enterprises, because they do not know whether the vouchers and schemes will continue next year. Next, I hope that we can apply the dashboard to measure how engaged our residents are in society. Humans are social creatures and it has been demonstrated that participation in society and high-quality connexions are essential ingredients for individuals and societies to thrive. Aside from the findings of the Singapore 2022 Quality of Life survey that citizens that feel they have a duty to vote and have power at the ballot box, have higher levels of well-being. Studies have also found positive correlations between participation in society and improved governance, greater social cohesion and greater capacity building and learning. On the individual level, it is also well-documented that there are physical and mental health benefits to participating in society. Yet, such participation is usually only possible where individuals feel that they have the room to do so and are not constantly worrying about daily stresses, financial or otherwise. Scores of societal participation over time can thus also give us valuable insights into how well we are doing as a society, socially and somewhat indirectly, economically. We have to acknowledge that we are currently facing a mental health crisis. Yet, mental health is a direct indicator of social development affecting participation in society and well-being as a whole. Ill mental health also ends up costing economies in the long run, both in terms of the provision of treatment and support, but also lost productivity. Thus, beyond the mental health strategies released in late 2023, we should be developing meaningful targets that are indicators of what we want for mental health. And as I pointed out previously, mental health is not just the absence of mental ill health, but also the presence of factors and conditions that encourage thriving, and our indicators should also reflect measures of positive mental health. While various organisations and entities, such as Institute of Policy Studies (IPS), conduct occasional surveys on mental health, we can benefit from a more consistent and consolidated data, standardisation of questions and commitment to annual measures, with results to form part of our dashboard. We can take reference from what is already being done in other countries. For example, in the United Kingdom, the Jo Cox Commission on Loneliness found that while actual initiatives to combat loneliness are necessary, also important are reporting requirements and a clear programme to develop evidence over what works. This is especially so as different countries have different cultural and historical contexts, which also influence the issue. To make data more comparable, the UK government is working on a loneliness harmonised standard. In Singapore, we also know that the Ministry of Health, too, has been working to combat social isolation, known to be a risk factor for ill, physical and mental health. Yet, further study is necessary to understand how this problem presents itself. For example, 2021 data from the Saw Swee Hock School of Public Health, showed that it is actually seniors who live with family members who are the most socially disconnected, contrary to popular belief. This illustrates why regular data collection and publication are needed. Finally, applying our developmental dashboard to our future. Two key areas that spring to mind would be how we invest in and support our children and how we are doing in our response to the climate crisis and long-term sustainability goals. For children, delivery on different elements of children's development increasingly cuts across various Ministries and agencies. While education is key, it is not the only measurement of how well we are doing with our younger generation. Apart from doing well in education league tables, how well are we preparing our next generation for their future jobs and careers, which require more creativity and challenging of the status quo? How well are our children eating, sleeping and are they getting the opportunity to enjoy their childhoods, rather than stressed about the next milestone examination in their way? We already track many data points, such as school absenteeism rates with some breakdowns like housing type, but data on a centralised dashboad can help the public note how investments and changes we make to our education, health and social sectors have benefited our children. Iceland's 2024 youth study offers one approach. The study was a comprehensive and holistic effort to collect and analyse data on the welfare, health and attitudes of children and young people in Iceland. In order to support evidence-based policymaking, topics included mental health and well-being, social connections and activities, digital safety and social media usage, family support, school environment and physical health. This is off the back of the Prosperity Act enacted in 2022, with coordinators assigned to support families from pregnancy onwards. A key component of this initiative is to develop a dashboard to offer an overview of children's health and well-being, with data publicly available, thus promoting transparency and enabling researchers, policymakers and the general public to engage with that information. Here in Singapore, there is no reason for us not to do something similar, especially as we start to gain data and insight from the recently launched Grow Well SG programme. On sustainability, our schemes have to address the huge challenges facing us in the form of the climate crisis, and measures should be assessed on their impact. As I noted in 2022, many climate measures are not reflected in GDP. Planting a tree, for example, does not change anything. Yet, our climate adaptation and mitigation schemes are key parts of our development journey and should form a key part of our scorecards, and will assist in ensuring our agencies are laser-focused on the intended impacts of various programmes. One example is the expansion of the Climate Voucher Scheme announced last week. While occupants of private residents may rejoice, how much carbon mitigation are we actually achieving through these vouchers? How do we guard against these vouchers inducing demand for household appliances, what items are replaced before they reach the end of life? Additionally, what is the rationale for allowing two-tick LED lights to be a purchase? Now that we have a decent set of data since the scheme was launched, what does the analysis of this data reveal about the carbon emissions impact of the scheme? In conclusion, Mr Speaker, there is benefit to developing a dashboard with economic and social measures that is published along the Budget each year. It is not the first time that we have heard sentiments that there is more to measuring our progress as a nation than GDP. And I believe that there are many untold strengths and area of abundance that remain yet untapped in us. Having the dashboard would be a channel through which we can promote a paradigm shift to meaningfully move to look at Singapore's assets and situation from a mindset of strength and abundance, not fear and scarcity, and this will stand us in good stead as we look to the next lap.
Mr Speaker4 words
[+1 sentence]Dr Tan Wu Meng.
Dr Tan Wu Meng (Jurong)2519 words
[+22 sentences]Mr Speaker, I declare I am a medical doctor at a public hospital. Cost of living is a worry for so many families across Singapore. It is the money you spend every day to get by. But there are also other hidden costs of living – the time you spend navigating public services; time that you spend, and not just money that you spend. The former Head of Civil Service, Mr Lim Siong Guan, once said, "Implementation is Policy", because the impact of policy, however well it is designed on paper, what matters is when you see what happens on the ground. And in today's world, "User Experience is Implementation" – the resident's experience is the implementation of policy. Policy cannot fully help its intended beneficiaries if the resident cannot navigate the policy, or if too many of the processes are online and the residents themselves cannot quite get online to make full use of the policy. So, again, what happens on the ground is the implementation, and implementation is policy. Let me start by sharing about some of our caregivers' struggles. I met a young Clementi couple earlier these few weeks. Husband and wife, bringing up young children. The wife just got out of hospital. Because she has a lung infection, she needs to go to the polyclinic every day to receive medication, because the nature of the medication is that she has to take it in a supervised way in a medical setting at the polyclinic. She is not well, needs a wheelchair to get around. And so, because her husband has to bring her in a wheelchair to the polyclinic every day, the husband has quit his job. The family breadwinner has quit his job and now there is no breadwinner at home. Home-based medical care, arranging for that treatment to be delivered at home could have saved my resident those trips to the polyclinic every day. It could have saved the husband's job. It could have saved his employability. It might have been counted as healthcare expenditure, additional expense on MOH's bottom line, but by saving the caregiver's job, it would have saved on suffering for the family and saved on hardship and safeguarded the husband's ability to earn as a breadwinner in his existing job. There are similar challenges throughout Singapore – caregivers under stress when a loved one is sick. In 2022, I asked in Parliament how many Specialist Outpatient Clinic visits a resident might need to go through in a single year. The 2019 figures from before COVID-19, showed that over 7,000 Singaporeans a year have to attend 24 or more Specialist Outpatient appointments in a calendar year.[+1 sentence] Sir, 7,000 Singaporeans having to go to a clinic two times or more a month. In that same year, there were over 2,000 Singaporeans who have 36 or more appointments at a Specialist Clinic every year.[+7 sentences] That means 2,000 Singaporeans averaging three or more Specialist Outpatient appointments a month. I have Clementi residents who are caregivers. They share with me how hard it can be to keep a full-time job when the family is small; not many grown up children looking after a senior who has so many medical appointments. I also have Clementi residents, as well as sisters and brothers from Healthcare Services Employees Union and they share the challenges on the other end of care delivery as well. They share about how much effort it takes to coordinate care to try and simplify the number of clinic visits, whether it is moving multiple Specialist visits to the same day, so the patient makes just one trip rather than four, or doing backend meetings to simplify the number of visits. I have been told by our sisters and brothers in healthcare that often this coordination work takes place outside of working hours. Reaching out to colleagues, messaging, emailing, streamlining, working into the night sometimes behind the scenes – extra work, unrecorded, unmeasured. So, our agencies need to get better at recognising the amount of work that is needed to coordinate care and then to recognise that care coordination should not be seen as a cost centre and expense in and of itself, but as an enabler and a catalyst to simplify the care journey for a fellow Singaporean in need. I also call upon the Government, and especially MOF, to take a more holistic view of subsidising and funding care coordination, whether it is funding to hire more patient navigators or care navigators, or recognising additional hours put in outside of official duty hours by frontline staff who are working extra hard to coordinate for the patients and those under their care.[+1 sentence] Because simplifying the care journey can help patients and caregivers stay employed, and not have to choose between maintaining their employment, and accompanying and supporting their ill relative through the medical journey. Furthermore, with smaller family sizes in Singapore today, with fewer children, the caregiving responsibility is heavier for each grown up child and it is the most vulnerable workers who are hit hardest, workers who cannot do their work remotely, who cannot log in through Zoom or video conference, workers who have less bargaining power at the workplace, workers who might be daily-rated and for whom every half-day or every day taken out of work to care and support their family member, means a day in lost income, a day of economic impact.[+18 sentences] There is a cost to families, Mr Speaker, when a breadwinner can no longer maintain their full-time job. There is a cost to families when a caregiver who used to work part-time, leaves the workforce completely because of these stresses. And when a worker leaves the workforce because they can no longer juggle supporting their sick loved one through the healthcare journey and at the same time, trying to hold down their job or employment, when a worker stops working because of this invidious choice, it is not just a loss of income, it is not just a loss of being a breadwinner. Because every month that a worker stays out of work, every month that a worker has sacrificed their career for, is also a month that their skills fade, become more out-of-date. It is another month when their networks, their professional networks, their workplace networks become more distant, less connected. It becomes harder and harder, even as they make that sacrifice. So, anything we can do to streamline the care journey for our seniors, if it can help save a caregiver's employment and employability, it is something worth striving for and something that the Government can and should support even more, moving forward. Let me speak also about digital complexity and digital access to Government services. The importance of simplifying the journey, it applies to Government services as well. In healthcare, the more apps there are, it also means the more logins, the more apps, the more notifications, the more processes. It is not easy for caregivers and seniors. There are Government agencies which today, as a default, want the resident to login with Singpass, login online, to book an offline appointment. What happens to seniors who cannot easily go online, who have not kept their Singpass working? Has going digital made it harder for seniors to get help? And what message do we send inadvertently when we ask someone who is not digitally-savvy to go online to get the offline appointment? So, even though our agencies speak of "digital first, not digital only", we must ask: what is the outcome on the ground for our seniors? So, I call upon this Government to study deeply how the implementation of digitalisation has affected the less digitally-savvy seniors. In particular, we must look out for the risks of digital dropout. Digital dropout happens when someone who used to make use of a Government service no longer uses the service anymore because it went digital – not because their problems have gone away, but because they can no longer get to the service or find it so hard that they have given up trying to access the service.[+5 sentences] Sir, let me therefore add a call to make Government services simpler for our citizens. As background, last year, April 2024, the Government set up the Inter-Ministerial Committee (IMC) for Pro-Enterprise Rules Review. Just as the IMC on Pro-Enterprise Rules Review aims to help SMEs better navigate Government rules and regulations, we should also do the same for citizens, especially our seniors who may be less digitally-savvy or who are afraid to go online, amid a world of digital scams. Because efficiency of access to services and the cost of navigating, the cost burden of time spent, it is not just a challenge for businesses. It affects any citizen who is facing difficulty navigating Government services, especially those who do not know how to go online. If helping our SMEs is important enough to have a Deputy Prime Minister chairing an IMC, then I suggest, Mr Speaker, we should adopt the same approach to helping our fellow Singaporeans, our fellow citizens navigate Government processes too and look at ways to make it as simple as possible. So, I call upon the Government: if we have an IMC on Pro-Enterprise Rules Review, we can also have an IMC on Pro-Citizen Process Review – or what we can call the Bureau Of Services Simplification; we can call it "BOSS". It can be chaired by a senior Cabinet Minister at the Deputy Prime Minister or Senior Minister level, supported by younger officeholders and an advisory panel of public and private sector experts who understand user experience and user design, seeing through the eyes of our people, not just the eyes of engineers or coders, however they mean well; seeing through the eyes of a senior, who cannot go online to book an offline appointment in the real world with an agency; seeing through the eyes of patients and caregivers, who may be struggling to navigate the complexity of multiple apps, multiple platforms; seeing through the eyes of a young Clementi couple where hubby had to give up his work to bring his wife to the polyclinic every day because the system could not bring subsidised care to the home in the same way.[+14 sentences] Looking out for the less digitally-savvy is not just about social equity. It is not just about making sure no Singaporean is left behind. It also speaks to our social compact across the generations. Because these seniors, they spent their whole lives building Singapore up and yet, today, in the Singapore they helped build, the Singapore which is prosperous enough to go digital and have online services, there are seniors who feel left out, left behind. We must honour our seniors' contributions to Singapore, honour the seniors who made a digital smart nation possible by building Singapore in decades gone by, even as they face challenges, navigating a more digital world today. Because it also sends a message to today's middle-aged workers, today's workers who may be tomorrow's seniors. It sends a message, if we include today's seniors, that tomorrow's seniors will also be included and not left behind when there is new technology, 10 or 20 years from now. Sir, on technology, let me speak about AI. Sir, I have spoken on AI and technology many times over the years in this House. In 2018, during the Budget debate, I called for greater investment in AI, as well as quantum computing technology. I asked the Government as well, earlier in that year, 2018, to look at Asimov's Laws of Robotics, at that time in science fiction, but applicable in the event you have thinking machines that are able to engage and potentially even advise on human decisions. Today, from the US, we have ChatGPT, previously the GPT-4 model, now the o3 model AI model. From other companies, like xAI, we have Grok 3, new AI models from the US. From China, we have seen recently seen DeepSeek R1, advanced AI as well from China and many more AI models coming out. Just last week, Microsoft announced a new platform to have quantum computers on a chip. So, the take-home message is: technology is moving quickly, and what we think may be hypothetical questions seven years ago are real questions applicable today.[+15 sentences] In 2023 and 2024, I spoke again on AI. Parts of the 2024 speech managed to get shared online. My residents were quite excited by this. They sent me some of the links. One resident pointed out an overseas Instagram took a clip of the speech, eight million views. Another resident mentioned some X accounts, one million views. Another resident who is active on TikTok mentioned that there was an international TikTok sharing some clips, 1.4 million views. So, 10 million views or maybe more. But this is not about any individual MP's speeches. The message is people are interested in Singapore and what Singapore MPs say, because Singapore is relevant to the world. Because Singapore has done well and it is relevant to the world, that is why people out there are interested in what we are doing, how we deal with today's challenges, how we plan for the future. People around the world are interested therefore in what our leaders are doing but also what our back benchers are talking about, backbenchers of all persuasions, all perspectives. And people around the world see what Singapore has achieved over the past 60 years. And because we are relevant, inventing the future, adapting to the challenges around us, that is why people around the world follow what our MPs say on the front bench, back bench and from all angles of this House. Let me make one more point on AI, to add to what I have said over the years. The biggest gains from AI will not be virtual. It will be when AI connects to the real world, when AI connects, empowers people in the real world doing real-world work.[+1 sentence] We must therefore democratise access to AI. It must be AI for the people, regardless of your social economic background, regardless of what you are doing, regardless of whether you are born to a tech-savvy family with lots of Internet access who can pay for the latest models, or whether you are growing up starting with less. And therefore, MOE needs to ensure every child gets the chance to learn AI, at a pace they are comfortable with and have access to good quality AI models. Access to the best AI models should not just be for the child who is born to a wealthy tech-savvy family. It must also be AI not just for big businesses with deep pockets, but also small companies or SMEs.[+4 sentences] And I would say we must also allow AI to be accessible even to our home-based businesses. In Clementi, we have a young mother who looks after a very young family, while running a home-based business. It is not easy keeping track of accounts, doing supply chain planning, designing collaterals, publicity, doing business analytics. It is a one-person operation.
Mr Speaker7 words
[+1 sentence]Dr Tan, you have a minute left.
Dr Tan Wu Meng138 words
But if one of the stronger commercial AI models can someday run on her smartphone, be a virtual manager or chief operating officer, that will empower her, allow her real world skills to have more of an impact. So, can MOF confirm whether the new Enterprise Compute Initiative will cover home-based businesses?[+1 sentence] Sir, in conclusion, if "Implementation is Policy", then we must look at the resident's journey as implementation. If by spending a bit more to help caregivers, we save someone's job, we must look at the benefits across Government and society.[+3 sentences] And lastly, technology must serve the people. It should not be people bending to the technology but technology lifting our people up. And so, with this, I thank my Clementi residents for their encouragement over the years, I stand proudly in support of this Budget.
Mr Speaker3 words
[+1 sentence]Ms Denise Phua.
Ms Denise Phua Lay Peng (Jalan Besar)2122 words
[+7 sentences]Mr Speaker, this Budget debate marks the final one before the end of this term of Parliament. It also coincides with SG60, the commemoration of 60 years of Singapore’s Independence. Over the decades, we have weathered storms that could have broken lesser countries. From Severe Acute Respiratory Syndrome (SARS) in 2003 to the unprecedented challenges of COVID-19, key Government systems in our country from healthcare, manpower, industry to education – and our social cohesion – were tested. Yet, time and again, we have emerged stronger. This resilience is a testament to our collective spirit and the leadership of this Government. Our journey has been marked by bold, creative measures to safeguard businesses, livelihoods and the interests of our next generations. COVID initiatives, probably forgotten by some by now, like the Jobs Support Scheme, Wage Credit Scheme, the SGUnited Traineeship, CDC Vouchers, first started to help the hawkers, to name a few, have provided much-needed relief to Singaporeans.[+12 sentences] These efforts, together with many post-COVID measures, rolled out consistently, reflect our Government’s commitment to supporting our people. But as we approach SG60, our work is far from over. Our core existential struggles remain. Persistent challenges – like our declining fertility rate, the rising needs of a rapidly ageing population and the disruptive impact of AI on jobs and the economy – still demand urgent attention. Singaporeans look to the Government to lead in navigating these challenges. So, this Budget is crucial as it addresses how we allocate our national resources, limited resources for the immediate and for the longer term; it is about resourcing a strategic plan to secure our future and it cannot be seen merely as an annual “goodie bag” giveaway but as a support plan to address our persistent challenges. To this end, Mr Speaker, Sir, I propose three focus areas where resources can be further directed to ensure Singapore remains resilient and inclusive in an increasingly complex world. Key focus area one: on jobs and skills in this age of AI. AI is transforming industries at an unprecedented pace. We heard from many speeches before me. While it brings opportunities, it also threatens to displace workers and widen inequality. In Singapore, sectors like finance, healthcare, logistics and customer service are already experiencing AI-driven changes. For instance, the DBS Group recently announced plans to cut 4,000 jobs over the next three years while, of course, adding 1,000 new positions.[+8 sentences] It is a stark reminder of the urgent need to reskill and repurpose our workforce. The latest World Economic Forum report cautioned that, and I quote: "Without appropriate decision-making frameworks, economic incentive structures and possibly Government regulations, there remains a risk that technological development will be focused on replacing human work. The trajectory of AI adoption could either help us collaborate with machines for outsized gains – or lead to greater inequality and job displacement, depending on how businesses and policymakers respond." In Singapore, Budget 2025 is going in the right direction. The SkillsFuture movement was started 10 years ago. I remember when I first brought up at a Budget debate like this that MOE should look into adult training as well. The response in this House was muted. But I am glad that SkillsFuture Singapore has been established, put under the MOE and the Institutes of Higher Learning and other adult training providers are now part of the SkillsFuture adult training ecosystem. Budget 2025 initiatives like enhancing the SkillsFuture Level-Up Programme for mid-career Singaporeans, adding part-time courses and enhancing employer incentives are commendable.[+7 sentences] Few other countries have come close to the kind of systematic intervention for citizens that we see in Singapore. However, we must go further. Here are three suggestions. First, accelerate Industry Transformation Map (ITM) 2025. ITM 2025 is our Government’s initiative to refresh and strengthen the Industry Transformation Road Maps over the next five years, focusing on seizing post-COVID opportunities and new strategies for jobs, skills, research and innovation. Five years is way too long. The short shelf life of technology and we can see AI’s impact on jobs and skills is tremendous. The recent DBS announcements of job cut this week due to AI applications and the decision therefore to send 13,000 staff to be upskilled or reskilled in AI and data, is another clarion call for us for urgent action.[+11 sentences] So, I urge the Government to accelerate the review of the ITM 2025 and to treat the ITMs as living documents to be updated regularly, certainly not once in five years. Let us also go beyond the usual methods of Job Fairs and invest in channels to clearly communicate the required competencies to both current and potential industry entrants and stressing skills development over academic qualifications. Let us prioritise working on the jobs that might be most at risk of obsolescence and develop action steps for these job families before they are axed. One job retrenched is one too many. District offices like the Community Development Councils are ground partners who can support these efforts, since the Community Development Councils are already running hundreds of SkillsFuture Advice Workshops supporting MOE, SSG every year. Second, let us define literacy for all age groups. For such a time as this, the current definitions and the skills inventory of English, numeracy or Math and Digital Literacy should be updated and widely shared. Everyone, regardless of age, should understand the specific skills they need to acquire beyond our traditional focus on English, Math and Digital Literacy. One of my young volunteers, sitting over there in the Gallery now, even suggested adding empathy and community spirit literacy in our fast-paced, polarised world. So, is it possible for us to create a Literacy #101 Skills Inventory List, complete with suggested key learning solutions for all Singaporeans of all ages? Next, to be more aggressive in driving upskilling campaigns. Let us allocate resources and develop campaigns to compel Singaporeans to take lifelong learning seriously and to proactively self-drive our own developments.[+2 sentences] The acquisition of new skills and literacies is no longer optional. And, in fact, it is not just a pathway to promotions or career advancement. In this era of AI and job displacement, upskilling has become a critical necessity – essential not only for retaining our jobs but also for navigating our social environments, daily lives and the rapidly evolving world around us.[+13 sentences] Next, key focus area two: on vulnerable groups and businesses. The rapid use of technology presents significant challenges for vulnerable groups, especially the elderly, PwDs and low-skilled and lowly-educated workers. These groups, already at risk of marginalisation, face further exclusion due to the growing digital divide. For instance, some residents that I see in their 60s and 70s, they still want to work, they do not want to be at karaoke or bingo sessions whole day long. They struggle and they want to work, they struggle to secure employment in the new economy, whether they want to work out of necessity or out of choice. For instance, I filed several PQs and Meet-the-People-Session appeals to different agencies before for seniors who are not proficient in English or matters that are digital and who struggle in accessing essential Government services. Some cannot even read the English language responses that are mailed to them in response to my appeals for them. Some of them actually spend hundreds of dollars or share their Singpass information with parties or sometimes like agents outside the Immigration and Checkpoints Authority office, people whom they think can help them gain digital access to the services they need. These are folks who genuinely need support. SMEs as well – traditional brick-and-mortar stores and low-margin industries are particularly vulnerable. While many of these businesses should be more proactive in taking up the Government grants and schemes to automate, there is a segment of businesses that may not be easily automated or have a reason for sticking to its current business model. One example, for example, is Wardah Books, a beloved traditional bookshop in Kampong Glam, which sells Muslim and Malay books. It faces challenges in its current business model. It grapples with the high cost of operating a heritage business in a popular historical district. But I am encouraged that Minister Desmond Lee of MND has established a new inter-Ministry task force to support the growth and sustainability of heritage businesses like Wardah Books in Singapore’s historic precincts.[+3 sentences] This initiative was announced recently during the official opening of the Kampong Glam Ramadan Bazaar, which was organised by the local business community. So, we should establish task forces, focus groups, focused task forces for deeper dive, to assist these identified vulnerable groups and businesses. While the Government has implemented measures to assist these groups and individuals, the outcomes still remain to be seen. To address these challenges effectively, we should really establish focused task forces to conduct deep-dive exercises to investigate the root causes of their challenges, their profiles and develop creative and practical solutions and seek Government policy exceptions if needed.[+11 sentences] Do this starting with the elderly, the disabled and businesses not so suitable for automation. Key focus area three: on community solutions. I agree with the principle that not all solutions are best originated or implemented by Government. However, the Government can play a crucial role in facilitating worthy community-driven initiatives or, at the very least, avoid creating adding obstacles to their initiatives. We need to better encourage and support organic, ground-up initiatives. I can think of several out of many needs I see on the ground that could do with better coordination and support. For example, school bus logistics and cost were mentioned throughout last year. Could carpooling or escort services at the community level help families, for instance, affected by the manpower and cost constraints faced by school bus industry? Elderly with dementia: for elderly residents with dementia who do not require nursing home care yet, but they lack caregivers who might be working, like people to escort them, to accompany them to day activity centres, could community-level solutions be better encouraged and developed and even scaled? Families with special needs children: for caregivers of children with special needs who are emotionally drained and especially those with middle or lower income, could community-based support systems be established instead of just relying on ad hoc, acts of kindness? In my constituency, Purple Hearts, and I know in Ang Wei Neng's constituency as well, a grassroots initiative has been formed, this is in Kampong Glam, to support families of children with special needs – children who maybe young or may already be adults in their 50s. For three years, this group of volunteers have provided home visits, organised activities, invited them to grassroots activities, community activities, organised legal talks to help them, pushed out legal services to support them and fostered a sense of community, reminding these families that they are not alone. However, this initiative was only possible due to a team of passionate grassroots volunteers and a generous sponsor that I found who co-funded the central coordination person, headcount.[+2 sentences] And this is also done, I think, by Ang Wei Neng. Could these be scaled and looked at even more? Could Government play a part in facilitating these community-driven solutions?[+3 sentences] In his SG60 messages, Prime Minister Lawrence Wong has called upon Singaporeans to actively become a part of community solutioning – to care and share, to look beyond themselves. Sir, to better organise and scale community efforts so that more lives can be impacted, positively impacted, I think Government could lend support to establishing a more systematic approach to identify ground concerns and opportunities to serve, to allocate some resources and providing inputs, therefore providing inputs also to policymakers and potential funders. By empowering community-driven solutions and providing some essential support, we can address pressing issues more effectively and inclusively – and not have everything done by Government which sometimes may be good or not so good. In summary, Sir, I have brought up three areas for Government to further deep dive into: one, accelerating upskilling and job transformation in the age of AI; two, better safeguard the vulnerable groups and businesses; and three, empowering and facilitating more community-driven solutions for skill and for more lives to be impacted.[+2 sentences] Let us draw inspiration from the proverbial giraffe. The giraffe, with its long neck, stands tall, not just to see farther but to reach higher, to nourish its herd and protect those around it. The giraffe reminds us that progress is not just about individual success but also about lifting others as we climb. We, in Singapore, are only as strong as our weakest member.[+2 sentences] So, let us be giraffes of our time – stick our necks for the common good. I support, Speaker, Sir, Budget 2025.
Mr Speaker4 words
[+1 sentence]Mr Ong Hua Han.
Mr Ong Hua Han (Nominated Member)2577 words
[+1 sentence]I thank the Prime Minister and Minister for Finance, Mr Lawrence Wong and his team for putting together a Budget that is both balanced and sustainable. In his opening remarks, the Prime Minister reminded all of us that, "Singapore today is far stronger than we were 60 years ago." For us to enjoy an expected Budget surplus of $6.8 billion, or 0.9% of GDP in 2025, and a similar figure in 2024, especially when we are a country without natural resources is not something to take for granted.[+15 sentences] We only need to look around us, to know that what we have got is highly uncommon and worth safeguarding. While it is reasonable to question the accuracy of the Government's financial projections or debate how to best use the surplus, we, nonetheless, find ourselves in a position of strength. In his speech, the Prime Minister also framed the Budget statement in the context of the global realities at play. We live in a time of persistent geopolitical uncertainty, where war rages on and global trade rules are being re-written. Long-held principles are now being questioned or even renounced. As citizens of the world, we are left to ask ourselves: what do we hold onto? Yet, even in these times, it is reassuring to see Singapore remain steadfast in our values. There is an inherent tension between securing our social ideals and maintaining financial discipline. Mr Speaker, even as worldviews shift, Budget 2025 has carved out an important space to stay true to our ideals while upholding fiscal prudence. The Budget has never been just about government spending or financial reserves. It is equally about our social capital. That is why I am happy to see "Nurturing A Caring and Inclusive Society" as a core tenet of this Budget, with meaningful initiatives for families, seniors and persons with disabilities. At its core, inclusion is not just about supporting specific groups in isolation. It is about integrating them to strengthen our social fabric and unite us as one nation. When everyone, including the most vulnerable, has real opportunities to contribute and thrive, to participate in shared spaces and to engage meaningfully with the wider community, we build a stronger Singaporean identity. In this spirit, I fully welcome the dedicated focus on "Empowering Persons with Disabilities" this year. I am also very heartened to hear the Prime Minister specifically recognising the concerns in the post-18 space and I look forward to hearing more about the initiatives that will be shared by MOE and MSF during the COS debates.[+23 sentences] Sir, last year, I spoke extensively on what inclusion or social participation means for persons with disabilities. In this debate, I hope to build on this and explore how we weave this naturally into the fabric of our society through two familiar avenues: the arts and sports. From a young age, we were taught to embrace people of different races and religions. We have internalised racial and religious harmony as a core Singaporean value, not only because we learn this in our textbooks, but because we have grown up, learnt together and played alongside friends, regardless of race or faith. We bond as Singaporeans over shared experiences, whether it is our love of food, cheering for our national team, catching up on gossip or breaking down the latest Netflix drama. Mr Speaker, where similarities meet, differences fade away. Yet today, many still feel awkward interacting with persons with disabilities. We are still some distance away from more natural and meaningful interactions. The arts create spaces where this change can take place, where people from all walks of life come together through a shared love for music, performance and culture. Our SG Arts Plan 2023-2027 is a roadmap that guides Singapore's arts policies over a five-year period. While the plan recognises the importance of inclusivity in the arts, there is room to further refine what this means in a holistic way for persons with disabilities. We can do more to harness the arts as a force for greater inclusion in our society. To achieve this, I propose a two-pronged approach: increasing participation and enhancing representation. First, to boost participation, we need to make concerts, theatre performances and live music events more accessible. Last year, we were treated to a lineup of exciting, high-profile concerts, including Taylor Swift, Bruno Mars and Ed Sheeran. But how many of those with mobility challenges or sensory disabilities actually get to attend? Too often, the experience of booking tickets for major events can be stressful and anxiety-inducing for those with unique accommodation needs. The race of "fastest fingers first" leaves many excluded before the event begins. Accessibility means more than simply providing wheelchair spaces or one-size-fits-all solutions. It means recognising the diverse needs of individuals and adopting an end-to-end, user-centric approach. While some productions do provide accommodations, it is not yet standard across the board. For instance, local theatre companies like Wild Rice and the Singapore Repertory Theatre have taken commendable steps in providing access performances at select showings. These performances are accompanied by sign language interpretation, captions, audio descriptions and touch tours, to offer a fully inclusive experience. Another heartwarming example was the Coldplay concert in January last year that had a special zone for fans who are deaf or hard of hearing.[+7 sentences] Sign language interpreters translated the lyrics in real time, while fans used interactive vests called SubPacs, to feel the music through vibrations. These accommodations went beyond providing literal translations of the lyrics. They were about giving fans full access to the concert experience, immersing them in the rhythm, energy and soul of the music. Mr Speaker, this is the kind of inclusive action we need to see more of. There are actionable steps that we can take to understand and address the unique needs of individuals with disabilities. To this end, I have two suggestions. First, could the Government consider commissioning a comprehensive survey to understand the participation of persons with disabilities in the arts and the challenges they face? During the Budget speech, Prime Minister Wong introduced the SG Culture Pass, granting every Singaporean aged 18 and above, $100 credits to attend arts and heritage events.[+35 sentences] We need to make sure that when initiatives like this are rolled out to all Singaporeans, we do not inadvertently exclude others disproportionately. Having such a survey will allow the Government to pinpoint specific barriers encountered by persons with disabilities and it could highlight areas that are under-addressed and ensure equitable participation even in the arts scene. Second, we should already recognise that persons with disabilities often have diverse needs, which require more flexibility and thoughtful planning. Not everyone with mobility challenges uses a wheelchair. Some can walk short distances, others may be able to manage a few steps. Yet, these nuances are often lost in the standard web-based ticketing experience. A potential solution could be to establish a dedicated access and ticketing hotline for persons with disabilities to make enquiries and explore specific accommodations for arts events in advance. This way, more people can be assured of a comfortable experience. The Government can take the lead by introducing such a hotline at venues it owns and operates, like the Singapore Indoor Stadium or Singapore Conference Hall. This can serve as a model for private ticketing offices, allowing them to adopt similar practices, if proven effective. Sir, an inclusive event starts before the doors even open. When persons with disabilities can secure tickets as easily as everyone else and are then welcomed by trained staff on event day, this creates a smooth experience and facilitates participation in the arts scene without hesitation. Let me move on to my second point on enhancing representation in the arts scene. Mr Speaker, we should do more to support and nurture artists with disabilities at all levels of the arts landscape. This is not just about putting more persons with disabilities on stage. It is about ensuring that the voices and perspectives of persons with disabilities are embedded into our cultural identity. We already have dedicated groups to champion arts and cultural performances by persons with disabilities. One great example is the Purple Symphony, an inclusive orchestra comprising talented musicians with and without disabilities. Another organisation, ART:DIS, is a non-profit organisation that supports persons with disabilities in the arts by organising art programmes, exhibitions and performances. Such groups offer training and resources to elevate the artistic standards of artists with disabilities by offering an alternative, accessible platform to hone their craft. I believe that the next stage for truly inclusive practices is when performances by artists with disabilities are no longer showcased in isolation but ingrained in our arts culture. This means creating clear pathways for artists with disabilities to enter the mainstream. At present, persons with disabilities are a part of significant national performances, such as the National Day Parade and Singapore Youth Festival Arts Presentation. Their artworks are showcased alongside those of artists without disabilities and they perform as part of a larger collective. But the question remains: how do we make this more of a norm? I recognise that this shift is not easy. There are barriers to overcome still, both in infrastructure and in mindset. Perhaps we can take inspiration from the successful strategies we have used in organising our ethnic and cultural festivals. We have long celebrated our multi-cultural identity, hosting arts festivals that are rich in diversity, featuring both local and international cultural performances. It has become second nature. We do not even think twice about the cultural richness that these events hold. The same can be done for performances involving persons with disabilities. Can we explore partnerships with international disability arts groups, to allow our artists to interact with peers from around the world? By doing so, we can proudly showcase the diversity of disability performances and provide greater exposure for local artists with disabilities. Sir, I have spoken up on a few occasions about the power of sports and why it is so important. Last year, the Ministry of Culture, Community and Youth (MCCY) announced the refreshed Disability Sports Master Plan (DSMP). DSMP 2024 identified three strategic themes: one, increasing accessibility to disability sports activities and programmes; two, enhancing awareness of disability sports and inclusive sports activities; and three, fulfilling high performance aspirations of persons with disabilities.[+4 sentences] While I fully support these pillars and their initiatives, I have three complementary suggestions that I hope will further amplify their impact. First, we need to get more of the population to buy into the DSMP. If you read the master plan closely, you will find that achieving social inclusion through sports is actually a recurring objective. It is not about promoting disability sports exclusively for persons with disabilities or simply raising awareness among the general public, but it hopes to use sports to integrate society and normalise inclusive activities. While the current name "Disability Sports Master Plan" is well-intended to put the spotlight on promoting disability sports at a recreational and high performance level, it risks creating the perception that this plan is only for persons with disabilities.[+8 sentences] When someone without a disability comes across the DSMP, perhaps in the news, they may not instinctively see its relevance to them. But this is not what the plan seeks to accomplish at all. If social inclusion through sports is a collective effort, then why not call future iterations the Inclusive Sports Masterplan? Rebranding the DSMP in this way sends a clear yet subtle message: that sports should be for everyone. It draws the attention of the general public and prompts them to consider the important role they play in fostering a truly inclusive society. Second, beyond awareness, we should take more active steps towards greater community integration, especially at a recreational level. The first two strategic themes of the DSMP are to increase accessibility and enhance awareness of disability sports and inclusive sports activities. These are great, targeted steps and I commend MCCY for actively listening to feedback and responding to engagement findings. In particular, I found Strategic Move 4 very encouraging, as we aim to have all mainstream schools offer opportunities for students to experience disability sports by 2028.[+1 sentence] While it does not directly address integrating students with disabilities in mainstream schools via sports, it really does help to tackle the issue of awareness, which is the first step in overcoming preconceived notions about persons with disabilities. Another positive initiative comes under Strategic Move 5, which is to increase the outreach of Play Inclusive, a unified sports competition where students from SPED and mainstream schools train and compete together.[+1 sentence] Though the overarching objective is awareness, I recognise it is also about integration as it enables PwDs to play sports together with the wider community. In order to qualify, unified teams have to train together in the respective sports for a minimum of eight weeks.[+8 sentences] While I personally find the competitive element fun and engaging, I do wonder if it may discourage those who prefer a more recreational approach to sports or exercise. Perhaps in the next DSMP refresh, MCCY could consider engaging deeper into this area, to find more ways to integrate PwDs in mainstream schools and to introduce more pathways for recreational sports participation. Third, the end-to-end experience for PwDs to participate in sports needs to be seamless. It is encouraging to see that the DSMP is already working towards accessible facilities under Strategic Move 3. Still, we must continue paying attention to the finer details to ensure an inclusive and uniform experience. I have always appreciated that the OCBC Aquatic Centre at the Singapore Sports Hub has concession rates for PwDs. This is a clear signal that PwDs are welcome and supported there. However, there are still areas for improvement. For instance, while the Aquatic Centre does have a wheelchair accessible counter for ticket purchase, it is unfortunately always closed in my personal experience.[+16 sentences] Additionally, while other gantries allow independent access, the wider, accessible gate for wheelchair users still has to be manually operated by a staff member, creating an unnecessary barrier. These may seem like minor details, but addressing them is essential so that inclusive access does not feel like an after-thought but part of a proactive design. I fully believe that we all recognise the importance of enabling PwDs to live independently. As we continue making strides in enhancing our ActiveSG sports facilities, let us not overlook the small but important details to ensure complete accessibility. I will now conclude. Mr Speaker, we often speak about inclusion, but the real goal is making it second nature, where it no longer needs to be said, because it is simply part of who we are. Arts and sports hold a unique power to achieve this, by bringing people together in ways policies alone cannot. They create spaces where we see talent before limitation, ability before disability. As the Prime Minister said in his Budget Statement, no one should be left behind. I stand by this message wholeheartedly. But we must make this a lived reality, where dreams and aspirations are within reach for all, not just some. Imagine a world where an artist is seen for their craft, a sportsperson for their skill – and not for their disability. A world where access and opportunity are more than just ideals. That is the future we should strive for. A Singapore we can all be proud to call home. Sir, I support the Budget.
Mr Speaker3 words
[+1 sentence]Ms Jessica Tan.
Ms Jessica Tan Soon Neo (East Coast)2082 words
[+11 sentences]Mr Speaker, Budget 2025 is indeed a Budget for all Singaporeans that provides generous support for individuals, families as well as businesses to address current cost pressures. I am glad to see further steps announced by Prime Minister Wong on nurturing a caring and inclusive society. I will touch on a few points on this, later in my speech. I will first focus on the longer-term investments in the Budget that look to strengthening Singapore's growth, giving Singaporeans quality jobs and helping Singaporeans be ready for the future of work. This gives hope for the future and will make Singapore a place where our people are proud to call home and want to nurture their families here. In order to have opportunities, it is vital that Singapore continues to grow sustainably and is ready to handle future challenges. It is worth noting that Budget 2025 is allocating funds to signal the continued investments in technology and innovation engines as well as to address Singapore's resource constraints. These are critical for Singapore to continue to grow. While Singapore has strong fundamentals, being an open economy, global political tensions and escalating trade conflicts, and disruptions to supply chains pose challenges. Singapore must adapt to evolving conditions and uncertainties. It is therefore important that we continue to create and sustain value for companies both local and foreign to want to anchor the businesses in Singapore. Prime Minister Wong announced the substantial top-up of $3 billion to the National Productivity Fund.[+1 sentence] The fund will support businesses as they drive initiatives and commit resources to adopt new technologies, modernise and upskill their workforce. The $1 billion in R&D infrastructure will support the development of advanced facilities and equipment to attract top researchers and foster collaboration between academia and industry in the biotech and semi-conductor sectors. The additional $5 billion into the Future Energy Fund is significant.[+7 sentences] It reflects the commitment to driving Singapore's energy transition and securing cleaner power sources such as hydrogen, electricity imports and the feasibility of nuclear. The Government has committed to sustained investment in R&D to about 1% of GDP. RIE2025 announced in 2020, with the $3 billion top-up in last year's Budget, totals to $28 billion. With the additional $1 billion R&D infrastructure in this year's Budget, it will amount to $29 billion. It is now almost five years since the launch of RIE2025 and given the importance of the investments in R&D for growth and in innovations, it would be opportune to have an update on the progress and achievements of RIE2025 and an understanding of the framing of the next phase of investments. Budget 2025 includes several measures to support businesses cope with rising costs. These include the enhancements to the Progressive Wage Credit Scheme, corporate income tax rebates and cash grant, and enhancements to the Enterprise Financing Scheme, the redesign of the SkillsFuture Enterprise Credit Scheme from a reimbursement to a digital wallet with the additional 10,000 credits for companies that hire at least three resident workers, will definitely help companies offset out of pocket expenses for workforce transformation initiatives. The $150 million Enterprise Compute Initiative to support companies adopt AI solutions introduced in this Budget is timely.[+18 sentences] It will enable businesses to access AI tools, computing resources, as well as specialised expertise from global cloud services providers, which would otherwise not have been available or be too costly, especially for our smaller businesses. But to truly reap the benefits of AI, businesses will have to do their part. What will be key for them is not just the adoption of AI, but the transformation of their business processes and integration – and I think we need to recognise this is not easy. The schemes to support businesses announced in this year's Budget together with existing schemes are significant in helping them adapt and grow. Although I must say that in our meeting with business leaders, many did say not enough, but I think more importantly they did acknowledge after a little bit of reminder that there are loads of scheme. The feedback from business leaders is that while support is available, it can be quite complex to navigate, to apply and utilise. There are resources and support available to help businesses utilise these schemes, but the ease of utilisation does vary based on the specific schemes, as well as the businesses' familiarity with the process. Business leaders are asking for streamlining of the support schemes and it would be of great help to companies if they could engage a single point of contact for more integrated and coordinated support as they apply and utilise the schemes. Let me now touch on jobs. Why do we need sustained growth and successful businesses? It is really for quality jobs and opportunities for Singaporeans. But the labour market is changing rapidly. The changes are impacting both companies and workers. The demand for specialised skills, technology and innovation, such as AI, data, analytics, cyber security, digital marketing will continue to grow. Companies are facing challenges in finding and retaining talent with the relevant expertise, especially in new and emerging technologies. Despite Singapore's high employment rate, the pace of change and technological changes has led to job insecurity and anxiety. A recent Insight article in The Straits Times cited Institute of Policy Studies' 2023 report and a 2025 survey on economic sentiments by the NTUC, highlighting respondents' concerns of jobs not existing in the future or losing their jobs as companies transform and restructure. And most recently, we have also heard of companies talking about reapplying for even the jobs that you are in. The measures to strengthen SkillsFuture and encourage lifelong learning in Budget 2025, together with the SkillsFuture Level-Up Programme and the new SkillsFuture Workforce Development Grant, will support and encourage workers and employers to upskill and to build new capabilities for the longer-term as businesses transform.[+19 sentences] But I do, however, worry about workers who lose their jobs due to disruptions, especially matured workers and their finding appropriate employment. In my engagements with residents during house visits and most recently last weekend during a dialogue on the Budget, concerns were raised about getting a job when their jobs are disrupted, especially among our matured workers. Many shared that they made multiple job applications and either did not get a response or an opportunity to interview. With the rapid changes and tech transformation that companies need to make. Jobs will be disrupted, so while workers must continue to upskill and employers will train their workforce and build new capabilities, there still needs to be more direct job matching and more targeted industry specific reskilling to help workers transition when they are in their jobs, to new and growth sectors, and to address the challenges faced by both workers and businesses. So, this is not going to be easy, but it is something that we all have to do because the disruptions will happen on both sides. I do welcome the setting up of the Tripartite Workgroup on Senior Employment to conduct a comprehensive and longer-term review of senior employment policies to improve the employability of seniors and availability of jobs that better suit their needs. I do hope that the work will also consider senior employability in the context of an inter-generational workforce and how to tap the potential of matured workers in a diverse workforce, because they do not work in a vacuum. It is not just about finding suitable jobs for seniors, but how our economy can tap this resource of talent. For employers, hiring of seniors will require a mindset change. While employers may not necessarily or consciously discriminate for age, there may be concerns or unconscious bias in the consideration of hiring of matured workers. I have received feedback from residents who have been retrenched that they face situations where potential employers inform them that although they are suitable for the jobs, they are reluctant to hire them, even when they are prepared to take a lower pay than their previous salary, because the concern is that the worker may not stay because they are so used to a certain level of jobs. This really requires both sides: one to say, "I'm prepared to do it", but the other has to be able to give the opportunity. And so it really is also not just about policies, not just about processes, not just about support, but mindsets. Let me now move on to nurturing a caring and inclusive society. I am heartened by the measures announced by Prime Minister Wong to nurture a caring and inclusive society to make Singapore a place where people aspire to call home and have families. Many of the measures in the Budget will help the sandwich class as they care for both their children and parents. There are too many measures for me to discuss in my speech and I am quite sure Speaker will be happy that I am not going to touch on all of them because that will take too long, so I will focus on the enabling of our seniors to age well and long-term care services. With a rapidly ageing population. The enhancements to the grants, that is, the Home Caregiving Grant and the Senior Mobility Enabling Fund and the Assistive Technology Fund, and increases in the subsidies for residential home and community long-term care services, as well as the raising of the maximum qualifying per capita household income to $4800, will indeed help many families as they care for their seniors.[+3 sentences] Last year and the year before, I made the appeal in the Budget debate for the review and refinement of the means test criteria for senior long-term residential and non-residential care. I am now sounding like a broken record, but as Annual Value (AV) continues to be a means test criterion to determine eligibility for those with no per capita household income, I am asking for a refinement of how AV is used as the primary criterion to determine eligibility in this instance. I am not asking for no means testing. Based on how the current eligibility criteria are applied, those with no income and are living in a property with AV greater than $21,000 will not be eligible for any subsidy or grant.[+3 sentences] With the increase in property value, most of the residents living in even small condo units and landed terraces in my constituency in Changi-Simei will not be eligible. Many are retirees who bought their homes long ago and are asset rich but may be cash poor. The cost of eldercare services is not insignificant. Depending on the level of care needed, without subsidies, daycare services can cost from $945 to $1,430 per month.[+3 sentences] Nursing home from $2,200 to $4,200 per month, without subsidies. So, indeed instead of 0% or no support for those with no per capita household income and they live in properties with AV greater than $21,000, could consideration be given, or at least a tiered support? Over the weekend, I met one of my residents who is in her 70s, taking care of her mother who is in her 90s and she shared that it would really be helpful. She is retired, she is living in a small terrace and she said it would really be helpful if she got some help for nursing home care, because it is getting so costly and it is an ongoing cost. But I must thank Prime Minister Wong for not forgetting this group of residents and extending the Climate Vouchers to all Singapore Citizens households living in private property as well as the Enhancement of Active Seniors programme. Residents in private properties have not been eligible for many support schemes as has been discussed many times, but many of our senior residents living in private properties are sometimes asset rich and may be cash poor. So, extending these benefits do provide support for sustainable living and essential home improvements as our seniors age.[+3 sentences] So, I thank the Prime Minister for including that, because they were very happy. In fact, many of my residents were very, very happy. Mr Speaker, Budget 2025 is a Budget that has listened. Taking feedback from the Forward SG conversations as well as the many feedback from all channels. It is inclusive, with more given to those with less.[+2 sentences] It is a Budget for all Singaporeans and I am confident it will help us move onward together for a better tomorrow. Mr Speaker, I support this Budget.
Mr Speaker4 words
[+1 sentence]Assoc Prof Razwana Begum.
Assoc Prof Razwana Begum Abdul Rahim (Nominated Member)1672 words
[+5 sentences]Mr Speaker, on 18 February 2025, Prime Minister and Minister for Finance Lawrence Wong delivered Singapore's Budget Statement. I thank the Prime Minister for his Statement and I stand to support the Budget and make some brief comments about the implications of the Budget on children, the education sector and women and their families. In doing so, I note that I am a social worker and educator currently working with the Singapore University of Social Sciences and the President of the Persatuan Pemudi Islam Singapura (PPIS), an organisation supporting women and families. Mr Speaker, my first comments relate to early childhood education. Mr Speaker, I welcome the initiatives aimed at reducing the cost of early childhood education, notably the decision to lower the monthly fee caps for full-day childcare at our Government-supported preschools to $610 for anchor operators and $650 for partner operators. Access to affordable early childhood education is corelated with several positive outcomes for children, including improved cognitive and language development, social and emotional skills, and academic and life outcomes.[+28 sentences] There is also increasing evidence that access to early childhood education is particularly beneficial for children from disadvantaged backgrounds. Mr Speaker, to fully reap the benefits of our early childhood education sector, we need to look beyond simply cost. We also need to consider the curriculum, the educator's qualifications and access and equity. Mr Speaker, early childhood education is not simply babysitting, nor should it be seen as the first step of a hyper-competitive, assessment-driven education system. Effective early childhood education curricula should be child-centred and developmentally appropriate, give priority to play-based and hands-on learning and focus on social-emotional, not just academic, development. Early childhood educators also need to be suitably qualified, supervised and supported so that the sector attracts the right people and keeps the right people. Educators also need to be adequately compensated. Working with very young children is difficult work and important work, and the contribution of early childhood educators to the safety, health and well-being of children needs to be better recognised and rewarded. Mr Speaker, as well as making early childhood education affordable to more families, we also need to do more to encourage families to access early childhood education. There remain, in Singapore, strong personal and cultural perspectives that early childhood education is an unnecessary expense or a luxury, particularly when young children have historically been looked after by an elderly relative or helper. We need to educate families about the benefits of early childhood education and ensure that services are geographically convenient, easy to access, affordable and culturally appropriate. Mr Speaker, my next comments relate to the importance of experiential learning and access to creative pursuits. Mr Speaker, I noted above the importance of play-based and hands-on learning, and I would like to expand on this comment. Engaging children, including very young children, in activities that stimulate wonder and curiosity teaches them how to think creatively, critically and independently, how to problem solve and how to cooperate, share and resolve conflict. It also improves physical development, including motor skills, balance, coordination and fine motor play. We need to move away from seeing education as simply giving children facts and then assessing how well they remember those facts on any given day. As noted by the philosopher Socrates, "Education is the kindling of a flame, not the filling of a vessel." Mr Speaker, part of the solution lies with parents encouraging their children to be children and to explore areas of wonders and curiosity at school. However, schools also need to play their part and implement individualised, experiential learning techniques in both teaching and assessment. Mr Speaker, related to the issue of experiential learning is that of access to creative arts. Mr Speaker, access to the creative arts, including drama, painting and drawing, music and creative writing have been known to improve abstract thinking, language development, empathy, communication skills, confidence and memory. Despite this, many families and schools give preference to traditional academic subjects, with the creative arts seen as something that children might do as a part-time hobby or as a non-essential skill. We need to provide children access to a wide of range of creative arts options at school and we need to nurture creativity in children just as much as we nurture literacy and numeracy. I dream of a Singapore where a young child who announces to their parents or school that they want to become an actor or painter or musician, is seen as no different to a child who says that they would like to become a lawyer, doctor or engineer. Mr Speaker, Sir Ken Robinson, the renowned English educationalist, once noted that it is common for parents to attach drawings by their children on their home fridge, yet rare for them to attach the results of their child's maths test. His point is that we inherently value creativity in our children, yet sometimes forget to protect and nurture this creativity in our schools and society. Mr Speaker, the next education-related issue that I wish to briefly discuss is inclusive education for children with special needs. While Singapore has made significant progress in special education, there is still more to do. For example, children with special needs still face barriers to entering mainstream schools, mainstream teachers sometimes lack specialised training to effectively support students with special needs, essential supports or therapies for children with special needs are sometimes expensive and children with special needs can struggle to keep up with the rigid expectations of academically-driven school systems.[+11 sentences] Respectful and effective inclusive education for children with special needs promotes social integration and equal opportunities, and assists to break down barriers of stigma and discrimination. It also provides children with special needs better access to academic resources, peer support and tailored learning strategies, thereby helping them reach their full potential. Mr Speaker, my final education-related issue is that of lifelong learning and workforce adaption. Mr Speaker, in Singapore, the pursuit of continuous education is crucial for staying competitive in an ever-evolving global landscape and I welcome the support for lifelong learning and the expansion of opportunities for part-time students contained in Budget 2025. Despite this increased attention to lifelong learning, we do, however, need to do more to ensure equitable access to lifelong learning opportunities, align educational offerings with industry needs and embrace experiential learning methods. It is also important that employers and the broader community understand the importance of supporting students in their educational journeys. Encouragement and understanding from both home and the workplace enables students to thrive and fully benefit from their educational endeavours. It would be a shame if Singapore's admirable commitment to lifelong learning becomes competitive and outcomes focussed and a source of personal stress and distress. Mr Speaker, my final comments related to women and families. Mr Speaker, Budget 2025 contains a range of provisions to support families who choose to have more than two children. It is no secret that women and men in Singapore are delaying getting married and having children, and choosing not to get married and have children at all. Providing financial incentives may encourage some existing families to have more children. However, unless we address the underlying reasons why young Singaporeans are choosing not to marry or have children in the first place, our decreasing birth rate is unlikely to reverse.[+2 sentences] Mr Speaker, the reasons why young women are choosing to delay or avoid marriage and children are complex. Yet, in many circumstances compelling. Simply speaking, life as a single woman can sometimes be safer, more fulfilling and more economically secure than being married or being a mother. We need to continue our conversations with young women to understand their perspectives and work together as a community to develop viable alternatives that allow women to be working professionals, wives and mothers, and for women and men to be equal partners in their relationships and households. This might include fully-subsidised long-term maternity leave, part-time return to work arrangements, supportive workplace culture and, of course, shared household and caring responsibilities.[+3 sentences] Mr Speaker, at PPIS, our inaugural Aspirations of Muslim Women research identified the four female archetypes: the Traditional Conformist, the Balance Striver, the Driven Achiever and the Purpose Seeker. Studies, such as these, are invaluable, and can assist to inform targeted, evidence-based policy and procedure, which, Mr Speaker, leads me to my concluding comments about gender equality. Mr Speaker, despite progress, issues of gender equality continue to impact Singaporean women of all ages. For example, women continue to earn less than men, are under-represented in senior leadership roles, are less financially secure both while working and in retirement, are expected to take disproportionate caring and household responsibilities and experience higher levels of gender-based violence, abuse and harassment. To address these issues, we must implement targeted and ongoing policies that address the underlying social, economic, political and cultural factors that assist to create and perpetuate gender inequality.[+3 sentences] In doing so, we have to have genuine conversations with women of all ages and backgrounds and, of course, with men. Mr Speaker, older women face unique hurdles, including ageism, which undermine their full participation in society. Addressing stereotypes and biasness against older women is essential to ensure their continued well-being and contribution. Additionally, we must recognise the financial needs of older women, particularly as they navigate challenges related to menopause.[+4 sentences] Providing resources and support systems to address these issues is vital for their empowerment and participation. Mr Speaker, in conclusion, Budget 2025 is steering Singapore in the right direction, yet we need to do more to ensure that the underlying objectives of the Budget – a Singapore where no one is left behind – are achieved. We need to continue our discussions with Singaporeans, including those who may not normally have a voice or who are sometimes invisible, listen to their stories and ideas, and work together to co-create an affordable, equitable and long-term solution. As noted by the Prime Minister: "Let us rally as one united people and move onward together for a better tomorrow."
Mr Speaker4 words
[+1 sentence]Mr Yip Hon Weng.
Mr Yip Hon Weng (Yio Chu Kang)1274 words
[+7 sentences]Mr Speaker, Sir, for the past four years, I have stood in this House to speak on the challenges our seniors face. I have filed question after question, made speech after speech, because the realities of an ageing society are not a distant problem. They are here. Now. Singapore is rapidly becoming a super-aged society. Our fertility rate remains low. Fewer workers will support more retirees. We talk about sustainability all the time, but if we do not act boldly now, the burden on future generations will be unsustainable. This Budget takes steps in the right direction – the Home Caregiving Grant increase and the extension of the Senior Employment Credit are welcome.[+19 sentences] But there are still some blind spots. Today, I will focus on three urgent areas: keeping seniors meaningfully employed; expanding housing options so they can age in place; and strengthening support for caregivers. First, Mr Speaker, Sir, employment is not just about making ends meet. It gives seniors purpose, dignity and connection. Many want to work – not because they have to, but because they feel healthy enough to contribute. Yet, despite all our rhetoric about senior employment, ageism is still deeply embedded in our hiring culture. The unspoken belief that older workers are "less productive" persists. And while policies, like the Senior Employment Credit help, they do not address the fundamental issue: workplaces are still not designed for an ageing workforce. So, what must change? First, we need businesses to take the lead in creating age-inclusive workplaces. Existing schemes, like the Productivity Solutions Grant, can be expanded to reward firms that redesign roles for senior workers – whether through flexible work, job-sharing or phased retirement. Let us introduce a "Gold Standard Certification" for age-friendly employers, with tax incentives or public recognition. Let us reward companies that walk the talk. Second, training must be relevant. The SkillsFuture Level-Up Programme is a start, but let us get real – how many seniors will sit through generic digital courses? We need targeted modules in areas like caregiving and gig economy skills. For instance, seniors can be trained as digital assistants to help SMEs onboard e-commerce. Training should be bite-sized, accessible in community centres, not buried under layers of red tape. Finally, we must deal with hiring bias. The upcoming Workplace Fairness Legislation should explicitly penalise age discrimination in recruitment.[+18 sentences] And we need a mindset shift. Let us run a national campaign showcasing seniors excelling in different sectors, not as an afterthought, but as an expectation. Next, Mr Speaker, Sir, housing. Ageing-in-place is not just about preference. It is about dignity. But our current housing policies may nort be keeping pace. Take direct lift access. During Question Time last week, multiple Members raised this issue, and for good reason. In Yio Chu Kang, Blocks 642 and 648 at Ang Mo Kio Avenue 5 still have no direct lift access for some units. The so-called "half-landing solution" from 2008 is no longer adequate. Seniors with mobility issues struggle daily. I have raised this issue before. While I acknowledge the Minister's concerns about cost-effectiveness and technical constraints, I have to ask: are these considerations more important than the daily hardship of our seniors? Residents feel frustrated, even betrayed. Some say they feel "cheated" – paying for upgrades, only to find themselves still trapped in their own homes. The Lift Access Housing Grant sounds good on paper, but in reality? Moving is expensive. It is disruptive. And for many, it means leaving behind a home filled with decades of memories.[+1 sentence] So, let us fix this. I propose a Special Lift Retrofit Fund to explore compact lift solutions for blocks without direct lift access.[+37 sentences] No senior should be forced to relocate just to move freely in their own community. But we need to move further. Projects like Kampung Admiralty and Bukit Batok's community care apartments are good, but they are just a drop in the ocean. Where is the urgency? We need a faster rollout. We should repurpose unused public buildings, such as the former Henderson Primary School, to create new senior-friendly housing. And let us think bigger. Why not build inter-generational living spaces where seniors and young residents co-exist meaningfully? University students could get subsidised rent in exchange for community engagement. Older adults could mentor, share skills and build relationships with younger generations. Everyone benefits. The ideas exist. What we need is action. Finally, Mr Speaker, Sir, we need to talk about caregivers, the invisible backbone of our ageing society. Many juggle work and caregiving, sacrificing their own well-being to care for ageing loved ones. We appreciate the enhancements to the Home Caregiving Grant, but let us be honest – it is a small step. We need more structural support. I propose three solutions. First, Caregiver Co-working Hubs. Imagine a place where caregivers can work remotely or upskill while their loved ones receive care. Co-located eldercare and co-working spaces can make this possible. Let us pilot it. Second, an Enhanced Caregiver Training Allowance. More funding to help caregivers gain professional certification in dementia care, physiotherapy and mental health support, so that they can provide better care, and even transition into new career paths. And third, a One-Stop Digital Support Platform. A streamlined online hub where caregivers can access respite care, financial aid and training resources, all in one place. Caregivers do the heavy lifting, yet their sacrifices often go unnoticed. Let us change that. In conclusion, Mr Speaker, Sir, our seniors have given their best years to Singapore. They built our homes, our industries, our institutions. They worked tirelessly, often without complaint, to give their children – us – a better life. Their sacrifices shaped the Singapore we enjoy today. Now, as they enter their golden years, the question before us is simple: will we repay their dedication with policies that enable them to live with dignity, security and purpose? Or will they be left behind, expected to navigate old age alone? This is not just about economic sustainability. It is about the kind of society we choose to be. If we want to build a Singapore that truly respects and uplifts our seniors, we must act decisively. Empower our seniors to work as long as they choose, by tackling ageism in hiring, expanding wage support and redesigning workplaces to be inclusive of older workers. Ensure seniors can age in place with dignity by prioritising direct lift access in ageing estates, expanding senior-friendly housing options and reimagining inter-generational living spaces where seniors and young people can thrive together. And strengthen support for caregivers, by introducing caregiver co-working hubs, enhancing training allowances and developing a one-stop digital support platform to ease their caregiving burden.[+5 sentences] Each of these proposals is not just a policy tweak. They are essential steps toward an age-inclusive Singapore. And just as this Budget takes bold steps exploring nuclear energy for resilience, strengthening our economic foundations, we, too, must be bold in rethinking how we care for our seniors. Because the question before us is not whether we can do better, but whether we will. We cannot afford to wait. The super-aged society is not a distant future – it is already here.[+8 sentences] We must build now, not later. We must invest now, not regret later. Let us not wait until we ourselves are old before we realise what we should have done today. Let us choose wisely and let us act boldly. Let us build a Singapore where every senior is valued – not as a burden, but as a pillar of our society. This is the Singapore they built. This is the Singapore we must now build for them. I support the Budget.
Mr Speaker3 words
[+1 sentence]Dr Wan Rizal.
Dr Wan Rizal (Jalan Besar)2038 words
[+9 sentences]Sir, today, I will speak on three topics close to my heart: mental health, lifelong learning and support for families. Mental health, although not explicitly mentioned in Budget 2025, is directly impacted. By alleviating the financial burden on families and individuals, we reduce stress and anxiety, which are major contributors to mental health issues. By investing in lifelong learning, we empower individuals to develop skills and resilience they need to navigate life's challenges. By supporting large families, we create a strong fabric that provides individuals a sense of belonging and support. And this paves the way for a healthier, more resilient, caring society. Sir, during the Motion on mental health last year, Prime Minister Wong affirmed that mental health is a national priority. The Government has continually demonstrated unwavering commitment to supporting the mental health and wellness of every Singaporean. We have made significant strides in improving awareness, education and public discourse on mental health. The latest study by the Institute of Mental Health shows that 58.9% of Singaporeans can recognise common mental health conditions, as compared to 42.3% previously.[+8 sentences] However, the study also reveals that many who are aware do not actively seek out for help when they need it. This gap between understanding and action remains a key challenge. But the question is: why? Unfortunately, the number one problem is stigma. Stigma still exists. Although societal attitudes are improving, many still hesitate to reach out due to fear of judgement, particularly in professional or family settings. And that is why we, as a society, must do more to equip ourselves with the mental health literacy. The Government has introduced many online and offline resources, but we can do more to ensure that these resources are well utilised, easily accessible and effective. Perhaps it is time we make Mental Health Literacy mandatory, from schools to workplaces.[+23 sentences] At the very least, it acts as a simple introduction that could help more people understand this pertinent issue and take that first step towards seeking or providing help. Ultimately, it is up to us to take this step, to practice what we have learned and build a more supportive, understanding community. Sir, in the mental health Motion, I spoke about the role of spirituality. Our religious organisations have a unique ability to shape perspectives, offer guidance and provide safe spaces for open conversations. This can help bridge the stigma around mental health, ensuring that those who are struggling do not suffer in silence, but instead, find comfort and support within their communities. I am glad to share that many religious organisations have taken this step. They have taken up courses, equipping their staff with mental health knowledge, working closely with mental health organisations, like Club HEAL, Silver Ribbon and Social, Emotional and Mental Health. I hope we can do more by creating a structure for them to get easy training and support. Sir, the second challenge that we face on where to seek help. Some are unsure about what support is available, how to access affordable services or whether their concerns are "serious enough" to warrant an intervention. And that is why the PAP Mental Health Group is currently recruiting and training our Mental Health Ambassadors who will be deployed to connect residents who need help to partners within the community. The final challenge, Sir, is regards to financial and logistical barriers. We have heard this many times, there are long waiting times for consultations, we have affordability concerns and difficulties in balancing mental health care with work or caregiving responsibilities that deter individuals from taking the first step. Therefore, we must ensure that mental health services remain accessible and affordable for all. What this means is that we need to strengthen our community mental health services, integrate mental healthcare into primary care settings, like Healthier SG, and leverage technology to provide timely and practical support. I will expand on these points in the MOH COS debate. Sir, another growing concern that I read in the papers today was it was reported that unqualified individuals or offering mental health services on online marketplaces like Carousell. These people, with no formal training, provide therapy sessions for a fee. This is deeply troubling. Mental health is not a causal service. It cannot be left unregulated. Vulnerable individuals seeking help must receive qualified ethical and professional support. But we must be precise about the problem. Today, psychiatrists are regulated but psychologists and counsellors are not.[+8 sentences] While professional bodies exist, registration remains voluntary. However, psychologists and private counsellors play very different roles and our approach to regulation must reflect that. For psychologists, registration is crucial to uphold the professional and ethical standards. Many of them were in clinical settings, diagnosing and treating mental health conditions. Regulation is about protecting patients from harm and ensuring they receive the care from trained professionals. For private counsellors, consumer protection is key. Many operate wellness-focused services outside the medical system. Regulation should ensure transparency and ethical practices and prevent misleading claims so that those seeking help are not exploited. Could we ask that we accelerate discussions on formal registration for psychologists and introduce stronger consumer protection measures for private counselling services because awareness alone is not enough.[+42 sentences] If we encourage people to seek help, we must also ensure they get the right help. I will expand this further in my COS speech, discussing what we can do to enhance regulation and public safeguards in the mental health space. Beyond healthcare, mental health must be embedded in multiple domains. This is why my colleagues from the PAP Mental Health Group will be raising this issue across Ministries during the Committee of Supply debate. For example, under the Ministry of Defence, we will discuss how we can support our national servicemen (NSFs) and NSmen to receive stronger psychological resilience training and better mental health support. Under MOH and MCCY, we will look at how community health initiatives like HealthierSG and those under M3 Focus Area 5, can deepen engagement in mental health and wellness. Under MSF, MOE and Ministry of Digital Development and Information (MDDI), we will explore how to equip parents to better support their children's and youth's emotional and digital well-being. Also, for interest, is how can we protect teacher well-being. Sir, Budget 2025 is a strategic blueprint that balances relief with long-term economic resilience. Beyond providing short-term relief, this Budget also sends a clear message. To truly thrive in a changing and dynamic world, lifelong learning must be the foundation of our economic future. Yet, while the Budget enhances SkillsFuture funding and support, barriers remain. Many Singaporeans struggle to upskill, not because of a lack of interest, but because of practical realities. Firstly, balancing commitments. Many Singaporeans struggle to pursue further education while juggling family responsibilities and full-time work. The mental and logistical effort required to commit to long-term learning can feel overwhelming, even with financial support. Could we explore more "Earn and Learn" models where training is embedded within current employment, allowing workers to upskill without taking extended breaks from work? Companies could integrate structured training hours into their work schedules, supported by incentives for employers who participate. Second, there is uncertainty of returns. A common concern among mid-career workers is that whether upskilling will lead to better job opportunities or even higher wages. Many hesitate to seek help or take this leap because they fear that leaving a stable job to retrain, only to find that opportunities remain limited or their salaries do not increase. And I have heard those in the new job face a much lower wage because they are starting afresh. We could strengthen career mentorship and placement guarantees, where workers undergoing SkillsFuture-funded retraining receive structured job-matching support. Employers could also be encouraged to guarantee wage progression for workers who complete industry-recognised training. The third is structural barriers. While the Budget provides strong immediate support, long-term success requires more than just training credits. To help Singaporeans transition smoothly into new or higher-paying roles, a comprehensive framework, including better career guidance, structured job placement support and policies to reduce the risks of retraining, is necessary. Could we introduce, what I call a "Lifelong Learning Hack"? It would be a one-stop advisory service to help Singaporeans to map out realistic training-to-employment pathways, ensure that they select the right courses, knowing that they will receive long-term career guidance and assurances. Mr Speaker, in Malay, please. : This Budget presents various opportunities for all of us, especially in lifelong learning. However, many workers are still hesitant to continue their education. This is not due to a lack of interest, but because of family responsibilities, work commitments, and financial concerns. I myself have faced this dilemma. I left a stable job to continue my studies full-time for two years. After returning to work a few years later, I decided to pursue further studies, also full-time, for five years. It was not an easy journey. Thus, I understand the concerns of those who want to learn but are afraid of any uncertainty that may arise. I understand the challenges. The questions often asked is, is it worth it? Does it really open up better opportunities? But I also know the immense value of lifelong learning, not just in building a career, but also in strengthening personal resilience. The Government has taken positive steps to alleviate these concerns. In this year's Budget, the SkillsFuture Part-Time Training Allowance will be extended to those aged 30 and above, with financial support of $300 per month to cover training costs.[+9 sentences] Sir, knowledge is the key to progress. If we want to compete and thrive in an increasingly challenging economy, lifelong learning is no longer an option, but a necessity. I urge our community to view these opportunities as an investment for their future. This is because, by having knowledge and skills that are constantly enhanced, we will not just be able to face challenges, we will be able to master them. : Sir, my final point is on large families. Raising a family is one of my life's greatest joys, but for many parents, it also comes with many financial and logistical challenges. As a father of four, I understand first-hand the rewards and realities of managing household expenses, education and childcare. This Budget recognises and strengthens support for all families, whether they have one child, two children, or more. The increases in CDC Vouchers, rebates and subsidies will benefit families and ease daily expenses. At the same time, I welcome the targeted enhancements that provide additional support for larger families. The introduction of higher Child Development Account top-ups and an enhanced Baby Bonus for the third child and beyond acknowledges the increased financial demands of raising more children. Expanding preschool subsidies for the third child onwards will further help parents manage the cost of early childhood education, ensuring that affordability does not become a barrier to providing a strong start in life.[+3 sentences] These policies do not take away from families with one or two children. Instead, they reflect the reality that household expenses grow exponentially with each additional child. By ensuring that no family feels financially overstretched, we create a more supportive environment for all parents to raise and nurture their children with confidence. Nonetheless, I do have just one area to bring up and this is with regard to childcare leave. Could we consider enhancing childcare leave provisions for parents? I acknowledge the positive step taken last year with the increment in Shared Parental Leave. However, childcare leave and parental leave serve different purposes, addressing different needs at different stages of a child's development. Many parents highlight practical difficulties, especially when children take turns falling ill. Enhancing childcare leave specifically would significantly help parents manage these unpredictable and often stressful situations.[+5 sentences] I certainly have had my share. Sir, in conclusion, this Budget gives us the tools. Still, it is up to each of us, as leaders, communities and individuals, to make the most of them and contribute positively towards a compassionate, inclusive and resilient Singapore. When we uplift our people, strengthen our families and prioritise well-being, we are shaping a Singapore that does not just move forward but thrive together. Sir, I support the Budget.
Mr Speaker3 words
[+1 sentence]Ms Hany Soh.
Ms Hany Soh (Marsiling-Yew Tee)2361 words
[+3 sentences]Mr Speaker, my speech today will be responsive to certain areas of Prime Minister Lawrence Wong's Budget speech specifically, although I sincerely register my appreciation for the SG60 Budget for all Singaporeans and the additional support schemes that have been announced to support families, taking into consideration what me and many of us had shared in this House last month in the Motion which I had moved, pertaining to for the continued review and updating of policies to better support families, as well as the marriage and parenthood aspirations of Singaporeans and endorses a whole-of-society approach to build a Singapore made for families. Firstly, on the topic of childcare and preschool accessibility. Building a Singapore made for families goes hand-in-hand with nurturing a caring and inclusive society. On this note, I welcome the announcement for further reduction of monthly full-day childcare fees caps in Government-supported preschools.[+6 sentences] This will go a long way to further ease the financial burden on families, many of whom have been concerned with rising cost of living. However, I anticipate a challenge that may persist, that is, a long waiting time for enrolment and admission at Anchor Operator centres and Partner Operator centres located near homes. In my speech delivered during the Motion which I moved last month, I shared with this House that many of my Woodgrove residents in Champions Court and Champions Green have been facing difficulties in securing a spot in a preschool for their toddlers. This is pressing and distressing for families, especially those moving into new flats, which could be located in an unfamiliar area with no extended family support. I believe that one of the solutions is in increasing the number of Partner Operators. This would increase the supply of preschool spots and options for parents. I therefore urge the Government to consider my earlier suggestion that HDB and the Early Childhood Development Agency collaborate even more closely. They should review and improve the current system to select Anchor and Partner Operators for new estates as early as possible, ensuring these centres are ready to operate by the time residents begin collecting their keys.[+4 sentences] This will make childcare more accessible from day one. Next, I move on to other support measures for families. During fourth session of the focus group discussion organised jointly by the PAP Women's Wing with Friendzone, which I had attended recently, where I joined close to 60 participants, aged 25 to 40 years, to have a heart-to-heart conversation, pertaining to the topic of parenthood. I have gathered that, while some participants may find the cost of pregnancy in Singapore, which is estimated to be in the region of $10,000, covering items from prenatal gynaecologist visits, hospital birth and confinement, nanny supports, and so on, to be a reasonable amount in comparison to the cost of planning for their wedding. However, many of the participants are still of the view that the cost of childbirth and raising a child in Singapore remain high and had deterred them, especially if the couples actually have the desire to have more than one child but worry on their affordability. I therefore welcome the Large Family Scheme which offers additional financial support to married couples who have or aspire to have three or more children.[+7 sentences] Yet, larger financial assistance rendered to just this group is not enough. Based on the other feedback and suggestions which PAP Women's Wing have gathered through our surveys, consultations with partners as well as focus group discussions, to encourage young couples to start and grow their families, I believe we must address a broader range of needs in which I have summarised into five key areas: one, fertility support to help couples start and pursue their parenthood journey; two, supporting first parenthood by equipping them with the necessary know-hows; three, readily available caregiving support networks to ease their load; four, more understanding workplaces with flexible work arrangements; and five, support for mothers to stay confident in the workforce with support systems such as enhanced tax incentives for working mothers. Pertaining to the point on fertility support, PAP Women's Wing Policy Group has received valuable insight from Fertility Support SG (FSS), a non-profit self-help group started by a group of ladies facing infertility and saw the need to create a community where couples facing infertility could get a right information as well as come together to share experiences and gain support through their difficult challenging times. One of the founders of FSS, Ms Lin Shu Min had shared with me that the key areas where our Government can work on with partners to provide more support to are as follows. One, upstream fertility education to help people plan their fertility journeys early. FSS can help to contribute by housing relevant resources and information on their website, making it easier for couples to access the knowledge they need. Two, grants for pre-in-vitro fertilization (IVF) or general fertility testing to help identify issues early, improving the chances of success. Three, public sector grants should be expanded to cover more IVF cycles, as families may want more than one child or face complex cases that require additional rounds of treatment.[+6 sentences] And four, private sector grants should also be considered, allowing grants to apply to treatments in private clinics, giving couples more options. I wish to take this opportunity to share a personal appeal, which my residents, Tina and Brandon, had confided in me just a few days ago at my Meet-the-People Sessions. The couple, both 32 years old, has been trying to conceive for the past four years. From initially being given a clean bill of health at their fertility check-up to eventually being diagnosed with a blocked fallopian tube that resulted in them undergoing five IVF cycles since last year, which have yet to yield any success. Despite emotional toll and financial strain, they remain hopeful to be under National University Hospital's (NUH's) care, whose advice to them is to not give up and to keep trying as each cycle brings the medical fertility team one step closer to finding the right combination of medication and timing to retrieve the best quality eggs and hope for eventual success. However, the cost of medications, procedures and consultations are overwhelming and have pushed them to their limits. Having exhausted the subsidised cycles, they are humbly requesting additional government support for one more fresh IVF cycle and two frozen cycles.[+10 sentences] The couple understands that public resources are limited and they do not expect full coverage. However, they believe that with the additional support that the Government can provide and consider to expend, it will go a long way towards easing the burdens of couples like them and sustain their dreams of becoming parents one day. On the next point of creating a smooth experience for first-time parents, we should consider to provide a new parenthood E-guide or a mommy's milestone booklet. This can be personalised to each family's needs and with relevant information conveyed to parents to be by professionals at each milestone basis. At the risk of belabouring the point, having already asked for this in Parliament on numerous occasions over the years, most recently, actually, in my speech for my motion last month, I do hope that this booklet will help to track the expecting mother's physical and emotional development. It contains helpful information regarding necessary preparation for each stage of their pregnancy. What are the parenting best practices? What are the list of support systems available to all parents, at least for the first year of their journey into parenthood? What are the overview of vaccinations required for these expecting mothers, and what are the recommended estimated time, time and dates to sign up for prenatal classes, providing them with a checklist of items to prepare for the arrival of their baby, sharing tips with them on how to spot signs of labour and how to spot signs of postnatal depression? Mr Speaker, while the increased Baby Bonus Cash Gift and higher Government contributions to the Child Development Account, along with the various support measures that were introduced in this year's Budget, has provided some relief for child raising costs, many aspiring mothers have nonetheless shared a common concern with me. Many of them who are professionals, managers, executives and technicians (PMETS), see the present Working Mother's Child Relief scheme as a reduction of their tax relief entitlement, which used to be 15% of the mother's income for children of Singapore citizenship born or adopted before 1 of January 2024.[+10 sentences] To address this, I propose a small tweak to the policy. One is to retain the higher of the percentage base or fixed quantum relief. This adjustment would ensure lower income working mothers to remain motivated to remain in the workforce and receive adequate tax deductions, while encouraging the higher earning ones to continue to pursue their career aspirations, while not forgetting the need to continue to expand and raise their families. This year, it has been announced that the SG Baby Gift will be given to all Singaporean citizens born in 2025. It is a meaningful gesture to celebrate our nation's milestone. I recall my time as a grassroots volunteer 10 years ago, delivering the SG50 Baby Jubilee gift packs. Those packs included a suitcase with items like a special medallion, a multifunctional shawl, a baby sling, a set of baby clothes, a diaper bag, a scrapbook, a family photo frame and a set of baby books – thoughtful keepsakes and practical tools for new parents. However, babies grow and develop rapidly in their first year, with their needs shifting every three months or so. Since some SG60 babies were born as early as January this year, many will likely be past the three to six months stage by the time they receive the gift. Moreover, many parents may have already bought the essentials like diaper bags before their baby's arrival, so to make this gift truly useful, I hope the items can vary to better suit the diverse needs of parents and their babies at different stages of their first year. Moving on to the SG Culture Pass, which will provide all Singaporeans aged 18 and above with $100 worth of credits for activities like arts and cultural performances, museum exhibitions and heritage experiences.[+13 sentences] I support this initiative as it encourages us to engage with our rich cultural landscape. However, since the goal is to inspire participation in arts and heritage, why not extend this opportunity to younger Singaporeans? I suggest lowering the age eligibility to include children from preschool onwards. This will mirror the approach of active SG credits, which promote family participations in sports and activities. A similar family focus design for the SG Culture Pass could help instil a love for culture from an early age while enhancing family bonding. Lastly, I am grateful for the Government's allocation of $800 in CDC Vouchers to every Singaporean household to help manage expenses. On top of that, the SG60 vouchers available to every Singaporean and usable at all businesses accepting CDC Vouchers, add another layer of support. This initiative showed a commitment to easing the cost of living. However, during my recent house visits and routine walkabouts at our Fuchun Neighbourhood Centre and Triple 8 Plaza in Woodgrove, several residents and merchants have shared their feedback about the current E-voucher format. They suggest switching to an E-wallet format like those used in the Life SG or GrabPay, which are already popular for purchasers and neighbourhood merchants. This change could help make the vouchers more convenient and user friendly for everyone. Mr Speaker, in Mandarin, please. (In Mandarin): In last week's 2025 Budget Statement, Prime Minister Lawrence Wong announced a series of assistance measures to help families and individuals cope with rising cost of living. In addition to the 800 CDC vouchers available to each citizen household, all Singaporeans aged 21 and above this year will receive either $600 or $800 of SG60 Vouchers under the SG60 package. Recently, many Woodgrove residents I met at the neighbourhood centres or during house visits have expressed their support for this year's Budget, appreciating the Government's understanding of people's concerns and active efforts in helping Singaporean with cost of living.[+1 sentence] These measures have also benefited many neighbourhood hawkers and merchants. At the same time, some neighbourhood merchants and residents gave me feedback that the current E-voucher format can be improved. They suggest updating the existing e-wallet mode and adopting a payment mode similar to those commonly used in many stores, such as Life SG and GrabPay.[+12 sentences] This would make payment more efficient and convenient for both merchants and customers. : To conclude, I would like to share a few lines of assurance and encouragement that my husband recently said to me, a working mother who constantly questions if I have done enough for my six-year-old daughter and 15-month-old son amid my other commitments. These words, though from an anonymous author, resonated deeply with the challenges and triumph of parenthood. They remind us of the strength and resilience of mothers who are not only raising their children but also growing alongside them: "To the mum who has been through a lot lately, give yourself more credit. You are raising children at the same time as you are raising yourself. You are breaking cycles and doing it differently, even though you are exhausted. You are trying to figure out who you are while helping little people do the same. You are pouring all your love into your children while learning to love yourself at the same time. you are stronger than you can ever imagine. You are doing your best. Let that be enough." These words capture the heart of what it means to build a Singapore made for families, a place where parents, especially mothers, feel supported, valued and empowered, and at a greater level, serve the team of SG60 Budget for all Singaporeans. Let us continue to work hard and together to welcome SG60 and even better years to follow. Mr Speaker, notwithstanding my request for clarifications and suggestions, I stand in support of the Budget.
Mr Speaker3 words
[+1 sentence]Mr Louis Ng.
Mr Louis Ng Kok Kwang (Nee Soon)2354 words
[+4 sentences]Sir, I have spoken up for civil servants, students, teachers, social workers, nurses and migrant workers in my Budget speeches in this House in the past decade. This year’s Budget is a Budget for all Singaporeans whereas Prime Minister Lawrence Wong said, "No one is left behind". In 2018, I said in this House that then Minister Lawrence Wong which is my favourite Minister – I hope he remembers that I am the first to say that. I am glad he became Prime Minister and like my favourite Minister’s 2025 Budget is for all Singaporeans, my speech today is also for all Singaporeans. I am speaking up for everyone and asking for more time for everyone. I am asking that we review our minimum entitlement of only seven days of paid annual leave. I am asking that we review a policy that we have not reviewed for 57 years.[+24 sentences] That is a long time to not improve a policy. Whether you are a consultant for an MNC, a cashier at a convenience store, a cleaner at a coffee shop, we all have the same 24 hours in a day. We all need time from work to rest for our mental health and for our loved ones. My father was a model employee who worked extremely hard for the company he worked for, for 42 years. He worked hard not just for his company but also for his colleagues and his family. He looked forward to his retirement, when he could spend more time with his family and his grandchildren. My father never got to enjoy the fruits of his labour. He was diagnosed with stage IV prostate cancer when he was close to retirement. Our very first family holiday on a cruise was when my father was already dying. On the day I decided that I would take leave to spend more time with my father when he was in the hospital, he passed away, at the age of 67. He lost consciousness before I made it to the hospital and so I never got a chance to say a proper goodbye. I made a mistake and took too many things for granted. I wish I could turn back time and have more time with Daddy, but I know this is impossible. Ten years on, I still live with regret. Regret truly is an incurable ache. There are many Singaporeans just like my father. They work hard their whole lives looking forward to more relaxing days with their loved ones, but they never make it there. We go through life preparing for another life that we will eventually get to enjoy. We forget that there only is one life, and every day working is every day not being with the people we love most. This Budget, it is the vouchers, grants and financial goodies that will make the headlines. But I hope this Budget, we can give something even more precious: time. The time that annual leave gives us is important for all and even more important for lower-income workers. In this speech, I will talk about how annual leave will help build a Singapore made for families and for our mental health, how annual leave is particularly important for the lower income and how it is not a zero-sum trade-off against business costs, productivity and competitiveness. First, let me talk about how annual leave can help build a Singapore made for families and for mental health. The minimum entitlement of seven days of paid annual leave was introduced in 1968, before I was born, before Prime Minister Lawrence Wong was born too.[+14 sentences] It has been almost 60 years. Since then, our national priorities have shifted. We now focus more sharply than ever on families and on mental health. Last year, Prime Minister Lawrence Wong made clear that mental health and well-being is a key priority. He said, "So let there be no doubt: the Government is making mental health and well-being a key priority in our national agenda." Indeed, it is a key priority and we have been talking about reducing burn out, supporting couples on their fertility journeys, encouraging parent-child bonding, building family-friendly workplaces, encouraging a better work-life balance, supporting working caregivers and increasing family support for the elderly. We can walk the talk on all these things we say are important by increasing the minimum annual leave entitlement. Annual leave is important and is needed for so many reasons. Couples undergoing fertility treatments often tap on their annual leave for their treatments. Parents who use up their six days of paid childcare leave have to use their annual leave when their child falls ill or during school closures. Many also take their annual leave to accompany elderly parents for their medical appointments. And let us not forget that annual leave is needed for rest and to spend time with your loved ones. It is for our well-being, the same well-being that Prime Minister Wong said is a key priority. Singaporeans are stressed, tired and burnt out. The Cigna Healthcare Vitality Study 2023 found that stress levels in Singapore have increased steadily since 2021, with close to nine in 10 people reporting that they felt stressed that year, higher than the global average.[+18 sentences] And just last year, the 2024 Gallup State of the Global Workplace survey ranked Singapore third in Southeast Asia for daily workplace stresses. I could go on with many more studies but I do not think we need any more data to prove how exhausted Singaporeans are. Take care of our parents, be there for our children, make more babies, work hard. But also, take a break. Where can our people find the time? For so many of us struggling to stay on top of a never-ending to-do list, it would sure help to have more annual leave. This brings me to my next point. For lower-income workers, annual leave is not a luxury and may not even be about rest. For them, it is the only time they have to spend with their loved ones. In Nee Soon East, we have our Helping Hands programme to uplift lower-income families. A strong component of the programme is ensuring that they have family time and I have seen first-hand how parents struggle to find time. When I try to bring children from lower-income families out for outings with their parents, their parents simply cannot take leave. They do not have enough annual leave. One mother, who is a cashier, had only seven days of annual leave and has to work weekends every week with only one day-off a week, on a weekday. Another father, who is a cleaner, also had seven days of annual leave and just does not have time to spend with his children. Both of them are single parents and their children need the precious time with their parents. The problem is not just anecdotal. The data tells us that lower-income workers tend to have fewer days of paid annual leave. In 2023, the average number of paid annual leave for full-time employees earning below $2,000 was 12 days, compared to 17 days for those earning between $2,000 and $4,999 and 21 days for those earning $5,000 and above. 12 days seems low, but even that would be a blessing for 8% of full-time resident employees who receive the very minimum of seven days.[+32 sentences] Eight percent is 18,800 employees. None of us sitting here would want to be part of that number. Perhaps we are thinking, maybe this 8% of workers get to work from home or benefit from some other flexible work arrangements (FWAs). After all, with regard to annual leave, the Government has stressed that we are "looking at this from a more holistic way, by ensuring that there are avenues for other forms of work arrangements, including flexible work arrangements". Unfortunately, this is not the reality on the ground. Workers with the least amount of leave are also the ones least likely to benefit from FWAs. These workers are typically in frontline or labour-intensive jobs, such as cleaners, cashiers, security guards and service staff. FWAs are not a realistic alternative to having more annual leave for these workers. Our policies are supposed to ensure sufficient rest. Seven days. A week of rest from a year of backbreaking work. Is that a humane way to treat people? Our law seems to think so. It is our lower-income workers who are suffering the most from our annual leave policy. I hope, we do not have to wait another 57 years to review this policy. My final point is that we do not need to lose productivity and competitiveness when we increase annual leave. Let me remind the House again that the minimum annual leave entitlement has not changed for almost 60 years. Our economic conditions and workforce have changed drastically in that period. It is high time for a review. Senior Minister of State Koh Poh Koon replied to me in 2021 that there were no plans to review the annual leave entitlement. After a very good three years of break and no nagging Senior Minister of State Koh, I asked again in 2024 and Senior Minister of State Koh replied to me again that there were still no plans to review the minimum annual leave entitlements. Business cost was a concern stated by Senior Minister of State Koh and FWAs were again offered as an alternative to increasing annual leave. I agree with Senior Minister of State Koh Poh Koon that work-life balance and productivity can be addressed from multiple angles. I am glad we have made progress on other areas, such as FWAs, which I have fought hard for too. But for those who cannot access FWAs, increasing annual leave entitlement is one angle that we should not rule out. By keeping minimum annual leave entitlement at seven days for 57 years because we fear business costs and maybe losing productivity, we risk reinforcing the impression that well-being and productivity are trade-offs. This does not have to be the case. We do not lose out when we prioritise people. Instead, I hope we can send the clear message that only by prioritising people, can we grow sustainably and healthily as a nation. We are not less productive when we get more rest. Instead, I sincerely believe that a more well-rested workforce will be a more productive workforce. We are also not any less competitive than our neighbours by increasing the minimum annual leave entitlement. More than 160 countries already provide a higher minimum annual leave entitlement.[+8 sentences] I am tempted to read out all 160 countries but I know Speaker will kill me, so let us just focus on the Asia Pacific region to give you a sense on how far behind we are. These countries all have a higher minimum annual leave entitlement: Afghanistan, Armenia, Australia, Azerbaijan, Bahrain, Bangladesh, Bhutan, Cambodia, East Timor, Fiji, Georgia, India, Indonesia, Japan, Kazakhstan, Kiribati, Kuwait, Kyrgyzstan, Laos, Malaysia, Maldives, Marshall Islands, Mongolia, Myanmar, Nepal, New Zealand, Oman, Pakistan, Papua New Guinea, Qatar, Samoa, Saudi Arabia, Solomon Islands, South Korea, Sri Lanka, Syria, Tonga, United Arab Emirates, Uzbekistan, Vanuatu, Vietnam, Yemen. That was nice. All have a higher annual leave entitlement as compared to Singapore. Many of these countries also have a higher number of paid public holidays. We pride ourselves on having a highly-skilled and professional workforce. Our competitive advantage is our expertise and skills. Surely we are not competitive only because our workers are willing to slog for more days and for longer hours than other countries. I know we are also concerned about business costs.[+1 sentence] I am too and we should be. But when we consider that 90% of our workforce already have more than seven days of annual leave, increasing this minimum entitlement will not significantly cost businesses much more. But for the individual worker, it is hugely significant as additional time for rest and for spending time with their loved ones. We took a supported, phased and gradual approach when we doubled and mandated paternity leave entitlements.[+7 sentences] We believed it was the right thing to do for parents and we worked with businesses to ensure a smooth rollout. For annual leave, we can do the same and work closely with businesses every step of the way too. We should consult them, understand their concerns and challenges and provide the support needed to successfully implement the increase. The business cost truly incurred is outweighed by the very clear message that well-being, mental health, family and rest are equally important for all workers and not just some workers. In conclusion, Sir, our people will always want to do their best. They can only do their best when they are well-rested and have enough time for their loved ones. Importantly, the ability to rest and take care of our loved ones should not be a luxury. Our lower-income workers deserve more days of annual leave. 2025 is MOM's 70th anniversary.[+3 sentences] It bears remembering that in 1955, MOM started as the Ministry of Labour and Welfare. Labour and welfare must go hand-in-hand. Our workers have worked incredibly hard. In this milestone year for MOM, I hope we can give equal weight to the goal of safeguarding workers' welfare by increasing our minimum annual leave entitlement.[+5 sentences] With my father, I lost time which I will never be able to get back and recover. I do not want others to have the same regrets that I have. As the iconic Dolly Parton said, "Never get so busy making a living that you forget to make a life." Many of us live as though we are rehearsing for a future life where we get to spend quality time with our loved ones. There is no real life other than the one we are living now. Along with the handouts that we will give out to help Singaporeans with the cost of living, I sincerely hope that we will finally increase our minimum annual leave entitlement after 57 years, to help Singaporeans have the time for living.[+1 sentence] Sir, I support the Budget.
Mr Speaker20 words
[+2 sentences]On that note, I think we should all go back and rest. Minister, would you like to adjourn the debate?
[+1 sentence]Deputy Prime Minister Heng Swee Keat.
The Deputy Prime Minister (Mr Heng Swee Keat)3034 words
[+29 sentences]Mr Speaker, Sir, I rise in support of the Budget. Budget 2025 is a Budget for all Singaporeans. It provides immediate support for families and businesses amidst cost pressures, while advancing our growth frontier for the future. This focus on tackling immediate challenges, while positioning Singapore for the longer term, has been a focus of this Government and has served Singapore well. This year, we celebrate SG60. We have much to celebrate. From a fledgling nation with limited resources, we have built a thriving economy, a cohesive society and a liveable city for our people. Our people are living longer and healthier lives in affordable and vibrant estates. Our workers enjoy good jobs and rising wages in a modern economy. Our students learn and excel, and adults continue learning all their life. As we enjoy the SG60 package in the Budget, let us express our gratitude for the hard work and sacrifices of earlier generations of Singaporeans, and for their support for political leaders to forge a path forward, to uplift all. While we have done well over the last 60 years, changes will accelerate in the years ahead. The Prime Minister delivered the Budget Statement in a world that is moving towards a multipolar economic order. Domestic politics in many countries are more polarised and fragmented, making rational policymaking harder. Global political and security dynamics, and trade and investment flows, are shifting rapidly. Climate and demographic change are the warp and weft, weaving inexorable impact on the future of humankind. Advances in science and technology are transforming our economies and societies. Imagine, the smart phones in our pockets today have more compute power than the Apollo 11 module that took the first man to the moon! Game-changing technologies like artificial intelligence (AI), quantum computing, 5G/6G, satellite communications, robotics, biotechnology, electric vehicles (EVs), autonomous vehicles and nuclear fusion are advancing rapidly. All these will change how we work and live. As Chairman, I have been working with my teams at the National Research Foundation and the Future Economy Advisory Panel to stay on the pulse of these seismic movements. How can we ride these changes to create a better future for Singaporeans? We must stay creative and find opportunities in adversity and in times of major changes to emerge stronger, just as we did during the Asian Financial Crisis, the Global Financial Crisis and more recently, through COVID-19. We must also invest in creating our future. So, let me suggest three areas. First, we must press on with our economic transformation. At the last Budget debate, I outlined our latest phase of economic transformation, starting with the formation of the Future Economy Council in 2017. Last year, we launched a report to take stock of our efforts. There are copies of this report in the Parliament library. Between 2016 and 2023, Singapore's labour productivity grew by 3.1% per annum. And this puts us among the top three of a select group of small, advanced economies with similar population size and gross domestic product (GDP).[+4 sentences] Our workers and businesses have all benefited. I thank all our leaders in our business sectors, unions, trade associations and chambers, and academia, who have lent their support and expertise. But change is inherently difficult, particularly when faced with near-term head winds. Fewer companies, facing geopolitical uncertainties and higher costs, are launching transformation projects. But we must press on to create new value-add and stay competitive. So, even as businesses make full use of the corporate income tax rebate and Progressive Wage Credit at this Budget to manage immediate cost pressures, I urge them to also make the best use of the measures, such as the Enterprise Compute Initiative and the redesigned SkillsFuture Enterprise Credit, to transform.[+8 sentences] Let us build on the partnerships and structures we have established to support one another, whether through the tripartite platforms like the National Trades Union Congress' (NTUC's) Company Training Committees (CTCs), or private-public partnership platforms like the Alliance for Action (AfA) on Business Competitiveness led by the Ministry of Trade and Industry (MTI) and the Singapore Business Federation (SBF), we will go further in our transformation journey by working together. I have spoken on pressing on with transformation. The second area is to continue to invest and double down on our investments in research, innovation and enterprise (RIE). Science, technology and innovation are advancing at an accelerated pace. These advances will reshape and disrupt industries, changing the competitive dynamics and transforming our lives and our societies. The recent buzz over AI, new generation of chips and 5G/6G communication is just the beginning. Given the critical value of technology and innovation, strategic and economic strengths of nations and of companies will depend on who can make the breakthroughs and retain their lead. The stakes have never been higher, and that is why Great Power rivalry is intensifying. But around the world, enough players believe in collaboration to tackle common challenges shared by humanity. So, we must continue to position Singapore as a trusted and neutral Global-Asia node of technology, innovation and enterprise, where like-minded partners come together to collaborate.[+2 sentences] Our investments in RIE will not only support our economic transformation but also benefit our people, directly and indirectly. For example, AI and robotics will automate routine tasks – augmenting our declining workforce and improving the quality of jobs; the science of learning, which explores how we learn, and the use of AI learning tools, can allow us to personalise learning for each student and worker; our National Precision Medicine Programme seeks to personalise treatments based on our genetic make-up; geriatric science, such as that being studied at the Queenstown Health District, seeks to keep our ageing population healthy and active for longer; and low carbon fuels and smart cities allow us to make best use of our limited land size, while reducing our carbon emissions. Over the years, we have invested around 1% of GDP annually to support RIE activities, with $28 billion committed for the current RIE2025 plan.[+5 sentences] Unlike research and development (R&D) in a private company, the benefits from these public research expenditures accrue to the whole economy and society. Unfortunately, we are seeing a worrying trend where some governments are making cuts in these areas as they do not fully understand their value, risking great damage to themselves in the long run. Members, including Ms Jessica Tan and Mr Pritam Singh, have asked what progress looks like? Let me give a few examples. Our RIE spending has supported our research talent and raised the quality of research in Singapore. Singapore's Field-Weighted Citation Impact, a measure of research impact, grew from 1.29 in 2010, to 1.52 in 2022, which is 52% above the global average.[+6 sentences] Our universities, research institutes and academic medical centres are well-regarded globally. The National University of Singapore (NUS) and the Nanyang Technological University (NTU) are ranked among the top five universities in Asia. This is not a small achievement, considering that we have such a small population and there are so many universities in Asia alone. Multinational corporations (MNCs), small and medium enterprises (SMEs) and startups alike partner our research ecosystem to develop new products and services through platforms like company R&D centres, over 20 corporate labs and Centres of Innovation. Indeed, as Members have raised, innovation is key! Our agencies organise renowned innovation platforms, such as the Singapore Week of Innovation and Technology and the Singapore Fintech Festivals, the largest in the world. The percentage of firms with R&D activities grew, from 14.8% of our GDP in 2012, to 23.6% in 2022.[+22 sentences] Our RIE investments support entrepreneurship and incubation programmes in our universities, which generate a pipeline of startups. In fact, the Global Start-up Ecosystem Index Report 2024 ranks Singapore first in Asia and seventh globally. Sir, I put forth that over the years, our RIE investments have supported economic growth, created good jobs and improved lives for Singaporeans. Mr Neil Parekh also asked what else will we do. We will finalise our investments from 2026 to 2030 later this year. But let me share two major new initiatives that we are working on for RIE2030. The first initiative is Applied AI. I think Mr Henry Kwek made a good speech yesterday on the use of AI. So, our first initiative on Applied AI includes applying AI to major use cases in priority sectors, such as healthcare, education, finance, advanced manufacturing, connectivity, logistics and transport. We have started on this. In October last year, we launched a $120 million AI for Science initiative, to support researchers in leveraging AI to accelerate discoveries in fields, such as advanced materials and biomedical sciences. Applied AI sits at the intersection of AI and domain knowledge. Building on the strong domain expertise of our practitioners and researchers in healthcare, education, finance, engineering and many others, we will invest more in developing "bilingual" scientific talent – researchers who can bridge between AI technologies and domain expertise. The second new initiative is the development of new large-scale, cross-cutting R&D programmes called Flagships and Grand Challenges, to achieve greater impact. "RIE Flagships" will push for value creation in key economic sectors and "RIE Grand Challenges" will address national strategic priorities. These Flagships and Grand Challenges will pull together relevant research and translational capabilities across our universities, the Agency for Science, Technology and Research (A*STAR) and other research institutes, public agencies and private sector players, to form a suite of purposefully coordinated and synergistic programmes. The linkages between research, translation and commercialisation will be tightened, to advance key economic areas, produce new products and companies and address real-world needs and problems. I am pleased that work has started to scope and design these initiatives. The first Grand Challenge proposes to address the opportunities and challenges of healthy and successful longevity and the first flagship will be focused on advancing our semi-conductor and microelectronics R&D. We will announce more details later. Even as we do these, we must remember that while Singapore's research investments are significant, it is a small fraction of global R&D spending. So, we must work with like-minded partners from the region and around the world to achieve synergy. Just as an illustration, while our investments are $28 billion over five years, the United States (US) alone in one year, was US$923 billion, and China was US$812 billion.[+3 sentences] And even as a percentage of their GDP, they are far higher. So, I think we must have a sense that even as we want to talk about value for money, that what we are spending is a tiny fraction, and I would say that even private sector players like Alphabet spent US$45 billion, Meta spent US$38.5 billion and Apple $30 billion in 2023, all in US dollars. So, we have to work with like-minded partners from the region and around the world to achieve synergy. Beyond achieving impact for Singapore, we must contribute to addressing global challenges, as these are faced by everyone. Hence, as part of our positioning as a Global-Asia node, we will step up our international partnerships in the coming years and, while we launch new initiatives, we will continue to invest in basic research to develop talent in our universities and in upgrading our research infrastructure.[+2 sentences] In addition to what the Prime Minister announced in the Budget, we will also invest in new data and compute capabilities. I have spoken on economic transformation and investing in research. To capture the value of our research, the third area is to strengthen our innovation and enterprise ecosystem. We are off to a good start, with Singapore ranked number one in three different reports: the IMD's World Competitiveness Ranking, the IMD's World Digital Competitiveness Ranking and the World Intellectual Property Organisation's Global Innovation Index.[+5 sentences] To remain competitive, we must continue to maintain our outward orientation. Companies invest in Singapore not just for our market, but as a gateway to the region. Singapore has served this role well in the last 60 years. Today, Asia accounts for over half of the world's population and about 40% of global GDP. The projected medium-term growth rates of 4% to 5% is double that of the G7 developed nations. As the future economy will be driven by technology and innovation, to stay relevant, Singapore must position ourselves as a 21st century Living Laboratory, or Living Lab, where companies and innovators test new solutions and then scale them up to the region and the world.[+16 sentences] We can serve as a springboard for companies to venture to a new future, to a wider world market. In this regard, our regulatory agencies play an important role. They need to fulfil their mandates to regulate safely and effectively, while staying on top of changes and facilitating new ideas and innovation. For example, the Monetary Authority of Singapore (MAS) has embraced its dual mandate to supervise and develop the financial sector and is pushing the frontier in new areas, such as digital and sustainable finance. The Singapore Food Agency (SFA) is the first in the world to approve cultivated meat for commercial sale. The Land Transport Authority (LTA) is facilitating trials of autonomous vehicles to transport goods and keep our public roads clean. Sir, I trust that our regulatory agencies will continue to build up the capabilities and the mindset to facilitate innovation while managing risks. Talent is another key pillar of our innovation strategy. The Government is committed to helping every Singaporean achieve his or her potential. When I was the Education Minister, we launched an Applied Learning Programme to interest the young in science and technology. Earlier on, I supported Mr Philip Yeo, then Chairman of A*STAR, to send promising young Singaporeans to the top universities in the world to do their PhD under the A*STAR scholarship. To date, almost 1,400 have completed their studies and returned, where they contribute to cutting-edge work in our research institutes and uplift our companies' R&D capabilities. In the coming years, I encourage more Singaporeans to develop "bilingual" fluency in the languages of business and in science and technology. Make full use of these Budget enhancements to build new skills. At the same time, we must also welcome the best from around the world to be here. Just as steel sharpens steel, strong minds sharpen one another. Indeed, the Economic Development Board (EDB) plans to launch a Global Founder Programme to attract more experienced global founders to grow impactful new ventures from Singapore.[+19 sentences] Growing up in a diverse multicultural society, Singaporeans are well-placed to serve as bridges to connect ideas and talents across the world. Together, we can learn from the best, work with the best and build a better home for future generations. Mr Speaker, Sir, let me now say a few words in Mandarin. (In Mandarin): This year marks Singapore's 60th year of Independence. It is a significant milestone for our nation. Over 60 years, our people and the Government have worked together to overcome numerous challenges and created a remarkable economic miracle and a harmonious multicultural society. However, amidst global uncertainties, intensifying geopolitical tension and rising trade protectionism, how can we maintain Singapore's economic momentum and create a better future for our people? Science, technology and innovation are developing at accelerating pace, profoundly impacting countries' strategic strength and economic development. As countries strive to achieve breakthroughs and maintain leadership in these areas, a competitive dynamic has emerged. At the same time, many researchers worldwide are still willing to cooperate with researchers from other countries to address common challenges. Therefore, we will continue to develop Singapore's research, innovation and enterprise ecosystem and strengthen international connections and cooperation to reinforce Singapore's position as a neutral, trusted Global-Asia node. This enables Singapore to work closely with international partners to address common scientific challenges, such as ageing population and pandemic response. : Before I conclude, allow me a brief reflection on SG60. A decade ago, I was chairing the SG50 Steering Committee, where we engaged with Singaporeans to express their love and hopes for Singapore. I was inspired and humbled by the hardy spirit of our Pioneers and the dynamism of our youths. I was then working on my first Budget and thinking hard about how to support Singaporeans to ride the waves of changes to come. Even 10 years ago, at SG50, we knew big changes would come. We invested our resources, hopes and energies in building a resilient nation. We never imagined we could be hit by a global pandemic that defined a generation. Yet, we pulled together and pulled through. Our Singapore that celebrates SG60 this year is a tougher, stronger and also kinder and more compassionate Singapore than the one that celebrated SG50.[+1 sentence] As I look forward to SG70 and beyond, my wish is for us to continue to invest in all Singaporeans, young and old. Let us invest in enabling our seniors who have done so much for the progress of Singapore to enjoy healthy, fulfilled and productive longevity. Let us invest in our young to develop their full potential, to develop uniquely human skills and competencies, to thrive in a world of AI, robotics and other technological advances.[+2 sentences] In particular, let us continue to invest our time and energy to continue deepening our multiracial, multi-religious and multicultural society. If we can forge our path forward, our youths today will serve as valuable bridge-builders, connecting ideas and talent across the world to solve pressing challenges facing humanity. In a world heading towards greater contest and fragmentation, amid rapid advances in science, technology and innovation, Singaporeans can play a valuable part as bridge-builders and connectors, and Singapore can be a trusted and neutral Global-Asia node of technology, innovation and enterprise.[+2 sentences] Together, we can learn from the best, work with the best and build a better home for future generations. I trust colleagues in the House, and all Singaporeans, will support this call as we celebrate SG60 and grow towards the future.
Mr Speaker3 words
[+1 sentence]Miss Cheryl Chan.
Miss Cheryl Chan Wei Ling (East Coast)1887 words
[+9 sentences]Mr Speaker, our nation celebrates 60 years of Independence this year. Indeed, it is a proud milestone for a young nation and one that I believe many Singaporeans, including myself, celebrates with a smiling heart. As a country that began with virtually no resources when it first became independent, we have certainly built our assets over the decades with resolve and dedication. But this was never an easy path. The 2025 Budget certainly sets the tone on what it means to look out for all Singaporeans and how we can create our country together in the years ahead. One aspect of the Budget Statement that stood out for me is the human-centric approach and talent development. Singapore has long recognised the importance of investing in our young, ensuring they receive the best education and opportunities to contribute as our country grows. However, as we navigate the complexities of a globalised economy, it is imperative that we equip our young Singaporeans with the skills and experiences necessary to thrive in an interconnected world amidst increasing tensions across countries. Today, I will focus my speech on the need to shift our approach towards talent development in Singapore’s current and future workforce. First, I believe that forging more strategic partnerships with global companies and establishing a new talent development initiative is necessary.[+5 sentences] By collaborating with MNCs, we can create global rotation programmes where Singaporeans are hired and placed in various roles across the globe. This initiative would provide our young talents with invaluable exposure to diverse cultures, markets, business practices and honing their leadership skills in order to broaden their perspectives. Many young Singaporeans aspire to work in MNCs given the global exposure, the career development opportunities, the competitive compensation package, the vibrant work culture that is in place, and the networking potentials that these companies offer. By working with MNCs to hire and train Singaporeans, we can help our young Singaporeans meet their aspirations and gain the international experience that is much needed in order to excel in future senior leadership roles. However, we do acknowledge that MNCs will not automatically hire more Singaporeans. As a result, I believe the Government will need to subsidise the cost of putting Singaporeans in the global job rotation programmes.[+19 sentences] This should be viewed as an investment in our local talent pool, which I believe can pay off in the long run. Second, a differentiated look at the way we embrace talents and allocate resources to support their development. Let me elaborate this on three aspects. The first, global talents with a much more local emphasis. This is an issue that I believe is not unique to Singapore. Many cities across the world grapple with this and today find that increasing availability of competitive talents providing services from offshore. Over time, this will be a formidable threat to our local workforce without having the overseas talent to even be present in Singapore. We are also cognisant of a shrinking workforce locally given our low total fertility rate (TFR) and this implies the need to augment workers in different sectors through more options. I totally agree with what Deputy Prime Minister Heng Swee Keat has just said. We need to have all these global bright minds with us, but we also need to find a way in order to create opportunities for Singapore to become the bridges and connectors that he referred to. The question is how best do we do this such that Singaporeans continue to have equal opportunities to get good employment for a much longer period and also the opportunities to participate in the global arena. Taking a reference from this company called Atos, an international information technology services company who successfully implemented a global talent policy that aligns with their global and local talent management strategies. It has certainly proved to be effective for the investments they have made. Being in the digital space, Atos certainly faces the challenge of dynamic market trends and the constraint that needs to retain their own talents. Yet, they are focused on the skills development of their employees, ensuring development pathway and positive employee experience which translates to positive customer experiences that help sustain their business. We need an equivalent framework that encourages MNCs and large local corporates to provide similar approach in incentivising the development process and retention of talents. Next, shifting the implementation approach for MNCs and our local SMEs. We are committed to support both the MNCs and our local SMEs. By differentiating Employment Pass quotas and providing targeted incentives, we aim to create such a balanced ecosystem where both sectors can thrive. The Tech@SG Programme, a joint initiative by EDB and Enterprise Singapore, supports this balanced approach, helping both the fast-growing local companies and SMEs to access critical talent.[+3 sentences] Businesses thrive when there are economies of scales; and MNCs bring to Singapore important business flows, not only in terms of the scale of business but they also serve a broader region beyond Singapore, with a natural opportunity that allow SMEs to provide goods and services, which in turn help Singapore's economy to be more resilient. To make this implementation possible, I would like to suggest a few measures to be considered. One, differentiated quotas. Implement separate Employment Pass quotas for MNCs and SMEs, with a more generous quota towards our SMEs.[+2 sentences] This way, the SMEs can hire more talented foreigners without increasing the overall number of foreign workers in Singapore. Two, salary thresholds. Increase the minimum qualifying salary for MNCs to hire foreign professionals in junior roles.[+2 sentences] This merits the opportunity to develop a sizeable local workforce with time that will enhance the capabilities which can value-add to the company and support rotational roles when the opportunity arises. Three, skills transfer programmes. Encourage MNCs to implement skills transfer programmes where they are required to train local employees to take on senior roles gradually.[+8 sentences] Likewise, we need concrete steps need to be in place to ensure that Government-linked companies provide ample internships for the Institute of Technical Education (ITE) and polytechnic students, while we establish the mechanisms for accountability to ensure the initiatives can be successful over time. Four, talent flow to SMEs. Not everyone who undergoes a global job rotation programme will continue to work in MNCs. We should create a pathway for some of these trained talents to be able to flow into our SMEs. By making them available for the SMEs, they will bring their valuable experiences and skills to strengthen our local businesses. Such talent flow would benefit both the individuals involved and yield significant advantages for Singapore as a whole. By cultivating a pool of experienced global leaders, we also enhance our ability to retain the MNCs within our borders. These leaders, equipped with a deep understanding of international business dynamics, will be better positioned to drive innovation, foster economic growth and ensure that Singapore remains a hub for global commerce for a long time to come. Next, about harnessing and broadening our talent pool. I would say, each year, over 9,000 youths sit for the “N” level examinations.[+1 sentence] Many of these students eventually go on to enrol in our ITEs. Have we considered to allow students who are not academically inclined to enrol in ITE much earlier, say, at the age of 13?[+26 sentences] This would allow them to begin skills development over a longer horizon and discover their niche in the various trade crafts that are suitable to their own abilities which can be useful, as they explore their future careers. Further, we can consider expanding ITE to have a stronger focus on technical skills development and if they can excel in some specific areas, for example, like cross-skills capability development in our youths, this will prove to be very valuable for the future unpredictable work environment. These initiatives, as much as I have said, will need to be implemented in phases, allowing us to evaluate and refine our approach that is based on feedback and outcomes. This will ensure that we can address any challenges and make the necessary adjustments in order to make sure they will become successful in the implementation. And, Sir, lastly, a healthy and successful career pathway must be balanced with one’s well-being and one that caters for their mental health and work-life balance. These are integral to our vision of a happy and thriving society. While economic success cannot guarantee a person’s well-being, expanding the options and pathways available to all Singaporeans for their career choices will help more people achieve their dreams, thus creating a more inclusive and cohesive society for future generations. Providing diverse opportunities for our citizens not only empower them to excel in their potential, it also fosters a greater sense of fulfillment and purpose. When individuals feel supported and valued, it boosts their overall happiness and contributes to a stronger and more resilient community at work. While we do not have infinite resources to double down and resolving all challenges, we should have faith that investing in Singaporeans will pay off in the future. We must believe that every Singaporean is capable and responsible and should be given every opportunity that the country can afford. To enable the future where equity and inclusivity are strong values that anchor this country, we need to commit to ensure that opportunities are accessible to all Singaporeans, regardless of their background. This includes implementing fair and transparent selection processes and providing additional support to those who need it. This is a long-term commitment and a topic we should focus on investing when we have Budget surplus. Sir, I see Singapore with a future of opportunities and hope. We have many assets that our forefathers and the current generation have built together as a united country. These are rare assets in a fractious world today. I consider this a blessing to have and one we should treasure to preserve and enhance for future generations. Our people is one key asset. Competition is inevitable, both locally and globally. It exists before and will only be more rampant in the years ahead. Thus, I advocate that we begin to emphasise on our goal of providing more pathways for success. By diversifying our talent development strategies, by offering broad opportunities for exploration from young, we aim to reduce the pressure and allow individuals to find and pursue their unique strengths and interests. By investing in our young talents and providing them with opportunities for global exposure, we not only secure their future but also fortify our nation's position as a leader in the international arena. Through our investment for individuals to understand the necessary skills to develop building upon their strengths, our workforce can truly live up to a continuous learning and adaptation mindset in the ever-changing global landscape. This will, over time, result in a more innovative, balanced and sound economy, enabled by the creation of the economic growth destiny that our citizens are a part of. With a healthier and happier workforce, we too look towards a more harmonious and prosperous society. I urge the Government to take a vital step towards broadening our definition of success and how Singaporeans can have more choices in their career pathway, as we join hands to ensure Singapore’s continued success on the global stage.[+1 sentence] With this, I rise in support of the Budget.
Mr Speaker10 words
[+1 sentence]Assoc Prof Jamus Lim, you have a clarification to make?
Assoc Prof Jamus Jerome Lim (Sengkang)224 words
[+3 sentences]Thank you, Speaker, and just a quick clarification for Deputy Prime Minister Heng. Let me start by declaring that I am a researcher and academic myself who, through collaborations with principal investigators in our autonomous universities, could potentially benefit from the National Research Fund. I will also add, at the outset, that I am fully supportive of increases to our national R&D spending, having called for this in Budgets past. And I share Deputy Prime Minister Heng's concern about how, in many administrations around the world, this has been slashed. That said, if I may appeal to the Government, when it comes to projects to be funded by the National Research Fund going forward, if we could expand the fields of inquiry to also non-science, non-tech areas, so long as these have a broad societal applicability.[+3 sentences] I will include here social sciences as well as areas in the humanities and liberal arts, such as design, linguistics, psychology, history and, of course – I am being a bit self interested here – economics as these areas can also indirectly contribute to our more techy or sciencey endeavours. Lest we forget, Steve Jobs, for example, was a liberal arts major who brought Apple from a pure tech company into a global consumer lifestyle juggernaut. Jack Ma, founder of tech giant Alibaba was also an English major.
Mr Heng Swee Keat321 words
[+2 sentences]Sir, first, let me thank Assoc Prof Jamus for his support for R&D spending. I am very happy to hear that. As for his specific inquiry, actually, we have many different pots of research funding for different activities.[+7 sentences] The National Research Fund oversees the part that is largely related to science and technology. But beyond science and technology, where there are parts that are related to how science and technology may be deployed; we also fund some of those research. For instance, in the field of ageing, it is not just the biomedical aspects of ageing, but also the behavioural aspects of ageing. How do we nudge people towards healthier lifestyle, healthier behaviour. So, where it is closely related, we do fund those projects as well. At the same time, there are also many different pots of research funding. When I was at the Ministry of Education (MOE), we have and we still have the Academic Research Fund at different tiers that is administered by MOE. We have our research panels that look at the quality of these proposals as well. We have also recently, a few years back, created the Social Sciences and Humanities Research Group that will look at the research in this area.[+3 sentences] The question is, how do we bring all of this together? I think for individual researchers, do apply for that, look at what may be relevant. My personal appeal to researchers is that I know there are some who love to look at just the basic research of it. We do fund a lot of that, particularly in the sciences. But there is also a lot of scope for us to fund and do research that can be translated into actual practices, into seeing immediate improvements in the lives of people, whether it is in healthcare, and that is why I mentioned one of the big challenges that we are working on is healthy longevity.
Mr Speaker3 words
[+1 sentence]Mr Sharael Taha.
Mr Sharael Taha (Pasir Ris-Punggol)1828 words
[+22 sentences]Thank you, Mr Speaker. Sir, I stand in support of the Budget presented by Prime Minister and Minister for Finance Lawrence Wong. The Budget builds upon past Budgets, providing immediate support for today's challenges, investing in our growth and securing Singapore's long-term future while maintaining fiscal prudence. Mr Speaker, in my speech on the Budget, I would like to focus on three key things. Firstly, let us take a moment to reflect on the fact that this is the first Budget by our new Prime Minister Lawrence Wong and the 4G leadership. The fact that it has gone smoothly with no distractions is no easy feat. Secondly, this smooth transition must not be taken for granted. Political stability has been the cornerstone of Singapore's success, shaping our economic growth, social policies and diplomatic standing. It is our "secret sauce" – the ability to plan, think and most importantly, execute for the long term while still tackling the challenges of today. Thirdly, as we plan for the future while tackling today's challenges, we must stay engaged, listen actively and adapt swiftly. Understanding the powers of our people is key, ensuring that we refine our approaches, improve our policies and respond effectively to evolving needs. Mr Speaker, let us take a moment to acknowledge and appreciate the smooth, stable and well-planned leadership transition – often a rarity in many parts of the world. With deep respect and gratitude, we recognise the seamless handover of leadership from Senior Minister Lee Hsien Loong to Prime Minister Lawrence Wong. The transition reflects the hallmark of Singapore's governance – continuity, foresight and stability. If we look at the world around us, Singapore's political stability and mature leadership transition is an anomaly. Many nations struggle with uncertain transitions, political instability and abrupt policy u-turns, leading to wasted investments, stalled progress and loss of public trust. Take, for example, the US saw political turmoil during the 2020 transition, culminating in the 6 January Capitol riot and repeated policy u-turns across administrations. Some Asian countries experienced drastic shifts in economic and diplomatic policies with each new leader, causing instability. In just three months, one Asian country has seen a president and an acting president impeached. The United Kingdom (UK) continues to face instability with frequent leadership changes, leading to uncertainty in trade, immigration and economic policies, particularly post-Brexit. Even within the Association of Southeast Asian Nations (ASEAN), repeated leadership changes have resulted in policy reversals such as the abolition and reintroduction of the Goods and Services Tax (GST), causing economic uncertainty and deterring long-term investments. In contrast, Mr Speaker, Sir, Singapore has shown that leadership transition can be done right. Our careful, deliberate succession planning ensures continuity in governance, preserving our progress while allowing for a necessary evolution. We express our deepest appreciation to Senior Minister Lee Hsien Loong for his decades of steadfast leadership. We also extend our full support for Prime Minister Lawrence Wong and the 4G leadership team as they take on the responsibility of steering Singapore into the future.[+7 sentences] Mr Speaker, Sir, as we celebrate 60 years of independence, it is timely to reflect on the foundation of Singapore's success – our political stability. This stability has been the bedrock of our economic growth, our social policies and diplomatic standing. It allows us to focus on long-term plans while tackling today's challenges, even amidst geopolitical tensions and economic uncertainty. It is something that we must protect and strengthen to uphold the values that have guided our progress. Hence, Mr Speaker, I am pleased that this Budget reflects this continuity and consistency. It builds on the past Budgets while adapting to new challenges and reinforces our commitment to a resilient and forward-looking Singapore. In an era where countries are turning inwards, onshoring businesses and shifting away from global collaboration, Singapore must stay ahead. The Budget continues our investments in enhancing our global competitiveness, ensuring Singapore remains a top destination for businesses and investors, upskilling our workforce with the skills of tomorrow, investing in innovation and technology, especially in AI, which was explained in great detail by Deputy Prime Minister Heng, and investment in infrastructure to support long-term growth, in particular, the Changi Airport Development Fund and Future Energy Fund. This Budget sets aside an additional $5 billion for the Changi Airport Development Fund, reinforcing the importance of our ports and airports as strategic national assets.[+9 sentences] Developing Singapore into a leading air hub requires more than expanding our airport capacity. As regional airports modernise rapidly, we must scale productivity, enhance global connectivity and strengthen Singapore's position as a premier travel and business hub. Beyond the airport, our broader air hub ecosystem must grow in tandem. Industries such as aerospace maintenance, repair and operations (MRO), logistics and airside services are critical in keeping Singapore competitive. Their growth requires a coordinated strategy, aligning infrastructure expansion, workforce readiness, sustainability strategy and industry development. We must also strengthen collaboration among key ecosystem players such as Singapore Airlines, Changi Airport Group, the Singapore Tourism Board and the hospitality sector to enhance Singapore's value proposition as an air hub. Dubai provides a strong example. Its airline, tourism and airport operator are strategically aligned to position the city as a premier travel destination. Furthermore, as Changi Airport continues to expand, how can we optimise urban planning and resource allocation in our east and north east areas like the Loyang Industrial Estate, Changi Business Park, Pasir Ris, Punggol, in particular, Punggol Digital District and Seletar to reinforce growth and strengthen Singapore's overall aviation sector? What is the Government's long-term roadmap to integrate these elements and ensure Singapore's air hub competitiveness is sustained into the future? This Budget also allocates a $5 billion top-up for the Future Energy Fund, reinforcing our commitment to securing a low-carbon, sustainable and safe energy future.[+15 sentences] This is not just an investment in technology. It is an investment in energy security, economic resilience and environmental responsibility. The key question is, how will this fund be used to deepen our understanding of alternative energy feasibility for Singapore? To make real progress, we need to strengthen research efforts to assess viable alternative energy sources, ensure regulatory readiness, preparing Singapore to govern and implement new energy solutions; build a strong talent pipeline, equipping Singaporeans with the expertise needed for this transition; and engage with international partners to accelerate learning and preparedness, ensuring we lead rather than follow. More importantly, we must move with urgency from technology exploration to pilot programmes and ultimately, to full-scale industrial deployment. How do we ensure that Singapore transitions at pace and does not lag behind? I look forward to hearing more about the whole-of-nation approach to developing Singapore as a leading air hub and the details of the Future Energy Fund during the Committee of Supply (COS) debates. Thirdly, as we plan for the future, we must stay engaged, listen actively and remain adaptable to solve today's problems. It is essential to understand the pulse of our people, refine our approaches and continuously improve our policies, ensuring that we build a stronger, better future together. A good example of this is the cost-of-living support through the U-Save, and service and conservancy charges (S&CC) rebates, Climate Vouchers, MediSave and Edusave top-ups and SG60 Vouchers, which provides much needed relief. Some Pasir Ris residents suggested receiving Community Development Council (CDC) Vouchers in cash for greater flexibility, including overseas spending. However, the CDC Voucher system is well-refined, helping Singaporeans while also boosting local businesses, especially our smaller neighbourhood shops. Our stallholders, such as Mrs Wee and Eric at Pasir Ris Drive 4 and 6 wet markets have shared that they have seen their business increase during voucher disbursements. Keeping spending local ensures that support reaches Singaporeans while strengthening small businesses and hawkers, a vital part of our community and economy. In my 2022 speech on the White Paper on Singapore Women's Development, I shared the story of Mdm Neo, a Pasir Ris resident caring for her bedridden husband. I called for a further increase in the Home Caregiving Grant to better support caregivers. I am glad that since then, the grant has been raised from $200 to $400, and now to $600, providing much needed relief for caregivers like Mdm Neo.[+3 sentences] The Budget reaffirms the Government's commitment to building a Singapore made for families, with stronger support for vulnerable families, seniors and persons with disabilities. Measures such as the enhanced Fresh Start Housing Scheme, higher ComCare rates and initiatives to help seniors age well are welcome steps. However, retirement adequacy remains a concern, particularly for seniors with insufficient Central Provident Fund (CPF) savings. While the Lease Buyback Scheme is an option for senior homeowners, should we lower ComCare eligibility requirements for seniors with no assets, especially those whose children are also struggling financially? On persons with disabilities (PwDs), extending the Enabling Employment Credit to 2028 helps offset hiring cost.[+22 sentences] But are we truly moving the needle on employment opportunities for those with special needs? This ties into workforce transformation efforts. While SkillsFuture grants support workforce upskilling and Senior Employment Credit incentivises hiring older workers, workforce transformation remains slow in hiring seniors and PwDs. How do we move beyond incentives to truly shift workplace culture? Should stronger regulatory measures be even considered? What more can be done to ensure employment inclusivity is not just a policy goal but a reality for all Singaporeans? Mr Speaker, allow me to give my conclusion and end my speech in Malay. : This Budget builds upon past policies, providing immediate support for today's challenges, investing in our nation's growth and ensuring Singapore's sustainable future while maintaining fiscal discipline. However, beyond the grants, schemes and vouchers introduced, there are three important points we need to ponder. First, this is the first Budget under the new leadership of Prime Minister Lawrence Wong and the 4G leadership team. The leadership transition has gone smoothly. This achievement is no mean feat, especially when we look at what is happening in other countries including the US. Second, the importance of political stability for Singapore's progress. Many countries experience turbulent leadership transitions, resulting in uncertainty, political instability and squandered investments. Ultimately, it is the people who bear the consequences. Political stability is a cornerstone of Singapore's success. It shapes our economic growth, social policies and diplomatic standing. The ability to plan, think and most importantly, implement for the long term while addressing current challenges, is the secret to our success and we must protect it for the sake of our children's future. Lastly, we must prepare for the future by taking a flexible approach. In planning for the future, we need to continue to listen, understand the people's wishes and make swift adjustments to policies. The people, leaders and businesses must work together to continuously refine and improve policies to shape a stronger and more resilient Singapore. Only through unity and efficient leadership can we continue to progress as a stable and successful nation. Onward Singapore.
Mr Speaker3 words
[+1 sentence]Mr Don Wee.
Mr Don Wee (Chua Chu Kang)1331 words
[+2 sentences]Mr Speaker, Sir, I rise in support of the measures in this Budget to enhance Singapore’s competitiveness and position us for the future. Singapore must continue to lead in green finance and sustainability. To this end, I urge the Government to liberalise the GST treatment for input tax claims on carbon credit trading-related expenses.[+1 sentence] Businesses that purchase voluntary carbon credits to manage their emissions targets would benefit from enhanced tax deductions. Additionally, I propose that gains derived from qualifying green investments made by Singaporean investors overseas be exempted from corporate tax, similar to the foreign-sourced dividends exemption.[+4 sentences] This would encourage more businesses to participate in sustainable investments globally. The shift towards electric mobility is crucial for our sustainability goals. Can the Government allow businesses to claim input tax on GST incurred for expenses related to EVs? This will support early adoption and accelerate fleet transitions. Furthermore, to ease the financial burden on SMEs, I suggest channeling the additional supply of Certificates of Entitlement (COEs) towards commercial vans, which will help lower operating costs and, ultimately, benefit end users.[+8 sentences] Mr Speaker, Sir, in Mandarin. (In Mandarin): Enterprise Singapore administers numerous grants and schemes to support SMEs in their green transition. However, these are largely based on a reimbursement model, which creates uncertainty in capital recovery. As a result, many SMEs hesitate to invest in expensive equipment. To improve accessibility, I propose that Enterprise Singapore offer upfront financial support, especially for vendors who have cleared the agency's onboarding criteria. Additionally, the Government, leveraging its data on registered businesses, could use AI to prequalify SMEs for relevant assistance schemes and grants, and then inform these companies that qualify and welcome them to submit their applications. To further encourage sustainable investments, Enterprise Singapore could support the leasing of energy-efficient equipment like electric cranes, allowing SMEs to claim these expenses instead of requiring outright purchases, followed by applications. SMEs require targeted funding support to invest in carbon pricing models, value-chain emissions management and decarbonisation projects. I propose further tax deductions or co-funding mechanisms, with a limited implementation window of two to three years to assess effectiveness.[+10 sentences] I also welcome the Government's expansion of the Partnerships for Capability Transformation (PACT) scheme in 2024, which fosters deeper collaboration between MNCs and SMEs. Could the Government provide insights on the utilisation rate of this scheme? We should start with ourselves by encouraging large local buyers, such as GLCs and NTUC FairPrice, to join the scheme and help their SME suppliers with green transformation. Sustainability is an area where SMEs and MNCs can work together. MNCs, as "queen bee buyers", can guide SMEs towards meeting global environmental, social and governance (ESG) standards. Presently, ESG reporting applies only to listed firms, but many countries are mandating sustainability compliance across entire supply chains. SMEs should start identifying and reporting their carbon emissions. How can the Government help these SMEs master the business opportunities in this area? Last year, I highlighted the shortage of heavy vehicle parking near drivers' residences, forcing companies to cover additional transport costs. Could the Government convert vacant premises, such as unused schools or JTC sites, into temporary parking lots or allow these heavy vehicles to park overnight? I understand this requires temporary land use amendments and adjustments to car park charges, but with the right policy intent, I am confident the Government can resolve these challenges creatively. I commend the Government for introducing 20% wage support for workers with disabilities earning below $4,000 per month.[+12 sentences] However, inclusivity hiring requires additional workplace training for supervisors and colleagues. To further incentivise employers, I propose: one, tax rebates for businesses that adopt inclusive hiring practices; two, higher foreign worker quotas for companies hiring persons with disabilities; and three, bonus points for inclusive companies in Government project bids. I also urge MOE to provide more Edusave Awards opportunities to children studying at Special Education Schools. Additionally, families with more than one special needs child face immense financial strain, as one parent often has to stop working to provide care. Can the Government offer enhanced financial assistance to such families? : Enterprise Singapore administers numerous grants and schemes to support SMEs in their green transition. However, these are largely based on a reimbursement model, which creates uncertainty in capital recovery. As a result, many SMEs hesitate to invest in expensive equipment. To improve accessibility, I propose that Enterprise Singapore offer upfront financial support, especially for vendors which have cleared the agency’s onboarding criteria. Additionally, the Government, leveraging on its data on registered businesses, could use AI to pre-qualify the SMEs for relevant assistance schemes and grants. To further encourage sustainable investments, Enterprise Singapore can support the leasing of energy-efficient equipment like electric cranes or electric generators, allowing SMEs to claim these expenses instead of requiring upfront purchases. SMEs require targeted funding support to invest in carbon pricing models, value-chain emissions management and decarbonisation projects. I propose further tax deductions or co-funding mechanisms, with a limited implementation window of two to three years to assess effectiveness. I also welcome the Government’s expansion of the Partnerships for Capability Transformation scheme in 2024, which fosters deeper collaboration between MNCs and SMEs.[+8 sentences] Can the Government provide insights on the utilisation rate of this scheme and any potential areas for improvement? Can we also encourage the local "queen bee buyers", like NTUC Fairprice and the Temasek-linked companies to be part of this scheme and help embark key SME suppliers on this green journey? Sustainability is an area where SMEs and MNCs, as well as the local large corporations, can work together. These “queen bee buyers,” can guide SMEs towards meeting global environmental, social and governance (ESG) standards. Presently, ESG reporting applies only to listed firms, but many countries are mandating sustainability compliance across the entire value chain. Government can help the SMEs to start tracking their emissions now, so as to avoid future trade barriers. Last year, I highlighted the shortage of heavy vehicle parking near the drivers’ residences, forcing companies to cover additional transport costs. Can the Government convert vacant premises, such as unused schools or JTC sites, into temporary parking lots to allow these drivers to park overnight? I understand that this requires temporary land use amendments and adjustments to car park charges, but with the right policy intent, I am confident the Government can resolve these challenges creatively.[+2 sentences] I commend the Government for introducing 20% wage support for workers with disabilities earning below $4,000 per month. However, inclusivity hiring requires additional workplace training for supervisors and their colleagues. To further incentivise employers, I propose: (a) tax rebates for businesses that adopt inclusive hiring practices; (b) higher foreign worker quotas for companies hiring persons with disabilities; and (c) bonus points for inclusive companies in Government project bids.[+7 sentences] I also urge MOE to provide more Edusave Awards opportunities to children studying at special education (SPED) schools. Additionally, families with more than one special needs kid face immense financial strain, as one parent often has to stop working to provide care. Can the Government offer enhanced financial assistance to such families? Singapore has many social support schemes for lower-income families, but eligibility criteria can be complex. Essential workers, who need help the most, often lack time, knowledge, or digital access to navigate these schemes. Similarly, they may struggle to identify suitable upgrading opportunities, especially with rising job and training scams. I urge the Government to develop a systematic framework to proactively reach out and guide these workers. Since the Government has household data on income, education and occupation, SkillsFuture can pre-qualify Singaporeans and directly recommend accredited courses tailored to their needs.[+3 sentences] In conclusion, Mr Speaker, Sir, this Budget positions Singapore for the next lap of growth while ensuring that businesses, workers and families receive the support they need. I strongly support these measures and urge the Government to further refine tax policies, expand SME support, accelerate sustainability efforts and simplify access to social assistance. With this, I affirm my support for the Budget.
Mr Speaker4 words
[+1 sentence]Dr Lim Wee Kiak.
Dr Lim Wee Kiak (Sembawang)1666 words
[+2 sentences]Mr Speaker, Sir, I rise in support of the Budget. On behalf of residents of Sembawang group representation constituency (GRC), I thank the Government for the generous support provided to all Singaporeans and for the forward-looking Budget, which further invests in our economy, our infrastructure and most importantly, our people. The Budget Statement reports a surplus of $6.4 billion for this financial year (FY), which the Prime Minister attributes to better-than-expected corporate tax collection. We also acknowledge the Government's commendable efforts in confiscating approximately $3 billion from a money laundering syndicate last year. Furthermore, a significant sum of $6 billion was seized between January 2019 and June 2024, linked to criminal and money laundering activities.[+1 sentence] It demonstrates a robust approach to tackling financial crime. While the return of $416 million to the victims and the forfeiture of $1 billion to the state are positive steps, it is understood that a substantial portion remains tied up in ongoing investigations and court proceedings.[+49 sentences] In this context, I would like to ask the Prime Minister: did the confiscated funds contribute to the reported surplus? This question is pertinent given the devastating impact of scams on many Singaporeans, some of whom have tragically lost their entire life savings. Therefore, would the Government consider utilising a portion of this confiscated money to provide much-needed assistance and support to Singaporeans who have suffered such devastating losses. Such a measure would not only provide crucial financial relief but also demonstrate the Government's empathy and commitment to supporting citizens affected by financial crime. Mr Speaker, I would now like to turn to the main body of my speech today, focusing on three key issues vital to Singapore's future: energy resilience, people resilience and environmental resilience. First, let us address energy resilience. Together with many fellow Members of Parliament (MPs) in this House, I have expressed concerns about our heavy reliance on natural gas and the need to explore diversified energy options. In fact, I spoke about the potential of nuclear energy for Singapore back in 2009, during my first term as an MP, before the unfortunate Fukushima incident. Therefore, I am particularly pleased to hear the Prime Minister addressing the possibility of deploying small modular nuclear reactors (SMRs) during his speech. These reactors are touted as being significantly safer and present lower risks compared to conventional nuclear reactors, like those in Fukushima. However, understandable concerns remain among Singaporeans, primarily regarding safety and the potential locations of these reactors. I therefore pose these questions: will these SMRs be situated on one of our offshore islands, as far as possible from our population centres? Or might they be located deep underground, within our granite bedrock, offering potential for easier containment in the event of any incident? Furthermore, the high capital cost and long gestation period associated with nuclear reactors are well-known. What is the estimated cost for these SMRs and how does the Government propose to fund this significant undertaking? Next, understandably, with the talk of general elections approaching, the media has been very busy trying to speculate where will be the hot spots. Let me help the media – there is only one true hot spot in Singapore, that is in Sembawang. It is our Sembawang hot spring! I am pleased that my cut at the Ministry of National Development (MND) Committee of Supply debate in 2016, urging the Government to consider building a hot spring park on Ministry of Defence (MINDEF)-owned land, ultimately led to the creation of Sembawang Hot Spring Park and, now, a space for all to enjoy. However, hot springs are a natural phenomena, subjected to change, shifts and new formations due to ground movement. Therefore, I hope the ongoing construction of the North-South Corridor expressway adjacent to the Sembawang Hot Spring will not adversely affect this valuable resource of ours. Furthermore, a few years ago, a dormitory operator in Sembawang reported the discovery of another hot spring on their premises. I understand the leases of these dormitories are not being renewed, as the land is slated for redevelopment. I urge the Government to prioritise the preservation and protection of any new hot springs that may be discovered in the area. The potential of geothermal energy generation using underground heat in Sembawang has also been discussed. This presents a promising source of renewable energy and a valuable opportunity to diversify our energy sources. Can the Minister provide an update on this project? Specifically, I would like to know the exact location of the geothermal exploration and what is the potential impact it may have on our environment, more importantly, on the existing Sembawang Hot Spring. Another important element in our pursuit of energy resilience is solar. Despite our limited land size, Singapore has made commendable progress in incorporating solar power into our energy mix. The SolarNova programme, launched in 2014, has successfully deployed solar panels across Government buildings, public housing and key infrastructures, proving that the solar panel deployment is both cost-effective and scalable. However, we can and should do more. Many buildings and houses still possess untapped roof spaces suitable for solar panel installations. I urge the Government to further incentivise and encourage these building and homeowners to embrace solar energy. One potential approach is to incorporate solar panel installation requirements directly into our Building and Construction Authority (BCA) building code, ensuring all future buildings contribute to our power grid. Furthermore, like the climate vouchers initiative, could the Government consider providing grants to private property owners to offset the cost of solar panel installation? This would not only accelerate the adoption of solar energy, but also empower individuals to contribute directly to our national sustainability goals. Let us now turn to the heart of our nation's strength: our people. People are Singapore's most valuable resource and our adaptability and unity are hallmarks that we must safeguard. In our early years, the kampung spirit fostered strong community bonds. Extended families lived together, often with limited Government support, relying on local village or clan associations for mutual aid. Everybody knew their neighbours, creating a tightly-knitted community. Singapore's rapid development over the past 60 years has transformed our living landscape. Today, most reside in Housing and Development Board (HDB) estates with modern amenities, served by Residents' Networks under the People's Association (PA). While these networks organise beneficial programmes and events, it is an unfortunate reality that neighbours living on the same floor can remain strangers even after many years. Distressing incidents, such as residents passing away unnoticed until the discovery of a foul smell, highlight the gaps in our modern social fabric. Clearly, we need to create more opportunities for connection and strengthening of bonds between neighbours. PA excels at organising large-scale community events that foster unity and raise awareness amongst hundreds or even thousands of attendees. But the nature of such events means that they are less effective in cultivating close neighbourly ties. In the Canberra division of Sembawang GRC, we have been working to address this challenge since 2008 by organising small-scale "floor parties". These gatherings encourage neighbours on the same floor to connect over simple food and drinks in their own shared lobby or corridor.[+12 sentences] The results have been remarkable. We have seen relationships blossom and a renewed sense of community emerge. We capture these moments with a group photo of the whole entire floor and encourage neighbours to exchange contact information, recognising that in emergency, neighbours are the first line of support. We have witnessed heartwarming instances whereby neighbours offered to drive their neighbours to hospital during emergency, working together to extinguish fires before the Singapore Civil Defence Force (SCDF) arrival, and cooking and delivering meals to those living alone and facing mobility challenges. This strong community spirit shone brightly during challenging times, like the recent COVID-19 pandemic. The resilience of our people must be continuously nurtured. We cannot leave this to chance. I urge the Government to invest more in initiatives that promote neighbourliness and strengthen our bonds within our community, building a more resilient and interconnected society. Finally, I want to address the critical issue of environmental resiliency. We are undeniably facing increasingly unpredictable and extreme weather conditions, a trend that is projected to worsen. The Government plays a pivotal role in bolstering our resilience through comprehensive policies and initiatives. The Sustainable Singapore Blueprint and the Singapore Green Plan 2030 outline ambitious yet necessary goals for sustainability, including reducing carbon emissions, increasing the use of renewable energy and promoting waste reduction. The recent initiative to enhance energy efficiency by providing Climate Vouchers to all households, including private property owners, for the purchase of energy-efficient appliances is a commendable step.[+4 sentences] Beyond national efforts, promoting individual actions, such as the 3Rs – reduce, reuse and recycle – is crucial. I recall when I first entered politics in 2006; there was only one recycling bin for every five blocks of HDB. While we encouraged the residents to recycle, the limited infrastructure presented a significant challenge. And in this very House, I advocated for increased recycling bins and dedicated recycling chutes in new HDB developments. Canberra was even offered as a pilot project to the then-Ministry of Environment to implement one recycling bin per block.[+7 sentences] This project proved highly successful and paved the way for islandwide adoption later. Now, new HDB projects incorporate dedicated recycling chutes. Building upon this progress, I encourage individuals with innovative ideas and a passion for contributing to this vital green industry to step forward. Collaborative efforts between all stakeholders and the Government are essential for achieving the ambitious goals outlined in the Singapore Green Plan and ensuring the environmental resilience for our nation. In conclusion, Mr Speaker, as we celebrate SG60 this year, we reflect upon the remarkable achievements of our Pioneer, Merdeka and Majulah generations. They built the foundation upon which our nation stands. Let us honour their legacy by continuing their work, strengthening our resilience across all vital sectors – energy, people and environmental – and securing a brighter future for generations to come.
Mr Speaker13 words
[+2 sentences]Mr Lim, you can go back to your hot seat. Ms Sylvia Lim.
Ms Sylvia Lim (Aljunied)1212 words
[+4 sentences]Mr Speaker, I wish to focus on managing costs and resources for all. I will address three critical areas: one, budget marksmanship; two, the concept of affordability; and finally, the challenges faced by some vulnerable Singaporeans. First, on budget marksmanship. As highlighted by fellow Members, the Ministry of Finance's (MOF's) budget forecasting this year has been notably inaccurate. In the previous Budget Statement, the Government projected a modest surplus of $0.78 billion for FY2024. However, revised figures revealed an $8 billion increase in total operating revenues, rising from the estimated $108.6 billion to $116.6 billion.[+1 sentence] To put this in perspective, $8 billion equates to $8,000 million, a substantial underestimation. Prime Minister Lawrence Wong attributed this unexpected revenue surge primarily to a higher corporate income tax collection, which only accounts for less than $3 billion of the increase. The remaining $5 billion plus over collections include significant rises in vehicle quota premiums or COEs at nearly $1.9 billion more, and GST at $1.2 billion more.[+36 sentences] Additional increased contributions came from Statutory Boards, stamp duties and personal income taxes. In September last year, midway through the fiscal year, Prime Minister Wong responded to a Parliamentary Question (PQ) from Workers' Party (WP) MP Louis Chua, reiterating the projected surplus of $0.78 billion. This raises some questions. Was there an awareness at that point of the significant deviations from projections? If so, should an updated estimate have been provided? If not, why was this discrepancy not identified earlier? Sir, the higher than expected COE and GST collections reflect the financial pressures Singaporean families have endured recently. Escalating cost of essential items, such as food, are particularly concerning. The Prime Minister aptly noted, "Singaporeans are still adjusting to these new price realities. Some have had to tighten their belts, rethink spending habits or make difficult trade-offs to manage their expenses." While external factors contribute to inflation, it is important to recognise that COE and GST are outcomes of domestic policies. Offering ad hoc vouchers and handouts in response to the cost of living, may come across as missing the wood for the trees. Sir, next on defining affordability. The Government's approach to easing cost of living pressures and ensuring public housing affordability warrant scrutiny. Current measures suggest that Singaporeans can only manage expenses with the aid of vouchers, subsidies and grants. For instance, on utilities and household essentials. Reliance on rebates and vouchers indicates that, without such assistance, basic necessities may be out of reach for many. On public housing, the necessity of substantial housing grants, which were further increased in 2023 and again in 2024. This implies that, without them, most citizens would struggle to afford HDB flats. On childcare and education, the dependence on subsidies and fee caps suggested that, without these interventions, these services might be unaffordable for the average family. In 2023, then-Deputy Prime Minister Lawrence Wong noted that the Singapore dream was no longer about the five Cs – cash, car, credit card, condominium and country club; but it was about fulfilment, meaning and purpose in life. Could it be that the five Cs simply hold no relevance today as they are no longer attainable to many? Specifically, the growing dependence on housing grants prompts questions about future affordability. Parents today are understandably anxious about the housing prospects for their children. Such reliance on Government transfers raises concerns about the sustainability of such support. In a Straits Times opinion piece on 24 February, Professors Linda Lim and Pang Eng Fong queried this approach for the long term. They observed that, "The persistent need for subsidies for basic goods and services like food, accommodation and utilities in one of the world's richest countries, indicates that prices are too high and wages too low to enable a substantial segment of Singaporeans to make ends meet." Sir, such a concern is not confined to this House, nor to economists. Earlier this week, a member of the public named Joe called into a CNA TV programme to pose a most pertinent question to the Government, "Can the Minister reassure us that the Government is looking into the rising cost of living and not just providing handouts?" Sir, looking ahead, I also wonder how much more the Government will collect from Singaporeans every year in taxes to fund these handouts. Will there be an endless upwards spiral in prices and increased handouts, in the name of affordability? Sir, finally, I wish to talk about supporting vulnerable segments of society. As we commemorate 60 years of Singapore's Independence, it is timely to reflect on the challenges faced by certain groups, particularly homemakers, whose financial security requires attention. Currently, CPF members have the autonomy to nominate beneficiaries for their CPF savings upon death, even to the exclusion of immediate family members. This poses a potential risk to non-working spouses, typically wives, who have dedicated themselves to managing the household and consequently have limited CPF savings of their own. For families with fewer resources, CPF savings constitute a significant portion of liquid assets upon a member's death. According to a DBS Bank study released this month on two million of its customers, retirees aged 65 and above were found to rely on CPF funds to cover 55% of their median expenses.[+3 sentences] This highlights the importance of CPF savings in retirement planning. In situations where a CPF member nominates non-family beneficiaries, a surviving spouse and any children could be left without a financial safety net. Notably, during divorce proceedings, CPF monies accumulated during the marriage are considered matrimonial assets and are subject to division. Courts are empowered to award a non-working spouse a significant share of the working spouse's CPF balances. The principle here is that the working spouse was only able to concentrate on work because the other spouse focused on attending to the family at home. Therefore, if a spouse's position is recognised in a divorce, it is all the more justified to consider protections for the non-working spouses who remain in the marriage until their partner's death.[+3 sentences] Sir, to safeguard these vulnerable spouses, I propose a policy change to require spousal consent for any CPF nomination that excludes them. This could be implemented by mandating the spouse as a necessary witness to such a nomination. Such a measure would acknowledge CPF funds as shared assets within a marriage and ensure that both parties are aware of and agree to the distribution plans. In cases where consent is not obtained, a default provision could allocate 50% of the CPF balances to the spouse, with the member's nomination applying to the remaining half.[+3 sentences] Sir, I intend to raise this issue during the COS debates for the Ministry of Manpower (MOM). I hope the Ministry will give this proposal some consideration during that debate. Sir, to conclude, this Budget, being a prelude to the General Election, offers benefits across the spectrum, ensuring that both affluent and less-privileged Singaporeans receive some support. These measures will help households for now, but the issue is how sustainable such an approach is. I believe it is vital to seriously look at the three areas I have highlighted: doing better at Budget marksmanship; managing the cost of living other than through handouts; and providing vulnerable segments of society who risk being overlooked in our nation's progress.
Mr Speaker3 words
[+1 sentence]Mr Edward Chia.
Mr Edward Chia Bing Hui (Holland-Bukit Timah)2104 words
[+9 sentences]Mr Speaker, Sir, in today's volatile world, where global headlines are filled with conflict and economic turmoil, Singapore's stability is more than just a strength. It is our greatest competitive advantage. It is what gives Singaporeans confidence in the future and what continues to attract investments, create good jobs and secure prosperity. This stability is about good governance, a responsible fiscal approach and a united people. If we want to continue finding stability in a world of flux, we must continue making the right decisions and not just the popular ones. One of the biggest tests of our stability today is the rising cost of living. As an MP for Zhenghua, I have witnessed first-hand the challenges that residents face. While data indicate that inflation has eased, prices remain high and families continue to feel the pinch. Singaporeans are adjusting, tightening their belts and rethinking spending habits. Resource-low families are making difficult trade-offs to make ends meet. That is why we took decisive action, launching Zhenghua's monthly $1 Deals and Project Sama Sama, ensuring families, especially those who are resource-low, can access essential food and daily necessities affordably and conveniently.[+3 sentences] It is reassuring that these concerns are reflected in Budget 2025, with measures, such as the CDC Vouchers and LifeSG credits, offering timely relief. But while short-term relief is necessary, we must also address structural cost issues to ensure that the rising cost of living does not erode Singaporeans' quality of life. One area where the Government has taken a bold structural step is preschool education. By capping preschool fees for Anchor and Partner Operators, early education has now become more affordable, with fees after subsidies being comparable to primary school fees, inclusive of after-school care.[+3 sentences] This is a significant step forward, ensuring that every child, regardless of their background, have a good start in life. However, Sir, affordability must not come at the expense of quality. Preschool teachers play a vital role in shaping our young minds and their work must be fairly compensated. Given the fee caps, how will the Government adjust funding for Anchor Operators to ensure that preschool teachers are paid fair wages and have adequate resources for professional development?[+21 sentences] Affordability, wages and social support all intersect at one issue – fiscal management. And that brings me to my next point. Some argue that the tax burden on Singaporeans is high and we have sufficient surpluses to reduce the tax burden. But let us set the record straight: Singapore's tax burden remains one of the lowest in developed countries. Unlike other nations that rely heavily on personal income and consumption tax, our two largest revenue sources are corporate tax and the Net Investment Returns Contribution (NIRC). And as Prime Minister Wong shared in his Budget speech, Singapore expects a budget surplus in FY2024 and FY2025. These are encouraging figures, surpluses give us the confidence and resources to invest in our people and secure good jobs for everyone. The reality is that the Government spending has increased significantly, not just for social and healthcare support, but also for initiatives that will secure Singapore's economic competitiveness and protect our island from the impacts of climate change. A budget surplus today does not mean we can spend recklessly tomorrow. Instead, we must remain disciplined and focused on delivering real outcomes for Singaporeans. Ensuring that economic growth translates into good jobs and higher real wages is one key measure of success. In 2023, I raised a PQ on real wage growth trends and projections, as I was deeply concerned about whether Singaporeans' wages rise in tandem with living costs. Thankfully, Singaporeans experienced real wage growth in 2024 in tandem with higher-than-expected economic growth. Economic growth must continue to translate into real wage growth, good jobs and meaningful opportunities for Singaporeans. But how do we exactly go about doing this? One initiative I championed last year in my Budget 2024 speech was the adoption of Employee Stock Ownership Plans (ESOPs). ESOPs grant employees the option to purchase shares at a set price upon meeting performance goals, aiming to retain key staff long term. Crucially, ESOPs instil a sense of ownership, boosting motivation and performance. This also translates into high real incomes and enables employees to build their asset base. The promotion of ESOPs can complement the new Global Founder Programme announced in Budget 2025. As we encourage global founders to anchor and grow more new ventures in Singapore, we should ensure that the investments also benefit employees of the investee companies. To promote ESOP adoption, we should introduce an ESOP tax relief, such as a lower income tax rate when employees exercise their stock options.[+9 sentences] This will anchor talent in Singapore and help Singaporeans grow their income and asset base. It can complement the Global Founder Programme by driving investments in start-ups, attracting top talent and giving employees a stake in asset appreciation. But beyond ESOPs, we need a comprehensive, multi-pronged approach to sustain real wage growth and meaningful job creation. First, we must leverage the announced Enterprise Growth Investment Fund and the $1 billion private credit growth fund to include blended capital solutions that drive impact investments. By aligning financial instruments with corporate purpose and societal impact, we can support businesses that prioritise innovation, sustainability and meaningful job creation. Blended capital, combining grants, recoverable grants and equity from diverse sources, such as foundations, bridges philanthropy and impact investments, unlocking additional funding streams. To accelerate this, agencies like EDB and the National Volunteer and Philanthropy Centre (NVPC), which have developed the Company of Good framework and accreditation, should collaborate to develop programs that expand blended capital deployment. Beyond mobilising resources, blended capital can reduce financing costs while enhancing social and economic outcomes. It strengthens corporate purpose, fosters sustainable business growth and creates meaningful employment opportunities, ensuring that enterprises contribute to both economic progress and societal well-being. Second, we must strengthen SMEs, which employ over 70% of our workforce.[+19 sentences] Whether it is foreign talent or multinational enterprises (MNEs), the concern is that foreign talent and MNEs compete with local jobseekers and local enterprises. Such concerns are valid only if it is a zero-sum game. However, the reality is that it is a non-zero-sum game. There are complimentary advantages. Maximising the complementary advantage for the individual would mean the Government's consistent support in skills upgrading, so that Singaporeans always boost their capabilities and seize new opportunities. For local enterprises, we need to strengthen the enterprise ecosystem and the network effect between local enterprises and MNEs. This works both ways. Despite the high cost of operating in Singapore, MNEs stay committed in Singapore due to the relevant enterprise ecosystem that provides MNEs with high quality supplies and expertise. Local enterprises can collaborate with MNEs to innovate, create new products and services, and grow internationally by leveraging the MNEs network and referrals. As globalisation trends shift toward localisation and onshoring, there is a growing risk that MNEs may relocate key manufacturing, R&D and corporate functions away from hubs like Singapore. To build economic resilience against such external shocks, we must strengthen the nexus and integration between our local enterprises and MNEs. As one CEO of a large local enterprise aptly put it, "MNEs may adjust their investment focus based on global geopolitical trends, but local enterprises are here to stay. This is our home base." By fostering the growth of strong local enterprises, we can anchor critical capabilities, sustain high-quality jobs and ensure long-term economic stability for Singapore. By strengthening the complementary relationship between local and foreign workers, as well as between local enterprises and MNEs, we can create a synergy that drives shared growth. This ensures that the partnership is a non-zero-sum game, but a collaborative effort that generates greater opportunities and benefits for local workers and businesses. Third, we must continue powering ahead with workforce upskilling. Employers play a critical role in aligning workers' skills with the evolving demands of industry transformation. It is imperative that we provide them with stronger support to ensure Singapore's workforce remains future-ready. The changes to the SkillsFuture Enterprise Credit Scheme, where employers are provided with an online wallet with credits to offset training costs, are widely welcomed by employers as they address a common pain point – cash flow.[+3 sentences] I would like to call on the Government to review other support schemes and implement similar updates that will resolve enterprise transformation challenges related to cashflow, so that enterprise transformation can be expedited and inclusive. The NTUC CTC Grant has been instrumental in co-funding employer-led initiatives that boost productivity, redesign jobs and enhance career development. The SkillsFuture Workforce Development Grant further strengthens this by increasing funding support while streamlining the application process, making it easier for businesses to invest in talent development. The Jobs-Skills Integrator (JSIT) initiative, announced in Budget 2023, is another critical piece of the jigsaw puzzle.[+10 sentences] By serving as an intermediary that links industries, training providers and employment facilitation partners, JSIT ensures that training programs are directly aligned with market needs. Can the Government share how these schemes complement each other in supporting businesses and workers to adapt to evolving industry demands and skills requirements? At the same time, work-study programs are critical in bridging the gap between education and employment. I fully welcome the expanded support for work-study programs under the SkillsFuture Level-Up programme, particularly the introduction of the Part-Time Long-Form Training to cater to part-time upskilling. The opening of Singapore University of Social Sciences' (SUSS's) new city campus is another positive step, making work-study opportunities more accessible to working professionals. On this note, I would like to ask the Government if there are plans to encourage more employers to offer work-study arrangements. What policies can be introduced to minimise workplace disruptions while ensuring workers can upgrade their skills without compromising productivity? By aligning workforce upskilling with employers' transformation needs and industry trends, we enable both businesses and workers to seize new opportunities and drive growth. A strong focus on growth and top-line expansion ensures that companies have the resources to invest in talent development, fostering continuous learning, innovation and sustained wage increases. Fourth, we need to take AI by its horns and improve its adoption among enterprises. The newly minted $150 million Enterprise Compute Initiative that will empower enterprises with AI tools and resources will certainly be a game-changer in bolstering enterprise capabilities. Given the importance of AI adoption among enterprises, I would like to ask the Government what are the current resource limitations in scaling up the Enterprise Compute Initiative so that more enterprises can accelerate AI customisations and adoption? Particularly for SMEs, what programmes are available to help them leverage AI tools? By empowering local enterprises to maximise the usage of AI tools, this will improve the overall firm’s productivity which translates to sustained real wage growth for Singaporeans.[+1 sentence] Finally, Singapore invests heavily in R&D, but more must be done to translate research into plug-and-play industry solutions. I propose that we strengthen collaboration between industries and Institutes of Higher Learning (IHLs) by co-locating R&D offices on campuses.[+3 sentences] This integration allows students, researchers, and businesses to work closely together, accelerating innovation and ensuring the real-world application of research. Internationally, successful models demonstrate the impact of such integration. Stanford University’s close ties with Silicon Valley have fostered groundbreaking startups like Google and HP, while the Massachusetts Institute of Technology’s (MIT’s) Industrial Liaison Program connects companies with faculty and researchers, ensuring innovations translate into commercial applications. By adapting these models, Singapore can strengthen industry-IHL partnerships, expand co-location efforts, and provide greater support for research commercialisation to drive enterprise transformation, economic growth and high-quality job creation for Singaporeans.[+10 sentences] Mr Speaker, Sir, in conclusion. Budget 2025 builds upon the Government’s consistent investment in our economy and our people. We have been able to deepen these commitments while keeping individual tax burdens low compared to many developed countries. However, the true impact of these investments depends on effective execution. In an increasingly volatile world, Singapore’s stability is our foundation, giving us the confidence and conviction that we can deliver on these policies and secure a better future for all. Most importantly, Sir, our unity as Singaporeans remains our greatest strength. I have witnessed this firsthand in Zhenghua, where residents often tell me they would rather let others benefit from local assistance schemes, such as the monthly $1 Deal and Project Sama Sama. This selfless Spirit of looking out for one another, of caring for our neighbours, is what defines us as Singaporeans. It is this collective sense of community that will see us through any crisis and propel us towards an even stronger Singapore. Mr Speaker, Sir, I support the Budget.
Mr Speaker4 words
[+1 sentence]Mr Leong Mun Wai.
Mr Leong Mun Wai (Non-Constituency Member)2048 words
[+1 sentence]Mr Speaker, Sir, even before Budget 2025 was announced, many Singaporeans had expected that the Government would be generous in giving handouts to Singaporeans because this year is an election year. Indeed, about $3.8 billion of special transfers will be distributed this year, compared to about $3 billion in both 2023 and 2024.[+16 sentences] In recent years, Government handouts have become regular. It has become a national past time of sorts to monitor the timetable of handouts each month, which is also publicised in the media and in the HDB lift lobbies. Can this really be healthy for our society? Comments are already circulating on social media that the new 5Cs of today are Cash, CDC Vouchers, Climate Vouchers, CPF top-ups and Community Health Assist Scheme (CHAS) cards. I am sure that the first generation PAP leaders would never have allowed this to happen. While the PAP Government's vouchers may help many Singaporeans deal with rising costs in the short term, they are not enough to help Singaporeans in the long term or solve Singapore's structural economic issues. The Progress Singapore Party (PSP) supports some short-term financial assistance in the Budget to help deal with the high and rising cost of living. However, over the past four Budget debates, we have also argued that instead of giving out short-term ad hoc handouts, we should have long-term permanent schemes to strengthen the social support for Singaporeans. The schemes proposed by PSP over the years, including a Minimum Living Wage, Affordable Homes Scheme, National Healthcare Scheme with MediShield and CareShield premiums paid by the Government, and Caregivers Allowance will create financial security for Singaporeans and empower them with the resources to pursue their career aspirations, form families and build a better life. On the other hand, is the SG60 Voucher which will benefit the billionaire living in a good class bungalow and a 1-room rental flat resident equally, truly a good and fair use of our fiscal resources? It is the PAP's patchwork of scheme of handouts and vouchers that will breed dependency among Singaporeans and not PSP's proposals. PSP's recognises that it is unrealistic to expect living costs never to increase, but we maintain that the PAP's current budget approach and policies around taxes, Reserves and property prices are the main driver of the high cost of living in Singapore. Long before the Ukraine War and supply chain disruptions, Singaporeans have found it difficult to cope with the rising cost of living. This is a persistent structural problem caused by the PAP Government. The Government has collected a lot more revenue from GST, COE and land sales over the past few years. This will eventually increase the cost of living for Singaporeans. The Government has collected about $8 billion more revenue each year than its original estimates in 2022, 2023, and 2024.[+9 sentences] Will it do it again for 2025? The PAP Government has always claimed that there is tight fiscal headroom, but if year after year surpluses are always bigger than what is estimated, then it really calls into question why the Government decided to inflict so much pain on Singaporeans by raising GST in 2023 and 2024 amid high global inflation. When I questioned Prime Minister Lawrence Wong on budget marksmanship at the debate last year, he said before COVID-19, our fiscal marksmanship was not too bad, and our forecast accuracy was not as good now because of COVID-19. Does the Prime Minister expect our budget marksmanship to be better this year? Or will we end up having a larger surplus than we anticipated again? Budget marksmanship is important so that Parliament and Singaporeans have a clear view of the fiscal resources available to us. During the debate on the Public Finances Motion last year. I explained that the Government transfers a large part of the surplus Budget resources arising from the Net Investment Returns Contribution (NIRC) each year to many endowment and trust funds that are intended for future spending over the long term. This has camouflaged our huge structural surplus Budget position. The same thing has happened this year, with about $20 billion parked away.[+8 sentences] It is also questionable whether so much of today's resources should be used for certain projects. For example, the Government has parked another $5 billion in the Changi Airport Development Fund, even though over the years we have already put $6 billion there. We believe such a large infrastructure project should be funded by the Significant Infrastructure Government Loan (SINGA) framework so that we can evaluate the commercial viability of such projects better. Our country's fiscal position is extremely strong, much stronger than what the PAP Government would like to portray. Yesterday, Ms Foo Mee Har claimed that Singapore could face fiscal vulnerabilities like Hong Kong, if we use land sales to fund our expenditure like what PSP had advocated. PSP has only proposed that if a piece of land is sold on a 99-year lease, the proceeds should be recognised as revenue spread over 99 years. It is unlikely to create the fiscal vulnerabilities Ms Foo suggested. I would remind Ms Foo that last year, even Senior Minister Lee Hsien Loong said our proposition was not unthinkable. Ms Tin Pei Ling suggested yesterday that we should put back into the Reserves what was taken out during COVID-19. She may not realise, but the $40 billion that was taken out has already been more than recovered, with the official foreign reserves increasing more than $200 billion since 2020, through the issuance of Reserves Management Government securities.[+8 sentences] The Government's financial position is strong, but ordinary Singaporeans financial position is weak. An OCBC survey in November 2023 found that fewer Singaporeans are able to comfortably spend on things beyond the basics. In March 2020, the Government tabled the Resilience Budget, which was aptly named, because there is a need to make Singaporeans more resilient. After all the CDC Vouchers and short-term schemes from the Budgets of the over the last five years, have Singaporeans become more financially resilient? Judging from the conversations that PSP has had with many Singaporeans, the answer is no. That is why PSP believes there is an urgent need to reimagine our Budget approach and public policies. Our objective is to empower Singaporeans so that they can be financially resilient without relying on ad hoc handouts. How can we do this? We need to better utilise the NIRC and our budget resources to benefit Singaporeans so that they can become truly resilient. The NIRC amounts to about $27 billion in 2025. However, as I have explained before, Budget resources amounting to about 80% of the NIRC is not spent in the same year but parked in endowment and trust funds.[+18 sentences] There are more and more of such funds. There needs to be more scrutiny over the use of these funds, as many will not directly benefit Singaporeans in the short term. Instead of parking funds in endowment funds and spending on special transfers that do not create long-term financial security for Singaporeans, we can fund PSP's four main policy proposals. Firstly, we have proposed the removal of land cost from public housing under the Affordable Homes Scheme and the construction of quality rental flats for young Singaporeans under the Millennium Apartment Scheme. We can implement the Affordable Homes Scheme without reducing the reserves, unlike what Minister Indranee has repeatedly claimed, but will empower Singaporeans in the following ways. Singaporeans of all generations will enjoy affordable public housing. As AHS flats cost less, Singaporeans will not have to deplete their CPF balances to pay off HDB mortgages. They will have adequate CPF savings for retirement without having to downgrade to smaller flats in retirement. Yesterday, Mr Henry Kwek suggested that our schemes will put a downward pressure on resale values. This will not happen, because Singaporeans who sell their Affordable Homes Scheme flats will have to repay the land cost with accrued interest to the Government. This will maintain stability in the resale market and allow Singaporeans to continue upgrading to private properties if they choose to do so. Mr Kwek pointed out that many of his residents see their HDB flat as a key pillar of their retirement planning. I would like to point out that it is the PAP's inaction on lease decay that threatens resale value and some Singaporeans' retirement plan. PSP's Affordable Homes Scheme will empower Singaporeans and free them from such concerns. Our second proposal is to effectively create a national healthcare scheme by having the Government pay the MediShield and CareShield premiums for all Singaporeans. Again, the national healthcare scheme will empower Singaporeans in the following ways. All Singaporeans will be able to enjoy a basic level of benefits when they need hospital treatment or certain outpatient treatments free of charge, paid for by the state, without having to worry about rising insurance premiums in the future. Singaporeans will have more MediSave balances to pay for other healthcare costs not covered by MediShield Life, freeing up their cash for other purposes. Our third proposal is to introduce a gross minimum living wage of $2,250 a month.[+12 sentences] We also support progressive wage increments up to the median wage of $4,500. These policies will empower lower-income Singaporeans with the financial resources to attain a minimum standard of living in a high cost-of-living environment more quickly than the Government's Progressive Wage Model. Singaporean workers will also enjoy further wage increments when they improve their skills. Our fourth proposal is the PSP Family Plan, which will reimagine our policies to support families. During the Population White Paper Debate in 2013, Senior Minister Teo Chee Hean said, "I hope our birth rate can increase to at least 1.4 or 1.5, which was our birth rate not so long ago, around the late 1990s and the early 2000s." We are not sure if Senior Minister Teo still has these hopes, but PSP certainly does. That is why our PSP Family Plan is a whole-of-society approach to better support family formation. Our two most important proposals are the enhanced Job Sharing Scheme and the Caregiving Allowance Scheme. These proposals will benefit all parents, including single parents. The enhanced Job Sharing Scheme will empower parents to opt for flexi-time work. It will allow them to remain in the workforce while spending more time to care for the child. At the same time, employers will benefit from retaining their workers with children and employ more workers with Government subsidies. The Caregiving Allowance Scheme will pay one parent or grandparent an allowance of $1,250 per month if they are full-time caregivers of children below the age of seven.[+5 sentences] This will empower families to explore different childcare arrangements and strengthen extended family bonds. Mr Speaker, Sir, in conclusion, Singaporeans have worked hard to build Singapore from third-world to first in the last 60 years. However, more problems have emerged in the lives and livelihoods of many Singaporeans in the last 20 years. We do not want a first-world Singapore where the next generation has to live in smaller and smaller flats that are also more and more expensive relative to income. We do not want a first-world Singapore where public transport only seems to be more and more crowded, expensive and unreliable. We do not want a first-world Singapore where a small group of elites and foreign billionaires coming here to pay lower taxes get to enjoy large Good Class Bungalows, play golf at country clubs and drive around on congestion-free roads in their Bentleys and Lamborghinis while the elderly and destitute sell tissue paper at hawker centres. We want a Singapore where Singaporeans are no longer financially stressed, can form families when they are ready, are free to pursue their careers and start businesses, are free from worries about healthcare and retirement cost, and enjoy a fulfilling retirement life, looking after their grandchildren as a choice.[+3 sentences] This is the first world we should aspire to create this SG60. This is the first world Singapore that PSP will fight for. We urge Singaporeans to think beyond the short term and dream bigger than the PAP Government. Notwithstanding our reservations, PSP will still support Budget 2025 to provide Singaporeans with the short-term assistance that they need until the long-term schemes are in place.[+1 sentence] For country, for people.
Mr Speaker3 words
[+1 sentence]Mr Alex Yam.
Mr Alex Yam (Marsiling-Yew Tee)1574 words
[+41 sentences]Mr Speaker, I rise today in support of the 2025 Budget, conscious of the many challenges that are confronting us as a small and open economy, yet buoyed by hope as we approach SG60 this year. At its very core, this Budget is a pledge to every Singaporean. It places our people at the heart of our nation's progress. Indeed, no matter the global uncertainties that swirl around us, it is a reaffirmation that the fruits of our progress must be shared widely with Singaporeans. This Budget is also an expression of our readiness to face a more contested and fragmented global landscape. Mr Speaker, it is obvious. We see economic fault lines emerging: new trade barriers, shifting alliances, competitive races in technology. We are a small city state, but we refuse to be overshadowed. We have proven repeatedly that our size is our advantage. Our agility, our openness and our resilience are the defining factors that keep us ever relevant. Mr Speaker, although we may be small, our aspirations have always been anything but tiny. Let me share a brief anecdote. I attended an international forum post-COVID-19, where large powers were competing to dominate the narrative. By pure alphabetical happenstance, Singapore found ourselves sitting in the midst of some of these heavyweights – "U", "R". While they sparred, we quietly worked with fellow small states to give the conference, ultimately, a coherent and balanced outcome. This story reminds us that size does not define our relevance. A small state can indeed be nimble, collaborative and innovative. Our resilience lies in adapting swiftly, building trust and championing a rule-based order. When others falter or become mired in rivalry, we must step up to facilitate real progress, not just for ourselves but for our region and the world. Mr Speaker, there has been a lot of talk about an election Budget. The reality is that this year is an election year. As we have seen elsewhere and as we have experienced during this Debate and outside of this House, passions will naturally run high. A lively debate is part of a healthy democracy. Yet, let us remember that when the dust settles, we must remain, first and foremost, Singaporeans. Each of us is entrusted to safeguard and advance our nation's interests. Our survival ultimately hinges on our unity as a country. No matter the electoral outcome, we must close ranks, striving together for a stronger and more cohesive future. Indeed, it is this unity that has propelled us from the turmoil of our founding years to the globally connected Singapore that we know today. Even so, we must not stand idle. As the Prime Minister highlighted, we must invest in our people and our industries, especially in areas of semiconductors, biotechnology and digital services, amongst many others, to stay at the frontier of economic opportunity. We must not forget this fact – the world eats small states for breakfast. Let us not serve ourselves on a platter. In tandem with all these economic strategies, we must also preserve and strengthen our social foundations, especially the family. We must remember that the cornerstone of a strong, cohesive society is built on families, on marriage. In its most fundamental sense, marriage is about commitment – about forging a lifelong bond that nurtures love, respect and responsibility. When a husband and wife come together in this union, they form the primary building block for stable families, which, in turn, form the bedrock of a flourishing nation. Children benefit the most and most profoundly when raised in a context where love is modelled daily, where values are imparted through the constancy of caring adults who look to each other in partnership, very much like the relationship we have with our people and with one another. Equally important, of course, is that every child must be valued, never to be cast aside as some inconvenient economic liability. Children are gifts we welcome into our world, each with immeasurable potential, not just for our families but for a stable society and a strong nation. When our society affirms the priceless worth of every child, whether in the womb or in the classroom, we safeguard not just our demographic future but the moral core of what it means to be a nation that truly cares. These measures in the Budget reflect these values on two critical fronts. First, it bolsters Singapore's competitiveness by funnelling resources into research, innovation and workforce training.[+1 sentence] Secondly, and also very importantly, it builds upon the core principle that strong families, built on strong marriages and nurturing home environments, shape the very identity of our nation. I am, therefore, particularly heartened by the Large Family Scheme and the LifeSG credits. These extend added financial support to families with three or more young children.[+4 sentences] As a father of four lively youngsters myself, I know firsthand how swiftly grocery bills can mount and how quickly shoes can wear out. This is even more so for families with lower incomes. This Budget continues to support marriage and parenthood and affirms our belief that families remain the anchor for Singaporean life. At the local level, we have seen similar measures take root. In North West CDC, for instance, the Little Steps programme has been a lifeline for our KidSTART families since 2023. It provides an annual grant of $500 for each child aged between zero and six years old. We have disbursed close to $1.3 million to help 2,069 children in the district since its launch.[+6 sentences] While Little Steps is funded through a generous donation, I urge the Government to consider making the national scheme more generous and extend support beyond the age of six to include those below 12. Let us consider how best to support those who choose to have large families before any incentives were introduced so that they, too, may benefit and feel that their contributions have not gone unnoticed. Many Members, over the course of the last one and a half days, have also spoken about helping working mothers. I, on the other hand, want us to be able to look beyond the working label. All mothers make significant contributions and deserve our recognition and support. Therefore, I believe we can do more. For example, to equalise childcare grants, ensuring that the same level of subsidy, whether a mother is employed or has chosen to remain at home for a season, to dedicate time to caring for their children.[+10 sentences] Every mother, every parent, contributes immeasurably to our nation's future, and no mother or father should be penalised for putting family first. Let me now take a moment to talk about policy intent and differences in views on how nations should be governed. As I stated earlier, lively debate is part of a healthy democracy. It is to be expected that in the cut and thrust of politics, there will be disagreement on policy directions. But it is always all too easy to score points by latching onto popular sentiments and making grandiose statements to grab the headlines. But we must remember that true leadership is not measured by how loudly we speak or how dramatically we posture. True leadership shines through in the quiet, consistent and determined pursuit of policies that genuinely serve Singaporeans for the long term, even when policies are complex and unwieldy. Anyone can cast aspersions and claim to have all the answers; far fewer are willing to endure the gruelling work of finding real solutions that can withstand time and turbulence. Governing a nation is always challenging, but it is doubly so in a rapidly evolving global landscape. It requires foresight to anticipate risks, prudence to steward our resources, and courage to stay the course when decisions are unpopular, or even detrimental to electoral support. When we debate this Budget, we must not forget that our goals go beyond mere rhetoric. We must remain steadfast in doing what is necessary for Singapore’s long-term future, whether it is bolstering social support, investing in innovation or ensuring long-term fiscal sustainability, even if the path demands politically tough choices.[+9 sentences] This is the real test of leadership for Singapore. Let us not kid ourselves. Look at Ukraine, as an example. In the turbulent world that we live in, not only do I think we need marksman, but marksman do not win wars on their own. We need an entire budget arsenal at the ready for the storms that would come in the future. And that is how we prepare. It is easy to say that is all we need for now. But for a country with little resources except for the precious asset of our people, we need to prepare for the long term. We, therefore, cannot grow complacent, for many nations today are torn by polarisation and discord. Our unwavering sense of togetherness is the shield that keeps us safe and the compass that guides our progress. So, may this Budget embolden every Singaporean to look ahead with confidence in this SG60 year, knowing that this Government is committed to uplifting lives, supporting our families and safeguarding our sovereignty.[+1 sentence] Indeed, SG60 reminds us of how our founding generation defied the odds. Let us carry that same spirit into this next chapter, forging a future where Singapore remains a beacon of possibility. So long as we stand united, we will prevail – just as we have done for six remarkable decades.[+1 sentence] Mr Speaker, I support this Budget.
Mr Speaker3 words
[+1 sentence]Mr Louis Chua.
Mr Chua Kheng Wee Louis (Sengkang)2720 words
[+4 sentences]Mr Speaker, as the final Budget for this term of Parliament, I thought it would be interesting to share some trends I have observed over the past four years. Let me first begin, however, by stating the obvious: that the projected surplus of $6.8 billion for FY2025 was wildly unexpected, and this on the back of a huge increase in the projected surplus in FY2024, from $0.78 billion as initially put forth last year, to the revised figure of $6.4 billion. Contrast this with a poll of private sector economists in Singapore in an article run by The Business Times with a headline that goes, "Budget 2025 may run generous deficit of up to $6.6 billion after FY2024 surplus." The combined fiscal surplus of $13.2 billion for FY2024 and FY2025 was also surprising in the context of questions in Parliament towards the end of last year. In September 2024, I asked for an update on the current cumulative fiscal position of the current term of Government, where Prime Minister Lawrence Wong shared that FY2024 is still ongoing, but the overall fiscal position is estimated to be $0.78 billion.[+6 sentences] The combined fiscal surplus of $13.2 billion for FY2024 and FY2025 was also surprising in the context of the sizeable $41.6 billion in top-ups to endowment and trust funds in these two years. We can say that, look, these are resources set aside to meet real needs in the future, but it does not take away the significance of these surpluses that are generated within just these two years alone. Put another way, the amount drawn down from our Reserves to combat COVID-19 amounted to about $43 billion. It was previously said that we have drawn on our Reserves equivalent to over 20 years of past Budget surpluses. We have used a generation's worth of savings to combat a crisis of a generation. Yet, the amount of additional resources we can set aside for endowment and trust funds in just these two years alone is close to $42 billion. In fact, it is closer to $72 billion over the last four years. And let us also not forget that Singapore's way of accounting differs from international norms, such as that of the International Monetary Fund (IMF), the most notable of which is the exclusion of land sale proceeds amounting to $25 billion in FY2024 and estimated at $19.4 billion in FY2025.[+3 sentences] Higher than expected surpluses are also not a recent phenomenon. FY2021 was estimated to record a deficit of $11 billion but ended up as a surplus of $1.9 billion. FY2022 was estimated to record a deficit of about $3 billion but ended up a surplus of $1.7 billion. FY2023 estimated to record a deficit of $0.4 billion and although the deficit was wider than expected at $2.5 billion, this was after setting aside an additional $7.5 billion for the Majulah Package Fund, without which, FY2023 would have seen a $5 billion surplus instead.[+13 sentences] I do not deny that uncertainty is a fact of life and, yes, revenues and expenditures can go up and down with the economic cycle. The point of all these observations, Mr Speaker, is that if the Government consistently collects more than it needs and runs huge surpluses year after year, it leads one to question the wisdom of raising the tax burden on Singaporeans, such as via the higher GST and the urgency in implementing them, especially as many are struggling with high inflation rates and the cost of living in the past few years. On this note, last year, I touched on the importance of structural changes instead of one-off handouts. Cost of living concerns are front and centre of Singaporeans' minds, and any additional support to tackle cost pressures are no doubt welcomed by many. This year appears to be the year of vouchers, be it in the form of CDC Vouchers, Climate Vouchers or the new addition to our list of vouchers, SG60 Vouchers. Given the record surpluses that the Government is enjoying, it is only right and appropriate that this is being shared to Singaporeans who have also contributed directly to the Government coffers. With the General Elections around the corner, it is only natural for Singaporeans to be cynical where these are seen as election handouts tied to the political cycle rather than the economic cycle. Therefore, I believe that, firstly, it is important to put in place structural levers in our system, as opposed to relying on one-off schemes, which may be politicised, incur a lot of administrative costs and resources to operate on the part of the Civil Service, and create much unnecessary uncertainty on the part of Singaporeans. Secondly, it is also important to direct our resources to those who need them the most, rather than broad-based handouts to everyone. I am sure many Members have seen the viral video where Prime Minister Lawrence Wong's Budget 2025 speech announcing the CDC Vouchers is being juxtaposed against an election rally speech by Minister Chan, where he put it quite elegantly, "If we give everybody the same – rich or poor – how are we helping the poor?" Take the CDC Voucher scheme, for example. While I am sure many Singaporeans appreciate cash handouts amid the cost-of-living crisis, the CDC Voucher scheme evolved from one aimed at helping Singaporean lower-income households defray their cost of living in 2020 to one where all Singaporean households are eligible for the same amounts. The amounts given have also varied quite significantly over the years, and it remains a question whether the scheme will be a permanent one and, if so, whether all households will continue to qualify, and just how much are the vouchers going to be worth? On personal income tax, I note the tax rebate worth 60% of tax payable, or up to $200, was introduced in Year of Assessment (YA) 2025, similar to YA 2024, where it was 50% of tax payable, but capped at $200, and also in YA2019.[+9 sentences] Should this be a recurring feature of the annual Budget, this would effectively raise the tax threshold from the current first $2,000 of chargeable income. The move is, however, abandoned as part of the SG60 package. Instead of a run-off rebate, we are better off raising the bottom brackets of marginal resident personal income tax rates and increasing the tax-free threshold for the first $20,000 of chargeable income to reflect inflation over time. This was what I raised in a PQ back in 2022, and also in my Budget 2024 speech last year. This is especially so when, based on my estimates, close to 80% of resident taxpayers would only receive the $200 tax rebate cap and does not sound as generous as the 60% headline rebate level highlighted. Next, I would like to now focus on how the Government can implement structural reforms to our CPF system to enhance the retirement adequacy of Singaporeans, an issue that I have frequently raised, and would only grow in importance due to our rapidly ageing society. This is also a topic which I have repeatedly pleaded with the Government to take urgent action, as there are significant opportunity costs with the Government's inaction. How should one save up prior to their retirement? A recent DBS report provided several ballpark figures based on one's spending habits and lifestyle. For instance, a retiree who has a conservative lifestyle with a monthly expense of $1,600 would require approximately $550,000 in savings by retirement.[+4 sentences] On the other end of the spectrum, should a retiree seek to enjoy an aspirational lifestyle with a monthly expenditure of $4,000, they would need approximately $1.3 million in their nest egg. Meanwhile, someone aiming to enjoy a balanced lifestyle with $2,800 in monthly expenses would need to accrue $950,000 in retirement savings. No matter one's preferred lifestyle, I am sure most, if not all Singaporeans would like to kick back and enjoy as they enter their retirement years. However, many Singaporeans face difficulties in building up a sufficient retirement nest egg for them to do so. According to a 2024 Oversea-Chinese Banking Corporation Limited (OCBC) survey, only 35% of the Singaporeans surveyed were on track with their retirement plans, while only 60% of respondents were working on their retirement plans.[+1 sentence] This is largely attributed to financial difficulties, such as increased household expenditures and debt repayments, that hinder them from saving up for their retirement. In a recent Parliamentary reply, the Manpower Minister also noted that 52% of all CPF members have at least $60,000 across their combined CPF balances.[+11 sentences] While the percentage goes up to 74%, if you only consider active CPF members, I am sure we all will agree $60,000 is a very low bar to cross. While I have been going on like a broken record, I hope we can urgently implement the Lifetime Retirement Investment Scheme (LRIS), which was first accepted by the Government back in 2016. This is also something which I have been repeating in each of the last four years so that we can better support Singaporeans' retirement needs. For sure, CPF returns are guaranteed by the Government, but is it sufficient in today's context? Yes, CPF members have the option today to enhance their returns via the CPF investment scheme, where members can invest their Ordinary Account (OA) and Special Account (SA) balances in a selection of investment products by external providers. But can we assume that everyone is confident and capable of making sound investment decisions? I, therefore, read with interest a recent interview by Lian He Zao Bao with Prime Minister Lawrence Wong, where he, too, noted that the Government has been studying the scheme for some time, and I quote, "The challenge is, can such a fund produce returns that are better than the very generous risk-free guaranteed returns that the Government already provides? And would it still have some volatility which would expose CPF members to financial market risk, especially when they retire?" I have three simple answers to this question posed by the Prime Minister. First, this has already been studied extensively by the CPF Advisory Panel about a decade ago, and they have, in my view, given a considered solution with the LRIS. Second, think about the difference to the amount of Singaporeans' retirement funds almost a decade on. Had we implemented such a scheme back then, for example, Endowas, an investment advisory firm, which is approved under the CPF investment scheme, highlighted in an advertisement that from 2014 to 2024, "We are looking at 7.99% potential returns yearly for an 80:20 equities and bonds portfolio, compared to 2.5% interest earned yearly if left invested in the CPF Ordinary Account." Third, if the Government is not confident that our investment entities, be it Temasek or the Government of Singapore Investment Corporation (GIC), can over the long term produce better risk adjusted returns that are better than CPF returns, then we are in serious trouble, and the NIRC framework ought to be thoroughly re-examined.[+10 sentences] So, I hope that the Government is cognisant that the longer the delay, the higher the opportunity cost and the real cost to Singaporeans' retirement savings. Finally, let me touch on the issue of inequality. I believe the deepest divisions in our society today is not based on race, language or religion, but based on socio-economic status. If we do not take a concerted effort to address this issue head on, as we have done with racial and religious harmony, these divisions will only deepen over time. In this 2025 Budget Statement, Prime Minister Lawrence Wong mentioned that income inequality after Government taxes and transfers is at its lowest since 2000. Indeed, if measured by the Gini coefficient, after accounting for Government transfers and taxes, income inequality appears to be trending down. This is however, on the back of various short term and one-off transfers, such as the GST Assurance Package, CDC Vouchers and other temporary grants. Are these sustainable and expected to persist? Moreover, much can be said about how median and average household incomes have been growing over the years, but there are several interesting statistics which I wish to highlight from the latest key household income trends report published by SingStat. After more than a decade since the Progressive Wage Model, which was launched in Singapore, our minimum wage equivalent, the Local Qualifying Salary (LQS), there still appears to be a significant number of households whose household income is less than the equivalent of what is estimated to be the average living wage per worker of $2,990 per month, as estimated in a study in 2022. Putting aside households with no employed persons, as this could include retirees, there continues to be an estimated 17,600 households earning less than $1,000 a month, 61,500 households earning $1,000 to $1,999 per month, and 57,100 households earning between $2,000 and $2,999 per month.[+4 sentences] Based on the average household size today, this group of locals represent close to half a million people. Can we truly say that all Singaporeans will be able to adequately pay for just their basic needs? Let us also contrast this with the other end of the spectrum. From 2014 to 2024, the total number of resident households in Singapore has grown by close to 263,000, from 1.2 million households in 2014 to 1.46 million households in 2024. When we break down this growth by monthly household employment income, the household income group that saw the largest increase over the same period is those earning $20,000 and over, jumping by close to 158,000 households from 2014 to 2024, far surpassing any other income group.[+2 sentences] Behind the Gini coefficient statistics lies a stratified reality where we are seeing a widening income and wealth disparity in our society. Therefore, beyond income in inequality, we must also address wealth inequality, which has widened in recent years. Based on the UBS report from 2024, across 29 major countries covered by the report, Singapore saw the highest growth in wealth inequality from 2008 to 2023, increasing by nearly 23%.[+10 sentences] To quote from the same report, in markets where average wealth growth strongly exceeds median growth like Singapore, it appears that much of the rise in wealth has benefited the upper-income brackets. Even as we welcome family offices and high net worth individuals to our shores, we must also explore bolder policies, such as stronger minimum wage frameworks, further enhancements to wage supplements and more aggressive redistributive measures on a sustained basis. We should also examine how wealth taxes can play a greater role in narrowing the gap and ensuring a more equitable distribution of resources. Beyond income and wealth, we must also look at other forms of inequality: educational access, job opportunities and social mobility. While we have taken steps to improve the inclusivity in our education system, more must be done to ensure that every child, regardless of background, has a fair shot at success. And this begins all the way in primary school, where it should not matter as much as today who your parents are and what school they went to in determining primary school placements. Allow me to conclude in Mandarin, Mr Speaker. (In Mandarin): First, when the Government has consistently been collecting more than it spends year after year and generated substantial budget surpluses, Singaporeans cannot help but to question the wisdom and urgency of the tax increases, such as raising the GST, during a period of high inflation and cost of living. Secondly, I hope the Government can implement structural reforms to our CPF system. Many Singaporeans are deeply concerned about whether they will have sufficient retirement funds. Given our rapidly ageing society, this issue will become increasingly important. I hope we can expedite the implementation of the Lifetime Retirement Investment Scheme (LRIS), which the Government first accepted in 2016, to allow Singaporeans who desire higher investment returns but lack the financial knowledge to participate.[+3 sentences] Finally, I believe that the most serious divide in today's society is not based on race, language or religion, but on socioeconomic statuses. I hope we can address this issue head on and explore bolder policies, such as strengthening the minimum wage framework, further improving wage subsidies and continuing to implement more proactive redistribution measures. Otherwise, this divide will deepen over time.
Mr Speaker3 words
[+1 sentence]Mr Mark Lee.
Mr Mark Lee (Nominated Member)2290 words
[+17 sentences]Mr Speaker, Sir, in 1939, the world stood on the brink of chaos, with nations retreating into protectionism, erecting trade barriers, and fragmenting the global economy. The Smoot-Hawley Tariff Act of 1930 triggered a trade war, leading to a collapse in global trade. Businesses faced uncertainty as supply chains were disrupted and access to foreign markets became increasingly difficult. The lack of international cooperation left economies vulnerable to shocks. Fast forward to 2025 and the parallels are striking. While not on the brink of war, the world is similarly fragmented, marked by rising protectionism, economic nationalism and a lack of trust in multilateral institutions. Businesses must navigate external challenges and domestic constraints in land, manpower and carbon. These headwinds underscore the need for resilience, adaptability and readiness to seize emerging opportunities. Budget 2025 provides a critical roadmap, introducing measures to strengthen economic foundations and enhance enterprise and workforce capabilities. A recent SBF dipstick poll found that eight in 10 business leaders expressed satisfaction with the Budget and seven in 10 noted increased confidence in Singapore's business environment. We are also encouraged that many recommendations from the business community, including those from the SBF's AfA on Business Competitiveness and SBF Pre-Budget Recommendations together with PwC Singapore, have been incorporated into the Budget. Businesses are reassured that the Government has their back and has reaffirmed the importance of long-term economic growth. A key focus in Budget 2025 is ensuring that support is accessible not just to large corporations but also to SMEs, which face global uncertainties, domestic cost and manpower pressures, as well as the need for transformation. Equipping them with the right tools and resources is crucial for their survival and growth in this evolving landscape. The enhancement of the SkillsFuture Enterprise Credit, now operating as a wallet system rather than a reimbursement model, reflects the Government’s responsiveness to SMEs' cash flow concerns. This practical adjustment will significantly benefit smaller businesses. I agree with other Members of the House that other Government schemes can also be reviewed to adopt similar cashflow-friendly models to better support SMEs. The 50% corporate income tax rebate, capped at $40,000, provides immediate relief to businesses of all sizes, while the minimum $2,000 cash payout offers crucial cashflow support for smaller enterprises facing cost pressures.[+1 sentence] The introduction of new CDC Vouchers and SG60 Vouchers will benefit households and will boost heartland enterprises and local retailers, potentially driving domestic retail sales, especially in areas where many SMEs operate. Beyond immediate cost support, the $150 million Enterprise Compute Initiative will help SMEs tap into AI and digital tools, enhancing productivity and competitiveness. The extension of the Market Readiness Assistance grant scheme will also support SMEs in expanding overseas, a necessity given our domestic market constraints.[+7 sentences] Sustainability is also a key focus, with the transition to a green economy opening new avenues for innovation and growth. The Heavy Vehicle Zero Emissions Scheme and Electric Heavy Vehicle Charger Grant will reduce the cost of transitioning to clean vehicles. However, to maximise the impact of these schemes, SMEs must be able to access them easily. Simplifying applications and providing clearer guidance will be key. I encourage the Government to continue collaborating with trade associations and chambers to streamline access and advisory support. At the same time, businesses should actively tap into the resources available through organisations like SBF, which play a key role in administering some of these schemes. Mr Speaker, Sir, Singapore faces a serious demographic challenge with an ageing workforce and foreign manpower constraints. Businesses must therefore fully tap into senior workers as a valuable resource. I strongly support the extension of the Senior Employment Credit and Enabling Employment Credit to 2026, which eases the cost burden for businesses in the short term.[+32 sentences] However, longer-term solutions require more than temporary wage offsets. We need job redesign and workplace transformation to fully leverage the experience and capabilities of our senior workers. The planned increase in CPF contribution rates for workers aged 55 to 65 is necessary for retirement adequacy but presents cost considerations for businesses. While the CPF Transition Offset provides relief, businesses will eventually bear the full impact of higher contributions and rising healthcare costs. Businesses recognise that seniors bring decades of experience, institutional knowledge and mentorship capabilities. However, to unlock their value, we need a fundamental shift in how work is structured for them. That is why the upcoming Tripartite Workgroup on Senior Employment is so important. It must go beyond financial incentives and tackle the fundamental issue of job redesign and workplace transformation. I would like to recommend a few key areas of focus for the workgroup. First, flexible work arrangements must become the norm for senior employment. Many older workers want to stay active in the workforce, but rigid work structures prevent them from doing so effectively. We therefore need more job-sharing, hybrid work models, staggered hours and part-time roles that allow seniors to remain productive without overextending themselves. Second, job redesign must be a priority. The skills landscape is evolving rapidly, and while seniors bring valuable experience, they must be equipped to stay relevant. The Enhanced Training Support Package should be expanded with practical digital and technical upskilling to help seniors transition into roles that are less physically demanding but still leverage their expertise. Third, businesses need clearer industry-specific guidelines on how to integrate seniors effectively. Not all industries have the same needs, and we should be looking at sector-based strategies. In knowledge-intensive sectors, seniors can mentor younger employees and provide advisory expertise, like in areas of risk management and succession planning. In service industries, their experience and interpersonal skills make them well-suited for customer-facing roles. In technical fields, they can focus on quality assurance, training and oversight. At the same time, I urge businesses, especially SMEs, to see senior employment as an opportunity, not just a necessity. With manpower shortages, seniors offer stability, knowledge and mentorship, making them a valuable, untapped resource. Beyond senior employment, I also welcome the Budget’s enhanced support for PwDs transitioning from school to the workforce. Like our senior workers, PwDs represent an underutilised talent pool. Companies that embrace inclusivity will not only benefit from diverse perspectives but will also build more resilient and innovative teams. But inclusion for seniors and PwDs alone is not enough. Businesses must also prepare for the seismic shifts brought by technology. The rapid pace of technological change is reshaping industries and making skills obsolescence a growing concern, not just for rank-and-file workers, but increasingly for professionals. AI and automation are redefining job roles, forcing businesses to reassess how they value human capital. Enterprise transformation and workforce transformation must therefore go hand in hand. Businesses adopting new technologies need workers with the right skills, and workers upgrading their capabilities need jobs that make full use of them. Without this alignment, talent risks being underutilised or displaced. The SkillsFuture Workforce Development Grant is a step in the right direction, but its implementation can be refined for greater impact.[+1 sentence] Rather than focusing primarily on formal courses at IHLs, there should be stronger support for workplace-based training, where skills are immediately applied and training directly addressing business needs. Last year, I proposed to MOE the introduction of a classification framework for SkillsFuture courses, featuring a Mobility Index, measuring how well a skill improves career prospects across industry and an Industrial Heat Index, tracking demand in booming sectors.[+3 sentences] This can be developed in collaboration with trade associations and chambers and can help workers make informed training choices and guide businesses in investing in relevant skills development. I urge MOE to revisit this proposal and integrate it into the MySkillsFuture portal. Another refinement is raising targeted subsidies for future-relevant skills. Courses in such high-demand future relevant skills areas should receive higher subsidies or even full subsidies for specific worker groups that the Government identifies as needing reskilling, such as mid-career workers or those in shrinking industries, as well as seniors or PwDs.[+10 sentences] A tiered subsidy model should also be considered, where an initial batch of trainees receives full funding, provided they complete the course and meet a high passing grade that could also encourage uptake while ensuring accountability. Beyond tapping into our local workforce, we must also recognise the critical role of foreign manpower in sustaining business operations and economic growth. Singapore has always thrived by remaining open to global talent, and this must remain a key pillar of our economic strategy. Initiatives like the Global Founder Programme, and the Overseas Networks and Expertise (ONE) Pass reflect a clear understanding of the need to attract top talent to drive innovation and growth in key sectors like biosciences, medtech and semi-conductors. The Global Founder Programme encourages seasoned builders, operators and innovators to establish their next ventures in Singapore, helping to develop a stronger pool of globally competitive startups and enterprises. At the same time, the ONE Pass ensures Singapore remains a top-of-mind destination for high-skilled professionals, securing the expertise needed to maintain our competitive edge. However, it is equally important to calibrate and track the right skills transfers and innovation to our local workforce and enterprises, enhancing local capabilities and alleviating concerns from Singaporeans about the role of foreign professionals in our economy. I urge the Government to continue to do so. As we push forward in these high-growth areas, we must also address the acute shortages of skilled and semi-skilled workers in foundational sectors like manufacturing, which support these advanced industries. To this end, I propose four refinements to our foreign manpower policies. First, expanding the Non-Traditional Sources Occupation List, particularly for the manufacturing sector, to allow businesses to recruit higher-skilled work permit holders for specialised roles that are difficult to localise.[+9 sentences] Second, expanding the list of non-traditional source countries for work permit holders to address the drying up of traditional sources like Malaysia and China. Third, expanding traditional support for companies undergoing transformation, such as conditionally expanding foreign workers dependency ratio ceiling and extending the duration of support under the Manpower for Strategic Economic Priorities Scheme. Finally, we must introduce greater flexibility in cross-deployment of foreign workers, particularly for skilled and semi-skilled roles. Current manpower restrictions prevent businesses from optimising foreign workforce allocation, even when there is clear economic justification to do so. The Government can consider piloting cross-deployment between majority-owned entities across sectors, enabling businesses to re-allocate workers where they are most needed. Also, by facilitating movement between firms with strategic contractual relationships, such as those in supply chain partnerships or ecosystem clusters, will allow businesses to share manpower resources more effectively. These proposed refinements will not undermine the Government's broader objectives of workforce localisation, but instead, help businesses better utilise existing resources and stay competitive without unnecessary bottlenecks. Mr Speaker, Sir, while manpower remains a key challenge, businesses also face significant cost pressures from rising land costs. While Budget 2025 did not announce specific measures to address this, it is crucial to ensure that industrial land policies continue to support business competitiveness. Arising from our AfA report on business competitiveness, I continue to urge the Government to consider extending industrial land lease tenures to better account for the long lead times required for development and amortisation of capital investments. Additionally, a more flexible lease renewal structure, such as longer renewal periods for businesses investing in productivity or rolling lease extensions for those demonstrating strong economic contributions, could provide companies, especially SMEs, with greater certainty for long-term investments.[+1 sentence] These adjustments would help mitigate the impact of rising land costs and support companies in sustaining their growth and transformation efforts Mr Speaker, Sir, nothing excites the business community than dollars and cents. The $14 billion top-up to funds dedicated to productivity, R&D, Changi Airport development and Future Energy is exciting and will help Singapore pull further ahead as a global hub and overcome our energy constraints. However, let us also ensure that our SMEs can benefit from these investments. I suggest that larger corporations and Government-linked companies that receive some of these investments be encouraged to partner with SMEs through initiatives like the Partnership for Capability Transformation programme, helping to diffuse capabilities and create opportunities throughout our business ecosystem.[+15 sentences] Finally, the $1 billion Private Credit Growth Fund diversifies financing options, particularly for businesses lacking traditional collateral or track records, providing patient capital and alternative financing solutions to support high-growth enterprises. I urge the Government to consider the management of these funds with private sector players, so that these funds can be deployed effectively to support both large local enterprises as well as our SME ecosystem. Mr Speaker, I want to end by quoting renowned economist, John Maynard Keynes. He once said, "The political problem of mankind is to combine three things: economic efficiency, social justice and individual liberty." A good Budget is not just about numbers on a spreadsheet. It is a statement of our priorities, a reflection of our values and a commitment to our future. I am not a politician and do not understand the difference between an election Budget and a non-election Budget. But I do know this; a good Budget must be fiscally responsible, inclusive and future-ready. Budget 2025 checks all the right boxes. It is prudent without being restrictive, supportive without being excessive and strategic without being short-sighted. It provides immediate relief where needed, invests in long-term competitiveness and ensures that Singapore remains strong, resilient and ready for challenges ahead. Most importantly, it does all this without compromising the stability of future generations. Mr Speaker, Sir, this is the kind of Budget Singapore needs, not just for this year, not just for the next election, but for the decades ahead. Let us embrace it, act on it and work together to build a Singapore that continues to thrive, far beyond SG60. I support the Budget.
Mr Speaker34 words
[+5 sentences]Order. I propose to take a break now. I suspend the Sitting and will take the Chair at 2.45 pm. Sitting accordingly suspended at 2.25 pm until 2.45 pm. Sitting resumed at 2.45 pm.
Mdm Deputy Speaker4 words
[+2 sentences]Order. Mr Faisal Manap.
Mr Muhamad Faisal Bin Abdul Manap (Aljunied)1103 words
[+7 sentences]Madam, let me begin by acknowledging the considerable thought and effort that must have gone into the formulation of Budget 2025. The world is growing more complex and the impact of global developments are bound to have a significant impact on Singapore, given our dependence on international trade and investment. I am heartened by the proposal, such as the increased assistance levels under schemes such as ComCare and the increased Government support under the Progressive Wage Credit Scheme. At the same time, I once again urge the Singapore Government to review the need for a statutory minimum wage to be introduced to ensure that the lowest earners in Singapore will be able to cope better. Madam, Singaporeans are a pragmatic people. They will always worry about bread and butter issues first. The rising cost of living have been felt more keenly by all Singaporeans in the last few years. The Singapore Government itself is cognisant of this; hence, the announcement of measures, such as CDC Vouchers, U-Save rebates and so on. I note with some interest, however, that Bloomberg reported on 22 February 2025 that a poll conducted among 1,002 Singaporeans by Milieu Insight indicated that 55% of respondents viewed these measures as inadequate in helping them cope with the rising cost of living. I know that a similar poll conducted the year before was even worse, with 62% viewing support measures as inadequate.[+25 sentences] Taken together, it is clear that Singaporeans want the Government to look beyond the disbursement of payouts to help Singaporeans cope with the cost of living and consider structural changes to existing schemes towards keeping cost of living affordable for all Singaporeans. My colleagues in the Workers' Party (WP) have floated several proposals in this House on previous occasions – most notably, when we table a Motion calling for the Government to review its policies, so as to lower cost of living pressures on Singaporeans and their families. Madam, today, I wish to draw attention to the plight of the middle class in Singapore; sometimes described as the "sandwich class", as they are earning too much to qualify for the bulk of social assistance and support, but earning too little to have a significant financial cushion to help them deal with various trials and tribulations, which may derail their journey through life. There is also a particular subset of this group, one defined by their age, that leaves them in an unenviable position of bearing responsibilities of caring and supporting aged parents as well as young children. Madam, residents in my division of Kaki Bukit and Aljunied GRC have approached me for assistance. For example, one resident needed legal assistance in a matter involving his brother's insurance claims. He was deemed ineligible for assistance from the Legal Aid Bureau, but the cost of hiring a lawyer was prohibitive for his family and him. Another individual informed me that because his household income did not satisfy the means test threshold, his mother was not qualified for MediFund scheme. He compared himself to his relative, whose elderly mother lives in a rental flat and receive MediFund assistance, even though his relative is more financially secure than he is. He remarked that by having his mother staying with him and caring for her, he feels that he is being penalised for his filial piety. In situations like this, Singaporeans in the middle class are like a sandwich without fillings. They are left with choices they find neither savoury nor sweet. Madam, I understand that we cannot treat the country's finances as a well of infinite wealth. Trade-offs have to be made and assistance has to be directed to where it is most needed. I also acknowledge that instances such as the ones I have cited may not be representative of the bigger picture. Even so, when such cases do arise, I hope that the relevant agencies will be able to exercise flexibility and review each case more holistically in assessing an applicant's eligibility for assistance. Madam, the next issue I wish to raise has to do with jobs. The ability to cope with the cost of living is not just a function of the price of goods and services, but also the ability to afford them. A report published by The Straits Times on 8 February 2025, covered the experiences of several Singaporeans who had faced employment disruptions. The report noted that residents' unemployment and long-term unemployment rates remain low and the incidence of discouraged workers was also at a low point. Economists interviewed for the article noted that even so, there were plausible reasons for job insecurity among Singaporeans. News of an retention exercises, the increased prevalence of contract work, disruptions caused by technological changes are some of the factors fueling job insecurity. Madam, I note that the Prime Minister has announced greater support for reskilling and retraining opportunities under SkillsFuture and Workfare Skills Support schemes respectively. I am not against the notion that our workforce needs to remain attuned to the needs of the job market and adequately trained. However, I believe we need to take a more proactive approach. In January 2025, the results of a Graduate Employment Survey focusing on graduates from the five local polytechnics were released, indicating an employment rate of 54.6%, down from 60% in 2023 and 59% in 2022. The results of a similar survey focused on university graduates showed a fall in employment rates to 79.5% from 84.1% the previous year.[+7 sentences] These are worrying statistics and if the downward trend persists in subsequent years, will continue to fuel insecurity among Singaporeans beyond fresh entrance into the workforce. I call upon the Government to consider offering incentive schemes to companies that employ more Singaporeans than required by dependency ratio. This incentive could include tax breaks, reduction in Government charges, or preferential access to state incentive. On a related note, as the Government invest in making Singapore more attractive to global companies, it should also consider encouraging such companies to play their part in nurturing and developing our local workforce. Speaking broadly, Madam, my concern is the mental burden borne by the middle class in Singapore. Members of the House would recall the Motion on Mental Health and Well-Being, which was passed in February 2024. The Government has also acknowledged the importance of mental health and well-being and have announced several measures to address the matter. I have today highlighted two issues which adversely affect the middle class in Singapore. I hope that more attention will be paid to their plight, so that we can better understand their worries and take measures to address them.
Mdm Deputy Speaker3 words
[+1 sentence]Ms Nadia Samdin.
Ms Nadia Ahmad Samdin (Ang Mo Kio)1990 words
[+21 sentences]Madam, in Malay, please. : In his 2025 Budget speech, the Prime Minister reminded us that our country rose from rather difficult challenges 60 years ago. At that time, we would not have been able to withstand the complex global environment without instilling order and efficiency in our society. When people think about Singapore now, what are the images that usually come to mind? Clean streets, a safe city, strict laws and a stable national system. In just 60 years, we have transformed into a modern metropolis. What will be the dreams, aspirations and choices of our people today that will shape our country's future in the next 60 years? To face our future, I would like to emphasize two things. Firstly, we must ensure that Singapore remains as a country where everyone has their own dreams and is supported to achieve those dreams. Second, we must also form a new social compact. This spirit should celebrate the differences in our society and also further strengthen the bonds between all communities, as our pioneers did when they started to build this nation. : Madam, just 60 years ago, it would have been hard to imagine Singapore as the city we are today. This country was built on the dreams and pragmatic choices our Pioneers made amidst a challenging world order. Today, we face new turbulent times. We would not have survived the chaos if we did not build order and efficiency into our society. When people think of Singapore today, what picture comes to mind? Clean streets, safe city, strict laws, stable systems, but what are the dreams, aspirations and choices that will build our next bound? I will make two main points. We must ensure that we continue to be a Singapore that can dream of hopeful opportunities, endless possibilities and a future where no one is left behind. We must cultivate a new social compact – one that welcomes diversity and strengthens the bonds between all communities, no matter how different, just as our Pioneers did when they built this nation together. Today, we are living longer with innovations in technology that seek to make life better. In his Budget Statement, the Prime Minister talked about how we ended 2024 on a strong footing. Our economy grew. Singaporeans generally saw wage increases that outpaced inflation and income inequality after Government taxes and transfers is at its lowest since 2000.[+9 sentences] But somehow in coffee shops and online, some sentiments would indicate that life feels otherwise. Statistics and indexes do not translate. Singaporeans continue to feel the pinch from higher prices, an epidemic of stress plague students and workers and the daily grind somehow does not spark that much joy. The promise of the Singapore dream seems out of reach. With the changing of the guards to our 4G leadership, I hope for a renewed vigour, a cautious optimism amidst the global contest of might, a version 4.0 of the Singapore dream, if you will, where our people can increasingly define success by their own measures, where Singapore can hold multiple versions of life and success that we each want and that there is space for each one of us here; where we lean into our strengths rather than be caged by how society sees weaknesses. Not everyone will start from the same place in life, but having tailored support that can help meet people's needs where they are, in a timely way, is critical and must sit at the centre of the schemes that we design. Take for example, the dream of a large family. For some young couples in Singapore, this feels out of reach due to the costs associated with raising a child. Every parent wants the best for their child. The pressures of balancing work, childcare and maintaining a home sometimes discourage young couples from expanding their family as they are uncertain if they can provide the same level of support and opportunities for a household with more children. I am heartened by the recent steps the Government has taken to ease some of these burdens, such as the move towards shared paid parental leave last year and the introduction of $500 in Child LifeSG Credits for all children aged 12 and below. The additional support of up to $16,000 for each third and subsequent child, is a welcome measure that recognises the challenges of growing a family in today's economic climate. It is strategic in that this scheme is not just for newborns, but for existing families where at least one child is six or younger, and alleviates the dilution of household finances when an additional child arrives towards a more equitable distribution of resources.[+15 sentences] I am also grateful that implementation was immediate, a fairly unusual timeline, but necessarily decisive in the face of our declining TFR. I hope we can also do more to support grandparents who often play an important role in caregiving, in terms of learning new skills and forming care networks. While financial support is important, it is equally crucial to address the underlying issues that makes starting and growing a family so challenging. I touched on some of these points in my recent speech for the Motion on families: for couples, with fertility health and treatments, as many are getting married later at a later age. And secondly, while the Government provides significant grants and subsidies for housing, education and healthcare beyond financial costs, the most precious resource of all time is scarce for daddies and mommies to spend with their little ones. Surveys also reflect that long work hours and stress from work are the top obstacles couples face in getting pregnant. Ultimately, we must work towards creating an environment where families feel empowered by the decision to have children. This will not be resolved in one Budget or by the Government alone, but will take a shifting of mindsets in society, support from employers and a redefining of what success looks like beyond the corporate ladder, followed by the ability to live that life on our own terms. As industries evolve and technology becomes more integrated into every sector, middle-aged workers are increasingly finding themselves at crossroads. Some global companies have also decided it no longer makes financial sense to operate some roles in Singapore and instead choose to move to regional neighbours with cheaper labour costs or replace labour with automation. This is our reality. There may be someone else who is cheaper, but given our nimble size, we can be faster, and with Singaporeans' talent, we can be better. For those who lose their jobs, the fear of being left behind is overwhelming. It is not just their dreams which are paused, but that of their whole families deferred. How do we ensure they are empowered to rejoin the workforce with relevant skills quickly? The SkillsFuture framework as a whole has received a reboot – for example, the Jobseeker Support Scheme announced last year as well as the expansion of the SkillsFuture Level-Up Programme targeting mid-career Singaporeans to pursue upskilling, which will now be given a monthly allowance to those who continue to work part-time.[+4 sentences] This is a good step, which acknowledges the reality where not everyone can afford to take full-time off. Beyond structural unemployment and displacement due to cost pressures, some are also forced to slow down due to caregiving needs. By 2030, around one in four Singaporeans will be 65 and above. And our caregiving needs are growing. To this end, while it is not quite the full Carer's Allowance, I support the move to raise the maximum qualifying per capita household income for the Home Caregiving Grant as well as the increment of the quantum to offset caregiving costs.[+5 sentences] I hope that over time, we can look into doing more for caregivers' mental health and financial well-being, recognising the key role they play. This leads me to my final group – our seniors. Madam, our elders who contributed to Singapore's growth and prosperity today face a different Singapore. Some are struggling with a reality that they did not foresee. While the idea of life after leaving the workforce was perhaps once associated with relaxation, many find themselves battling poor health and limited financial resources. As of October 2024, Singapore has 64,000 older seniors of whom 60% are frail to severely frail and 4% at high risk of social isolation.[+6 sentences] A 2023 study by the Singapore Management University's Centre for Research on Successful Ageing revealed that only half of the respondents surveyed felt there was at least a 50% chance they would have to lower their standards of living. I am also glad that we have geared up to focus on preventive health to encourage longer health spans. We must also extend our reach to those who are isolated, ensuring they have access to the resources they need. Whether that means bringing services to their doorsteps or encouraging them to come out and participate in more inclusive community activities, outreach efforts cannot be touch and go as some seniors may be tentative at first. I hope we can find solutions to offer active ageing programmes, mental health services and daily rehabilitative exercises to our seniors in private estates, where the space to build centres is often difficult to find. I would love to see an active ageing centre in a park or utilise a container concept, for example. For seniors living in older private estates, extending the Enhancement for Active Seniors programme is a good move and answers the appeal of many of my colleagues and I.[+16 sentences] These seniors may be deemed asset rich but cash poor and feel left out of various schemes. I look forward to hearing more about how the Ministry will be rolling this out and hope we can also increase awareness on support schemes such as the Home Caregiving Grant. Madam, we continue to write our Singapore story in a time where Singapore is becoming increasingly diverse, with many increasingly isolated in our own bubbles. Globally, we see people fragmenting into us versus them. We grow intolerant of different perspectives, focused on the needing to be right and someone else wrong, and in our frustration forget that society is stronger because of diverse views, that the collective pull is stronger than the sum of its parts. Against the odds, we have built a society where different cultures, perspectives and backgrounds have coexisted in relative harmony. Harmony is not the absence of differences, but what prevails in spite of it. Our harmony can only be sustained if we recognise that we are interconnected by the same collective responsibility and have an active citizenry which trusts not just in the Government, but also in each other. I hope that in the spirit of SG60, more can be done to encourage ground-up activities and programmes in local communities and between different groups. A social compact is not something bound on paper, nor does it come with an expiration date after a single Budget cycle. It is a living, breathing commitment – one that transcends generations, upheld by every government and every citizen. Budget 2025 is a reaffirmation of this commitment – a promise that the Government is striving to build a society where every individual can thrive regardless of age and circumstance. It is a call to join hands. For those who laid the foundations of Singapore, for all of us who call this nation home today, and for the generations who will inherit this legacy, we must renew our shared promise and reignite the Singapore dream – to protect and steward the progress we have made, to provide stability and security, even in the most uncertain times, and to break new ground so that future generations can dream even bigger than we ever thought possible. This is the vision that we carry forward for Singapore's future. I look forward to participating in the COS debates.
Mdm Deputy Speaker6 words
[+1 sentence]Senior Minister of State Desmond Tan.
The Senior Minister of State, Prime Minister's Office (Mr Desmond Tan)2647 words
[+7 sentences]Mdm Deputy Speaker, this year's Budget arrives amid significant uncertainty for both businesses and for our people and workers. On the union ground, we see a mixed picture. On the one hand, some companies are hiring. On the other hand, companies are also doing restructuring and laying off employees. For example, the aerospace industries, while seeing a robust recovery since COVID-19, are also grappling with some of the increase in operational cost as well as difficulty in hiring people. In the service sector, unions have reported a more cautious outlook in the domestic F&B as well as retail sectors, citing increasing operational costs as well as competition with our neighbouring countries. Even manufacturing companies in some unions are taking a wait-and-see approach, depending on how international trade and tariffs pan out. On the workers' front, while two thirds of the workers that we surveyed express satisfaction with their wages, welfare and work prospects, one in three also fear job losses within the next three months. Cost of living remains a top concern, with food, healthcare, groceries and utilities ranking as the top four worries in our survey.[+13 sentences] It is therefore reassuring to see a responsive Budget this year that empathises with what our people and our businesses are going through on the ground and tackles them head on. But more importantly, I feel it is also a responsible Budget because it presents long-term strategies for our businesses and our economy, ensuring that they remain competitive and our workers' skills remain up-to-date and relevant. The Prime Minister in his speech mentioned that to achieve 2% to 3% annual growth will require us to continue to uphold some fundamentals. One of them is to deepen the tripartite partnership as a cornerstone of economic stability. As Singapore approaches SG60, it is a fitting time to reflect on the pivotal role that NTUC plays in fostering industrial peace and economic stability and in promoting workers’ welfare. Born in the turbulent 1960s, NTUC emerged as a unifying force amidst chaos, rallying unions to prioritise long-term interest and stability over short-term disruptions and gains. Despite being outnumbered by pro-communist unions, NTUC, under leaders like Devan Nair and Ho See Beng, focused on workers' welfare, eventually winning over unions and laying the groundwork for industrial harmony. Post-Independence, NTUC played a critical role in navigating crises like the British military withdrawal, persuading workers to accept difficult but also necessary changes, such as the Industrial Relations (Amendment) Act, which prioritised stability and investment for the long-term good of Singapore. The 1969 Modernisation Seminar marked an important turning point, redefining unions as partners in progress and establishing Singapore's unique tripartite model. Though the COVID-19 crisis seems like a distant memory, it was a severe test of our tripartism. Both our workers' lives and livelihoods were in great danger. NTUC was at the very forefront, securing job stability, wage support and training opportunities for thousands and thousands, particularly in the aviation and aerospace industry as well as retail and for self-employed persons. In a recent media article titled "Do Singapore Unions have a PR problem?", my unionists and I acknowledged the image issue that NTUC has and the scepticism shared among some members of the public towards the Labour Movement in view of a spate of high profile layoffs in 2024. In that very same article, CNA reported about 2,000 dispute cases that were handled by unions in 2022 and 2023 as well as about 3,000 by the Tripartite Alliance for Dispute Management in the same period.[+5 sentences] While some of these cases were addressed publicly, the majority, in reality, was negotiated behind the scenes. After spending nearly three years in NTUC and working alongside many, many union leaders and staff, I am really in full admiration of the relentless, often behind-the-scene, and effective work that goes on and is put in by our union leaders and our NTUC staff – unheralded but nonetheless vigilant bargaining and consensus building to secure the best outcomes for workers of all collars, ages or nationalities while ensuring at the same time that our business and our economic pies continue to grow and expand. Going forward, geo-economic divisions, economic volatility, demographic changes and technological and sustainability advancements will reshape the global labour market, driving changes in job creation, skill demands and work patterns. In this rapidly changing landscape, one thing is clear – the skillsets that brought us success yesterday may not be sufficient to secure our future. To remain competitive, both as individuals and as a nation, we must embrace a culture of innovation, learning and continuous upskilling. The latest Future of Jobs report indicates that 39% of our current skills will either evolve or become obsolete within the next five years, which is, thankfully, lower than the 44% in 2023 and 57% in 2020, possibly due to more workers having completed training, reskilling or upskilling measures.[+5 sentences] These findings reflect the growing recognition of the value of upskilling and reskilling among workers. I believe our advocacy for greater training opportunities and the support of the Government on this front have yielded positive results. I urge more employers to prioritise training initiatives for your employees. I hope employers should not be afraid to lose an employee because the employee is better trained. It is essential to look beyond the short-term disruptions or losses and invest in the long-term growth and development of all our workers and employees, which ultimately will benefit the entire industry and our economy as a whole. Data from the Infocomm Media Development Authority (IMDA) showed that AI adoption among large enterprises in Singapore rose from 16.7% in 2018 to 44% in 2023.[+22 sentences] For SMEs, the increases are slightly lower, from 3.5% to 4.2%. SMEs cited reasons such as the lack of need for AI due to the scale of their business and perceived high costs of implementation vis-à-vis the return of investment. This raises an urgency for higher AI adoption among local SMEs to reap the benefits of AI and for Singaporeans to be upskilled. The CTC initiative is NTUC's response in 2019 to navigate these rapidly evolving and changing landscapes, supporting our enterprises through enhancing their business productivity and upskilling our workers. A general manager, Chew Zi Xuan, from Chew's Agriculture, a company that is unionised under my union, the Singapore Industrial and Services Employees' Union, said, "The CTC Grant has been a lifeline for us, ensuring that our older employees retained their jobs while receiving training. They have learned to operate new machinery and conduct quality control checks. This support has made our senior employees feel truly valued and empowered." I am always heartened to hear stories of such positive feedback from the employers of how CTCs has not just benefitted their businesses but also their employees. Let me share an example of how concretely CTCs can support enterprises and benefit workers. STMicroelectronics, a global leader in semi-conductors, has been a pillar of Singapore's manufacturing sector since 1969. Operators at STMicroelectronics were required to manually load and unload wafer cassettes, each weighing up to five kilogrammes, throughout 12-hour shifts. The physical strain led to fatigue, slower production speeds and high turnover rates. Recognising the need for change, STMicroelectronics partnered with the United Workers of Electronics and Electrical Industries through the CTC to implement five robotic systems to take over these manual tasks. The results were phenomenal. The robots now operate 22 different machines, running efficiently 24/7, leading to a productivity gain of no less than 10%. But more importantly, workers were not displaced, they were trained in robotic operations, maintenance and Industry 4.0 technologies, preparing them for future higher-value roles. The impact on their growth has been very significant. Operators are now progressing to become technicians, technicians to become assistant engineers and assistant engineers to full-fledged engineers. This structured Career Development Plan ensures that workers experience career progression. The numbers speak for themselves. In the end, 111 employees have benefitted from this initiative, 91 of them PMETs and 20 rank-and-file workers seeing career progression and wage outcomes and directly benefitting from them. We are therefore very thankful for the Government to acknowledge our effort in the CTC and announced a top up of $200 million for CTC Grant in the Budget and also extending CTC Grant 2.0 to support employer-led training that leads to formal qualifications and certifications. Just to give an update, I am happy to update that we had formed over 3,000 CTCs to date, approved more than 480 transformation projects, helped over 7,000 workers receive an average of 5% wage increment above their annual increment or benefit from career development plans or from skills allowances.[+5 sentences] I urge more companies to come on board, to partner with NTUC, to join us on the CTC journey and leverage on the grants available to accelerate your business transformation and upskill your workers. The success of CTCs encouraged us to expand our reach and explore how CTCs can benefit more companies, more clusters or even the entire sector. One such example is the formation of the tripartite partnership between NTUC, SkillsFuture Singapore and one company, ST Engineering. The partnership draws on the synergies between SkillsFuture Singapore's "Queen Bee" programme and NTUC's CTC initiative to deliver comprehensive support for ST Engineering Land Systems and its ecosystem of suppliers in business transformation and workers upgrading. This is also backed by the ST Engineering Staff Union. As a first of its kind partnership, the programme seeks to upskill at least 1,000 workers and about 40 SMEs within the Precision Engineering sector of the ST Engineering Land Systems’ supplier network while building on a robust ecosystem that offers both the breadth and the depth in technology and engineering capabilities.[+3 sentences] This is what the CTC is all about: regardless of whether we are supporting a company or a cluster of companies or a sector, future-proofing businesses while uplifting our workers. Another initiative NTUC have had in place for quite some time to promote upskilling and reskilling is the NTUC-Education and Training Fund Collaborative Fund (NCF) and Union Training Assistance Programme (UTAP) through defraying the cost of training. Unionised companies enjoy an annual $50,000 NCF funding support while union members get to utilise up to $250 or $500 UTAP training credits. From 2022 to 2024, over 75,000 union members have benefited from training through NCF and UTAP, reflecting a 22% average annual growth in skills development.[+5 sentences] One of the workers who benefitted from NCF is Brother Phil, Manufacturing Manager, Operations at Hamilton Sundstrand Pacific Aerospace Pte Ltd. At 35 years old and with 11 years of experience in the company, Brother Phil has always been committed to operational excellence. However, to take his leadership capabilities to the next level, he needed to strengthen his coaching skills, conflict resolution and performance management skills. Through the NCF co-funded training, Brother Phil has acquired new soft skills and enhanced his ability to lead teams, foster a positive work culture, and drive innovation and productivity. In the past two Budget speeches, I have called for greater support for mid-career workers. The Labour Movement is therefore grateful to hear that individuals can apply for the SkillsFuture Mid-Career Training Allowance of up to $3,000 per month for selected full-time courses, and it will be extended to selected part-time courses from early 2026.[+3 sentences] We are hopeful that this initiative will encourage mid-career workers to pursue lifelong training. I feel for this group of workers, partly also because we have quite a number of them in Pasir Ris, who are going through a mid-career transition and experiencing both job placement as well as skills upgrading challenges. I hope that we will continue and NTUC will continue to push for this group to help them pivot their career and also have relevant skillsets to move into a new career. To support workers’ training and employment facilitation, NTUC has expanded in the national personalised placement landscape from two to 27 career and job centres, with around 110,000 jobseekers placed since February 2020.[+17 sentences] We have also developed and are using stronger AI platforms to guide jobseekers in their career search. Ms Angela Guo sought a career switch from F&B to human resources (HR) for better work-life balance and more time with her child. Despite lacking HR experience, she approached NTUC’s e2i for help. Her career coach, Mr Wang, guided her through an employability programme, providing industry-specific mentorship, resume advice and encouragement to upskill. Angela now is pursuing a part-time HR degree and successfully transitioned into a HR role, achieving her goals while building skills for her new career path. Job security is key amid technology and industry changes as it provides the stability and the confidence for our employees and our workers to adapt and to grow. NTUC will continue to support our workers with initiatives to expand training and upskilling opportunities. Mdm Deputy Speaker, allow me to speak in Mandarin, please. (In Mandarin): Mr Speaker, Prime Minister Wong's "Onward Together for a Better Tomorrow" Budget not only addresses current challenges but also establishes long-term growth strategies, helping workers upgrade their skills to prepare for the future and ensuring our economy remains competitive. The Budget has received positive feedback from workers. The Government has introduced various measures to support mid-career workers, platform workers, freelancers, low-wage workers, young workers and families, middle-age workers for their retirement adequacy and help Singaporeans with the cost of living. These measures and schemes have taken into account workers' views and concerns. This year, our economy faces many uncertainties, such as inflation triggered by global situations and the impact of disruptive technologies on companies' manpower needs. On the employment front, businesses are sending mixed signals: some companies are conducting phased retrenchments, while others are actively recruiting. Facing these uncertainties, workers should take the initiative to strengthen themselves and seize economic opportunities. NTUC provides various upgrading and training programmes and I encourage everyone to make full use of them. Since 2019, NTUC has promoted the establishment of the Company Training Committee (CTC) within companies, to enhance employee skills in a targeted manner and facilitate transformation. To date, NTUC has helped establish over 3,000 CTCs and funded 480 training programmes. This year, the Government announced an additional $200 million to support the CTC initiative.[+14 sentences] We hope that more employees will initiate CTCs to upgrade their skills and strengthen their ability in the future economy and enterprise competitiveness. Another initiative is the NTUC-Education and Training Fund Collaborative Fund (NCF) and the Union Training Assistance Programme (UTAP). Companies that join the union can receive up to $50,000 in NCF funding annually to support training programmes, while unionised employees can receive UTAP training subsidies of $250 or $500. Fellow workers, these programmes and subsidies are tailored for you, so please make good use of them to upgrade your skills. As the saying goes, "30% is destiny, and 70% is hard work". This hard work includes constantly seeking innovation and change, and learning new skills. Those who strive and learn will win. Let us unite, continue to work hard, upgrade ourselves and create a better future! : As we look ahead, the challenges of the next decade will be unlike those we have faced before. Yet, the strong foundation of tripartism built by generations of government, employers and union leaders, are well-equipped to navigate this future. NTUC and the Labour Movement remain steadfast to support all our workers. Whether you are a delivery rider battling the elements on the streets or a mid-career professional adapting to AI, or a senior worker seeking renewed purpose, the Labour Movement fights tirelessly to uplift your voice, to secure your livelihood and to future proof your potential. Because when workers win, Singapore wins. And on this momentous year of SG60, in solidarity with our tripartite partners, the labour movement will march forward with our workers for our country, Singapore. Mdm Deputy Speaker, I support the Budget.
Mdm Deputy Speaker3 words
[+1 sentence]Mr Keith Chua.
Mr Keith Chua (Nominated Member)2157 words
[+13 sentences]Mdm Speaker, in his Budget Speech, the Prime Minister reminded us of how far we have come as a nation since our Independence 60 years ago. We have moved from third world to first world and we have seen our economy improve from a state of bare survival to one of resilience. Most of us have our basic needs met in housing, education, healthcare and employment. Despite the continuing global and external uncertainties, we are well positioned to face these challenges together. Our multiracial and multi-religious society remains cohesive and harmonious and we continue to enjoy political stability, peace and security despite external tensions. We must treasure all this and preserve what has taken decades to build. I described last year’s Budget under three broad themes. Firstly, being faithful in stewarding our limited resources from our fledgling state and seeing this steadily grow to our current levels. In Budget 2025, we continue fiscal prudence and good stewardship. Secondly, continuing to introduce measures and initiatives that were directly targeted at taking care of the welfare of our people, which also includes our foreign workers in our midst. In Budget 2025, we enhance help for many groups. Thirdly, being a blessing to one another, sharing as we ourselves have been blessed and how we have also shared beyond our borders. In Budget 2025, we enhance the spirit of giving. Budget 2025 continues the path forward, deepening and strengthening many areas covered from last year's Budget. It is commendable that we managed to achieve much through last year's Budget and still end the fiscal year 2024 with an estimated surplus of $6.4 billion. Similarly, Budget 2025, with extensive immediate support initiatives and significant longer-term investment for our future, is forecast to end with another surplus of $6.8 billion.[+28 sentences] This year’s forecast surplus is extremely helpful to navigate local and global uncertainties should the need arise. Mdm Speaker, we continue to look at measures to support all Singaporeans and work toward the commitment that no one is left behind. May I declare my interest as a board member of two social service agencies in mental health services, suicide prevention and also on a working group on Project Hayat. Budget 2025 will enable many to continue to thrive and, at the same time, move others forward to not just survive, but also to thrive. Nevertheless, we need to recognise there remain vulnerable groups that our current and future policies need to address. Let me start with persons with disabilities and special needs, including autism. This Budget provides for avenues of support for such persons post-18 years of age and, more specifically, in the area of employment. However, we must also find avenues for those who may not be in a position to work. These individuals also deserve to have access to an acceptable level of quality of life. It would not be appropriate to see them as a burden to society just because they may not be considered economically productive. Persons with mental illness are also a broad vulnerable group. Much has been debated in this House on mental health and well-being and the many interventions we have and continue to introduce. In previous speeches, I have put to this House specific consideration for better employment support for persons in recovery from mental illness. Would the Government reconsider the position for support for persons in recovery both by way of some form of disability allowance or support during treatment and rehabilitation when they are unable to work and be gainfully employed, particularly if their financial situation warrants such support? In addition, would the Government reconsider support for employers of persons in recovery in ways similar to the Enabling Employment Credit and SG Enable grants as it relates to persons diagnosed with a mental health condition? And here I would just like to add my appreciation to many employers who are already providing this support by employing persons in recovery. In some cases, the mental illness may be so debilitating that these individuals require a very long recovery time. Can we better support them, so no one is left behind? This Budget continues the advocacy for lifelong learning. Should we take a closer look at the options and consider where we may need to tailor these for vulnerable groups so that they, too, can benefit? Persons with intellectual disability or autism may need tailored courses in their adult life. Some may need to, or desire to, to reskill. I hope we will provide these options, especially where the levels of learning may need to be moderated. In other words, Mdm Deputy Speaker, may I suggest we provide or expand appropriate skills and other courses for these special groups? I am pleased to see the inclusion in the support of caregivers. I hope we will comb through all caregivers progressively and comprehensively and, over time, give them the necessary support. Mdm Deputy Speaker, I would now like to address the issue of suicide prevention and support for individuals and families affected by suicide. Suicide is tragic and a most painful encounter, whether by family, friends or communities. In 2023, based on statistics from the Samaritans of Singapore, we lost 322 lives to suicide. It is the leading cause of death for those aged between 10 and 29.[+12 sentences] There is also the increased risk of suicide amongst the elderly. Suicide cuts across all age groups and all strata of society. One suicide affects many, many others, including family, friends and communities. There are many who attempt suicide and need support. Families and friends who care for individuals with suicidal ideation also need support and help. Project Hayat is a community-led effort guided by a work group comprising policymakers, suicide experts, researchers, community workers and helping professionals, religious leaders, corporate leaders, representatives from the media, and people whose lives have been impacted by suicide. Project Hayat presented a White Paper to the Government in late-September 2024 covering 23 recommendations for a national suicide prevention strategy in Singapore under the S.A.V.E.L.I.V.E.S framework, using the acronym, each highlighting a specific course of action. The research conducted for the White Paper included direct interviews with key stakeholders from countries with national suicide prevention strategies, such as Indonesia and South Korea; focus group discussions with people in Singapore who have been directly and indirectly affected by suicide, including parents, youths, educators, first responders, healthcare and emergency services personnel, religious leaders, media representatives; and the first phase of public consultation with more than 500 respondents sharing their views on suicide and suicide prevention. I understand the Government has provided an initial response to the White Paper through the Minster for Health. The paper identified several vulnerable groups. I will expand on three of these groups. First, the youths and adolescents as a vulnerable group. According to data from SOS, as mentioned earlier, suicide remains the leading cause of death for nearly 30% of young people aged between 10 and 29 over the last five consecutive years.[+1 sentence] This is until 2023. Based on a study of 221 patients aged between 10 and 19 who were presented to hospitals’ emergency departments for suicidal or self-harm attempts in 2021, not all adolescents at risk of self-harm and suicidal behaviours have serious mental health disorders but, instead, have psychosocial problems and emotional regulation difficulties. Of these, only 48.4% of the patients studied had ongoing psychiatric or psychological support.[+11 sentences] More than half of the patients had “ambivalent intent”, that is, confused about whether they truly wanted to end their own lives, which highlights impulsivity and the lack of emotional regulation. The study found a predominance of female patients, in this case, 85.5% over male patients. Hence, focusing on risk factors for females, such as eating disorders and past history of self-harm, can inform risk management strategies in schools and in communities. Second, migrant workers as a vulnerable group. In a 2021 study of non-resident suicides which occurred in Singapore between 2011 and 2014, it was found that most resident suicide cases did not have a known physical or mental health issue, prior to suicide attempts or suicide notes. Based on the analyses of available suicide notes, relationship and health problems emerged as the top two suspected triggers for suicide. The researchers, therefore, hypothesised that the unique situation of working abroad may increase non-residents’ vulnerability in general, while adverse life events, such as relationship and health issues, may be too overwhelming to bear, especially when support services are not readily available and accessible. The third vulnerable group identified in this White Paper, the neurodiverse population, I will just share an anecdote from the parents who lost their child who had autism spectrum disorder (ASD) to suicide and recounted this in the focus group discussions: “I don’t think he can understand why he cannot seem to get along as well with other children as maybe his classmates can, so I think there’s also the feeling of rejection…. I always thought that if he had managed to live to COVID, perhaps he would still be alive, because we are all just in our safe little space, he doesn't have to go out and socialise. I always wish that he had that two extra years, just didn’t happen.” Three other vulnerable groups identified in the White Paper include the elderly, caregivers and lesbian, gay, bisexual and transgender (LGBTQ) community. Recommendations for vulnerable groups in the White Paper include strengthening governance and policy, involving communities of people at risk of suicide and those with lived experience of suicide in all aspects of policymaking and implementation of suicide prevention policies.[+9 sentences] A key feature of suicide prevention efforts across the world is to ensure that people who have been affected by suicide are involved in all aspects of suicide prevention, including policymaking, implementation, research and advocacy. Involving individuals who belong to communities at greater risk of suicide, survivors of suicide, and those who have lived experiences of suicide is essential in bridging gaps in suicide prevention. We need to value data and research: investing in research on the upstream determinants of suicide amongst the vulnerable groups, and to conduct further research to determine additional priority groups in Singapore. There is a strong link between upstream factors and social determinants that heighten suicide risks among vulnerable groups and those who are experiencing loneliness or hopelessness in their lives. More research is required on priority populations that are at greater risk of mental health challenges, self-injury or suicide and to develop evidence-based interventions that are tailored for these respective communities. Another recommendation is to involve families and communities: strengthening family support initiatives to manage mental health and suicide prevention, and strengthening collaboration with religious and community leaders. Family-focused programmes should be developed to equip families with the knowledge and skills to recognise early signs of distress, facilitate open and supportive communication, and offer practical strategies to assist loved ones facing mental health struggles. As trusted figures within communities, religious and community leaders hold significant influence and are often seen as sources of support and guidance, making them well-positioned to promote mental health awareness and reduce the stigma surrounding suicide. Leaders can foster an environment of compassion, understanding and acceptance to reduce stigma, as well as play a key role in identifying individuals at risk and providing timely support. Support schools and educators and, here, more specifically, to adolescents: establish suicide prevention protocols in schools for suicide prevention, crisis response and postvention support. In focus group discussions conducted under Project Hayat, participants have expressed concern that school staff, counsellors and teachers may be insufficiently equipped to provide psychological support or conduct suicide risk assessments for students in need. It was also found that many educators may lack the necessary training to identify warning signs, manage crises or intervene effectively in suicide-related situations, leaving a critical gap in the support network for vulnerable students. By developing and implementing clear protocols and comprehensive training programmes, schools can ensure that educators, school counsellors and students are better prepared to respond to suicide risks.[+7 sentences] And this would involve equipping school staff with the tools to recognise early signs of distress, intervene appropriately, and provide ongoing support to students facing mental health challenges. Mdm Deputy Speaker, as this is a Budget for all Singaporeans, we must continue to find ways to adequately support the many vulnerable groups where these are not yet in place. I have covered those with mental health conditions, persons with disability and special needs, caregivers and proposed for more to be done to prevent suicide. We will need to work together, Government and society, to ensure no one is left behind. I would like to conclude on the spirit of giving and the increased support in the Budget to encourage a generous society. Many large charities today started small. Just like our nation, this will have taken time, most likely decades of tireless efforts of dedicated individuals and the supporters, including Government and private donors —
Mdm Deputy Speaker17 words
[+1 sentence]Mr Chua, you have one and a half minutes, so I would ask you to round up.
Mr Keith Chua158 words
[+2 sentences]Okay. Our charities, both large and small, continue to form part of our social support network, providing daily care to many beneficiaries. Many smaller charities will find funding a continuing challenge. Smaller charities will be essential to address gaps as we work towards the objective of caring for everyone who needs help. I hope the three groups mentioned by the Prime Minister, the Community Chest, the Collective for a Stronger Society and the President's Challenge will find ways to channel this increase in resources to some of the smaller charities who will be essential in ensuring that no one is left behind.[+1 sentence] We are an increasingly caring and generous society. The multiplier effect when everyone who can, gives, will be extraordinary. I hope future Budgets will continue to nurture the spirit of giving and see greater collaboration between public and private initiatives that will ensure that no one is left behind.[+1 sentence] Mdm Deputy Speaker, I support Budget 2025.
Mdm Deputy Speaker5 words
[+1 sentence]Mr Mohd Fahmi bin Aliman.
Mr Mohd Fahmi Aliman (Marine Parade)1552 words
[+12 sentences]Mdm Deputy Speaker, this year's Budget, themed "Onward Together for a Better Tomorrow", reflects our collective ambition to build a more inclusive and resilient society, as Singaporeans contend with job insecurity amidst rising costs of living. It is a Budget that prioritises uplifting all Singaporeans, including our lower-wage workers, by strengthening social safety nets and ensuring sustainable economic growth. As we move forward, it is crucial to reinforce our commitment to these workers, ensuring that they receive fair wages, improved working conditions and the respect they deserve. Singapore's approach to uplifting lower-wage workers has never relied on a single measure, but rather a comprehensive suite of interventions, including the PWM, the Local Qualifying Salary (LQS), Workfare Skills Support (WSS) and the Workfare Income Supplement (WIS). These policies form the foundation of our commitment to ensuring sustainable and inclusive wage growth for our lower-wage workers. Today, I want to focus on the following three areas to strengthen the protections for our workers, especially lower-wage workers: one, enhancing Workfare to boost retirement adequacy of older lower-wage workers; two, improving working conditions for lower-wage workers, especially outsourced workers; and three, empowering workers via M3 Focus Area 4 (FA4). As economies evolve, workers, especially those in lower-wage roles, must be empowered with better protections, stronger financial security and opportunities for long term stability. Enhancing Workfare schemes can provide older, lower-wage workers with greater retirement adequacy, ensuring that they can transition into later years with dignity. At the same time, improving working conditions, particularly for outsourced workers, is crucial to fostering fair and sustainable employment practices. Together, these focus areas aim to build a resilient and inclusive workforce that can thrive in a rapidly changing economic landscape. Let me commence by focusing on two key pillars of support, LQS and WIS, and examine how they can be further strengthened to better support our workers in the years ahead. WIS plays a crucial role in supplementing the income and retirement savings of lower-wage workers while encouraging regular employment. I appreciate the Government's commitment to continuously enhance WIS. This year, WIS payments will increase to $1.4 billion, benefitting half a million lower-wage workers.[+4 sentences] I am also heartened to note that most of these enhancements are targeted at vulnerable groups, such as our older workers and PwDs. As the Government regularly reviews Workfare, I seek an assessment of how effective WIS has been in improving the wages and retirement adequacy of lower-wage workers in Singapore. We must also do more to secure the long-term financial well-being of our older lower-wage workers. Many lower-wage workers retire with significantly lower CPF savings, affecting their ability to afford healthcare and daily necessities in their later years. WIS payments increases with age, but currently max out at 60 years old, even though many workers continue working well beyond that.[+4 sentences] I urge the Government to introduce additional age tiers beyond 60, with progressively higher WIS payments, to better support older workers who remain active in the workforce. Additionally, the minimum WIS payout, in both cash and CPF, is just $10 per month. Given the rising costs of living, I urge the Government to review and raise this amount to provide more meaningful support for workers. LQS ensures that local workers are employed meaningfully, rather than on token salaries for firms to access foreign workers. It serves as an important wage floor, ensuring that lower-wage workers receive a minimum level of pay across various sectors. We appreciate the Government's efforts in increasing the LQS to keep pace with rising local wages, such as the recent increase from $1,400 to $1,600 announced in Budget 2024, with the LQS threshold for part-time local employees raised to $10.50 per hour.[+8 sentences] Therefore, I call on the Government to update on the effectiveness of LQS since it was introduced and whether its implementation has led to unintended consequences, such as job losses. In particular, I hope that LQS has truly contributed to raising wages for lower-wage workers across the board and that the data does reflect this desired trajectory too. Relatedly, it would be helpful for the Government to clarify its broader policy approach towards LQS implementation. For instance, the wage percentile of which LQS should be set at to effectively support our resident lower-wage workers while balancing against business costs and sustainability. While we have made progress in uplifting wages, we must ensure that lower-wage workers have good working conditions and are not taken advantage of. One critical issue is the need for proper, accessible rest areas for outsourced workers, such as the cleaners and security officers. Many of these workers still struggle to find adequate spaces to rest during their breaks. The lack of rest areas can result in them working beyond their maximum cap of overtime, which is 72 hours every month for security officers. In 2021, I raised this issue in the House and, in the same year, the WorkCare Grant was introduced by MOM to provide financial support for companies setting up rest areas for outsourced staff. However, applications for the Grant have closed since 31 August 2023.[+4 sentences] I ask the Minister for Manpower whether a review of the criteria and eligibility for the WorkCare Grant has been conducted? Would the Government consider upstream policy measures, such as exempting dedicated rest areas for outsourced workers from the Gross Floor Area (GFA) calculation for new developments? This could incentivise building owners and developers to incorporate proper rest facilities at the planning stage. Another persistent issue is the leave resetting for outsourced workers. The MOM statistics show that 18,800 full-time resident employees in their first year of employment are receiving only seven days of paid annual leave.[+1 sentence] Many of these are lower-wage and outsourced workers, such as cleaners and security officers. For outsourced workers, each time a service buyer changes contractors, their leave entitlements may be reset, even if they continue in the same job, at the same site.[+1 sentence] This creates instability, as workers may repeatedly lose accrued benefits despite continuing in the same role. Although tripartite advisories encourage continuity of benefits, they appear insufficient. I call on the Government to work with NTUC and our unions to conduct a thorough review of leave resetting for outsourced workers and explore stronger measures to protect them from unfair disadvantages.[+15 sentences] Mdm Deputy Speaker, allow me to speak in Malay, please. (In Malay): The evolving global economy and rapid technological advancements demand that we equip our workforce with the necessary skills and career mobility to thrive. Focus Area 4 (FA4) on Employment and Employability of M3 provides a structured framework to achieve this goal through several strategies. First, FA4 connects workers by facilitating access to job openings, understanding industry needs and providing career guidance. It ensures that individuals are matched with suitable career pathways for long-term growth, not just filling job vacancies. Through initiatives, such as job fairs, career counselling, workshops and industry partnerships, we can help workers transition effectively into sustainable employment. Second, skills upgrading and lifelong learning are key. In recognising that the skills required in today's economy are constantly evolving, especially in the green, digital, and care sectors, we must empower individuals to adapt to changing job requirements and remain competitive in the workforce. Training programmes and upskilling initiatives must be designed to bridge skill gaps and prepare workers for emerging industries. FA4 also focuses on helping individuals navigate changes and build resilience. This includes digital literacy training, promoting competencies relevant to the digital economy and providing support for workers transitioning to new industries. Allow me to outline our key priorities which will focus our efforts and resources on three crucial workforce groups namely: platform workers, mid-career switchers (PMEs) and senior workers. These three groups represent vital segments of our economy, each with unique needs and challenges. We recognize the valuable contributions of platform workers, the potential of our PMEs navigating career transitions and the wealth of experience that our senior workers bring. It is imperative that we support and empower each of these groups to thrive in our evolving economic landscape. As part of our efforts to ensure the success of FA4, I call on the Government to continue strengthening support for skills upgrading, job placement initiatives and career transition programmes.[+12 sentences] By doing so, we can future-proof our workforce and ensure every worker has access to meaningful employment opportunities. (In English): Madam, "Onward Together for a Better Tomorrow" is more than just a theme; it is a vision for an inclusive and progressive Singapore. This year's Budget lays a strong foundation for uplifting lower-wage workers, strengthening retirement adequacy and improving working conditions. It also reinforces the values of dignity, respect and fairness for all workers, regardless of their job. Beyond lower-wage workers, the Budget also addresses the needs of families, businesses and our economy, ensuring that Singapore continues to thrive in a rapidly changing world. It is a comprehensive plan and supports many facets of our society. With unwavering dedication, the NTUC stands ready to champion the needs and the interests of our Singaporean workers. NTUC continues to advocate for our lower-wage workers, to better their lives and livelihoods. NTUC cares and is taking action to enhance their working conditions and welfare. Because every worker matters. Rest assured, NTUC will take action for you and with you. For these reasons, Mdm Deputy Speaker, I support the Budget.
Mdm Deputy Speaker3 words
[+1 sentence]Mr Gerald Giam.
Mr Gerald Giam Yean Song (Aljunied)984 words
[+8 sentences]Mdm Deputy Speaker, many mid-career professionals, managers, executives and technicians (PMETs) are under pressure. Some are in industries that are shrinking or being disrupted, where jobs are disappearing faster than new ones are created. Others see their roles changing because of automation or AI. Some even face the anxiety of being told to reapply for their own jobs as part of restructuring exercises, effectively forcing them to compete with their colleagues or external candidates for roles they have already been performing. Such practices not only create stress and uncertainty but also serve as a way for companies to bypass retrenchment obligations while reshuffling their workforce. While overall employment levels have continued to rise in tandem with the growing population, some displaced workers face difficulties transitioning into a new job at the same skill level and salary. Many struggle to break into growth sectors despite efforts to reskill, as employers often favour candidates with industry-specific experience or are younger. While most employers prioritise merit, some hiring processes may still be influenced by informal networks, creating additional challenges for mid-career jobseekers trying to break into new industries. The Labour Force 2024 Report showed that some 41,200 PMET residents are unemployed and, of these, 10,700 have been unemployed for more than six months.[+11 sentences] The data also shows that long-term unemployment affects PMETS more than non-PMETS. These PMETS are workers who have spent decades in their industries, built up expertise and contributed to the economy. Many have significant financial responsibilities, including housing loans, children's education and elderly parents to care for. When these PMETS get retrenched or step away from the workforce for a period due to caregiving responsibilities, re-entering the job market becomes a daunting challenge. Even those who are currently employed may be preoccupied with day-to-day operational work and get blindsided by technological changes that make their skills obsolete. A worker who has spent years in corporate operations, for instance, may find it difficult to transition to a technology-driven role without a structured pathway to bridge the gap. Even if they secure interviews, they are often offered roles at significantly reduced salaries, making it difficult to maintain their financial obligations. Some are forced into contract or gig work, with little stability or opportunities for development. The longer they remain unemployed or underemployed, the harder it becomes to re-enter the workforce, as employers perceive them as outdated or overqualified, rather than seeing the value of their accumulated skills or experience. Some may drop out of the workforce completely after years of discouragement. The Government has introduced several schemes to help workers upgrade their skills and transition to new jobs. The SkillsFuture Level Up programme provides Singaporeans aged 40 and above with $4,000 in SkillsFuture credit, along with a training allowance of 50% of their average income over the latest available 12-month period, capped at $3,000 a month for selected full-time courses and $300 a month for selected part-time courses. The Skills Future Jobseeker Support scheme, which bears similarities with the Unemployment Insurance schemes proposed by the Workers' Party since 2006, will also offer financial support of up to $6,000 over six months for involuntarily unemployed workers taking part in job search or related activities.[+10 sentences] On top of that, career matching services run by Workforce Singapore and its partners help jobseekers refine their resumes and prepare for interviews and, in the future, as announced in this Budget, there will be an expanded network of job placement centres at all CDCs. These are important steps, but more needs to be done to ensure mid-career workers secure meaningful employment. Training and reskilling alone do not ensure job placement. For mid-career workers facing immediate job displacement, waiting years for the benefits of these programmes to materialise is not a viable option. Many are unable to afford the temporary drop in income that often comes with switching sectors, often making it difficult for them to commit to full-time training programmes. While some industries are shrinking, others, including healthcare, sustainability and advanced manufacturing, are expanding. Mid-career PMETs should have clearer pathways to transition to these high-demand sectors through structured job placement and industry partnerships. The Career Conversion Programme (CCP) is designed to help mid-career individuals transition into new jobs or sectors with better long-term prospects through training and salary support. This is a well-intentioned programme. However, there still remain deeper structural barriers that make it difficult for these workers to secure new jobs at comparable skill levels and salaries. The CCP requires employers to hire the workers before they can receive training, presenting the same barriers for jobseekers who are already struggling to get past the initial job screening process.[+3 sentences] We need a more structured and targeted job placement programme, where mid-career jobseekers can have their applications and CVs reviewed and refined by specialists in their field. These specialists can then actively match and recommend them to employers, including those enrolled in the CCP, increasing their chances of securing a placement. Once hired, these workers can then benefit from the CCP to receive the necessary training and salary support for a smoother transition into their new roles. Additionally, WSG can introduce structured returnship programmes to help professionals re-enter the workforce after a career break, whether due to retrenchment or caregiving responsibilities. Unlike the CCP, which requires career conversion, these returnship programmes would provide a pathway to employment and mentorship, allowing mid-career professionals to rebuild industry-relevant experience without starting over at entry level positions.[+3 sentences] Mdm Deputy speaker, mid-career and older PMETs need more structured redeployment pathways and stronger financial support for career transitions. They have spent years contributing to the Singapore economy. Many have built businesses, trained younger colleagues and helped shape their industries. Our nation and our economy cannot afford to overlook the experience and skills of these workers.[+2 sentences] Let us give every Singaporean who wants to work, retrain and contribute, the best possible chance to do so. Madam, I support the Motion.
Mdm Deputy Speaker3 words
[+1 sentence]Mr Derrick Goh.
Mr Derrick Goh (Nee Soon)1782 words
[+10 sentences]Mdm Deputy Speaker, before I start, I would like to declare that I am the Head of Group Internal Audit at DBS Bank. Mdm Deputy Speaker, Budget 2025 is a critical opportunity for Singapore to chart our course ahead amid an increasingly complex environment. It is the second Budget advancing Forward Singapore to renew our social compact for a stronger and more united society, with Prime Minister Lawrence Wong at the helm. By reaffirming Singapore’s resilience and unity as we celebrate SG60, Budget 2025 has outlined key strategies to uplift livelihoods, strengthen our economy and reinforce our social fabric. As Singapore sails ahead in increasingly choppy waters, it is imperative that we remain resilient in uncertainty and find strength in unity. To this end, I wish to highlight three key themes related to Budget 2025: first, upholding fiscal prudence in a volatile world; second, growing Singapore’s economy; and third, doubling down on social resilience and safety. Madam, a key principle of Forward Singapore is about upholding fiscal prudence and responsibility. A recent OECD report commended Singapore’s robust fiscal framework, which has given us the strength to navigate uncertainties more effectively than other nations. Especially for a small country like Singapore, the Ukraine situation is a stark reminder that we can only count on our own people and financial resources in times of crisis. This principle is now set against the backdrop of an external environment fraught with risks, intensified geopolitical rivalry and evolving trade wars. Slower growth is expected in 2025 of between 1% and 3%, reflecting global headwinds and trade uncertainties.[+2 sentences] Recognising cost of living concerns faced by Singaporeans, I welcome the additional measures to provide relief, such as the enhanced CDC Vouchers, as part of the Assurance Package that continues to make our GST scheme a progressive one when viewed holistically. Taken together with the SG60 package, this is akin to a “Singapore Dividend”, where every citizen shares in our nation’s success, with those who need more help receiving greater support. In FY2024, Singapore reported a Budget surplus of $6.4 billion. This was primarily attributed to an unexpected surge in corporate income tax collections, while Budget 2025 expects a surplus of $6.8 billion, driven by higher expected operating revenues, with corporate income tax as the greatest driver at $32.7 billion, or an increase of 5.8% from FY2024.[+9 sentences] Madam, with significant investments required for healthcare for an ageing society and infrastructure development, we must not be complacent and cannot rely on cyclical windfalls. A basic financial planning concept is that in the long run, certain expenditures must be matched with equally certain revenue streams. Hong Kong’s challenges in balancing its budget is due to its narrow tax base and reliance on tax collection from its cyclical real estate sector. To criticise the GST increase because of recent fiscal surpluses misses this fundamental point and takes only a limited view of the overall GST scheme. As a finance professional, the fiscal surplus, whether expected or unexpected, speaks to a prudent and conservative approach, which I believe all sensible financial experts, with a heavy responsibility of a stewardship role, would adopt. It is the basic value system of not spending more than one has. To me, the more important question is how we will use these surpluses to further enhance our infrastructure and capabilities for Singapore to be an even more vibrant financial centre, compelling tourist destination and flourishing metropolis. Beyond Terminal 5, there are many, many exciting plans shared previously that can be accelerated, such as redeveloping Paya Lebar and the Jurong Innovation district, revitalising Clarke Quay and boosting our arts scene to achieve what London is to Europe. I look forward to the Prime Minister’s sharing of his insights on these aspects and would like to ask if there will be enhancements to Forward SG’s plans, given a global landscape that is now more complex than when it was first launched, and what is the Government’s thinking to realise those plans faster. On the topic of projections, the Net Investment Returns Contribution (NIRC) is projected to rise from $24 billion in 2024 to $27.1 billion in 2025, an increase that is higher than the prior year.[+16 sentences] Given prevailing global uncertainties that may slow long-term returns, and the already modest GDP projections for 2025, can the Prime Minister share his insights about MOF’s assumptions on why this is so? Also, if indeed surpluses are expected to continue, are there opportunities to recalibrate the pace and amount of taxation to allow markets to be more efficient, and to ease rent and labour cost pressures while still upholding fiscal prudence? I now turn to growing Singapore’s economy. Madam, an open and vibrant economy underpins our ability to deliver on the Forward SG agenda. It enables job creation, social mobility and sustained prosperity. Hence, I am glad that Budget 2025 has introduced several initiatives to support businesses and enhance our financial markets. SMEs remain the backbone of our economy, contributing nearly half of GDP and employing 70% of our workforce. Beyond financial incentives, it is essential that SMEs are uplifted with the know-how in the advent of AI and have a clearer commitment and path towards sustainability. Workers, too, need to adapt as the world rapidly transforms. While Singapore has made strides in digital adoption, many SMEs still face resource constraints and expertise gaps. On this note, can the Prime Minister provide assurance on stronger safety nets to support SMEs and workers who face challenges in keeping pace with technological advancements? Aligned with Forward SG’s plans, how may we better ease such anxieties and increase effectiveness in upskilling? At the upcoming COS debate, I plan to seek clarifications if more support will be provided to SMEs to accelerate AI adoption, develop customised AI solutions and facilitate collaborations with research institutions to pilot new innovations. On sustainability, while Singapore is committed to achieving net-zero emissions by 2050, we must balance this with shifting economic and political realities. Significant changes in global trends, including the US’ withdrawal from the Paris Climate Agreement and major banks pulling out of the Net-Zero Banking Alliance, highlight the complexities of decarbonisation commitments. While I agree with the Government’s directions to play our part to decarbonise, global developments are confusing. With Singapore’s carbon tax slated to increase from $25 currently, to up to S$80 by 2030, this will also increase business costs.[+4 sentences] Businesses will wonder if these costs will eventually pay off, in the face of mixed signals on the world’s fight against climate change. Against this shifting backdrop, can Government clarify its stance on our green transition; whether there will be a recalibration to our earlier planned pace and trajectory so that SMEs can manage the associated costs better and be incentivised to progressed on their decarbonisation journey? I will at COS, seek additional support for business to do so and clarifications if revenues collected from carbon tax will be reinvested to assist SMEs in adopting decarbonisation practices. In strengthening financial markets, I strongly support the Government’s moves to revitalise the Singapore Exchange (SGX) to further enhance our status as an international financial centre. The recent Monetary Authority of Singapore announcement of the $5 billion Equity Market Development Programme is a welcomed move.[+9 sentences] However, I strongly advocate the adoption of an ecosystem approach in this endeavour. This could include: one, plugging in specific high-growth sectors that the Government is already supporting, like pharmaceuticals, biotechnology and precision engineering; two, encouraging Singapore-based flagship companies, or companies owned by Singaporeans or new Singaporeans who are on the Forbes list, to list or dual-list on SGX; and three, urging family offices and high-net-worth individuals to list or dual list their businesses. Singapore must also stay flexible to seize emerging opportunities amid volatility. The Johor-Singapore Special Economic Zone exemplifies this strategic flexibility, aiming to enhance economic resilience and deepen bilateral relationships. However, we must ensure this collaboration does not compromise Singapore's competitiveness. Learning from the experience of Hong Kong and Shenzhen, the Johor-Singapore Special Economic Zone should complement Singapore's strengths, so that it is a win-win situation for both countries. Madam, Forward SG is about strengthening our social compact and also ensuring that all Singaporeans feel secure and are cohesive. Today, threats such as scams, drug abuse, fire hazards and radicalisation pose growing risks to our communities. While our nation remains one of the safest in the world, recent trends highlight areas where more measures are necessary. Scam cases rose by over 10% to nearly 50,000 in 2024, while losses surged by 70% to more than $1.1 billion, despite stronger enforcement and technological safeguards.[+2 sentences] Particularly troubling is that over 80% of scam cases now involve "self-effected" transfers, highlighting how criminals exploit human psychology and AI-driven deception. Similarly, the increasing prevalence of youths’ engagement with harmful substances necessitate stronger mitigating strategies. In 2024, there were 126 new drug abusers under the age of 20 arrested, which is 30% more than 2023.[+17 sentences] This is despite enhanced measures by our agencies. This trend is compounded by the emergence of harmful vapourisers which contain drugs. As youths are the future of Singapore. I urge the Government to step up inter-agency collaborations, such as among the Central Narcotics Bureau, Health Sciences Agency and schools to guide our youths towards healthier paths. Regarding community cohesion, neighbourhood disputes continue to be high, with monthly noise-related feedback at over 2,100, and this number remains more than five times that in 2019. It is deeply concerning that some of these neighbour disputes have escalated into violence, with a few having serious outcomes. This highlights the critical need for robust resolution mechanisms. The passage of the Community Disputes Resolution (Amendment) Bill that has now come into law will strengthen mediation and community engagement efforts. I look forward to its early pilot and hope we can scale the measures island wide faster so more residents and neighbours, including those at Nee Soon, can benefit sooner. Building a safer and more cohesive Singapore is a shared responsibility and I look forward to speaking more on these at the COS debates. Madam, I will now conclude. Amid turbulence, Forward SG charts our path ahead, ensuring that every Singaporean has a meaningful stake in our future. As we mark SG60, Budget 2025 is a reminder of how far we have come as a nation, built on the collective determination of our people. As it is said, we cannot direct the wind, but we can adjust our sails. We can confront challenges ahead with confidence, knowing that Singapore has always found resilience in uncertainty and strength in unity. Let us remain steadfast and bold in shaping a brighter and more inclusive future. Let us move Onward Together for a Better Tomorrow!
Mdm Deputy Speaker3 words
[+1 sentence]Mr Desmond Choo.
Mr Desmond Choo (Tampines)128 words
[+1 sentence]Mdm Deputy Speaker, thank you for the opportunity to join in the Budget debate. This year's Budget is one that truly uplifts all Singaporeans. It particularly places workers' interests at its core, with particular emphasis on supporting households and families.[+1 sentence] In this 14th Term of Parliament, our Government has also consistently kept young workers at the centre of our national policies. We have seen the Youth Panels supported by the National Youth Council give our young people a voice in national discourse. We have witnessed the ITE Progression Award providing graduates under 30 with both career opportunities and financial stability. And we have made significant strides towards becoming a more equitable society, with enhancements to the Workfare Skills Support Scheme enabling lower-wage workers to advance their skills earlier.
[Mr Speaker in the Chair]1364 words
[+93 sentences]Today, I want to focus specifically on how we can better support our youths and young workers. Our young Singaporeans are entering the workforce with promising futures ahead. By many measures, Singapore's economy stands strong. We grew by 4% last year. The forecasts for this year is 2% to 3% growth. And a recent IPSOS global study ranked our youth development as the highest in the world. Our young people are capable, dynamic and engaged. That is something to be proud of. It speaks to the hard work and dedication of the Singaporean people and the investments this nation has made in its future. But behind these statistics, there is another reality we must confront. We have listened to young Singaporeans. More than 10,000 of them shared their hopes and fears with NTUC's Youth Taskforce. Careers are a top concern. And there is good reason for this concern, especially in 2024 and 2025. The Joint Autonomous Universities Graduate Employment Survey revealed that 79.5% of university graduates found employment within six months last year. This is down from nearly 84% one year ago and 94% just two years ago. For our polytechnic graduates, full-time employment has fallen from 60% to 54.6%. But by no means, these numbers are bad. Compared to anywhere internationally, we are still in a good position. But these are not just statistics. Their anxieties are real, these are real lives, real dreams, real futures colored by worries. Indeed, our youths already know and must embrace adaptability and resourcefulness in an increasingly competitive job market. Trends like AI and sustainability will continue to displace existing jobs while creating new ones. Our younger Singaporeans must continuously improve their existing skillsets, even beyond formal education and learn new ones to keep pace with market trends. To ensure our younger Singaporeans thrive in this dynamic environment, we must help them to build a mindset that prioritises lifelong learning and adaptability. As the saying goes, "The future belongs to those who learn more skills and combine them in creative ways." That is why I want to focus on some specific steps we can take to support our young Singaporeans. Take Wen Qi as an example – a young woman who studied business analytics. She shared how she had completed her required internship, but watched as her friends took on two, three, sometimes four internships just to compete for that first job. The anxiety she felt was real – wondering if doing what was expected would still be enough in a world that constantly demands more. Fortunately, Wen Qi found an employer who valued quality over quantity. She is doing well now. But not everyone is so lucky. Youths' internship experiences vary widely, depending on the company’s resources and day-to-day experience with their internship supervisors. These trends illustrate two key issues in the internship space: the availability of internships in the market and the quality of internships that our youths undertake. So today, I am proposing two pathways towards a more hopeful future for our young people. We need not just have more internships but also better ones. Over the years, our system has somehow evolved into one whereby students feel compelled to stack internship upon internship, often delaying their graduation, sometimes working without pay, all in the hope of securing that first job. Internships matter and are important. They open doors. They build skills. They create connections. They allow young Singaporeans to be ready for the workforce. But the measure of an internship cannot just be about that it happened. The measure must be what our young people learnt, how they grew, what doors it actually opened. We will need our industry partners to help even more. Create meaning opportunities for young people. It must also support companies that do right by our students. The Government could boost funding support for Singapore companies to expose young Singaporeans to quality internships, either locally or abroad. These initiatives can build on existing programmes like Enterprise Singapore’s Global Ready Talent Programme. The Government could perhaps also relax its 30% local shareholding requirement to include more MNCs as host companies to increase the number of internships. We can also look towards successful models like Europe's Erasmus Plus programme, which does not just place young people in jobs and internships. It financially supports them while they learn. Next, we need to establish clear standards for these internships. Standards that protect our young people from exploitation or meaningless work and ensure that they are building real skills for real careers. Currently, various IHLs prescribe their own guidelines for students who undertake internships or industry attachments. This include issuing interns a contract of service which lays out key employment terms beyond current workplace protections, establishing standards for internship quality will raise quality across the board and provide interns with a structured learning environment. A national internship standard can define clear internship scopes to ensure structured learning, establish measurable learning outcomes for both hard and soft skills, promote best practices and supervision, mentorship and performance appraisals. We can take inspiration from France, Belgium and Luxembourg's Convention de Stage, which requires internships to have a tripartite agreement between the intern employer and school. NTUC is here for youths, and we are ready to work with tripartite partners to establish these standards. My second proposal addresses an urgent reality. The days of a single career for life are probably over. Our young workers will navigate multiple transitions throughout their working lives. Even young professionals are not spared from retrenchment, as seen in the tech sector in 2023 and 2024. Surveys by NTUC and the Institute of Policy Studies found that younger workers expect to switch careers multiple times, but feel only moderately prepared for it. That means our young people need to be prepared to adapt to learn new skills and to reinvent themselves throughout their careers. NTUC is committed to equipping young workers with the skills they need to thrive in this rapidly changing employment environment landscape. Next month, Young NTUC and Mentoring SG will launch a sustainability mentorship programme to help youths to enter this growing field. However, we will still need broader system systematic support for young professionals facing job disruptions. Early career professionals must be given the opportunity to explore new career interests and take calculated risks such as switching industries before it becomes too late. For example, Luke, a 37-year-old career mentor embodies what is possible when they embrace change rather than fear it. After university, Luke did not stop learning. He used his SkillsFuture credits to earn a graduate diploma in anti-money laundering that helped him secure a promotion. Then, seeing the changing landscape, he took courses in data analytics to transition to a new role. Now, he is planning to master AI and machine learning. Luke did not just adapt to change. He got ahead of it and in doing so, he wrote his own future. But here is the thing: Luke should not be the exception. He should be the rule. I had previously called for Government subsidies for a second degree or diploma. I am encouraged that the SkillsFuture Level-Up Programme now subsidises diplomas and training allowances for mid-career workers. But more can be done for young professionals. That is why I am proposing we expand the SkillsFuture Mid-Career Training Allowance to workers under 40. We should broaden course offerings for Career Conversion Programmes to match growth sectors, like AI and sustainability. We should lower the SkillsFuture credit eligibility age from the current 25. We should expand the use of these credits beyond courses to include career coaching and skills profiling. We will need to help those who are otherwise be on the wrong side of the growth curve, no matter how young or old they are. Our young Singaporeans are the architects of our future. As we celebrate 60 years of Independence, let us recognise that their contributions will define Singapore's next chapter. Young NTUC, marking its 20th anniversary this year, is committed to deeper engagement with our youth. Let us provide our younger Singaporeans with policies, resources and mentorship. The success of our youth is the success of Singapore. Mr Speaker, I support the Budget.
Mr Speaker3 words
[+1 sentence]Ms Jean See.
Ms See Jinli Jean (Nominated Member)2308 words
[+18 sentences]Mr Speaker, I thank the Prime Minister for the comprehensive Budget Statement. I appreciate that Budget 2025 would enhance existing programmes and introduce new initiatives, such as the Large Families Scheme, that respond to Singaporeans' changing aspirations and needs as well as the SG Culture Pass, an ActiveSG credit top-up that will boost interest and careers in arts, heritage and sports. Mr Speaker, I support the Budget. It will set our sails to catch favouring winds as we forge ahead in an uncertain economic climate. Even then, social and economic changes are uneven and unsettling, for vulnerable Singaporeans more so than others. A 2022 Harvard Business Review article on perceived job insecurity among American workers sets the impact in context, "Whether you've been laid off, downsized, forced to take early retirement, or seen contract work dry up, losing your employment is one of life's most stressful experience. Aside from the obvious financial anguish it can cause, the stress of losing a job can also take a heavy toll on your mood, relationships and overall mental and emotional health." In Singapore's context, who are the emerging groups of vulnerable workers where we must lean forward? Two groups come to mind: those who could be hit hard by layoffs when their employers re-organise or restructure and those would be hard-hit by market shifts, such as freelancers and agency workers. Both groups see the same overcast on the horizon – that of possible job loss. Allow me to elaborate. First, those who could be hit hard if companies re-organise or restructure and take the decision to lay off staff. A mother and daughter sat close to me at a crowded food shop. I caught this remark by the daughter, a lady in her thirties. "我最怕的就是裁员", which translates to "I am most fearful of being retrenched." Retrenchment is a heavy topic for mealtime conversations. However, it is a topic that is increasingly par for the course as firms push ahead with merger and acquisition (M&A) and business reorganisation and restructuring. No age group of workers is immune to retrenchment. Quarterly labour market reports for the first to third quarters of 2024 showed that while retrenchment incidence remained the highest for resident workers aged between 50 and 59, retrenchment incidence had risen for those aged between 30 and 39.[+1 sentence] Many of us strive for immunity by working harder, often at the expense of our health. A 2024 survey by health technology provider Telus Health revealed that two-thirds of Singaporean workers showed signs of burnout, particularly those under the age of 40.[+11 sentences] If the Government, employers and unions fail to recognise and respond to the prevalent perception of job insecurity, workers can become increasingly stressed and disillusioned. Second, those who would be hard-hit by market shifts. They include freelancers and agency workers. In July 2024, Hollywood video game performers went on strike to seek fair artificial intelligence regulations for the gaming industry because performers asserted that gaming companies had condoned replicating of performers' likeness and voices without informed consent and fair compensation. Because performers were largely freelancers and paid by the hour, their incomes took a hit when companies reduced contracted hours in favour of exploiting AI as a substitute. If service buyers fail to respect and uphold fair use of AI, creative freelancers will become increasingly vulnerable to diminishing earnings and prospects. Apart from creative freelancers, agency workers could be hard-hit when user firms respond to market shifts. User firms hire agency workers on temporary basis for projects and specific roles where these workers' skills are needed. Many agency workers service hotels, F&B, supermarkets, e-commerce logistics and banks. Unlike in the past, when companies turned to staffing agencies as stop gaps, companies are increasingly hiring agency workers as a shortcut to organisational flexibility and fluidity. In a 2021 article by The Bureau of Investigative Journalism, Matt Creagh, a UK Trades Union Congress employment rights policy officer said, "It's easy for employers to hire agency workers because you don't have the fixed costs of a directly employed workforce and it's much easier to fire an agency worker. You just ring up the agency and say, 'We don't want them coming back in.' If you have an agency workforce, they're more likely to be on the statutory basic terms and conditions – minimum holiday, minimum wage, minimum rest breaks." If user firms and staffing agencies fail to respect and uphold employment regulations and fair employment practices, agency workers will become increasingly vulnerable to decaying skills and being shortchanged in compensation, particularly those who are lower-wage and lower-skilled.[+7 sentences] The pace of change is accelerating and will hit home for workers. How might we lean forward to protect and uplift this emerging vulnerable workforce? Separate reports from the World Employment Confederation and the World Economic Forum's Future of Jobs point to two trends taking root this year: one more companies will strive to build flexibility into the workforce; and two, more companies will seek to exploit AI at functional levels. Together, these trends will disrupt how work is done and valued. Nonetheless, Singapore must press on with innovation and growth to counteract the demographically-driven reduction in innovation. Allow me to explain. In 2010, Japanese inventors were the biggest producers of patents in 35 global industries. By 2021, they only led in three global industries.[+1 sentence] The Economist linked Japan's decline in disruptive innovation to its demographic decline, which, in turn, was an outcome of falling total fertility rate and limited immigration. Turning to Singapore, Singapore's TFR has been falling, from 1.12 in 2021 to 0.97 in 2023.[+5 sentences] Singapore must press on with innovation efforts to counteract demographically-driven reduction in innovation. Innovation raises productivity and, ultimately, standards of living. Budget 2025 is thus progressive yet protective. Progressive, because the Budget allocates significant funds to reinforce innovation and technology as engines of growth for the economy and enterprises. The Budget also offers financial incentives and tax perks that encourage businesses to grow strategically through M&A and significant grants to transform jobs and upgrade workforce capabilities. Together with the $5 billion programme to strengthen the Singapore stock market, Budget 2025 will fuel a dynamic and evolving Singapore economy.[+27 sentences] Protective, because the Budget also allocates significant funds for various employment credit schemes and the Progressive Wage Credit Scheme that reinforce employment of vulnerable segments, including lower-wage workers, senior workers, persons with disabilities and ex-offenders. The Budget also defrays cost of part-time long-form training programmes for Singaporeans aged 40 and above and enhances the training allowance for lower-wage workers. Together with the SkillsFuture Jobseeker Support scheme that was announced in 2024, Budget 2025 will improve employment and employability outcomes for these groups. Nonetheless, the paradigm of job security is changing. Many of us, including the lady I met at the food shop, are still struggling to make sense of it. We struggle because being uncertain about our job security makes us feel helpless. Feeling helpless goes against the ethos of self-resilience ingrained in Singaporeans from young. Our ethos compels us to show that we can deal with all curveballs, to the extent that we might hold ourselves accountable if our jobs are made redundant. Herein lies the paradox of self-resilience. We pride ourselves in taking tough times in stride, but this ease is built up when we endure hardship. It is not easy holding ourselves up when life deals us a low blow that knocks the wind right out of us. Thus, it does not matter whether we lose our jobs because of a layoff or, in the case of freelancers and agency workers, cancellation of assignments. Job loss is a blow that inflicts extended psychological, emotional and financial pain. Because we extol self-reliance, even in such situations, we hesitate to seek help. We can do more to lean forward to protect and uplift Singaporeans who are emerging vulnerable workers. Alongside clarifications, I would like to offer three suggestions of how we could lean forward as a country. First, reframe self-resilience so that seeking help is not a sign of weakness but an affirmation of courage and determination. The experience of losing a job is distressing, especially when dependents look to us for finances, care and support. Some who lost their jobs have to care for aged parents. Some are parents of young children. Would the Government consider applying flexibility to the income criteria of the basket of support for families schemes? This would allow a worker who is involuntarily unemployed or a freelancer who can prove significant loss in average monthly net trade income compared to the past two years to still qualify for the schemes if they fulfil all other criteria sans the income criteria. Doing so could further encourage retrenched workers to apply for the SkillsFuture Jobseeker Support scheme, particularly professionals, managers and executives. It would be helpful if scheme applicants could be concurrently linked with other assistance, such as subsidised counselling support as well as workplace advisory for those who exited on unfair terms. Second, reframe shared accountability so that enterprises and workers are committed to upholding the social compact. For instance, agency workers often slip beneath the radar when it comes to upskilling. Because agency workers are hired by staffing agencies but report for work at user firms, agency workers' training needs are often overlooked. Without support and paid time-off to attend training, agency workers could suffer from skills decay and these workers could become less and less valued by the market. I appreciate the Government's allocation of the additional $200 million to NTUC's Company Training Committee Grant (CTC Grant) to help more companies transform and upskill their workers.[+5 sentences] Nonetheless, as a unionist interacting with firms, I observed that firms expressed enthusiasm when discussing the use of the CTC Grant for new systems or technology but needed more persuasion when the union broached job redesign or training. In response, I share my takeaway from the book "Good to Great" by business researcher Jim Collins. Grants can help firms to bring in the right technology to jumpstart productivity. To scale and sustain, businesses must "have the right people on the bus". My pitch to bosses: tap on the CTC grant. Work with unions to power a flywheel of momentum that strengthens the people who will build your business with you. Thus, would the Government consider adopting the CTC approach for grant programmes managed by sector agencies?[+9 sentences] Through this approach, we can encourage more firms to practise fair and reasonable employment and hiring, redesign jobs to raise job worth, train lower-skilled workers, including agency workers in the firm as well as start programmes to attract and develop Singaporean talent. Doing so would reinforce shared accountability to develop and value Singapore workers and uplift the workforce across the board. Third, reframe shared responsibility so that the lead Government agencies are motivated to co-shape development roadmaps with unions, employers and relevant fellow agencies as core stakeholders. For instance, as a unionist representing workers in the food sectors, I note that stakeholders in the food sectors must contend with concurrent developments in the food space, such as the new Food Safety and Security Act and developments in the manpower space, such as the Progressive Wage Model for the food services sector, foreign manpower regulations, Workplace Fairness Act and flexible work arrangements. As agencies' priorities do overlap, it would be helpful for lead agencies to engage the core unions and employer groups from the outset when the agencies set goals and design regulatory implementation. Doing so would ensure that workers' interests are equally valued. A similar approach could apply for areas that impact broad swathes of workers across sectors including PwDs, agency workers and freelancers. As the economy evolves, these groups might become even more vulnerable if they lack updated work protection and training. Thus, lead Ministries and agencies could initiate multi-stakeholder workgroups to discuss protection and provisions for emerging vulnerable groups. We could take a leaf from the Government’s approach to platform workers. Then, the whole-of-Government leaned forward for platform workers and rolled out the new Platform Workers Act this year with strong support from platform operators and NTUC’s platform work associations. Platform workers can now be represented, protected and supported. Thus, would the Government consider strengthening legal protection of freelancers and agency workers? Creative freelancers look to the Government to instil in service buyers, respect for creatives’ intellectual property rights and rights to timely payment and fair terms, and to uphold justice if buyers wilfully violate such rights.[+2 sentences] Agency workers too count on the Government to look out for them, particularly those engaged by user firms that fall under the Progressive Wage Model. Strengthening legal protection for these emerging vulnerable workers would provide them with a peace of mind. To further uplift persons with disabilities, would the Government consider increasing the range of accessible SkillsFuture training courses, including guiding training providers to provide reasonable accommodation for persons with disabilities to attend the training?[+7 sentences] To conclude, allow me to share a verse by 19th century American poet Ella Wheeler Wilcox titled “The Winds of Fate”. "One ship drives east and another drives west With the self-same winds that blow. ‘Tis the set of the sails And not the gales Which tells us the way to go. Like the winds of the sea are the winds of fate, As we voyage along through life, ‘Tis the set of a soul That decides its goal And not the calm or the strife." We are at the turning of a chapter in Singapore’s journey. If we unite as a people, SG60 can be one defined by resilience that is empathetic as well as a shared accountability and responsibility for the growth and well-being of fellow Singaporeans, particularly those who are more vulnerable. Whether we are the Government, business owners, employers, unions or workers, the choice is upon us to be the heroes of our own story.
Mr Speaker3 words
[+1 sentence]Mr Patrick Tay.
Mr Patrick Tay Teck Guan (Pioneer)1924 words
[+12 sentences]Sir, I rise in support of Budget 2025. I would like to distil this year’s Budget to what I coin as a 3C Budget – Coping with cost of living; Caring for all with a focus on seniors, families, PWDs and ex-offenders including students; and the third "C" – Catalysing company training and transformation. For the past 60 years, through solidarity with workers, Singapore has overcome economic hardships, achieved higher wages, stronger labour protections and expanded opportunities for all. This unity remains key to our success and shared prosperity. Amidst global trade tensions, rising costs and rapid technological change, we must remain steadfast in our commitment to ensure that no worker is left behind but instead equipped with the skills and protections needed to thrive in an evolving economic landscape. It is therefore critical that this momentous 3C Budget recognises that sustainable growth is only made possible when workers are fairly compensated, their rights are protected, and their well-being is prioritised. To this end, I will focus my speech on what I call strengthening the 3 "Cs": core, competency and capability. First, strengthening the Singaporean Core; second, strengthening the workers' compact; and third, strengthening human capital capabilities. The first "C" – strengthening the Singaporean Core, is a call I have persistently made since my maiden speech in Parliament in 2011. Since then, I have had many conversations with Singaporean workers and have heard their fears and anxieties about growing competition with foreign manpower, especially the PMEs. They worry about job displacement, stagnant wages and having fewer opportunities to advance. These sentiments were echoed during NTUC’s engagements with about 10,000 Singaporean PMEs through the Joint NTUC-SNEF PME Taskforce, which I co-chaired with the Singapore National Employers' Federation (SNEF) in the midst of the pandemic from 2020 to 2021. Over the past decade, I have advocated for a compendium of measures to level the playing field for our local PMEs, including stronger deterrence against errant employers who discriminate against Singaporeans, a foreign PME dependency ratio, stricter Employment Pass application conditions, continuous enhancements to the Fair Consideration Framework, and many others. I am heartened that these calls have been answered through the implementation of the Complementarity Assessment Framework (COMPASS) and the recent passing of the landmark Workplace Fairness Act, which protects workers against the most common types of workplace discrimination, such as age and nationality.[+9 sentences] The Act also strengthens unions’ capabilities to represent our members by conferring an expanded suite of individual remedies and penalties for discriminatory employment practices. The current economic climate is an uncertain one and challenges lie ahead. Last year, we saw many high-profile retrenchment exercises impact local PMEs. Following trends like generative AI and geopolitical turbulence, we can expect the same this year. We must take a proactive approach to protect local jobs and invest in skills training so that our workers remain ready, relevant and resilient. Ready with the new skills, relevant to the new jobs and resilient to the new changes. NTUC has always continued to work closely and do more for PMEs to enhance their job security and ensure fair job opportunities. In 2020, NTUC proposed a Fair Retrenchment Framework outlining three key principles to guide companies on responsible retrenchment practices, the first of which is "Protecting the Singaporean Core" by helping Singaporeans keep their jobs while due considerations are given to foreign workers. This Framework was then incorporated into the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment. Where retrenchment is unavoidable, I strongly urge the Government to take a firmer stance in ensuring that employers not just give early notification to unions and affected workers and compensate them fairly but also prioritise Singaporeans for job opportunities and career support.[+2 sentences] Foreign manpower can help fill critical skill gaps and support sectors facing labour shortage, but we cannot over-rely on external labour. We must also take a concerted effort to build our local bench strength. This means investing in skills training and creating more opportunities for career progression. I therefore welcome the SkillsFuture Workforce Development Grant, the redesigned SkillsFuture Enterprise Credit, and the $200 million top-up of NTUC’s CTC Grant to help companies offset workforce transformation costs and support job redesign. After years of lobbying, I am also glad that more resources will be set aside for schemes that groom Singaporean workers to become leaders in the corporate sector by sending them for overseas work postings and leadership milestone programmes.[+8 sentences] A stronger Singaporean Core means a stronger economy for Singapore, one that is more competitive and less reliant on external labour. Beyond fair opportunities, we also need to ensure quality opportunities for Singaporean workers. This means good wages, good welfare, good work prospects, workplaces free from discrimination and harassment and more meaningful tasks at work so that we fully maximise the true potential of every Singaporean worker. Supporting local employment must be a strategic priority for the Government to help Singaporeans, especially Singaporean workers earn a better living and live a better life. The second "C" I want to highlight is strengthening the workers' compact. In 2023, after a year-long engagement with over 42,000 workers through the #EveryWorkerMattersConversations, NTUC released its renewed workers' compact with recommendations for five groups of workers, including mid-career workers, older workers and vulnerable workers. One of the recommendations from the workers' compact as well as the NTUC-SNEF PME Taskforce was short-term unemployment support for the involuntarily unemployed. I thank the Government for hearing NTUC's call to launch the SkillsFuture Jobseeker Support Scheme, which will support workers in bouncing back from employment setbacks. In NTUC's latest Survey on Economic Sentiments, 34% of workers, including PMEs, expressed concerns about losing their jobs or not having their contracts renewed in the next couple of months.[+8 sentences] Amongst PMEs, those aged 50 to 59 were most likely to be concerned. I therefore continue to call the Government to consider extending the Jobseeker Support Scheme eligibility to mid-career and senior workers in the broad middle. Mid-career PMEs is a worker segment that I have consistently advocated for. This group faces unique challenges but can receive less support from the Government in view of their higher income. Mid-career PMEs often struggle with stagnation in career progression, or job instability as industries transform. While they typically have more dependents to take care of as part of the "sandwiched generation", they can take a longer time to find a new job when they become unemployed. Upon re-entry to employment, there is also an increasing propensity for them to suffer from wage loss. NTUC’s 2022 #EveryWorkerMatters Conversations Survey had revealed that mid-career workers, defined as aged 30 to early 50s, experienced a relatively higher level of anxiety about jobs as compared to younger and older age groups. Despite this, they remained positive about upskilling as an enabler to take up higher-value work. I am therefore happy that the Government has heeded our calls for greater support for mid-career workers through the SkillsFuture Level-Up programme, which offers a $4,000 credit top-up and monthly allowances for those who take time off to pursue full-time training. According to the World Economic Forum, 70% of Singapore's workforce will need to undergo reskilling or upskilling by 2030.[+11 sentences] The same report also found that six in 10 Singapore firms have identified skills gaps as a potential barrier to their business transformation efforts. The SkillsFuture Level-Up programme is thus a positive step towards enhancing career mobility for mid-career PMEs, enabling them to deepen their skills and pivot into new growth sectors. A next step could be expanding career conversion programmes tailored specifically for experienced professionals transitioning into new industries. Workers could also be given the option to tap on SkillsFuture credits for career coaching and mentorship, which would benefit mid-careerists navigating upskilling or a career transition. In this regard, NTUC is innovating, together with PMEs, to tailor support needed for job placements and career coaching. With regard to older workers and vulnerable workers, I recognise the Government’s efforts in enhancing the Workfare Skills Support scheme for lower-wage workers aged 30 and above, as well as the extension of the Senior Employment Credit for older workers, uplifting Employment Credit for ex-offenders and Enabling Employment Credit for Persons with Disabilities. I hope the Government continues to strengthen the workers' compact by empowering these workers in their upskilling aspirations and transition into more resilient career pathways by creating support ecosystems. My third and final "C" is strengthening human capability, which is critical as we adapt to the "new normal" of work. Last Thursday, I had an opportunity to speak to and engage with a group of senior HR leaders and head honchos during an event organised by the Institute of Human Resource Professionals (IHRP). Collectively, we agree that HR and human capital professionals play a vital role in ensuring fair, progressive and responsible practices for their workforce. It is therefore critical that HR professionals are well-equipped with a strong knowledge of not only Singapore’s employment legislation and regulations, but also the Labour Movement, tripartism and wider tripartite framework, including how to build more progressive workplace practices and workplaces that uphold the values of diversity, equity and inclusion. One key recommendation that emerged from the Joint NTUC-SNEF PME Taskforce is to enhance fair employment practices through improving HR standards. I urge the Government to work with tripartite partners to develop requirements for basic HR certification, either by IHRP or other internationally recognised organisations of equivalence.[+6 sentences] This is especially critical for MNCs employing foreign HR professionals who operate within and beyond the Singapore context. Following the rise of Automated Employment Decision Tools (AEDT), which are AI technologies that substantially assist or replace discretionary decision-making in hiring or promotions, I also submit that guidelines or regulations be introduced to ensure companies and HR's responsible use of AI. Measures, such as requiring companies to conduct a third-party bias audit or to disclose where such tools are used to rank candidates or assess employees for promotion or even dismissal, could be considered. In an evolving economic, demographic and regulatory landscape, and after what we witnessed during the pandemic, HR professionals are increasingly playing a strategic role in key business decisions and, hopefully, more in the boardroom as well as in addition to operations and compliance. Strengthening our human capital capability and leadership as well as developing the NextGen HR leadership pipeline not only ensures that businesses attract, develop and retain top local talent, but they also foster progressive and inclusive workplaces that support workers at all levels. In conclusion, I thank the Government for accepting and implementing all of the nine recommendations of the PME task force. To ride the wave of change, be ahead of the curve, and not be hit by curveballs, we need to strengthen the 3Cs – Core, Compact and Capability.[+1 sentence] This is to also reaffirm our commitment to safeguarding Singaporean workers' lives and livelihoods. In the past 60 years, Singapore has stood in solidarity with our workers during times of crisis and change. From industrialising in our early days, to the Financial Crisis in 2008, to the more recent COVID-19 pandemic, we knew that the only way to move forward is to do so as One United People.[+1 sentence] Today, the nature of work, workplaces and workforce have changed. Yet, one truth remains constant – when we invest in and protect and equip our workers throughout life, our entire nation prospers.[+2 sentences] That same solidarity must guide us now as we advance our growth frontier in an inclusive way, so that we move onward together for a better tomorrow. Mr Speaker, Sir, I support the Budget.
Mr Speaker4 words
[+1 sentence]Mr Xie Yao Quan.
Mr Xie Yao Quan (Jurong)2237 words
[+4 sentences]Sir, off the bat, I wish to say this: rather than seeing Budget 2025 as an "election Budget", I prefer to see Budget 2025 as yet another quintessentially "Singaporean Budget" and yet another quintessentially "People's Action Party (PAP) Government Budget" – for this Budget is thoughtful, it is balanced in addressing both current and long-term priorities, it is inclusive and, above all, it places Singaporeans, both born and yet to be born, at the heart of everything this PAP Government does. And just like in previous Budgets, by successive PAP Governments, over the past many decades. We have come to expect our Budgets to look and smell like this, but really, we should never take it for granted. Because it speaks of a special brand of governance and political leadership that we have been fortunate to have here in Singapore, a special political will to do right by our people and a special compact between the political leadership and citizens. It has become quintessentially Singaporean, it permeates all our Budgets, but it is special and, indeed, it is exceptional. This Budget comes on the back of a $6-plus billion surplus for FY2024 and another $6-plus billion in surplus projected for FY2025.[+1 sentence] If elections were really the prime motivation behind this Budget, the Government must be mad to not have spent down more of this surplus on short-term measures, whether cash or vouchers. Instead, the Government has set aside just about $3 billion in this Budget on CDC and SG60 vouchers and just about 5% of the Budget on cost-of-living support measures and the SG60 package overall and left that $13 billion surplus over these two FYs on the table, in an election year.[+13 sentences] Why? I think, very simply, because it allows this Government to achieve a more or less balanced fiscal position, over its whole term of Government, from 2020 to 2025, if we exclude the amount drawn down from past Reserves in this term of Government. The COVID-era Budgets may be quite a distant memory already for some, but back in FY2020, just five years ago, at the start of this Government's term, we incurred an unprecedented deficit of more than $50 billion. Not $5 billion or $6 billion, but over $50 billion in deficit. And then, we ended FY2021, FY2022 and FY2023 more or less balanced. And so, this surplus in FY2024 and the projected surplus in FY2025 – and importantly, excluding the drawdown from past Reserves – taken together, these will really just allow the Government to finish its five-year term more or less balanced. And this is also what successive PAP Governments have committed to do. Therefore, rather than seeing these surpluses as potentially fomenting cynicism amongst Singaporeans, that somehow, the Government has been collecting more taxes and monies than the nation needs, I think Singaporeans can, instead, draw confidence that these surpluses represent this PAP Government's consistency and the will to maintain fiscal prudence over its entire term of Government, across many terms of Government past, and well into future terms of Government, if the PAP were to continue receiving the mandate to form the Government of Singapore. This is how we should be looking at the surpluses for these two FYs. Sir, this is a record Budget, the $143 billion in projected expenditure. So, the amount of resources that the Government is deploying to take care of Singapore and Singaporeans is really not in question. But what is equally important and perhaps more important as we deploy ever more resources, is to make sure that these resources are allocated effectively. The Prime Minister and Minister for Finance himself has emphasised this in his Budget Statement. So, on this note, I wish to make three suggestions – not about deploying more resources, but about achieving a more effective allocation of the resources that we are deploying.[+1 sentence] First, on support for our seniors. I put it to this House that our framework to determine which senior gets how much support – in other words, our means-testing framework, based primarily on per capita income (PCI), to determine how resources to support seniors are allocated, is due for a fundamental rethink, in order to remain fit for purpose in our super-aged future.[+2 sentences] The classic pain point arising from our current PCI-based means-testing framework is this: take an elderly couple, retired, with a child who is already an adult, working and single. If this single, adult child continues to stay with the elderly couple, then all three of them are taken as one household; this child’s income from work is taken into the assessment of the household's per capita income; and based on our current means-testing framework, the elderly couple will be deemed to have more means in this household because of the higher PCI. But if, instead, this single, adult child moves out and stays separately from his or her parents, then in one stroke, the elderly couple is now taken as one household, on their own, with zero income and deemed in our current means-testing framework to have much less means, even if it can be said that a single child who is able to buy and move out to his or her own place probably has more means to support his or her parents, compared with someone who does not have his or her own place and continues to stay with his or her parents. This current means-testing framework, based on per capita income, can mean all the difference for our seniors; whether they qualify for a Blue or Green CHAS card; whether they get Silver Support every three months or not; whether they get 80% or 60% or lower subsidies in a B2/C-class ward in our public hospitals and so on.[+8 sentences] To be clear, no means-test will be perfect or, in economic parlance, no means-test will be perfectly efficient. Every means-test will have its inefficiencies and trade-offs. And in an earlier era, where our population was much younger and the resources needed to support our seniors were on a much smaller scale, the inefficiencies in our current means-testing framework for seniors might not have mattered as much. Indeed, while there were inefficiencies in the allocation of resources to seniors specifically, there were probably also efficiencies in having a common means-testing framework for the whole population generally; there were efficiencies in having a means-testing framework that also applied to working adults and young children, as it applied to seniors. And, indeed, with a much younger population, the efficiencies could well have more than made up for the inefficiencies. But, as our population continues to age rapidly, as we have many more seniors and as we spend much more per senior and, as the average household structure around our seniors in our society continues to change, I think the balance has fundamentally shifted. And the inefficiencies in our current framework to allocate resources to seniors matter much more now. So, we should get it right and we should fundamentally rethink to make sure our allocation framework remains fit for purpose. My suggestion is to decouple the means-testing framework for seniors from the means-testing framework for the rest of the population – for working-age adults and young children – going forward.[+9 sentences] And also, to anchor this refreshed means-testing framework for our seniors on two key considerations that matter most to our seniors. One, our seniors are at a different life stage. They are most likely not working at all, or working at a much reduced pace, suitable for their current life stage and drawing much lower pay. In other words, current assessable income will not be the most accurate nor the fairest way of assessing a senior's overall means. Instead, I think lifelong income, proxied by lifelong contributions to CPF, is probably the most accurate and the fairest way to assess a senior's means, at his or her current life stage. Two, our seniors do not want to be a burden to their child, no matter how well the child is doing, or how filial he or she may be. And therefore, while we place a lot of value on personal responsibility and family support, we also need to recognise this basic desire of most seniors in Singapore, to not want to burden their children and I put it to this House that our public policy should be tilted in favour of this basic wish of our seniors to not burden their children. In other words, our means-testing for seniors should move away from including their children's means, whether the children are staying with them in the same address or not. In summary, my first suggestion is to rethink and rebase our means-testing framework for seniors specifically. Move away from per capita income at the household level, towards a senior's lifetime earnings primarily, proxied by lifetime contributions to his or her CPF, at the individual level.[+9 sentences] Sir, my second suggestion is on our allocation of resources to the full-time education of our students, before they enter working life. Specifically, I urge the Government to allocate even more resources to ITE students and to reduce the gap in our allocation of resources between ITE and other post-secondary students. To be clear, successive PAP Governments have been strongly committed to education, to investing in Singaporeans and developing their potential through education. Indeed, the very first PAP Government invested one-third of its yearly Budgets from 1959 to 1963 in education; more specifically, to provide basic education for a very young and growing population. And also, to be clear, over the more recent decades, successive Governments have invested strongly in ITE in particular. Therefore, our ITE system has grown by leaps and bounds and produced very, very good outcomes. I now have young residents, who are starting out in ITE as Year 1 students, telling me that choosing to go to ITE has been the best decision of their lives. So, we ought to be very proud of how far our ITE system has come. And yet, I think we can do more and strike an even better balance in our allocation of resources to ITE relative to other segments of higher, post-secondary education. Today, we are spending around $16,000 per student in ITE, compared to around $18,000 per full-time diploma programme student, primarily in polytechnics. So, Government recurrent spending on ITE is around $2,000 lower per student compared to its spending on polytechnics; and this difference of $2,000 per student has been quite consistent since at least 2012, 2013.[+10 sentences] Of course, more spending on education does not automatically or always produce better educational outcomes. But I think there is something to be said about the principles, the equity and the reconcilability of this structural gap in Government recurrent spending between ITE and other segments of higher education in our system. I do believe there is scope to consider a reallocation of spending to achieve a better balance and a smaller gap. With extra funding, ITE can do a lot more to develop their students even more effectively, in various areas. Help its students even more effectively to discover aspirations, passions, diverse interests and individual strengths and talents. And ultimately, this will help preserve and enhance social mobility in Singapore. Sir, my third suggestion is on our allocation of resources to adult education and the entire SkillsFuture movement in Singapore. Specifically, while I applaud the Government’s very bold moves to put resources directly in the hands of our workers and adult learners, and empower them to take charge of their own learning, in other words, very major moves on the demand side, I also urge the Government to invest boldly and allocate appropriately on the supply side, to build deep and broad and enduring capabilities to uplift the entire adult education ecosystem. I see opportunities in three areas. One, let us uplift the overall quality of adult educators and trainers in Singapore. In both the pre-school and formal schooling systems, we have established and maintained a laser-sharp focus on educating the educators, through the National Institute of Early Childhood Development and National Institute of Education respectively, to ensure a high quality of educators in these spaces.[+1 sentence] We can, and we should, do the same for adult education. Establish a laser-sharp focus on educating the adult educators through a sharpened mandate for the Institute for Adult Learning.[+1 sentence] Let us aim for a world-class pool of adult educators and trainers in Singapore, a world-class pool of dedicated, full-time practitioners in adult education, on the supply side. Two, let us uplift the stature, recognition and career advancement pathways for our adult educators and trainers in Singapore.[+3 sentences] We must raise a unified fraternity of adult educators and trainers in Singapore, with a high level of professional pride and identity. On a related note, Minister for Education Chan Chun Sing has said in a speech recently and I quote, “It cannot; it must not; and it must never be the case that ‘only good teachers go to good schools’”, and this applies to our formal schooling system. I put it to this House that we should aim for the same in our adult education and training, especially in our IHLs. In our autonomous universities and our polytechnics and our ITE Colleges, the best educators and faculty members must not go to undergraduate teaching only; the best must also teach in adult education and training, and be part of that fraternity of adult education practitioners.
Mr Speaker8 words
[+1 sentence]Mr Xie, you have less than two minutes.
Mr Xie Yao Quan64 words
Three, let us create scholarships for the adult education and training space, just as we have done for both the preschool and formal schooling systems. Let us create scholarships, to attract and capture a fair share of our best talents, to become both adult educators, and educators of these adult educators.[+1 sentence] Sir, in conclusion, notwithstanding these comments, I stand in support of the Budget.
Mr Speaker4 words
[+1 sentence]Ms Yeo Wan Ling.
Ms Yeo Wan Ling (Pasir Ris-Punggol)2163 words
[+5 sentences]Mr Speaker, as I reflect on the significant progress Singapore has made in advancing the development of women, I wish to recognise the pivotal role that the Labour Movement has played in driving this transformation. Over the years, we have witnessed a profound shift in the landscape of women’s rights, opportunities and empowerment. Central to this journey, the Labour Movement has been unwavering in its commitment to advocating for policies and programmes that not only uplift women but ensure they thrive through the many undulating seasons of their lives. The NTUC Women and Family unit has prioritised engaging with women and gathering feedback through various channels to stay attuned to the ground. Regular surveys, kopi chitchats, small group discussion hosted by our union leaders and extensive outreach efforts ensure that the voices of our working women are heard and reflected in policy decisions. In 2020, NTUC partnered with the Singapore Council of Women’s Organisations and the People's Association Women Integration Network to lead the Conversations on Singapore Women’s Development. These dialogues engaged nearly 6,000 participants, across more than 160 conversation sessions.[+4 sentences] The insights gathered culminated in the White Paper on Singapore Women’s Development, aligning national priorities with the real experiences of women. The NTUC Women and Family unit works closely and regularly with the PAP Women’s Wing’s research group, where I declare I am the Women's Wing Research Group Team Head, to explore critical issues affecting women in the workplace. Through quarterly surveys, we reflect the voices of thousands of women, and we research on issues such as flexible work arrangements, challenges related to heavy menstrual bleeding, financial burdens and resources available to caregivers, and concerns about retirement and re-employment. The extensive feedback we have gathered through ground sensing empowered us to influence policies and implement concrete action plans. Examples of these efforts include the introduction of the Tripartite Guidelines on Flexible Work Arrangement Requests (TG-FWAR) and the Workplace Fairness Legislation.[+14 sentences] Indeed, the NTUC has always taken action to create inclusive workplaces, to better the lives and livelihoods of our caregivers in the workplace. Back in 2013, the NTUC Women and Family unit launched Project Liquid Gold to advocate for better support for working mothers who wish to continue breastfeeding after returning to work. The initiative aimed to raise awareness of the importance of breastfeeding and encourage employers to provide dedicated nursing spaces in the workplace. While this initiative sparked many good conversations, even today, mothers continue to struggle to find suitable spaces for breastfeeding. Some are forced to express milk in washrooms or meeting rooms, sometimes blocked just by sheets of mahjong table paper. One breastfeeding mother I spoke with, was so frustrated with her boss who told her to breastfeed in the shared common toilet, that on the occasion of him celebrating the birth of his grandson, she took the opportunity to ask him, nicely but firmly, if he would think twice about having his grandson being fed with milk prepared in the public toilet. Good on you, sister! And it is precisely conversations like this that helps to push the boundaries on what is possible and fair in the workplace. Today, Project Liquid Gold has evolved into the Better Workplace Campaign, expanding its focus to support women and promote work-life harmony. The campaign recognises and highlights progressive employers who implement flexible work arrangements and work-life harmony practices, as well as adopt policies to address workplace harassment. Employers are rewarded with either a wellness corner or a lactation space in their offices. The campaign not only inspires others to adopt similar practices but also helps close the gender perceptions by creating more inclusive, equitable and supportive work environments for women employees. Beyond advocacy, the NTUC Women and Family unit together with our partners, have launched several initiatives aimed at empowering women and caregivers. One such initiative is the Women Supporting Women Mentorship Programme, which was first introduced in 2020. Since its launch, the programme has steadily expanded, now reaching 10 constituencies across the island, with 300 mentors and 300 mentees.[+9 sentences] Recognising that not all women are prepared for intense one-on-one mentoring, we introduced with one of our partners, SG Her Empowerment, the SHE Supports Friendship Circles, a many-to-many mentorship model. Today, our Friendship Circles have garnered the support of 22 professional female groups from women in construction to women in cybersecurity, from working caregivers to women wanting to return to the workplace. Our circles form a network of 30,000 females, and we support each other through issues such as Balancing Work and Caregiving, and breaking into new exciting careers such as NGOs and Digital Entrepreneurship spaces. Mentorships are critical in equipping and empowering women to reach their potential at work and in life. Mdm Nurhani, a 52-year-old mother of five, retrenched during the COVID-19 pandemic, was somebody who was part of the mentorship programme. For two and a half years, she struggled to find a job and through Yayasan MENDAKI’s Women @ Work programme and the NTUC Women Supporting Women Mentorship Programme (WSW), she met Ms Noorfarahin Bte Ahmad, a Union Leader and an NTUC WSW Mentor. Through shared life experiences, Mdm Nurhani regained her confidence to secure a job with INSEAD Business School as a Development Coordinator. We have many other examples of how mentorships and female support can positively impact lives, and we call on the Government and progressive companies to provide more resources to mentorship programmes, both at community and national levels to empower and embolden women to reach for the stars both at home and in the workplace. Mr Speaker, while taking care of the mental well-being and confidence of women in the workplace is important, another critical pillar to support women staying and re-entering the workforce are progressive workplace policies and cultures. A recently concluded Marriage and Parenthood Survey, conducted by the NTUC Women and Family Unit and PAP Women’s Wing with over 1,000 respondents, revealed key Government priorities for our parents.[+8 sentences] They are prioritising flexible work arrangements, improving access to affordable childcare and healthcare services, and increasing financial assistance and subsidies for families. The Labour Movement has advocated for flexible work arrangements (FWAs) since the 1990s and caregivers have shared that FWAs are their most preferred form of support in balancing work and caregiving. While we thank the Government for heeding our calls for Enhanced Paternity and Shared Parental Leave, and indeed, it has started to move the needle in reframing gender stereotypes in parenting, with two-thirds of our survey respondents agreeing that their partners shares parenting responsibilities equally, parental/caregiving leave forms just a part of a broader caregiving ecosystem. Other initiatives, such as FWAs, and caregiving support such as childcare services, trusted helpers at home, completes this ecosystem of comprehensive support for women and their families; and allows women to return to the workplace with peace of mind. Our young families have shared that they face financial pressures while raising a family. I had spoken previously at the PAP Parliamentary Motion on Supporting Singaporeans in Starting and Raising Families that this would need to be taken with the view of providing more employment opportunities for return to work mothers, allowing for more sustainable long term financial independence. I shared that we would expand our popular C U Back (CUB) at Work Programme which helps caregivers, especially women, return to work with flexible work options to more segments of underserved women workers. FWAs are a sustainable way for caregivers to stay in the workforce, and more needs to be done to make FWAs more inclusive and accessible across different job types. The CUB Programme will now expand to PME jobs such as accounting and office administration. In addition, the NTUC Woman and Family Unit will re-engineer our CUB Programme to cover new to the workforce pregnant mothers, ensuring that they enjoy their full maternity benefits while being secured of permanent employment after their delivery.[+4 sentences] Through CUB, we hope to demonstrate to all employers that they can support our workers to better balance their work and life demands at every stage of their lives, while accessing a larger, and productive pool of Singaporean talent. Mr Speaker, for FWAs to be sustainable it is critical that FWAs are normalised within corporate cultures. With SMEs employing up to 70% of the Singaporean workforce, SME employers with less resourcing often struggle to find temporary replacements when staff go on FWAs or parental leave. SME owners may also face financial strain when reimbursing employees for parental leave. In light of Singapore's Budget 2025 announcements, which encourages Singaporean to have larger families, and given that women are child bearers and traditionally take on a larger share of caregiving, we call on the Government to consider additional support to SMEs that employ a higher number of women.[+17 sentences] Such targeted assistance for SMEs would align with the Government's push for larger families and increased workforce participation for our females. In addition, in the spirit of promoting inclusive workspaces, FWAs go a long way to providing a means of livelihood for PwDs. Ensuring that there is availability of suitable jobs with FWA is critical to securing our Singaporean workplaces as places for our PwDs to be empowered with independence and dignity. We call on the Government to build up a base of job coaches, so that jobs can be effectively redesigned to win-win outcomes for our employers and their PwD employees. I also thank the Government for extending the Enabling Employment Credit to end-2028, which provides wage offsets for companies to hire employees with disabilities. Indeed, workers with disabilities will also want to reskill and upgrade, so that their skillsets remain relevant. Depending on circumstances, PwDs may need more support for training, and the Government has an Open Door Programme Training Grant which funds employers up to 95% of course fees by SG Enable's Enabling Academy. However, employers and workers may require more industry-specific training that is offered outside Enabling Academy. Could the SkillsFuture Enterprise Credit be expanded to support the training of differently-abled employees, who may require some forms of training to be tailored to their needs as well as industry requirements? Mr Speaker, as family nucleus become smaller in Singapore, many families rely on trusted childcare and domestic helpers to provide vital support at home. Recognising the importance of fostering strong, harmonious relationships between employers and migrant domestic workers, the NTUC Women and Family unit, in collaboration with the Centre for Domestic Employees, launched monthly advisory clinics in 2021. These clinics serve as a platform for employers to understand their responsibilities and build positive, respectful relationships with their migrant domestic workers. Through these clinics, we observed that the majority of employers wanted advice and tips on creating strong, healthy relationships with their helpers. Many pointed to shifts in the workforce: migrant domestic workers are increasingly younger, often from the millennial generation. One employer shared that she was unsure of how to navigate her relationship with her young helper who was in her 20s, as her previous helpers were all in their 40s. She shared very pragmatic concerns, such as how to set boundaries on the use of handphones and the use of social media within the home. Unlike the more extreme hateful relationships we see frequently played up in social media, I was very heartened to see that many Singaporean employers genuinely care for their migrant domestic workers, though they are often unaware of the resources available to better support them. Our clinics have since evolved into a programme, Getting To-Gather: Power of Women (POW). Under this programme, we brought in resources and partnerships to build healthy employer-migrant domestic workers relations, such as the Centre for Domestic Employees, Rice Company and the Association of Employment Agencies, amongst others. Our POW events are well-attended with attendees in the 100s, and feature care carnivals and awards that celebrate the positive relationships between migrant domestic workers and their employers.[+1 sentence] This shows the important role that our migrant domestic workers play in the ecosystem of care for Singaporean families, and we call on the Government to provide more support and assistance to our families in regard to greater access and affordability of migrant domestic workers. In addition, our families have asked for further assistance on being able to get temporary monthly work permits for replacement migrant domestic workers when their permanent helper goes on home leave.[+5 sentences] In conclusion, while much has been made to support women and caregivers, and making the workplace an inclusive one, we have miles to go before we sleep. From policy advocacy and flexible work arrangements, to mentorship and returner programmes, the NTUC remains dedicated to ensuring that all women – regardless of their circumstances and where they are in the lives – receive the support they need to reach for the stars, both at home and in the workplace. Together, we can create a more inclusive society where women are empowered, supported and given the opportunity to reach their fullest potential. Every woman worker matters. Mr Speaker, I support the Budget.
Mr Speaker3 words
[+1 sentence]Mr Melvin Yong.
Mr Melvin Yong Yik Chye (Radin Mas)1797 words
[+12 sentences]Mr Speaker, I stand in support the Budget, which seeks to help Singaporeans tackle cost pressures and address anxieties related to inflation. Sir, I was happy to read that real income increased in 2024, following a decline in 2023. This shows that the measures put in place by the PAP Government, which includes bringing in good investments and creating good jobs, keeping the Singapore dollar strong to combat imported inflation, expanding the Progressive Wage Model to uplift wages of lower-income workers and various other schemes, have borne fruit. While inflation this year has eased and is expected to average between 1.5% and 2.5%, the price increases of the past will not go away and we will have to adapt to the new reality of higher prices. This is why I am glad that the Government has taken decisive moves to help Singaporeans cope with higher prices. In my speech today, I wish to highlight how we must improve consumer protection, so that consumers can reap the full intended benefits from the various support measures provided by the Government. We must not allow unscrupulous businesses to profiteer from these support measures, at the expense of our consumers. I will also highlight how we can do more to uplift the wages of our lower-income brothers and sisters, so that they do not get left behind as Singapore progresses. Sir, in NTUC's latest survey on economic sentiments conducted from November to December last year, more than half of the survey respondents felt that their income had not increased sufficiently over the past 12 months to meet the rising cost of living. The additional $800 in CDC Vouchers, additional U-Save rebates, increase in ComCare assistance schemes and the new SG60 Vouchers, will certainly help Singaporeans from all walks of life better cope with today's higher prices. In Radin Mas, we have rolled out various community initiatives last year to help our own residents cope with cost pressures. We launched the "Radin Mas Care For You Vouchers", where each month, a set of local discount vouchers is distributed to 3,000 eligible households residing in Radin Mas. Led by our three hawkers' and merchants' associations, the participating hawkers, merchants and market stallholders have contributed more than $500,000 worth of discounts to our residents in the past seven months.[+15 sentences] We opened JamPacked@Radin Mas, a community minimart to allow lower-income residents to redeem $50 worth of groceries monthly. These daily essentials are contributed by our supermarkets and kind donors. But instead of distributing pre-packed bags of groceries, residents come down to the minimart to redeem what they need. This cuts down on waste, which in turn, encourages more frequent and generous donations by donors. We also set up a community fridge at Telok Blangah Crescent, to allow residents to collect free fruits and vegetables, which have been rescued from the nearby markets. Since we launched what we call "the Magic Fridge" in November 2024, we have given away more than 1,000 kilogrammes of free fruits and vegetables. Sir, these initiatives are made possible because of the generous donations and contributions by individuals and organisations. In Radin Mas, we have a strong community spirit where those who have more, chip in to help those who have less. I would like to take this opportunity to thank all our generous sponsors and community partners, for working together with me and my team to help our most vulnerable residents. In his Budget speech, the Prime Minister announced that over $600 million will be set aside by the Government and Tote Board to match donations made to charities and social causes, in an effort to encourage philanthropy. I fully support this. But we should do more to encourage philanthropy in all forms, beyond just monetary donations. I hope that the Government will encourage a more caring Singapore and encourage more ground-up initiatives, like what we have started in Radin Mas, across our nation. Beyond Government initiatives and community-led programmes, the private sector too must play its part in our whole-of-nation effort to help curb rising cost pressures. NTUC and our enterprises are committed to do our part in ensuring that essentials remain accessible and affordable for Singaporeans. Between 2019 and 2024, the NTUC FairPrice Group provided approximately $330 million in Pioneer Generation, Merdeka Generation, Senior Citizen and CHAS discount card holders, as well as LinkPoints rebates to help ease the financial burdens on households.[+2 sentences] Over the same period, FairPrice has also returned more than $250 million in rebates to NTUC union members and FairPrice members. But, Sir, we must ensure that Singapore has a robust consumer protection regime and a price transparent market, to ensure that consumers fully reap the benefits of Government and community-driven initiatives to cushion our rising cost-of-living. According to the annual complaints statistics by the Consumers Association of Singapore (CASE), consumers suffered close to $2 million in pre-payment losses in 2024, this is more than quadruple, four times of the losses reported in 2023.[+5 sentences] These losses were driven primarily by industries with large, lumpy expenses, such as renovation, bridal and the beauty and spa sectors. Beyond pre-payment losses, e-commerce related complaints also reached an all-time high, surpassing even the peak brought about by the COVID-19 pandemic. These are deeply troubling trends and we must take decisive actions to foster a more trusted business trading environment and protect consumers from losing their hard-earned monies to unscrupulous businesses. Mr Speaker, the last major amendment to the Consumer Protection (Fair Trading) Act was in 2018. This was well before the boom in e-commerce, an industry that had its growth supercharged by the COVID-19 pandemic. As president of CASE, I urge the Government to convene a panel to comprehensively review and update our consumer protection laws.[+7 sentences] CASE stands ready to lead this effort. We will engage extensively with the business, legal and academia communities to ensure that a right balance is struck between protecting consumers while balancing Singapore's reputation on ease of doing business, when proposing both legislative and non-legislative changes. Sir, we must also improve price transparency in the marketplace. Over the past few years, I have advocated for the nationwide implementation of unit pricing in Singapore. I first raised the issue in this House in 2022, speaking about the need to use unit pricing to combat "shrinkflation", a phenomenon where retailers keep the price of a good unchanged, but shrink its volume or shrink its quality. Unit pricing helps consumers see through pricing gimmicks quickly and easily. Several countries have long implemented unit pricing, such as the UK, Australia and New Zealand. Locally, the Price Kaki app launched by CASE has already implemented unit pricing in 2023. We now have unit pricing on the app for over 6,000 items, including groceries and household products. Since its implementation, we have received much positive feedback on the usefulness of the unit pricing feature; and I am of the view that the time is now right for unit pricing to go beyond the Price Kaki app. I urge the Government to mandate the display of unit pricing in all major online and physical retail stores.[+7 sentences] As a start, we could adopt the same parameters as our Disposable Carrier Bag Charge, where only larger players need to comply with the requirement. The implementation of unit pricing will help consumers combat shrinkflation and allow them to stretch their dollar when shopping for groceries and other essential items. Sir, while inflation is important, the most sustainable way to help our workers cope with the cost of living is to ensure sustained real wage growth and better job opportunities. Mr Lim Swee Say puts it best, when he said that "a job is the best welfare and full employment is the best protection for our workers." While I am heartened that Singapore's Gini coefficient, which measures income inequality, fell to a record low in 2024, we must continue our efforts to uplift our lower-wage workers. Last year, we celebrated the 10th anniversary milestone of our Progressive Wage Model (PWM), a unique Progressive Wage Model. From the very beginning, NTUC championed the idea of a wage ladder that would correspond to workers' skills, productivity and job responsibilities. With the strong support of our tripartite partners, what started with the cleaning sector has now expanded into nine sectors and occupations, covering more than 155,000 lower-wage workers.[+1 sentence] More importantly, this has translated into actual wage increases. From 2017 to 2022, PWM workers in the cleaning, security and landscape sectors saw a cumulative wage increase of 11%.[+19 sentences] This is higher than the median worker in the same period. Beyond just wage growth, workers are also leveraging PWM as a catalyst to actively advance their career and upgrade their skills, ensuring that they are well-equipped for better job opportunities and higher-paying job roles in the long run. I call on the Government to continue its strong support for PWM. Let us jointly uplift our lower-wage workers by providing them with stable jobs that have a progressive wage ladder and good career prospects. NTUC will always stand alongside our lower-wage workers, taking action to uplift their wages and work prospects to ensure that no worker is left behind. Mr Speaker, Budget 2025 comes amid an extremely uncertain geopolitical environment. Tensions between big global powers are rising and trade wars loom on the horizon. The use of tit-for-tat tariffs by major economies as a foreign policy tool will impact Singapore's open and trade-dependent economy. I am heartened that Budget 2025 takes decisive steps in helping Singaporeans navigate through the uncertainty by investing in our workers and in providing a slew of cost-of-living support to all segments of Singapore. As we spend prudently to support our nation, we must remember the importance of enhancing consumer protection and price transparency. We must help consumers make informed purchasing decisions and not fall prey easily to unscrupulous businesses. NTUC cares for our lower-wage workers and will always strive to improve their lives and livelihoods. We must continue to review sectors where the introduction of PWM can result in better wages and better work prospects for our lower-income brothers and sisters. I will also continue to work with the Government agencies and industry stakeholders to improve our work environments, workplace safety and mental health of all workers. Here, I would like to record my thanks to the hon Member Hazel Poa for suggesting in her speech yesterday for a right to disconnect, something that I have been championing since 2020. I am glad that more Members, including the Progress Singapore Party, are now supporting this too. Sir, as we celebrate SG60, there is much that we can be proud of. But we must continue to do all we can to ensure that no one is left behind as our economy progresses. Sir, I support the Budget.
Mr Speaker7 words
[+1 sentence]Senior Minister of State Heng Chee How.
The Senior Minister of State for Defence (Mr Heng Chee How)2117 words
[+7 sentences]Thank you, Mr Speaker. Thank you for allowing me to join this debate. Although this is later in the afternoon now, it is not time to disconnect yet. I stand here as a Labour Member of Parliament to once again speak up for and focus on advancing the interests of our older workers. First of all, I must observe and say that our older workers have made much progress in terms of their employment, in terms of their wage and employability over the decades. How come? It is due to the enlightened policies of the People's Action Party Government and the hard work of the tripartite partners. The employment rate of older workers aged 55 to 64 has risen from 66.3% in 2014 to 70.4% in last year. Wages for workers aged 50 and above have also risen faster than median income. Training participation rates for those aged 50 to 64 in the resident workforce have also increased from 27.1% in 2014 to 33.5% in 2024.[+8 sentences] The percentage of active CPF members who turn age 55 and who have been able to save up to their cohort Basic Retirement Sum has increased from six in 10 in 2016 to about seven in 10 in 2022. MOM projects it to reach eight in 10 by 2027. The Labour Movement is certainly heartened that our work advocating for improvements for the sake of our older workers, together with the support and partnership with our tripartite partners, have borne fruit systematically to improve older workers' livelihoods. Older workers have even more improvements to look forward to. To boost the retirement adequacy of both current and future cohorts of senior workers, NTUC has advocated for increases in CPF contribution rates for our senior workers. I thank the Government for raising the CPF contribution rates for senior workers again in 2026 and extending the CPF Transition Offset towards companies in order to facilitate this improvement. I look forward to the scheduled increases up to 2030 in line with the recommendations of the Tripartite Workgroup on Older Workers. These increases will allow the contribution rates of those aged above 55 up to 60 to match those of younger workers. The Government has also supported the tripartite consensus and announced the next statutory increase in the retirement and re-employment ages to 64 and 69 respectively, to take place from 1 July 2026.[+36 sentences] On our part, the NTUC and our enterprises have moved ahead and raised our retirement and re-employment ages from 1 January 2025. The Public Service has also announced that it will raise its retirement and re-employment ages from 1 July 2025, which is a year ahead of the national timeline. Additionally, the new Matched MediSave Scheme will help eligible older workers increase their MediSave balances and better cater for their healthcare needs. The extension of the Senior Employment Credit till end-2026 is also welcome. This will help businesses defray part of their hiring costs for older workers. That should make older workers more attractive to hire. Just in January this year, Parliament passed the Workplace Fairness Bill into law. This Act is an important step in our fight against ageism and all forms of discrimination in the workplace. Unions will work proactively and sensibly with companies to foster age neutrality and fairness in the treatment of older workers in our workplaces. We have, indeed, achieved much. But how do we ensure that we can hold on to our gains and build positively on them as we move into the future? This is not a trivial remark, because we must not underestimate the immensity of the challenge. As many colleagues have already said in their speeches, the world is entering into a very difficult and turbulent geopolitical and geo-economic era. What we are seeing now is a world where win-win mindsets wane. And instead, we see law-of-the-jungle and beggar-thy-neighbour instincts rise and be on the ascendant. In such a climate, safeguarding our gains and achieving further good progress is not going to be easy. It requires sustained, strong mutual understanding of joint interests and ever closer collaboration on the part of the tripartite partners to look for bold and innovative pathways forward. I cannot over-emphasise this, because if you look back, progress has not been easy. But compared to the path ahead, I think the path that we have trodden so far is still relatively more stable. The road ahead is not going to be like that. I expect it to be a lot more bumpy. While the employment and labour force participation rates for our older workers have reached new highs in recent years and even bucked the trend in the rest of the world, it is not without its challenges. Through NTUC's extensive engagements with PMEs through the work of our PME task force, many older PMEs have shared that they had faced significant hurdles in getting back into work after mid-life job loss. Many also indicated that new jobs often entail substantial downward adjustment of the pay and job nature. This points to the need for more concerted efforts to help middle-aged jobseekers adjust and transit so as to benefit from their continued contributions while managing the negativities. NTUC understands these challenges that our older PMEs are facing. Initiatives, such as the SkillsFuture Jobseeker Support scheme, stem from our work with our tripartite partners to innovate practical help. We thank the Government for introducing the scheme. Examples of this close collaboration, looking forward, analysing what the real challenges are based on our older workers and finding win-win ways, practical pathways, practical arrangements that are sustainable and implementing them in good time is our hallmark. This must continue to describe our joint approach going forward. Earlier, I said that I expect the road ahead to be more bumpy. This is firstly because the lower-hanging fruits that policy levers can achieve have been well harvested over the past years. More importantly, we must expect the international business environment, likely one where there will be a pronounced increase in nativist and protectionist behaviour by countries big and small, to put pressure on our businesses' cost and market access. As a result, there will be knock-on effects for both enterprises and their workforces. The inherent vulnerability of older workers is, therefore, likely to be put under more pressure. In this regard, our tripartite partners must carefully monitor the external environment and its impact on our economy and labour market and, at the same time, plan ahead together to move swiftly to seize opportunities and be able to protect our joint gains and not let them slip away. In this regard, it is opportune that the Government is convening a Tripartite Workgroup on Senior Employment to frankly and cohesively take stock of these ongoing headwinds and forge new consensus and effective ways of maximising value for both businesses and our older workers.[+8 sentences] I fully support such a forward-looking approach. We really need this. We have to come together, look at the picture together and find the way forward together. Next, I want to speak about the importance of training in the face of such uncertainty. Against this backdrop of heightened uncertainty and economic challenge, it is important that we keep our focus on strengthening our fundamentals. This remains our best bet to tackle all scenarios. For older workers and their companies, one such fundamental must be the workforce competency. This relates directly to a company's competitiveness and resilience and an older worker's employability and work prospects. The NTUC's Survey on Economic Sentiments 2025 found that workers' career confidence decreases as they get older.[+1 sentence] Sixty-six percent of younger workers, defined as those below 35 years old, said that there would be sufficient good jobs in the market for them. When older workers, those 55 years old and above, are asked, 43% had that confidence.[+9 sentences] Earlier findings from NTUC's #EveryWorkerMatters Conversations also found that a significant proportion of older workers are worried that they would not be given equitable consideration and access to skills upgrading and training opportunities compared to younger peers. If you are talking about these concerns in a stable environment, it is one thing. It is a challenge. But if you are talking about these concerns in such a time of volatility, then I think we have to be even bolder, and I believe that it is a great opportunity, in fact, for Singapore Inc to once again rise to the occasion and upskill our workforce, older workers included, to uplift our competitiveness, enhance our enterprise resilience, improve our career adaptability and forge ahead of other economies. We have done that before. Every time we had a crisis, we upturned the downturn. We turned; we not only made lemonade out of lemons, but we turned challenges into opportunities, and we must do so because, if we do not and others do, then both our companies and workers will pay dearly for it. NTUC stands ready to work hard and work hand in hand with businesses and the Government to move in these areas. On company-level business road mapping and workforce training, NTUC’s CTCs continue to scale, broaden and deepen their effectiveness within the companies and the sectors to benefit workers of all levels and wages. Here, I join my fellow Labour Members of Parliament in thanking the Government for the $250 million further injection in support of the CTCs.[+10 sentences] NTUC is also reimagining our Job Security Council to achieve faster, wider and better outcomes in industry manpower, skills, job design and match outcomes, in close liaison with the Government and industry. Beyond safeguarding the interests of older workers currently in the workforce, the tripartite partners must also press on with innovative thinking on how to further activate, mobilise and enable more Singaporeans to rejoin and participate in our economy. Getting more Singaporeans to participate in our economy is important to businesses, certainly very important to our returning workers and very important to our overall national resilience. In a speech I made at the Budget debate back in 2019, I specifically pointed to the potential benefit of enabling a considerable number of middle-aged caregivers to remain in work or to return to work for the purposes of increasing the participation of Singaporeans within our workforce and economy. At that time, I had pointed out that for that to happen, it certainly takes a host of adjustments in companies, workers and Government policy. And this ranged from flexible work arrangements to job redesign to self-employment on the part of the labour market and what employers and businesses can do because when you make your jobs more flexible, then it is not a zero one, either a full-time job or there is not a job. There are different combinations in which a person can continue to have the opportunity to stay at work while catering to care responsibilities, for example. But for those who have already left because of whatever the reason, including where the companies do not yet offer those flexible arrangements, to come back is a different proposition because they have to care for someone at home. Therefore, for them, it is not only whether there are potential employers with flexible work arrangements ready to receive them back. It is also that they need a system that creates affordable, accessible and sustainable senior care of various types so that they, as caregivers, have truly viable alternatives to provide that care to their loved ones and then they can come back. And that, pairing up with the availability of flexible work arrangements on the company's side, that will make things happen. I believe that, since then, and with the more recent advent of initiatives, such as the Ministry of Health's (MOH's) Healthier SG, Age Well SG and various relevant initiatives on the part of MOM, I think this is a time for us to really relook how we can look at integrating the solutions both on the manpower or the labour market side as well as on the social and health side as a continuum in order to enable this return to work to happen for middle-aged caregivers in a substantial way.[+2 sentences] I think we are more ready than before. Mr Speaker, we have shown care for our older workers as a Government, as tripartite partners, not only in words but in deeds. As a result, we have made very substantial progress for our older workers, often bucking global trends.[+4 sentences] The environment we must deal with will be increasingly challenging. We must come together even more to seize opportunities, overcome constraints and to forge ahead for the sake of our older workers, for the sake of Singapore. Forward Singapore! Mr Speaker, I support the Budget.
Mr Speaker3 words
[+1 sentence]Miss Rachel Ong.
Miss Rachel Ong (West Coast)2303 words
[+7 sentences]Mr Speaker, I am deeply appreciative of Budget 2025, a thoughtful and responsible Budget that addresses a wide range of needs to support Singaporeans, from alleviating the cost of living to providing meaningful assistance across diverse demographics. I thank Prime Minister and Finance Minister Lawrence Wong and his team for their leadership. As I have engaged with residents, many have expressed how the disbursements projected for this year come at a timely moment as families plan their budgets for the year ahead. Today, I wish to focus on an urgent and critical issue: strengthening mental health support for seniors in Singapore. Earlier this month in Parliament, I spoke about the importance of mental health support for children and youths. In this Budget Debate, I call for immediate action to address the growing mental health challenges faced by our seniors. The correlation between mental health struggles and suicide is well-documented and, for seniors, this issue is particularly alarming. Seniors aged 60 and above now account for nearly 30% of suicide cases in Singapore.[+34 sentences] Many of them face profound grief, loss and significant societal changes as they age. Yet, they are the least likely to seek help, either from healthcare professionals or informal networks, compared to younger cohorts. This highlights the urgent need for targeted intervention to support their mental well-being. While our existing mental health strategies have made strides, more can be done to support our seniors. Singapore is not just ageing; we will soon become a super-aged society. It is time we recognise and address the unique mental health challenges faced by our seniors. Our seniors face a series of irreversible losses; spouse, friends, physical health, employment and independence. Many, particularly men, are unprepared for widowhood or retirement and struggle with isolation as they try to build new support systems. The stigma surrounding mental health worsens the issue. Many seniors fear being labelled "siao", or “crazy” in English, and the term 精神问题, “mental health problem”, carries strong negative connotations. Psychiatric care is often equated with institutionalisation. Unlike younger generations, who benefit from awareness campaigns, seniors often suffer in silence, avoiding help due to societal perceptions. The rise in scams targeting seniors adds another layer of distress. Many who lose their life savings in financial and love scams feel too ashamed or afraid to confide in their families, intensifying their emotional turmoil. This sense of shame, rooted in our Asian "face-saving" culture, can spiral into severe depression or even suicide. Additionally, digital isolation has become a growing concern. As society becomes more digital, many seniors struggle to keep up, leaving them unable to access important services or stay connected with loved ones. The shift to online banking, tele-health and digital Government services has made it harder for those without digital literacy to reach essential resources, thus increasing frustration and feelings of helplessness. A senior from Depot Road shared with me just two nights ago, “我英语不好，电脑不会” or “I’m not good in English, nor do I have computer skills". This dear resident earnestly appealed for more patience and understanding from the community at large. Furthermore, the increasing reliance on digital communication by younger generations means fewer face-to-face interactions with seniors. Some observe that children or extended family often choose video calls over in-person visits, deepening their sense of isolation. Here are the proposed interventions to support the mental health of our seniors. First, may I acknowledge the excellent work already done by our Government and agencies for the welfare of our seniors, including the Agency for Integrated Care (AIC), Age Well SG, Healthier SG, SG Digital Office, as well as Active Ageing Centres I have the joy of working with across Dover, Depot and Telok Blangah; Active Global, FaithActs, Montfort Care, NTUC Health, St Andrew’s Senior Care, St Andrew's Hospital and Sunlove. Building on these efforts, we must make mental wellness the next frontier in ensuring Singapore is a safe place to age well. Before outlining specific interventions, it is important to recognise the diversity among seniors. They go through distinct life stages; young seniors in their 60s-70s, seniors in their 70s-80s, and seniors 80 and above, each facing unique challenges that require tailored mental health strategies. The first proposed intervention: Pre-Retirement Mental Health Preparation and Workplace Support. Mental well-being must be developed early. Just as we encourage financial planning for retirement, we must also advocate for mental health preparation before seniors enter their later years. Missing this window to equip them with coping strategies could mean missing the opportunity altogether. The transition out of active employment is a critical mental health juncture. For many, work provides more than income. It is tied to identity, purpose and social connections, especially for men. The loss of these can lead to anxiety, depression and even cognitive decline, if not addressed early. I call on MOH and MOM to collaborate with employers and unions to incorporate pre-retirement planning that prepares young seniors in their 60s emotionally for this transition.[+1 sentence] This planning should help them adjust to new routines, social networks and purpose-driven activities. Additionally, the Government can consider incentivising companies, unions and associations like the Singapore National Employers' Federation to implement structured mental health programmes for seniors, similar to the support we provide businesses hiring seniors.[+2 sentences] Second, strengthening Community-Based Support Networks and Senior-Led Initiatives. Once seniors leave the workforce, staying engaged in meaningful activities becomes essential for their mental well-being. Social connection is the most powerful safeguard against mental health decline in seniors.[+2 sentences] Community engagement and support groups must, therefore, form the core of our strategy, providing spaces where seniors feel a sense of belonging and purpose. First, we need targeted support groups for new retirees, widowers and those struggling with depression. Organisations like Silver Ribbon and the Samaritans of Singapore (SOS) have shown that peer-led support, particularly from those who have navigated similar challenges, is highly effective in reducing isolation amongst our seniors.[+18 sentences] It is especially crucial to ensure support for seniors in their 80s, who often experience the loss of close friends and spouses, leading to a shrinking social circle. Intergenerational interactions also offer a meaningful form of community engagement. At Telok Blangah, NTUC Health partners Blangah Rise Primary School every third Monday of the month to run sports activities, where our seniors and students connect. Feedback has shown that these precious seniors look forward to the innocence and unreserved nature of our youths, while our children enjoy spending time with our seniors, especially those who miss their grandparents. I hope to replicate such initiatives across more neighbourhoods. Let us also rethink volunteering opportunities for seniors. Many are eager to contribute but find traditional models rigid. Recently, I met a resident in her early 70s who wanted to pass on her tui-na techniques, a vocation she has practised for decades, as a way of giving back upon her retirement. By offering skills-based initiatives beyond hobby-centric programmes, we can engage seniors who are willing and able to share their skills and expertise. For example, at our Telok Blangah Legal Clinic, a retired lawyer continues to contribute his knowledge to both the volunteer team and residents. Beyond structured programmes, we should empower seniors to take ownership of their community spaces. The "Ibasho" model from Japan offers a compelling example. What began as a simple café run by seniors in Ofunato has evolved into a thriving hub with a garden, ramen shop, farmer’s market and daycare. Closer to home, we see a similar concept in the Health District @ Queenstown’s FaithActs Active Ageing Centre, which includes upcycling workshops, digital clinics and cooking classes. Such endeavors give seniors a sense of purpose and foster inter-generational bonds. Imagine retired hawkers mentoring younger residents to prepare meals for vulnerable families or seniors who love gardening teaching students to build gardens in schools. At Telok Blangah, Chef Benny Se Teo shared his cooking skills with our community, with sessions so popular that we are planning another one in March. As a growing number of our seniors of tomorrow will be different from the seniors of today, we will need to evolve our approach to meet their changing needs and aspirations. To further empower them, I propose extending grants, similar to those given to youths-led initiatives, to retired seniors interested in starting community programmes.[+4 sentences] With the right support, their experience and wisdom can drive meaningful projects that strengthen communities and address local challenges. Third, destigmatising mental health. Addressing mental health among seniors requires understanding the unique challenges they face. Unlike younger generations, who increasingly embrace the idea that "it is okay not to be okay", many seniors still harbour deep-seated fears and misconceptions about mental illness. Most mental health resources in Singapore are in English, leaving non-English-speaking seniors underserved.[+11 sentences] To bridge this gap, we must use media platforms familiar to them, such as Channel 8, Suria and Vasantham, to openly discuss mental health issues through dramas and talk shows. This will spark conversations in coffee shops and hawker centres, often where our seniors gather. Radio, too, remains a trusted source for information and entertainment, making it an ideal medium for airing mental health segments in various dialects. This Saturday, the Telok Blangah Community Club will host a “Mental Health Wellness Carnival” designed for Chinese-speaking seniors, with hopes to extend this to other languages. Our Government’s success in using targeted communication during the COVID-19 pandemic shows the power of reaching seniors where they are at, achieving remarkable uptake rates and safeguarding this vulnerable demographic. Similarly, by positioning mental health as an essential part of overall well-being, we can break the stigma and promote proactive measures. To shift the narrative, we need culturally sensitive, language-specific and community- driven initiatives. We must meet seniors where they are, physically and emotionally, creating an environment where seeking help is seen as a strength and not a weakness. The question is, who should lead this change and what should the model be? This also calls for a community partnership model, one that involves religious organisations. Temples, mosques and churches are trusted spaces for many of our seniors. Training paracounsellors within these communities can provide support, and when religious leaders share their personal stories about mental health challenges, it not only humanises the issue but also encourages the congregants to seek help without fear of judgement. I encourage the Government to collaborate more closely with religious organisations in reaching out to our seniors.[+2 sentences] Fourth, addressing scam-induced psychological distress. This emotional toll of scams is often underestimated, leaving many seniors ashamed to seek help or confide in their families, resulting in isolation and distress. To address this, I propose empowering the Community Centre Teams as points of contact for seniors to report scams, offering a more approachable alternative to contacting the Police.[+8 sentences] Additionally, Police and community centers should partner with mental health professionals to provide trauma-informed counselling, helping victims regain confidence and dignity. Most importantly, we must educate families to respond with empathy, not blame, through public campaigns that emphasise support. Seniors often feel "stupid" for falling victim to scams, compounding the emotional pain of losing their life savings. Fifth, deepening support for seniors and caregivers. To address the mental health and caregiving challenges facing seniors and their caregivers, we must take a holistic approach. First, training counsellors to effectively address grief and loss issues in the elderly is essential, recognising the unique emotional toll of ageing and the varied ways seniors process these emotions. Equally important is equipping caregivers with the skills to identify and manage mental health symptoms in seniors, especially those with high dependency needs, such as dementia. Caregivers often bear immense emotional and financial burdens, and we must provide more support. Many caregivers, particularly those who are the sole, unmarried children of the seniors, sacrifice their career and personal savings, often leading to financial insecurity in their own later years. I propose the Government to consider solutions like dedicated caregiver savings schemes, leveraging CPF contributions and providing financial assistance to families in need, as I raised in Parliament in 2022.[+1 sentence] Encouraging families to provide care over hiring foreign domestic workers should be supported through policy. Additionally, we must expand training and respite services for caregivers, ensuring affordable, accessible programmes and support. These services should also extend to foreign domestic workers, who play a critical role in dementia care and face high stress and burnout.[+11 sentences] Recent reports of elder abuse remind us that our workers need mental health support and training to care for vulnerable seniors. By investing in the well-being of both seniors and their caregivers, we foster a community where dignity, compassion and mutual care are at the heart of our shared future. Mr Speaker, the challenges our seniors face in mental health are unique and complex, requiring solutions that are as individualised as their journeys. Our approach must be comprehensive and empathetic, starting with prevention through workplace support for those nearing retirement and continue with the community initiatives like the “Ibasho” model, empowering seniors to remain active and engaged members of society. For those in immediate need, we will strengthen our efforts through destigmatising, trauma-informed counselling and greater professional support. And just as importantly, we must prioritise and support the caregivers who are essential to the well-being of our seniors. Our seniors have built this nation with decades of hard work and sacrifice. Now, it is our turn to care for them, ensuring they deserve the mental health support they need. Let us build a Singapore where our seniors are not only respected but cherished, and where we provide them with the care, dignity and support that reflect the immense value they have brought to our society. The time to care for them is now, let us honour their legacy by ensuring they can age with the security and compassion they deserve. With this, Mr Speaker, I fully support Budget 2025, “Onward Together for a Better Tomorrow”.
Mr Speaker33 words
Whether it is about mental well-being for seniors or the right to disconnect, I think the call is quite loud.[+1 sentence] Second Minister for Finance, would you like to move to adjourn the debate?
[+13 sentences]Thank you, Mr Speaker, for allowing me to join the Budget debate. I thank the Prime Minister and the Minister for Finance for his announcement of a very generous Budget. It is one that is inclusive and diverse and I support it fully. My speech today will cover two key topics. First, the Culture Pass and second, a proposal to support Singapore's visual arts sector. This proposal takes inspiration from the strong financial backing that we have seen in this Budget for businesses that are seeking a listing on the Singapore Exchange (SGX). In this speech, I would like to suggest similar financial mechanisms to strengthen our local visual arts scene. But first, the Culture Pass. It is a very commendable initiative that makes arts and cultural experiences more accessible to Singaporeans. Last year, I filed a Parliamentary Question after hearing from arts businesses about their challenges. I heard that even if they were located in the heartlands, not all arts businesses were eligible for the Community Development Council (CDC) Voucher redemption scheme. They would have to be considered on a case-by-case basis. This raised concerns that the arts were not being recognised as an essential part of everyday life. With the Culture Pass now being issued broadly to every Singaporean aged 18 and above, the Government has sent a clear signal: the arts are essential to our society, just like any other basic necessity.[+2 sentences] This money could have been spent in many different ways, but it has come to the arts and this is a very important and powerful message. Since the initiative was announced, some questions have emerged from the arts community and I would like to take this opportunity to highlight them here. First, will the Culture Pass be transferable, or can unused credits be donated to arts charities, in the same way that can be done for CDC Vouchers?[+7 sentences] Can credits be shared among family members and friends? If not, what provisions exist for those who are unable to use the Culture Pass due to severe health or mobility issues? While the push for inclusivity in the arts has been very strong, some individuals, for example, those who are bedridden or who are in advanced stages of dementia and, therefore, they are unable to control their moods and behaviour, people in these groups may find it nearly impossible to attend events in person. Caregivers may then struggle to find suitable options. I recognise that there is a risk of profiteering if credits are made transferable and I also see how transferability could dilute the scheme's intent, which is, actually, to encourage personal cultural participation. But it would, however, be good to know if there is any plan at the moment for what will happen to unused or unusable credits. Secondly, will the Government track average ticket prices before and after the implementation of the Culture Pass and will it intervene if necessary, if arts groups distort ticket prices? The concern here is that arts groups could inflate ticket prices, knowing that a subsidy is now available.[+17 sentences] If this happens, it could have the effect of reducing the impact of Culture Pass credits which, really, have been issued to make arts and heritage events more affordable to the general public and not less affordable. Some artists have also expressed concerns about whether the Culture Pass funds will directly benefit them. Particularly, there is a question as to the proportion of ticket sales that will be allocated as artist fees, as opposed to being retained by arts intermediaries. This is not an easy question to address because it is very much an issue of commercial practice and relative bargaining power between artists and event organisers. In a perfectly ideal scenario, the Government could set guidelines to ensure fair distribution of ticketing funds across all players in an arts or heritage event. But this could also take away the autonomy of arts groups to plan their own affairs. It might create additional administrative burdens and reporting obligations for the groups involved. I hope, therefore, that the Government will continue, as part of its larger mission through the Ministry of Culture, Community and Youth (MCCY), to educate artists about their legal rights. This way, artists will be empowered to negotiate for fair remuneration and to reject unethical practices, should they take place, in Culture Pass-funded events. Another potential issue that has come up is that of ticket wastage. If credits are used to book tickets, but attendees fail to show up, valuable resources may be lost. Will the Government put in place a refundable deposit system, or will penalties be imposed for repeated no-shows, such that Culture Pass holders will be encouraged to use their credits responsibly? I also hope the Government ensures that the benefits of the Culture Pass scheme are equitably distributed across diverse arts groups and not just dominated by the larger, more established institutions. The Government has announced that independent practitioners can also qualify for the Culture Pass scheme and I hope that they will be well-represented in the final selection of chosen entities. Smaller, independent arts organisations must have fair access to the scheme to promote a more vibrant and inclusive arts ecosystem. Lest it sound like the arts community is less than supportive of this programme, with all the various questions that have emerged, let me be clear that everyone whom I have spoken to in the community is enthusiastic about this initiative. The excitement is palpable, such that additional questions I have come across include whether the scheme can be expanded, before it has even formally kicked off. Artists want to know if it can include, not just local events, but also purchases of local art. I see from guidelines that were issued this week that the scheme will eventually include the purchase of local books.[+11 sentences] So, will there eventually be an expansion as well to local art? There are also questions about whether the scheme will be reviewed before 2029 or 2030 and whether there is scope for it to be enlarged or topped up with more even credits before its expiry. The Culture Pass is a very clever initiative, because it goes towards creating demand for arts and heritage performances and events. In a similar vein, I would like to take the opportunity now to float some ideas for demand-side initiatives that could also boost the visual arts sector. Here, we can draw inspiration from the suite of tax and financial incentives that were announced in this Budget to support and encourage corporate listings in Singapore. From speaking to collectors, business owners, artists and other stakeholders several ideas emerged. First, would the Government consider the creation of a Government-backed art investment fund, with local artworks as underlying assets? Let me explain where this idea comes from and why it might work and, here, I declare my interest as a very occasional, hobbyist purchaser of art in my personal capacity. Art is a valuable alternative asset class, has a low correlation to traditional markets and can act as a hedge against volatility. A 2021 Nomura report suggests that contemporary art as an asset achieved an annualised return of 14% between 1995 and 2020. Singapore's own artists are seeing extraordinary sales results. Georgette Chen's "Still Life With Big Durian" sold for S$2.47 million in 2024. This was a 40-fold increase in price from its last auction in 1998.[+8 sentences] In Singapore Art Week this year, the works of Singapore women artists Kim Lim and Melissa Tan saw promising record-breaking sales. Our local artists are also making a splash internationally, with a record number of them being represented at the recent 60th Venice Biennale. Our local gallerists have also shown remarkable business acumen and the members of the Art Galleries Association Singapore and many other galleries and dealers have done plenty to raise the commercial profile of local artists both in Singapore and overseas. Public endorsement of local art investment has the potential to strengthen the secondary market. Currently, art acquisition is costly, with added expenses for storage, framing and preservation. The Art Basel and UBS Survey of Global Collecting found that Singapore collectors are highly financially motivated. From the report, while the highest-ranking motivation for buying art was that of "self-focus and pleasure" in almost all markets surveyed, Singapore was the only market where financial motivations ranked even higher. So, we even beat Hong Kong in this regard. According to the report, between 2019 and 2023, Singapore had expanded its share by value of artworks from 1% to 5% of the global trade. Singapore also had the highest proportion of new collectors, at 42% and spent the most on new and emerging artists' works in 2023 and the first half of 2024.[+26 sentences] So, what does these statistics show? They point to clear opportunities: the local art market is showing signs of growth, new collectors are entering, and buyers are financially driven. While art education and awareness remain crucial for long-term demand, we must also meet consumers where they are. And we could perhaps do this by recognising and leveraging their investment mindset to further develop Singapore's art market. The lack of a vibrant resale market limits participation by buyers. The owners of the Teng Collection, a private art collection and authors of art investment guide Godalisation, as well as other collectors and business owners, have highlighted to me that the absence of a structured secondary market in Singapore is one reason why demand for local art has not yet reached its full potential. To this end, they would like to advocate for the establishment of a Government-backed art fund to support the sector. There have been very interesting and dynamic recent entrants to the secondary art market, such as the startup Art Again, an online marketplace for pre-owned art, and We Are Art Collectors – the fractional art ownership platform of Artualize Gallery. Some galleries as well do engage in secondary sales. However, without greater liquidity, buyers hesitate to enter the market. After all, would we not be more motivated to buy art if we knew that it could be resold and that our capital could be recycled? A useful analogy here is perhaps that of the second-hand designer handbag market. One reason why people do not hesitate to buy Louis Vuitton handbags is because they know that they can resell them easily. The same principle should apply to art. A strong secondary market would give buyers the confidence to invest more freely. If local art is seen as a good investment, buyers will be encouraged to acquire it and not just blue-chip pieces. There could be interest in spotting "the next big thing" as well, in terms of emerging artists. As more buyers see investment value in collecting Singapore art, resale activity would increase, making it easier for collectors to trade works. This cycle benefits not just artists and galleries, but also auction houses, dealers and visual art-related businesses, such as framing, conservation and art logistics entities. The third point I would like to make is that sovereign wealth funds are already recognising art's value. In a similar but not fully identical point, Abu Dhabi's ADQ recently acquired a stake in Sotheby's, signalling institutional confidence in art-related assets. If other nations see strategic merit in high value art-related investment, why not Singapore? If good returns are achievable, perhaps the Government of Singapore Investment Corporation (GIC) or Temasek could consider creating a dedicated local art investment portfolio, perhaps parked in a fund structure and focusing on blue-chip works alongside some experimental pieces. Investment returns could then be derived from things like capital appreciation, leasing and financing models. Such a Government-backed art investment fund could catalyse institutional and private participation and send a strong market signal. It could be advised by expert advisory panels, comprising investment professionals, financial institutions, art and culture leaders and economists, to ensure that financial sustainability is coupled with proper corporate governance. Just as the Monetary Authority of Singapore's (MAS') $5 billion Equity Market Development Programme seeks to attract capital from institutional investors, family offices and private entities, an art investment fund could potentially do the same.[+6 sentences] It could position local art as a credible alternative asset class while ensuring that artists, collectors and galleries benefit from greater financial participation. If the art investments are successful, a percentage of profits can also then be channelled back into arts charities, adding a useful social mission as well to the investment concerned. Beyond liquidity, MAS' focus on tax incentives, regulatory streamlining and research development grants to encourage local listings, mirrors the structural support that Singapore's art market could also stand to benefit from. We should take a closer look at our artwork appraisal and valuation capabilities as well as the incentives and reliefs that we can offer in terms of direct and indirect taxes. I have cited examples of what other countries have done in both of these areas in previous speeches, and there is no shortage of reference points to start a comprehensive review of the various financial possibilities for our visual art market. There are, of course, existing measures that are and continue to be useful. The Global Investor Programme (GIP), for example, requires foreign investors to deploy a portion of their wealth into qualifying investments in order to be eligible for Singapore Permanent Residency.[+1 sentence] This ensures that investors' capital will directly benefit the local economy. GIP will be refined this year with the specific aim of strengthening the competitiveness of Singapore's equities market. The scheme actually already includes arts businesses within its scope of qualifying industries, which is an important inclusion, but more can be done to connect arts businesses, especially promising startups, with these potential investors.[+10 sentences] I do not think that many arts businesses are even aware of this option for fundraising. As I have previously raised in an Adjournment Motion, the Government could look to Creative UK as a case study. This network supports the United Kingdom's (UK's) creative industries by providing scale-up financing, connecting investors with arts entities and educating arts groups on securing funding through equity, debt and grants. A similar centralised networking portal in Singapore would help local arts entities to access investment opportunities and financial support more effectively. I hope the Government will, at the very least, consider engaging with financial and arts institutions, gallerists, dealers, collectors, arts business owners and artists. Together, they could create a working group or a task force to embark on a more comprehensive study on how structured financial mechanisms can be put in place to better support Singapore's visual arts creative economy. I will not deny that there are different views on this point, the idea of mixing art with commerce can always be a little bit controversial. But if viable, these measures can ensure that Singapore's art ecosystem is not just vibrant but economically robust. If it succeeds, it can provide arts workers with stability, opportunities and a strong foundation for long-term careers, one that is driven by genuine consumer interest and demand. Sir, I hope the Government can consider taking these suggestions on board and, with that, I support the Budget.
Mr Speaker3 words
[+1 sentence]Ms Carrie Tan.
Ms Carrie Tan (Nee Soon)1904 words
[+5 sentences]Mr Speaker, there is a colloquial saying in Mandarin: 钱能解决的问题，不是大问题。有钱都不能解决的问题，才是大问题。In English, it means that the problems that can be solved by money are not major problems; the problems that cannot be solved even with money are the real major problems. I want to thank Prime Minister Lawrence Wong and his team for a generous, inclusive and empathetic Budget this year. It reaffirms that we have a leadership and Government that is committed to enable Singaporeans and to ease our burdens whenever required to do so, at the extent that is prudent and fair for all. I rise today to address two pressing concerns that lie at the heart of our nation's future, which cannot really be solved by money: (a) the opportunity cost of our academic-centric education system on personal fulfilment; and (b) the concerning trend of declining fertility rates in our hyper-competitive society. These two issues, although seemingly distinct, are deeply interconnected, requiring not just fiscally generous grants but a fundamental shift in our policy mindset. Let us take stock on what we have now: a tuition industry that is fueled by $1.8 billion a year from anxious parents, combined with a budget of $14.75 billion last year from the Ministry of Education.[+3 sentences] Yes, Singapore has long prided itself on being a global leader in education. Our students consistently rank at the top of international assessments, which is a testament to our system's rigour and discipline. Yet, we must ask ourselves: is this really still the best way forward? Nearly a third of our young people aged 15 to 35 reported symptoms that included feeling empty, tense or upset most of the time, according to the National Youth Mental Health Study.[+1 sentence] These are signs of a generation that feel a lack of meaning in their lives, are high-strung and easily triggered. Our total fertility rate is at an all-time low.[+21 sentences] Parenthood is daunting for most young couples, especially financially daunting. Imagine having to join that $1.8 billion rat race just to feel like you are being a decent parent, and you are not causing your child to lose out or letting them down. And this pressure flows downwards onto the children as well, because when parents are sacrificing so much of their own resources, time, money and effort, in the hope that they can at least catch up academically with their peers. All children want to live up to their parents' expectations and the more parents invest, the more pressure the child feels, regardless of whether they know to articulate it or not. Our unwavering emphasis on academic excellence has created an opportunity cost, one that diminishes our youths' ability to discover, nurture and pursue personal passions beyond the prescribed curriculum. Last year, in my Budget speech, I spoke about shifting from a performance-based culture to an appreciation-based culture, so that Singaporeans can feel the intrinsic rewards from what they do and derive motivation and satisfaction from contributing to something beyond delivering key performance indicators (KPIs). This year, I stress the importance of having a purpose-based culture. History has repeatedly shown that excellence is derived through purpose rather than pressure. Walt Disney's creative empire was built on a purpose to create places where families could have fun together. Oprah Winfrey built a media empire from the purpose of empowering women and promoting positive self-image through her talk shows. Steve Job's passion and purpose was to build an enduring company where people were motivated to make great products. These examples highlight how intrinsically driven individuals pursuing their passion leads to long-term success. Today, a child's schedule is filled with school, tuition and enrichment classes, leaving little room for unstructured exploration, creative thinking or simply being a child. The consequence is a workforce that is well-trained but often disengaged, with morale easily impacted by negative experiences that are bound to be encountered in the day to day. Without a strong anchor powered by personal purpose and intrinsic passion for what one does, this day-to-day unhappiness easily chips away at one's well-being and motivation. Studies suggest that when children are constantly evaluated based on external validation, they struggle with low self-esteem, burnout and difficulty making independent life choices. Research in the International Education and Research Journal indicates that while extrinsic motivation, such as recognition from teachers and parents, can offer short-term incentives, intrinsic motivation is what fosters lifelong passion and excellence. It is important that children and youths are given time and opportunity to explore life, in order that they may discover their passion or purpose. Right now, too much of their mental and emotional bandwidth is spent on ensuring or worrying about whether they can perform up to par in standardised settings. I acknowledge the Government's commendable efforts in recent years to introduce student-led learning in secondary schools, the shift away from mid-year examinations and the expansion of applied learning programmes. These are important steps in the right direction and I ask that we take another bold step forward. To build on the progress made, I propose a further revamp of our education assessment models.[+1 sentence] A paradigm shift is needed, one that balances academic proficiency with opportunities for passion-based exploration. One, we can remove high-stakes examinations in favour of continuous, diverse assessments that factor in classroom participation, socioemotional skills, creativity and interpersonal skills, and we can start these in primary school; two, allow students to choose topics of interest for assessments, such as selecting preferred oral exam topics rather than answering pre-set questions; three, expand structured free time within school hours for students to engage in non-structured exploration, such as outdoor, community and cultural excursions without fear of falling behind their peers; and four, revamp the Primary School Leaving Examination (PSLE) to lower a paper-based weightage in favour of alternative assessment methods, such as performance tasks, presentations and portfolio-building, based on real-world applications and personal interest.[+3 sentences] Singapore's success has always been built on adaptability. So, let us adapt again to foster a generation that thrives not only academically but also holistically, where passion and pleasure fuel purpose and performance, not pressure. With these shifts away from exam-based assessments, we can minimise the role and effect of "money" in children's educational outcomes, taking the pressure off young parents to avail their bandwidth and energy towards other personally meaningful pursuits that also make them positive role models for their children towards a purpose-driven life. I will now address our low fertility rate.[+1 sentence] Mr Speaker, the Government deserves recognition for its extensive family support policies, including parental leave enhancements, increased childcare subsidies, the increasingly generous Baby Bonus and expanded housing grants for young families. However, the hard truth is this: financial incentives alone are insufficient.[+12 sentences] I have been in some conversations with older Singaporeans about the dismal birth rate and I often hear young people being judged as selfish for, I quote, "wanting to enjoy their own life instead of sacrificing for children." I want to speak up for all millennial and younger Singaporeans, that wanting to have more joy and enjoyment in life is not selfish.It is human. In the 1970s and 1980s, when we were still trying to develop our economy, there were not many options for entertainment, recreation or opportunities for activities to derive enjoyment from. Between work and home, ekeing out a living, home and kids afforded more joys. Having kids, nurturing kids and having the joyful companionship of growing kids were enjoyable. Life was simpler back then. There was less entertainment, less distraction, fewer options and less comparison. Today, family life no longer conjures up the notion of joy. Having a family brings with it notions of obligations, duty, pressure and sacrifice. All of these do not seem pleasurable at all to the current generation who have different and higher aspirations for their lives. At the same time, a whole other host of pleasurable activities are now accessible. It is unnatural to ask people to choose pain over pleasure. The psychological barriers, such as fear of lost career progression, concerns over work-life balance and the daunting prospect of raising children in a hypercompetitive society, continue to dissuade young couples from embracing parenthood, and I say it is understandably so.[+3 sentences] While financial assistance is crucial, we must redefine the experience of parenthood to align with the aspirations of young Singaporeans. Alongside financial support, we must reframe the narrative around parenthood. Rather than merely compensating for the costs, let us shift attention and resources towards promoting the joys of parenthood and helping people see the intrinsic rewards of raising a family. As an imperative, depressurising the education system would allow young couples to feel better able to channel their finances to lifestyle and aspirational pursuits as a family rather than having to spend hefty sums on tuition and enrichment classes, which really makes for a very poor parent-child relationship.[+9 sentences] We need to amplify positive parenthood stories that resonate with the aspirations of the current generation, for example, how lifestyle and travel experiences are more meaningful and fun when shared with a spouse and children than alone. We can help the public realise that the same skills honed through parenthood, such as socioemotional awareness and regulation, communication and negotiation skills, strategic decision-making for use of resources and fostering healthy teamwork with one's spouse, are all life and leadership skills that apply professionally, too, to help one thrive in their career. Let us engage employers as allies to reshape workplace culture for better employee satisfaction and retention. Encouraging businesses to promote work-life reconciliation, such as family-friendly workplace cultures, "right to disconnect" policies or more "Bring Your Kid to Work Days", can make parenthood a compatible aspiration rather than a burden. Lastly, we may need to slay the sacred cow of "self-sufficiency". This is a social compact narrative we have held onto the past decades as a cornerstone of our social support policies, when in reality, all the social transfers that the Government has been rolling out is actually speaking to the opposite. If we adjust that mindset towards "collective sufficiency", Singaporeans can feel less like they need to go it alone. We need to invest in support networks for parents, where families feel connected, supported and less isolated in their parenting journeys. Having community spaces and informal childminding networks that parents feel safe to park their kids with – in the neighbourhoods – while they run errands or go on a short date with each other, can go a long way to create a sense of psychological security around raising children. Our nation must acknowledge that fostering a more family-friendly society is not merely about easing financial burdens but also about building within society, the support systems that enable parenting to be less stressful, more joyful.[+2 sentences] Mr Speaker, Singapore's future lies in a generation that is not only well-educated but also well-rounded in a people that are not just financially capable, but also emotionally fulfilled. The role of parenthood in providing emotional fulfilment is not talked about nor shared enough as yet. We need to take the lead in dialling down on pragmatism and amping up on the feel-good "cuddle" factor in our conversations around parenthood. It is time to redefine our success metrics – from grades and rankings to personal fulfilment and well-being. It is time to reshape the narrative around family – from cost and sacrifice to joy and aspiration, to build a Singapore where both dreams and families can flourish.[+1 sentence] I support the Budget.
Mr Speaker3 words
[+1 sentence]Ms Mariam Jaafar.
Ms Mariam Jaafar (Sembawang)3085 words
[+6 sentences]Sir, I declare my interest as managing director and senior partner of a global management consulting firm. We are living in a time of geopolitical turmoil. Governments and businesses with global footprints are rushing to understand the impact of the new United States (US) tariffs and the responses of targeted countries, while watching for the next wave of actions. Headline-grabbing as they are, the US tariffs are but part of a broader America-first agenda. At the same time, we see China pivoting from the West to strengthen its trade, military and diplomatic positions with the rest of the world. A global South gaining in confidence, forming and expanding alliances, like BRICS, and crafting their own paths in search of growth amid geopolitical fractures. And finally, a Europe facing a reckoning, forced to re-evaluate its security posture and reliance on the US and Russia and its future role on the global stage.[+2 sentences] Sir, what we have is a multi-polar world. An unbalanced multi-polar world. And this unbalanced multi-polarity is now playing out in new economic battlegrounds: one, tectonic shifts in global trade, trade fragmentation and regionalisation, slowing China-West trade while China-rest-of-world trade and South-South trade grows; two, a technology and artificial intelligence (AI) arms race, the semi-conductor wars, the AI diffusion rule, the arrival of DeepSeek; and three, economic nationalism, rising subsidies, tariff wars and trade barriers, a shift away from the World Trade Organization-led global trade governance.[+6 sentences] We are also grappling with shocks from evolving conflicts, increasingly frequent and increasingly devastating impacts of climate change and polarised populations. A small, open trade-dependent economy, we have been committed to a rules-based trading system and a neutral and pragmatic principles-based foreign policy. And this instability, this increasing tendency of great powers to break rules, norms and long-standing alliances is disquieting. What is at stake is not just whether we can grow the economy 1% or 3% this year or next year. It is whether we can sustain our hard-earned position in this world: a global trading and business hub, a financial powerhouse, a technology and innovation hub, a shining little red dot on the global economic and geopolitical stage. Sir, we are in a good place. Four years after COVID-19, our economy grew 4.4%, real incomes are up 3.4%, corporate profits are up, inflation under control, income inequality lowest since records began in 2000.[+28 sentences] But we do not measure success by these numbers alone. We measure success based on the success of our people, on the degree to which our people are fulfilling their potential, on our ability to provide not just jobs, but better jobs, better opportunities, better lives for all Singaporeans, including seniors, ex-offenders, persons with disabilities or special needs and their caregivers. And this is why our new social compact matters. The Budget advances Forward Singapore (Forward SG), with short-term measures to help all Singaporeans and investments for the future to keep our economy growing and our people thriving. Yet I believe a deeper treatment of the shifting landscape and what it means for Singapore is helpful. Singaporeans deserve a fuller understanding of what is going on, the potential impact on Singapore and what other countries are doing and what we might do in response to plan their own lives. Some may say this is fearmongering. Some say that in spite of geopolitical headwinds, Singapore's value proposition would not suddenly become unattractive. Some say we need not worry, since we have a trade deficit with the US; and some say Singapore might even benefit, for example, from China Plus One. Here is a rhetorical question. Did you ever imagine a day when the US would vote with Russia on a United Nations (UN) resolution backed by Europe? As former British Prime Minister Lord Palmerston once said, nations have no permanent friends or allies, they only have permanent interest. The fact is, these trends are changing fast and the outlook is uncertain. Uncertainty does not in itself suggest pessimism. Within each of these trends, there are challenges but also opportunities for Singapore. What uncertainty does do is compel us to reframe our strategies and build a new vision for the future. We must articulate how we will thrive in the shifting landscape and I say we must build a future founded on resilience. Our financial strength, far-sighted leadership, good governance and stability and the successive generations of the People's Action Party (PAP) Governments have helped us weather and emerge stronger out of many storms. From the struggles of the early years of Independence to COVID-19, we must protect and not squander these. At the same time, there are facets of resilience that we need to develop or strengthen further as we confront a future of heightened uncertainty. Three, I will focus on in my speech: a supply chain resilience, climate resilience and above all, a resilient people. But what is resilience? Resilience is not just about being strong and stoic. Resilience is about our ability and willingness to adapt, to innovate, to overcome, to turn adversity into advantage, recognising that our greatest strength is our unity, holding dear our foundational values of openness, multiculturalism and self-determination. So, first, supply chain resilience. COVID-19 and the Russia-Ukraine and Middle East conflicts laid bare the impact of supply chain disruptions and the importance of resilient supply chains. This importance has only been accentuated. Trade disputes, sanctions, unexpected crisis and conflicts can ripple through economies. The impact of the 1 February 2025 US tariffs on China, Mexico and Canada is estimated to increase tariff costs by a whopping US$250 billion, materially impacting company profits. The 10 February 2025 steel and aluminium tariffs suggest that all countries will be affected in time, with impact dependent on trade balances and country concentration. Industrial goods, energy, electronics and data centres are the sectors expected to be most exposed.[+31 sentences] Geopolitics is not the only thing affecting global supply chains. Climate change, digitisation and AI talent shortages are also reshaping supply chain. All this affects Singapore on three levels: one, our own needs; two, as a global foreign direct investment (FDI) and business hub; and three, as a logistics and trading hub. It could have a profound impacts on cost supply and price volatility and inflation, on FDI and jobs, especially in key sectors, like manufacturing and the digital economy, and on trade, our lifeblood. Take volatility. If the price of steel is very volatile, what happens to small and medium enterprises (SMEs) and their Singaporean workers in industries, like construction, that have traditionally kept very little wiggle room in their contracts? Or if tariffs, export controls or data sovereignty requirements are placed on data centres and AI infrastructure, what happens to our digital and AI hub ambitions? For countries and companies, the strong and stoic approaches to building supply chain resilience are stockpiling and onshoring or reshoring. But these can be expensive. And as geopolitical headwinds grow stronger, companies must diversify sources, rethink their logistics and supply chain strategies, refine their go-to-market, invest in new partnerships and try and shape policy and negotiation. To help them reconfigure their supply chains, companies will need a deeper level of insight into their supply chain. For example, insight into the landed cost of components that go into the products they buy that will help them figure out optimal so sourcing strategies for each component and not just the finished product. They can also break up their manufacturing processes and move different processes to different sites to improve trade compliance and reduce cost. Sir, the Government can help to open new markets and new supply with new trade deals and to negotiate tariff implementation, whether it is reshaping, delaying exemptions or other exchanges. The Government can also champion new partnerships and contracting models, focusing on collaboration. An ecosystem approach will benefit many sectors as supply chains around us reconfigure. Singapore can play a role now. I think whether China Plus One will directly benefit Singapore is arguable. A lot of what is moving out is of lower value-add, too low for our relatively high-cost base. But there are indirect benefits in managing this new supply chain as a connector, as an orchestrator, enhancing our position as a trading hub. And so, we should build up supply chain and procurement centres of excellence here. Next climate change. We know climate change is existential for us. We know that whether 40 degree-days become the norm or flooding in Woodlands or Bukit Timah will become more frequent or whether parts of Marine Parade will sink under rising sea levels, will depend more on what other companies do than what we do. But we still need to be build climate resilience, even if it is the strong and stoic kind. I am glad Budget 2025 puts more in climate adaptation and resilience by topping-up funds for coastal protection, for example, alongside climate mitigation. In my Budget 2021 speech, I called for Singapore to act boldly on the green economy with President Trump's executive order to pull the US out of the Paris Agreement, US firms are awaiting clarity on the new administration's climate actions. But climate change is not waiting and refuses to be ignored with extreme weather becoming more common. Europe remains steadfast in its commitment to its Green Deal while adapting for economic realities; while Asian companies are primed to seize opportunities with many doubling down on investments in green business build builds, electric vehicles (EVs), batteries, solar, green hydrogen, low carbon, agriculture technology – setting the stage for another revolution, clean energy. Singapore's geographic constraints lead to a limited ability to deploy large-scale renewable energy sources and high cost. Importing energy and green and green hydrogen have their own high challenges. This not only has implications for our net-zero goals, but also limits economic development in growth sectors, like AI, advanced manufacturing, semi-conductors and biopharmaceutical. Thus, the potential deployment of nuclear power in the form of small modular reactors (SMRs) is noteworthy.[+1 sentence] It could also have significant economic impact. One of the first SMR programmes in the world, the Rolls Royce SMR programme in the UK, when fully operational, is forecast to create 40,000 regional jobs in the UK by 2050 and generate £52 billion in economic benefit.[+1 sentence] While critics say that SMRs are costlier than renewables and slow to deploy, the high cost of renewables in Singapore make us uniquely positioned to make the business case work. The $5 billion top-up to the Future Energy Fund to invest in nuclear electricity imports and hydrogen is timely.[+12 sentences] It must be complemented with strong regulatory support, capability build and very importantly, stringent safety regulations. To gain the political support needed to make nuclear energy a key pillar of our green economy, we need to assess and develop these conditions carefully. Finally, a resilient people, a resilient nation is one built on the strength, adaptability and courage of its citizens. Sir, this is our SG60 year. At milestones like this, we often recognise the struggles and sacrifices made by our pioneer generations in building Singapore. Sustaining the miracle of Singapore is not about resting on our laurels. Every generation must struggle and sacrifice. Ours is no different. The question is how we support Singaporeans. We need to invest in education and lifelong learning healthcare, including mental health and social well-being. In my maiden speech in this House, I called for the Government, businesses and citizens to make us the nation that learns the fastest, to invest in our people and double-down on skilling and lifelong learning. I am heartened by how SkillsFuture has evolved since then. Budget 2025 continues that evolution, extending support to those over 30 and training allowances to part-time programmes.[+8 sentences] We must make sure that these programmes are properly curated to improve the chances of participants landing a better job. With SkillsFuture in full flight, the next area to focus on is economic empowerment. We need to continue to create job opportunities and push for fair wages to give Singaporeans financial stability. We need a national programme for career guidance and development that helps individuals navigate their career progression. And we need to do much more to encourage entrepreneurship and innovation. Our people must dare to dream. They must want to work on moonshot projects: in AI, green energy and other critical areas. We must give them resources and support, across life stages. In Woodlands, we are launching a Youth Adulting Programme that will help young adults learn about careers, skills, entrepreneurship, technology and innovation, along with financial literacy, mental health and building relationships, which I jokingly tell my team it starts with a healthy date.[+20 sentences] This next phase will require us to build a culture that is more open to failure, if you learn from it. We need to teach our kids and their parents that it is not just the bankers, doctors, lawyers, chief executive officers, Ministers with straight-"A"s and a fast-track career that deserve to be admired and emulated, but the business owner who overcame failures. We need to teach our kids that success is not a function of Tik Tok views and likes, but of hard work and discipline, struggle and sacrifice. Sir, I must say a few words on global talent. I must. While we build new growth areas for Singaporeans, the skills required to jumpstart and grow these fields are currently in short supply globally, and countries are racing to build the same skills. The competition for highly skilled workers is shifting into the geopolitical sphere, leveraging tools like immigration policy. Singapore has always been forward-looking in this area, attracting top science, technology, engineering and mathematics (STEM) talents, reaching out to our diaspora, developing Global Innovation Alliances. Back in the mid-2000s, as the Economic Development Board's (EDB's) Boston Center Director, my husband supported Mr Philip Yeo, who was then building up the biomedical sciences sector in his meetings with some of the biggest names in life sciences. They came to set up labs here, grooming Singapore talents. Today, we are a biotech hub. Now, we need highly skilled talents in AI, quantum, green energy, nuclear fusion, and people with experience commercialising and scaling these innovations in these areas. We should look at what more we can do to win the geopolitical competition for talent, such as better headhunting with network analysis, allocating global talent funds, tapping on remote talent and building global talent ecosystems. A credible strategy to attract the best and brightest globally requires solid political support, and that starts with improving the conditions for all citizens to thrive. In tandem with skilling and job creation, we have done a lot to strengthen our social safety nets, make Singapore more family friendly, and promote physical and mental well-being. In my Budget 2023 speech, I advocated for more support for Singaporeans who had lost their jobs, ex-offenders and those struggling with debt, after seeing some of my Woodlands residents in these situations. Each of these groups is now receiving more support and will receive more support under Budget 2025. I will continue to push for vulnerable groups, and for policy implementation to go apace, not get overtaken by cost increases or other events that reduce the real value of the support. In the Committee of Supply (COS) debate, I will speak on the need to ensure that policies land in a human-centred way on the ground, with those at the frontline empowered to deliver support consistent with the policy intent, and to make the calls for deviations for deserving cases. On families, I have spoken for more paternity leave, flexible work arrangements and childcare leave for those with more children. The Large Family Scheme and lower childcare fee caps will help many families in Woodlands.[+10 sentences] In the COS debate, I will ask for more help for parents to cope with raising children, so they can enjoy the experience for the blessing that it is. And let us give more support to those who are trying so hard to have children. Together with Dr Wan Rizal and others, we tabled the Mental Health Motion. I shared the stories of my Woodlands residents, including one who succumbed to suicide. Many reached out to me after that. I am grateful for their support and input. In the COS debate, I will push for elevating mental health, closing the gaps between mental health and physical health support. Sir, undergirding all our strategies, we must continue to build a sense of togetherness and belonging, and reinforce personal and collective responsibility. Just as self-determination is a foundational value for Singapore, self-determination must remain a core value for Singaporeans, who must, in turn, be empowered and supported when they face job losses, health crises and personal setbacks. Collective responsibility breeds unity which breeds collective responsibility, a virtuous cycle. Belanja-a-Meal@Woodlands, which has been running for five years, giving hawker meals to 300 beneficiaries, and Store@Woodlands, which has been running for four years, giving 400-plus families groceries of their choice, are funded almost entirely by sponsors, schools, preschools, residents and the general public, not by Government funds, because they believe in our cause.[+6 sentences] Volunteers from all over Singapore, including Sengkang, help us run the store. I am reminded of the words of former Senior Minister, President Tharman, here: "No one has a monopoly over compassion." No one, no party, has a monopoly over trying our best, overcoming hurdles, to help our residents. We all have to use our ingenuity, creativity and networks to make it a collective responsibility in our communities. We are in this together. In this way, we make our people more resilient in a shifting geopolitical landscape. Will we be forced to pick a side?[+1 sentence] Sir, few discussions on geopolitics do not involve US-China tensions and the inevitable question: will we be forced to pick a side? We have maintained our neutrality, acting in our national interest, and we must continue to do so.[+1 sentence] But we must also recognise our geopolitical influence. Despite our size, Singapore is respected for pragmatic, principles-based strategic diplomacy, balancing relations between the US, China and the Association of Southeast Asian Nations (ASEAN). Perhaps, Singapore now has a duty to step up, to be a bridge between China and the West, to reduce tensions and improve global cooperation and integration. We need Singaporean officials on global forums, and we need Singaporean talents to step up into leadership roles in companies that operate in the geopolitical arena, as their understanding of China and the US, uniquely positions them to add value.[+1 sentence] In closing —
Mr Speaker8 words
[+1 sentence]Ms Jaafar, you might want to round up.
Ms Mariam Jaafar77 words
[+1 sentence]Yes, Sir. The years ahead could be stormy, where extreme weather patterns, disease outbreaks, protracted conflicts and great power competition converge to induce global disruptions of increased frequency and magnitude. We must view every disruption as an opportunity – an opportunity to strengthen our supply chains, to protect our planet, to empower our people and to increase our international influence. Together, as one united people, let us commit to building a resilient future, a resilient Singapore.
Mr Speaker6 words
[+1 sentence]Prime Minister and Minister for Finance.
The Prime Minister and Minister for Finance (Mr Lawrence Wong)9031 words
[+27 sentences]Mr Speaker, I thank all Members who have spoken and supported the Budget. Members have raised many suggestions. I will not be able to respond to all of them today. But I assure you that we have heard every suggestion and we will study them carefully. The detailed issues relating to specific programmes and schemes will be addressed later at the COS debate. The questions raised by Members during this debate revolve around three main issues. First, how are we supporting businesses and workers to navigate our new economic reality? Second, how are we helping Singaporeans to cope with the strains and stresses of life? And third, are we overly conservative in our fiscal projections and plans? Let me address these three issues in turn. First, how do we navigate a very uncertain global environment so that we can continue to create good jobs and opportunities for Singaporeans? Quite a number of Members spoke about this, including Ms Foo Mee Har, Ms Tin Pei Ling, Mr Darryl David, Mr Edward Chia and Ms Mariam Jaafar just now. Sir, the entire global system is changing. We can see it unfolding in real-time before our eyes. The multilateral trading system has been weakened by growing protectionist sentiments and unilateral measures. Countries are focusing more on their defence and security interests. So, it has become more about zero-sum competition rather than win-win cooperation. All these will disadvantage small and open economies like Singapore. The major powers say they do not want to fight; they do not want conflict, but they are preparing for conflict. All of them realise that there is a need for a strong industrial base to sustain any war effort. In particular, the Western countries feel that they are at a disadvantage. It is not difficult to see why. Twenty years ago, China accounted for just 9% of global manufacturing output. It accounts for one-third of global manufacturing output. That is more than the next three countries, the US, Germany and Japan, put together. China alone. So, naturally, there is a huge attempt to rebuild manufacturing in America and Europe, and that is why competition for investments will only intensify. So, we have to be prepared for tougher competition and do what we can to stay in the game. We are topping up the National Productivity Fund, which will provide us extra firepower to stay competitive and attract investments.[+14 sentences] We are taking steps to strengthen our infrastructure, enhance our enterprise ecosystem, as well as our innovation and technology engines. These moves will translate eventually and ultimately to better jobs and better opportunities for all Singaporeans. We also have to brace ourselves for increased scrutiny of high-tech activities done out of Singapore, something which we discussed in Parliament last week and which several Members also highlighted. We are an open hub. We welcome and harness technology from different countries. But the key countries, the key sources of technology, are now concerned about technology leakage. They want to keep their proprietary technologies controlled tightly within a safe ecosystem. To be clear, we do not enforce the unilateral export controls imposed by any single country. But we will make efforts to address these concerns. We will lean forward and provide assistance where appropriate in accordance with our laws. Members may have read in the media today some actions we have taken. We made these proactive moves because we want to ensure Singapore remains a reliable and trusted partner in global trade and commerce. In today's fragmented world, we must work even harder to stay open as a hub, where businesses from all over the world can operate with assurance and confidence. As we navigate these external challenges, we also must continue to press on with productivity improvements in our own economy. Our labour productivity has been growing at around 2% per annum over the past decade from 2014 to 2024.[+14 sentences] Most of this is driven by the outward-oriented sectors of our economy. So, we can still do better to improve productivity for our domestic-oriented sectors. I know many SMEs are concerned about the high costs of doing business. Several Members, including Senior Minister of State Desmond Tan, Mr Mark Lee and Mr Lim Biow Chuan, reflected these concerns. But there are economic realities we cannot avoid. Our land cost reflects its scarcity in our small island nation. As long as Singapore does well and there is strong demand for land, there will be upward pressure on land prices. Our energy costs are affected by global price levels. We import our energy and we have limited renewable energy options. Our labour cost reflects the wages of Singaporean workers. We all want wages to rise. But wage increases have to be matched by productivity gains. Assoc Prof Jamus Lim highlighted that wage increases in recent years have lagged productivity growth and there is scope for wages to go up further. But we should be looking at the data over a longer timeframe. Over the past decade, real wage growth has been commensurate with productivity growth.[+2 sentences] We will continue to push for this – to push for higher productivity as well as higher wages. That is why we opted for the Progressive Wage Model, which ensures continued skills upgrading for workers as they move up the wage ladder. We will also keep an eye on costs and provide short-term help to companies where needed but without blunting the incentive for them to restructure. That is why we have corporate income tax rebates in this Budget.[+2 sentences] And we are increasing co-funding levels for the Progressive Wage Credit Scheme to help companies co-pay the wage increases for lower-wage workers. We are also supporting companies on the regulatory front. Deputy Prime Minister Gan Kim Yong is leading the Inter-Ministerial Committee for Pro-Enterprise Rules Review to review our regulatory processes and cut compliance costs.[+23 sentences] He will give an update on this work at the Ministry of Trade and Industry's (MTI's) COS debate. Our more important effort is really to help companies consolidate, restructure and transform. That is something the Government can encourage, facilitate and nudge. But in the end, the business owners themselves, the companies themselves, must be prepared to make the change. Take retail as an example. Some retailers are concerned about the impact of the Johor-Singapore Special Economic Zone and the Rapid Transit System (RTS) Link. But with e-commerce, competition is already happening and it is happening and taking place from all over the world. Today, Singapore consumers, all of us, can already purchase many items from abroad and have them shipped to our doorsteps at cheaper prices than the local retail price. There are many examples. You can look for yourself. So, retailers have to adapt and re-think their business models. Some have done so successfully. Take the example of baking supplies company Phoon Huat. It started out in 1947 as a single shop in Middle Road. But with continuous transformation, it has expanded its operations significantly. It now has its own production facility, a distribution centre and 20 retail stores in Singapore. And with support from Enterprise Singapore, it has built a thriving e-commerce platform, which enables it to export to more than 20 countries. It has also adapted to changing consumer preferences, for example, by launching its own gourmet brand and refreshing its brick-and-mortar stores to provide experiential spaces for baking demonstrations and classes. So, this is how constant innovation and transformation can allow businesses to stay competitive and relevant. It is not easy to make such transformations. But for firms that are willing to do so, the Government will provide our full support. Mr Derrick Goh asked about the kind of support that is available. In fact, we have many schemes to help our SMEs. In this Budget, I have highlighted three new initiatives: the SkillsFuture Workforce Development Grant, the refreshed SkillsFuture Enterprise Credit and the Enterprise Compute Initiative.[+6 sentences] These new initiatives arose out of our engagements with the trade associations and chambers (TACs) and the Singapore Business Federation. We continue to welcome their feedback and their important work in getting their members to transform their businesses. At the same time, aside from the new initiatives, there are many existing initiatives for SMEs that remain part of our overall enterprise support efforts. For firms that fully utilise the support schemes, the total amount of help that they can get is, in fact, considerable. In the past, the utilisation of many of our enterprise schemes has tended to be lower than what we had projected or hoped for. We have been discussing with the TACs to find out why, so that we can raise awareness amongst the SMEs and also do what we can to make the schemes more accessible. We hope the latest Budget moves will help. And if the utilisation of these schemes turns out to be higher than expected, and more funding is required, I assure you the Ministry of Finance (MOF) will be happy to provide additional resources.[+12 sentences] Besides uplifting the overall SME sector, we are also developing a pipeline of promising enterprises, some of which will eventually grow to become global companies of the future. The multinational enterprises (MNEs) we attract to Singapore support this enterprise development strategy. Because the smaller firms can partner with the MNEs and eventually expand to new markets abroad. As Mr Neil Parekh highlighted, such partnerships are beneficial and we will continue to create more opportunities for collaboration. Some enterprises are started by global entrepreneurs or founders from abroad who are keen to use Singapore as a launchpad and we welcome more of them to come here and to launch their next big idea here. There are also homegrown companies emerging from our research and development (R&D) ecosystem, which Deputy Prime Minister Heng Swee Keat mentioned yesterday. And more young Singaporeans are now prepared to take the plunge into entrepreneurship. So, on the whole, if you look at our enterprise ecosystem today compared to 15 years ago, I would say things have improved considerably. But there is still much more that needs to be done and we will press on with our efforts. With constant industry transformation, we can expect more churn in workplaces – existing jobs will be redesigned and new jobs will be created. Understandably, all these will contribute to anxiety and concerns amongst Singaporeans about jobs. Several Members, like Miss Cheryl Chan and Mr Faisal Manap spoke about this; and Ms Denise Phua and Ms Jessica Tan also highlighted the disruptions that could be posed by rapid technological advances. These concerns are real and I acknowledge them. But we have to understand the underlying reasons and avoid pinning the blame on foreigners.[+13 sentences] Because we can see this happening in so many other countries, where foreigners are blamed and the public discourse ends up spiralling into very negative, toxic and xenophobic directions. That is not what we stand for in Singapore and we must never allow that to happen here. Our approach towards foreign workers is clear. We welcome them to work here, but we do this in a controlled manner and ensure they complement Singaporeans. And we have continued to finetune, over time, our system of controls. For example, we have introduced the Complementary Assessment (COMPASS) framework for Employment Passes. We have introduced new measures, like the Workplace Fairness Act, to protect Singaporeans against workplace discrimination. This approach has contributed to positive outcomes, including low overall unemployment rates, good employment outcomes and rising real incomes for Singaporeans. But we are not resting on our laurels. The Government will do more to better support Singaporeans, young and old, to better equip everyone for the changes in our economy. That is exactly why we are taking decisive steps to strengthen SkillsFuture. It has been 10 years since we started, as some Members highlighted. We have made several significant changes. Senior Minister of State Desmond Tan and others highlighted this too. We have introduced the SkillsFuture Level-Up Programme for mid-career workers and the SkillsFuture Jobseeker Support scheme to support those who are involuntarily unemployed and need help to get back to work.[+26 sentences] In this Budget, we are making further moves, including to nurture more promising Singaporean corporate leaders and we will do more. Several Members also spoke about this, including Miss Cheryl Chan about a talent development strategy. We want to develop Singaporean talent and we want to see more Singaporeans take on leadership positions in the corporate sector. We are also supporting in this Budget senior worker employment. That is something close to the heart of many labour Members of Parliament (MPs) and many of them spoke about this passionately – Senior Minister of State Heng Chee How, Mr Patrick Tay and Mr Mohd Fahmi Bin Aliman. We are convening the Tripartite Workgroup to dive deeper. There will be many issues to work through and I look forward to making progress with all of them with our tripartite partners. So, while we have made progress on SkillsFuture, we know that there is still much more to be done. Because you can compare our adult education and training system with all the investments and established infrastructure we have in the formal schooling years. That is still so much to do to fully build up our SkillsFuture system. This is not just in Singapore. If you look around the world, in countries everywhere, generally, governments have invested more in pre-employment training than in adult education and training. But compared to other countries, in fact, Singapore is already at the forefront in many respects. So, there are no ready models for us to look to. We have to experiment, innovate and find our own way forward. But we are fully committed to this endeavour and I expect to put in additional resources in the coming years to further strengthen SkillsFuture. Sir, we cannot save every job, but we will support every worker in Singapore. We will create even more opportunities and better jobs for all Singaporeans. This leads to the second issue, which is, how is the Government providing enough support to help Singaporeans cope with other stressors and strains in life? Mr Pritam Singh, the Leader of the Opposition and Mr Leong Mun Wai said Goods and Services Tax (GST) increase has made it worse by adding to inflation. In fact, Mr Singh said that the GST increase "turbocharged" inflation. But let us be clear. As a small and open economy, our inflation was driven primarily by global factors – wars, supply chain disruptions, and rising energy costs. As Mr Saktiandi Supaat noted, even before the GST increase, prices were already going up globally and in Singapore. And here in Singapore, the central bank, MAS, had assessed that the effect of the GST increase on inflation would be "transitory". Indeed, this was the case. In 2022, Consumer Price Index (CPI) inflation was 6.1%. Then, the GST went up by one percentage point on 1 January 2023 and another one percentage point on 1 January 2024.[+1 sentence] What happened to CPI inflation? It moderated to 4.8% in 2023 and came down further to 2.4% in 2024.[+22 sentences] Where is the turbocharging? Look, I know elections are approaching, but this Chamber is not an election rally. Let us not get carried away by the hyperbole, but have a debate based on facts. The fact is inflation has eased, both globally and in Singapore. But people are still concerned about cost pressures. It is not unique to us. It is felt across many other advanced economies, where the headline economic indicators are positive, but sentiments are poor. In the US, they even coined a name for it. They called it "vibecession". But there is a reason for the negative vibes. It is not just about feelings and sentiment. It is because price levels remain high even though inflation has eased and these create real pressures, and it takes time for people to adjust to these new price realities. We understand these concerns. That is why we are continuing to provide temporary help measures through the CDC Vouchers and other measures. And for the one-off SG60 surplus sharing package, we decided that a key plank would also be in the form of vouchers, so that they can also provide some relief on the cost front. As I said in my Budget Statement, we will continue to provide cost of living support for as long as needed and within our means. The Workers' Party (WP) and the Progress Singapore Party (PSP) appear to be unhappy and displeased that the Government is providing vouchers to help Singaporeans with the cost of living. They suggest that the Government is relying solely on vouchers to help with the cost of living. But we have never said that. These are temporary help measures. They are not long-term solutions. In fact, they only make up a small part of our overall Budget. The cost-of-living measures and the SG60 Package account for about 5% of our Budget.[+33 sentences] A much larger part of our spending is in structural programmes, especially to equip and empower Singaporeans through education, skills training, skills upgrading, job training and the significant moves we are making on SkillsFuture which I highlighted just now. All these will ensure Singaporeans do not just receive help but are able to stand on their own feet and seize better opportunities for themselves and thrive in a rapidly changing world. As we have repeatedly emphasised, the more durable and sustainable way to tackle cost of living is to ensure that Singaporeans enjoy higher real incomes, and that must be supported by a strong economy and productivity gains. That remains the key thrust of our approach. And objectively speaking, we have done relatively well. Singaporean households, across different income levels, have experienced sustained real income growth over the past decade. And what we have achieved has outperformed many other advanced economies, as we can see from this chart. I show these statistics not to blow our own trumpet, but so we know what the facts are and how we compare with other economies. But I fully recognise that even with a strong and growing economy, the day-to-day lived realities for Singaporeans may be different. Life in a compact city like Singapore, with no hinterland, can be competitive and it can be stressful – something which Members on both sides of the House were quick to bring up in their speeches over the last two days. And that is exactly why as part of Forward SG, we have been taking steps to strengthen our social support system. We want to provide greater assurance to Singaporeans across every life stage on their basic needs, like education, retirement, healthcare and housing. We want to provide more support for the disadvantaged and vulnerable groups. We want to ensure that no one is left to fend for themselves in Singapore. And if anyone faces setbacks, we have a system in place to help them recover and bounce back stronger. These are desired outcomes which I am sure we can all agree to. The question is how do we achieve them? Members have offered many suggestions. Ms Hazel Poa said we need to put more emphasis on social rather than economic considerations and that we are overly reliant on the price mechanism, citing land as an example. But pricing all resources properly is not about giving more weight to economic over social considerations. It is simply about getting our policies right and doing things the right way. If we do not price properly, then we are giving a hidden subsidy. A subsidy means someone has to pay. If it is not paid by consumers, it is paid by taxpayers. If it is not paid today, it will have to be paid tomorrow. Because at the end of the day, there is no free lunch. So, our approach must be to get the price right, then, we decide how much to subsidise. Take public housing as an example. The Housing and Development Board (HDB) has to pay the market price for the land when it develops a new flat. But when it prices the new flat for sale, it does not recover fully the cost of the flat. Instead, it prices it on the basis of affordability, as we have said time and again. I will give you a concrete example: a 4-room Build-To-Order (BTO) flat in Sengkang. This was in the October 2024 BTO exercise. After accounting for grants, a resale flat nearby in that area, is around $545,000.[+4 sentences] Five years ago, it was about $360,000. So, resale prices have gone up nearly $200,000. What about the sale price by HBD for the new flat? The BTO price has not gone up by that much. Instead, it has increased in line with median income over that period and was sold at about $370,000.[+4 sentences] So, resale prices have gone up a lot. BTO, yes, but not as much and in line with median incomes. The difference is a subsidy that is borne by the Government. That, together with the higher cost of construction, is one of the key reasons why HDB's deficit has increased sharply. If you look at its annual statements in FY2018, the deficit was $2 billion.[+17 sentences] In FY2023, it was $6.8 billion. The Government's funding to HDB to cover its deficit has correspondingly increased over the years to cover the deficit. Some of you may ask and this is the right question to ask: is this sustainable? It will not be sustainable if overall property prices keep rising faster than incomes and the financing gap keeps growing year after year. But this will not happen, because we keep a close watch over the property market and we ensure it does not happen. That is why we have introduced cooling measures where necessary, by increasing the Additional Buyer's Stamp Duty (ABSD) for multiple property and foreigner purchases and we have significantly increased BTO supply as well as Government Land Sales to make up for the disruption that occurred during COVID-19. These measures have helped and will eventually stabilise the market. More specifically, when you look at the HDB market, in the short term, resale prices can be up, they can be down. In localised popular areas, they will generally be higher than the less-popular areas. That is why we introduced a new classification system with the Plus and Prime flats. But overall, in the longer term, we are confident that HDB prices will remain affordable. Why? Because only Singaporeans can buy HDB flats. We can and we will build enough housing for every Singaporean household. For now, we have focused on ensuring that the new flats are available for first-timers, especially young married couples and parents with young children. We are already seeing concrete improvements. The application rate for first-timer families across all flat types has stabilised. In fact, it has come down from 3.7 times in 2019 to 2.1 times in 2024.[+1 sentence] This is the application rate. So, application rates are now below pre-COVID-19 levels.[+24 sentences] With a sustained and robust supply of new flats and as the overall market stabilises, we will have scope to consider how to adjust our policies to meet the needs of other groups, including second-timers and singles. There have also been calls for us, for the Government, to make bolder moves on social policies. You can look around the world. There are many examples of social support arrangements that started with the best of intentions, but only ended up with more problems. For example, some promise sizeable pension payments funded by younger generations, but now have problems paying for them. Others offer free universal healthcare, but now face rising costs and an overburdened healthcare system. To be clear. This is not about Government spending. We are prepared to spend more, where necessary. But it is equally if not more important to get the policies right and to ensure the overall system is fiscally sound and sustainable. On that basis, we have been taking steps to progressively strengthen the key pillars of our social system and our social compact. We started in Singapore with the basics: universal access to primary school for education, Central Provident Fund (CPF) for retirement, Government subsidies and the 3Ms – MediSave, MediShield Life and MediFund – for healthcare and HDB for housing. We have progressively enhanced these pillars. We have got Workfare Income Supplement for lower-wage workers, Silver Support for the more vulnerable seniors and SkillsFuture to support all our workers. Take retirement as one example. Our CPF system will be 70 years old this year. In a time where many pension systems are struggling with sustainability, we continue to provide assurance for Singaporeans' retirement adequacy in a sustainable manner. At its core, the CPF enables Singaporeans to save for their own retirement, with support from their employers. But we do not just leave this to individuals alone. Families are encouraged to help their loved ones save more and we provide avenues for them to do so, with matching grants from the Government. The Government provides risk-free interest rates, with extra interest for lower balances to boost savings. We support lower-wage workers to earn more and save more through Workfare and progressive wages. And for seniors who had lower incomes during their working years and so less in retirement, we have Silver Support to cover them. These improvements have been made to CPF over the years, and more recently, when we looked at the data, we saw the need to do more for two groups. First, the Institute of Technical Education (ITE) graduates whose wage trajectories were not rising fast enough compared to their peers in polytechnics and universities; and second, young seniors in their fifties and early sixties who could use more support for their retirement. That is why we introduced the ITE Progression Award last year, which will support ITE graduates to pursue a diploma and provide a top-up to their CPF accounts when they complete their diploma studies. We also introduced the substantial Majulah Package for young seniors, which included the one-time Retirement Savings Bonus, the MediSave Bonus as well as an ongoing Earn and Save Bonus.[+26 sentences] Several Members of Parliament, in particular, Mr Louis Chua and Mr Saktiandi Supaat, spoke at length about retirement adequacy. I have listened to them carefully and we will consider all your views and suggestions. On the recommendations of the CPF Advisory Panel, many have, in fact, already been taken up. There are now various low-cost funds included under the CPF Investment Scheme, which members can choose to invest in. The question is whether there is scope for a low-cost life cycle fund done in a more comprehensive and structured way, beyond just leaving CPF members to choose for themselves. Because these options exist. They can choose but whether there is scope to do it in a more structured way. If we were to do that, that fund must be able to earn better returns than the prevailing Special Account rate, not the Ordinary Account rate. That is 4% on a risk-free basis and up to 6% based on the extra interest. Actually, that is not easy to beat on a consistent basis. Sure, you can opt to take more risks for higher returns. Mr Louis Chua mentioned an 80:20 portfolio promising above 7% returns. But that is, I think he qualified, potential returns. If you are lucky, you may get 7% or more. What happens if you are not so lucky? What happens if you retire at a time of market downturn? How do we provide assurance to Singaporeans? So, these are issues we will have to consider carefully. But we will certainly continue to review, finetune and improve the CPF system to better meet the needs of our seniors and to prepare for a future with increased longevity and life expectancy. This same approach applies to other areas too, which many Members spoke about. For example, many MPs, Mr Vikram Nair, Assoc Prof Razwana Begum, Ms Hany Soh, Mr Alex Yam, Ms Nadia Samdin, Mr Louis Ng, Ms Carrie Tan, amongst others, spoke about more support for families. And support not just in terms of financial support, but leave arrangements was a popular refrain in the speeches. We will have to look at all of these suggestions. Others like Ms Denise Phua, Mr Don Wee, Mr Ang Wei Neng and Mr Sharael Taha have highlighted the need for more inclusive hiring practices and employment support for persons with disabilities. I agree. We must do more for people with disabilities. In my Budget Statement, I said we are embarking on a comprehensive study to look at post-18 pathways for people with disabilities.[+12 sentences] We will want to do more for them. Many Members, such as Senior Parliamentary Secretary Eric Chua, Mr Henry Kwek, Mr Xie Yao Quan and Mr Dennis Tan, also spoke about the need to help our seniors age well and ensure they are not left behind in their silver years. In fact, we have made significant moves over the past one to two years to support these groups, including in this Budget. But our attitude is we are never satisfied with the status quo and we will continue to review and study how we can make things better. Likewise on the subject of caregivers, which many Members spoke about too, including Mr Yip Hon Weng, Mr Ang Wei Neng, Mr Sharael Taha, Ms Ng Ling Ling, Ms Joan Pereira and Dr Tan Wu Meng. Caregiving arrangements vary from family to family. Some have sole caregivers while others will share the responsibility over several family members. We recognise the crucial role that caregivers play and the sacrifices they make, such as leaving employment to care for family arrangements or forgoing their careers in order to spend more time to take care of their family members. We want to provide support for those who have to take up this role as it is not easy for them. It is difficult to put a monetary value on caregiving. Furthermore, there is no one-size-fits-all approach to support caregivers. So, our approach has been to provide support for the family as a whole. In this Budget, we have significantly enhanced the Home Caregiving Grant and increased subsidies for care services in nursing homes and in the community.[+26 sentences] But this is not the end of our moves. In fact, we will study more to see how we can further strengthen our support for caregivers. Members also had suggestions covering different areas. Mr Dennis Tan, Ms Jessica Tan and Mr Xie Yao Quan had suggestions on means testing. This is something we grapple with all the time because there is no perfect means testing criteria. Even on incomes, we can decide on per capita household income, family income, but we do not have the data, lifelong earnings income, a whole range of criteria to use. And we know that, increasingly, it is not just about income as a means test but also wealth. Several Members of Parliament spoke about wealth inequality. Then, you have to look at wealth measures and how do you look at that? What measures do you use? That is why we have Annual Value (AV) as a proxy. So, these are issues we will continue to finetune in terms of the means testing criteria. Ms Jean See, Ms Yeo Wan Ling and Mr Gan Thiam Poh highlighted other groups that may need more support, like freelance and agency workers as well as working mothers. Ms Usha Chandradas earlier championed for the arts. Mr Ong Hua Han reminded us to ensure our arts and sports scene remains inclusive. Dr Wan Rizal and Miss Rachel Ong advocated for mental health issues. These are some of the key points that Members have raised. We keep an open mind and we study all your suggestions carefully. Beyond ideas shared in this House, we continue to engage widely and hear views from all Singaporeans. We do so through various participatory platforms – something which Ms He Ting Ru talked about, like citizen panels, youth panels and Alliances for Action (AfAs). These platforms are resource intensive. They take a lot of time, but we find them useful and we will plan to do more. We may not be able to do implement every idea, there will be differences of views. And if we cannot implement, for whatever reason, we will explain why. Our commitment, the Government's commitment, is that we will do whatever is necessary to ensure that every Singaporean feels supported at every life stage. And the numbers, what we spend on, reflects this commitment. In fact, we spend more on social development than on the economy and security. Actually, social spending is already greater than what we spend on both the economy and security combined.[+10 sentences] So, we are not just saying we will do. We have done so in concrete terms and we expect social spending to continue to grow in the coming years. It is partly driven by our ageing population and rising healthcare costs. It is also because of our efforts under Forward SG to strengthen our social compact. We have fleshed out many programmes in this Budget and the previous one. But as I said, there will be more to come, as this is a multi-year effort. Ultimately, a strong social support system should not be reliant on the Government alone – even though the Government will do more, but it cannot be reliant on the Government alone. We will do more but our actions must also be complemented by individual and community responsibility. And we very are fortunate to have charities and social service agencies doing excellent work on the ground. We appreciate and thank all of them. In this Budget, we are supporting them further with more matching grants for their fundraising efforts, something which Mr Melvin Yong and Mr Keith Chua welcomed.[+13 sentences] And we will continue to work with all of them as partners to uplift our fellow Singaporeans. I should also add that many of the issues we are dealing with requires changes, not just in policies, but also in our attitudes and mindsets. The Government will spend more on healthcare, but Singaporeans also have to do their part to stay active and maintain a healthy lifestyle. The Government has and will continue to invest in SkillsFuture, but Singaporeans must want to improve their skills, and businesses must give their workers the time and space to go for training. And that is why Forward SG is about strengthening our social compact. It is about our shared responsibility – how we support one another, care for those in need and lift each other up. That is how we build a more inclusive, and a stronger and more united Singapore. Finally, on the third issue, are we overly conservative in our fiscal projections and plans, especially in light of our surplus position? Mr Liang Eng Hwa asked about the treatment of the Significant Infrastructure Government Loan Act (SINGA) and how it contributed to the surplus. Under SINGA, we borrow for major and long-term infrastructure projects. The spending for such projects is capitalised, which allows us to spread the expenses across the useful life of the asset. This, as we have explained, is more equitable as the asset will benefit both current and future generations. This accounting treatment has been in place since FY2021. Dr Lim Wee Kiak asked about the assets linked to the $3 billion money laundering case, which have been surrendered to the state. These assets are progressively being liquidated and, when they are liquidated, monies will be added to the Consolidated Fund. These funds are not earmarked for specific purposes but will be part of our overall revenues to fund the Government's Budget.[+37 sentences] Several Members, including Mr Singh, the Leader of the Opposition, Ms Hazel Poa and Mr Leong Mun Wai, questioned the need to increase the GST, given our strong fiscal position. I should remind Members that we are in this strong, fiscal position precisely because the Government took the necessary steps early in this term to raise revenues. But if we were to rewind the clock and consider our situation, imagine what our situation was at the beginning of this decade? We were in the thick of battle, fighting COVID-19. I know it feels like a bad dream and a distant memory to all of us, but those were truly tough times. In 2020 alone, we had five Budgets. In 2021, we had three Budgets. We sought the President's approval five times to draw from Past Reserves. And this was in 2020 and 2021. We had no way of knowing when the pandemic would end, how the virus would mutate, how many more new waves of infection we would face, how many more restrictions we have to impose and how much deeper a fiscal hole we would end up with. But we already knew for sure that spending needs would rise over the horizon. It was coming, year after year. We could see it happening. Healthcare spending was rising, especially with our rapidly ageing population. We looked at different ways to raise revenues, including through property and income taxes. But these moves were still not enough to cover the expected increase in expenditure, which was sure to happen. So, what should we do then to plug the funding gap? That is why we had to consider the GST increase. It was a difficult decision. It was a difficult choice. It is never easy to raise taxes and certainly not a tax like the GST. But governance is about making responsible choices, not just popular ones. We must ask ourselves: do we want short-term populism or long-term stability? Do we want to kick the can down the road or take the hard but necessary decisions? So, once there were signs that the economy had stabilised, we decided to proceed with the GST increase. But we also rolled out a comprehensive Assurance Package, which effectively delayed the GST increase for the vast majority of Singaporean households. Essentially, once we decided to move, the GST rates were locked in. But with the Assurance Package, we could be more responsive to changing circumstances and we could push back effectively the impact of the GST increase. And that is exactly what we did. We had multiple rounds of enhancements to the Assurance Package to tackle cost of living concerns and to ensure that the majority of households will not feel the impact of the additional GST for at least five years. At the same time, we also have a permanent GST Voucher scheme, which we also enhanced. And this ensures that the GST and the GST Voucher Scheme, combined together, will support the lower-income groups and will protect them, not just over the next five or 10 years, but on a permanent and ongoing basis. So, with that in place, together with the other revenue moves we made, we are in a better position now. And now, the additional GST revenues have started to come in. And the revenues are mostly from those who are better-off, foreigners as well as tourists. And it will give us the resources we need to improve our healthcare infrastructure and take better care of our seniors. What would have happened if we chose to avoid the GST increase because it is unpopular? Or if we did not enjoy the unexpected upsides in corporate income tax collections, which emerged only in the last two years? We would have ended FY2024 in a deficit.[+17 sentences] The projected balance in FY2025 would also have been a deficit. And that would have meant less funding for essential services, less support for our seniors and fewer resources to invest in our future. Basically, Singapore and Singaporeans would have ended up in a much weaker position. Several Members, I know, criticised MOF's fiscal marksmanship. Look, when I started work in MOF decades ago, one of my main tasks was to provide fiscal projections, as an economist. That was what I did. I was one of those who would run the models and churn out the figures. So, I know exactly what this work entails and how difficult it is. I will not defend the figures if they are off the mark. But I will speak up for our MOF officers who do this work with dedication and professionalism against any unfair criticisms. Ultimately, a Budget is a projection. It is based on the best available information at that point in time. We have to plan ahead. We have to make assumptions and we have to decide how we deal with uncertainties. In a crisis, when there is greater volatility in the economy, it is inherently more difficult to predict the turning points. But if you set aside unexpected crises like COVID-19, our operating revenue projections have generally not been far off the mark. The average deviation over the 10-year period from FY2010 to FY2019 was within a reasonable range of 5%. In the latest two financial years, FY2023 and FY2024, the deviation has been larger, but still around 7%, which is comparable still to other jurisdictions like the UK and the Netherlands.[+6 sentences] Let us dive deeper into the FY2024 projections because there were some questions raised about that. Mr Louis Chua had filed a written Parliamentary Question in September asking about the overall fiscal position. Our reply referred to the figure reported in the Budget Book, which was also the figure provided in the Budget Statement. In fact, MOF only starts to put together the revised fiscal estimates around the December and January period, when we start to get more data to update our estimates. And as I have explained in the Budget Statement, one key reason for the revenue upside was the unexpected increase in corporate income tax collections. Another reason, more generally, is that our economy performed better than expected, the Singapore economy. Remember, in early 2024, MTI started the year projecting that the economy would grow at 1% to 3%. We ended 2024 with gross domestic product (GDP) growth of 4.4%, well exceeding our expectations.[+5 sentences] But it is not just us. It is also the forecasts of many, in fact, I would say, virtually all private sector professional economists. So, when you have higher growth, it means higher incomes, which drives consumption and that shows up in higher collections – for GST, for example, and the Certificates of Entitlement (COEs). Ms Sylvia Lim suggested that the COE collections were driven by Government policy which kept prices high. But, in fact, it was the opposite effect. The higher collections were a result of Government action by injecting additional COE quota. This helped to bring prices down by 10% to 30% from the peaks in October 2023.[+31 sentences] But it also meant more motor vehicle sales; and then, with more sales and more quantity purchased, that is why you have more revenues. So, it is not a price effect, it is a quantity effect. In most other countries, poor budget marksmanship is when a government severely overestimates the revenue it will collect and underestimates its expenditure. That is what poor marksmanship is about. Then, the government makes unfunded promises that it cannot see through because there is no money or it borrows funds from somewhere else and kicks the can down the road, and leaves behind a growing burden for the next generation. But this is not the case in Singapore, where we practise responsible and prudent budgeting. Ultimately, it is not just the matter of good marksmanship or poor marksmanship. It is a question of the right values and the wrong values, the correct fiscal principles and the wrong principles. And the WP and PSP may think we are being overly cautious in our projections. But this Government will never take risks with Singaporeans' lives and future. We keep our public finances healthy year after year. We spend within our means. And if there are new or additional areas of need, we raise revenues to meet these new demands. We always ensure that we have enough, rather than risk falling behind and falling short. And should we have surpluses, that is good news. The money is not squandered, because it helps to fund future needs and allows us to provide more support for Singaporeans. And the fruits of Singapore's progress will be shared with everyone – as we are doing in Budget, to recognise the collective efforts of all Singaporeans. Sir, that is the responsible way to steward and manage our nation's finances. We have 60 years of history to show that Singapore has abided by the right values and principles and Singaporeans can continue to count on this Government to continue doing the same. We are in a fortunate position to have surpluses in FY2024 and FY2025. But on the expenditure side, I fully expect our spending to increase in the coming years. Mr Leong Mun Wai commented that the monies are going into more and more endowment and trust funds. But, in fact, the majority of these funds are drawdown funds. In other words, the monies within these funds are going to be withdrawn and spent for upcoming needs. Take, for example, Changi Airport. The monies that we set aside will be spent very soon, as construction on Terminal 5 (T5) begins this year. Changi Airport is owned by the Changi Airport Group (CAG). It is not owned directly by the Government. So, the T5 project is not eligible for SINGA borrowing. Instead, CAG will borrow for the project and the Government will be providing a guarantee to help lower borrowing costs, as I explained in my Budget Statement. But if we want Changi Airport to remain competitive as a global air hub, CAG cannot rely on borrowing alone to cover the full costs of the project and that is why the Government is providing significant support and funding through grants. Even as our spending goes up, we will continue to keep within our means and maintain a balanced Budget over the medium term. That is why I do not see us being able to put back the amount we had drawn from Past Reserves during COVID-19, something which Ms Tin Pei Ling asked about.[+29 sentences] But we will continue to be responsible and prudent with our finances. And if we maintain this approach, our reserves should be able to keep pace with our economy and we can continue to benefit from a steady stream of Net Investment Returns Contribution (NIRC) in our revenue stream. Compare this with the fiscal situation in so many other advanced economies around the world, especially in the West. They are running record levels of fiscal deficits, and their national debts are growing faster than their economy. So, the fiscal space they have to sustain their higher levels of welfare, while continuing to invest in defence and the economy, is shrinking. And at some point, the reckoning will come. You do not even have to go far afield to look at western countries. Look nearer to home at what is happening in Hong Kong, which several Members also talked about. It used to have a healthy fiscal position. But look how quickly the situation can turn and how they are grappling with deficits now and have to take such drastic steps to consolidate their position. So, really, we should appreciate all that we have here in Singapore. In contrast to so many other countries which are using their revenues to service interest payments, we have the opposite. We receive a boost to our revenues from our investment returns. Just think about it. Countries that have this luxury of investment returns are the ones that are endowed with oil and gas, or some other natural resource. They have been blessed by the heavens with these endowments. We have nothing, and yet, we are in this position. It is truly unique, and it is a Singapore miracle. Our fiscal strength is a vital source of competitive advantage in these turbulent times. It is going to get worse. The ride ahead will be bumpier. There are dark clouds over the horizon. No one can predict what the next few years will bring. But the risks have risen sharply. We have already seen wars in Europe and the Middle East. We may yet see conflict in Asia. We have to be prepared for a whole spectrum of possible global disruptions and threats. And in today's environment, sadly, global responses to these threats may not be as well-coordinated and effective as before. But in Singapore, we know that if such shocks were to arise, we have the ability to respond swiftly to them, like we did during COVID-19. Our reserves and our fiscal strength will enable us to protect Singaporeans when it matters and to turn adversity into opportunity, to turn our vulnerabilities into strength.[+16 sentences] Sir, our system has also enabled us to achieve good and equitable outcomes. The Government will continue to focus on accountability in spending, to ensure value for money in everything we spend. There are existing mechanisms in place to scrutinise our spending plans. I will not go through all of them, but we have well-established mechanisms to do so. The Government continues to put out regular reporting of outcomes in the Singapore Public Sector Outcomes Review as well as KPIs in the Budget Book. And as Mr Pritam Singh himself noted, we have put out occasional papers wherever relevant, for example, MOF's occasional paper on our COVID-19 measures, our occasional paper on medium-term projections, which I said we will be updating, as well as MTI's report card on the Industry Transformation Maps (ITMs). So, we will continue to do so wherever useful. On the whole, we have achieved outcomes that reflect our values as a society, one that is fair and equitable, prudent yet progressive, where those who have more contribute more to uplift those with less. In this Budget, we did extend some measures to private property residents, arising from feedback from the residents themselves as well as from many Members. Mr Pritam Singh says it is "ironic" that they should receive climate vouchers. But why is that so? This is not the cost-of-living support. It is an effort to encourage everyone to do their part to be more energy-efficient. But more importantly, let us look at the overall picture. We continue to have a highly progressive tax and transfer system. Members are familiar with the benefits and tax ratios which we highlight every Budget, and it is worth going through them again. The bottom quintile of households receives $4 in benefits for every dollar of tax paid.[+1 sentence] Middle-income households also get more benefits than tax paid, as we go through the income thresholds and levels. In fact, it is only the top quintile of income earners who receive less in benefits, or 30 cents, for every dollar of tax paid.[+8 sentences] So, this is what our system has achieved, and these outcomes are a culmination of years of deliberate moves to enhance the progressivity of our overall taxes and transfers system. There is no fiscal system in the world that can deliver perfect precision and equity. But I think we have found an approach in Singapore that works for us. It is not perfect, but we continue to make it better. Here, everyone contributes to taxes. The lower and middle-income will receive more support, while the higher-income and wealthier segments of the population will contribute more. It is a fair and progressive tax and redistribution system, anchored on our values of a fair and just society. And the strength of our fiscal system is internationally recognised. A recent Organisation for Economic Co-operation and Development (OECD) report commended Singapore on our robust fiscal system.[+9 sentences] This is hard-earned credibility that we have built up over many, many decades. It is not something we should take for granted, because that same credibility can be quickly destroyed in the wrong hands. And so, at the end of the day, on something as fundamental as this, Singaporeans will decide. Will they prefer a government that underestimates our needs, spends more from our hard-earned reserves, and leaves us weaker? Or will Singaporeans prefer a government that steadfastly upholds fiscal responsibility and discipline, and ensures we have enough resources for current and future generations to handle unexpected challenges? Sir, the PAP's approach is clear. We take our duty as stewards of the country seriously. We remain true to our mission and manage our finances carefully for the benefit of all Singaporeans, now and in the future. We will continue to do our best to convince Singaporeans that ours is the right approach. It has served us well these last 60 years and it will continue to keep Singapore on the right track in the years ahead.[+1 sentence] Mr Speaker, to conclude, the world is going through unprecedented changes. We are contending with tectonic shifts on multiple fronts: geopolitics and trade, technology and energy, demographics and culture.[+1 sentence] Thriving amidst adversity is never easy but that is what the Singapore story is all about from the very beginning, and we have strong foundations today that give us confidence to move forward. We have a strong fiscal footing built up over years of careful stewardship by our forefathers. We have a clear plan for the road ahead, anchored on our Forward SG agenda. We are grounded in our shared values of solidarity and unity. This year's Budget paves the way for us to chart Singapore's next lap, to navigate uncertainties with gumption and strength, to address immediate challenges decisively, and to secure our long-term future with confidence. It is a Budget put together by Singaporeans, with Singaporeans, for all Singaporeans.[+1 sentence] So, let us write the next chapter of our Singapore story and move onward together for a better tomorrow.
Mr Speaker3 words
[+1 sentence]Mr Pritam Singh.
Mr Pritam Singh (Aljunied)660 words
[+9 sentences]Thank you, Mr Speaker. Thank you to Prime Minister and Finance Minister. I assure him that my clarifications will not be with an eye on election rallies. Let me just take two points the Prime Minister made in his speech with regard to some points I raised in my speech. First, on the question of Climate Vouchers for individuals who are living in private household residences, the irony here is that the cost of living affects people across the board, including those in private dwellings. And giving them assistance also makes the point that the issue cuts across all segments of society, which was the metapoint that I made when I addressed the subject before I made that point in my speech. The second issue, the Prime Minister asked about "Where is the turbocharging?" on the matter of inflation. I took reference from the reply that was given by the Government in early 2024. I think it was referred to by Member Saktiandi as well, where the MAS set out a projected number. With regard to core inflation for 2024, it was 2.5% to 3.5%, and it estimated that the GST rate increase would contribute slightly less than 1% to core inflation.[+3 sentences] So, if you take that figure with the lower end of the estimate at 2.5%, that is 40%, and that is the contribution of the GST hike. That is how I read it. Hence, that explains my characterisation of "turbocharged". On the matter of the third subject, which was covered by the Prime Minister in his round-up speech, if I can just bring back what was mentioned at last year's Budget – when the Prime Minister was then Finance Minister – brought up in his round-up speech. He confirmed that OECD estimated that the investment hubs, Singapore, being one of them, would stand to see corporate tax revenue gain ranging from $5 billion to $11 billion. But that, on a more conservative estimate, this was $2 billion to $11 billion, and these increases would only materialise from FY2027.[+6 sentences] MOF was making assessments and detailed projections and would come back with detailed revenue updates. It has been a year. So far, we have not received these updates, and I hope the Prime Minister can share with us what these numbers are. In 2023, the Prime Minister also spoke, towards the end of his speech, about the occasional papers. MOF released an occasional paper in 2023, covering the medium-term fiscal outlook up to FY2030. But that paper did not include corporate income tax revenues that would accrue arising from BEPS. The Finance Minister said also in his last Budget reply speech and I quote, "the occasional paper that we published last year may not be so occasional after all. We will keep on updating it from time to time so that everyone will have a sense of how our fiscal trends are unfolding, not just on a year-to-year basis, but over five-year and 10-year horizons." Can I confirm that MOF will be releasing this occasional paper on the medium-term outlook with BEPS reflected in its projections shortly?[+4 sentences] And, finally, Sir, in the course of our last Budget debate as well, I remember a senior PAP backbencher saying that he was pleasantly surprised about what he had said only two three weeks earlier in the context of the Motion that we had in Parliament on the reserves, he had hoped that our corporate tax collections would overtake NIRC within a 10-year time frame. And merely two weeks later, during the 2024 Budget debate, that that overtaking had occurred: NIRC became the second top revenue source and corporate income tax overtook it. The Prime Minister said that it was not so clear cut whether that trajectory would continue and that it was too early to tell whether it can be sustained, so we will continue to monitor. Can I ask the Prime Minister whether there is some clarity now, on that point?
Mr Lawrence Wong916 words
[+1 sentence]Sir, I thank the Leader of the Opposition for the opportunity to clarify these points. On Climate Voucher, I should just reiterate, I understand his explanation. I was just making the point that this is not a cost of living support measure, the Climate Voucher.[+5 sentences] It is meant to encourage everyone to go for energy efficiency. Members have asked for this, residents themselves have asked for this and we think that, in the broader scheme of things, it is a move we can make. I mean, the WP is free to object to it if they feel like it is not worth doing. And if they feel that they do not want to support this, please say so. But we think it is a worthwhile move to make to encourage energy efficiency. On "turbocharging" of inflation and the explanation that Mr Singh provided, I think he would have also, if he had read the reply he cited, read other MAS statements, which stated very clearly the impact of GST on price levels is once-off and it is transitory.[+26 sentences] The impact on inflation is transitory. And the explanation he gave that the impact of GST on inflation, the once-off effect or the transitory effect, is high as a proportion of the base inflation, actually does not make sense. Because if I take that view, then I really should be raising GST at the time of very high inflation, then the proportionate impact would be quite small, because the 1% on a very high inflation base means that there is very little impact. But if that is the case and that is what the WP feels, then really there should not be any concern about the timing of the GST increase. The third set of questions around corporate tax, they are related. Let me explain what the situation is. Go back to the beginning of the decade when we started looking at tax revenues. Actually, at that time, there was no certainty at all that corporate income tax would go up, even with BEPS. Because, remember, a stated objective of BEPS, the explicit-stated objective, one of it, is to transfer and re-allocate profits to market jurisdictions – large economies, markets. We are going to be impacted by that very move. We would have profits re-allocated from us and we would be suffering. It has not worked out or it still has not been implemented, this part of BEPS. But that was the beginning, what they wanted to do. That is why we were concerned and that is why we did not think that we would be able to get more revenues from corporate income tax. Later on, BEPS evolved and people started talking about having a minimum corporate tax of 15% applied across all countries. Yes, but that did not mean that competition would disappear and everyone would just operate with a 15% corporate income tax. As I have explained, even with a consensus earlier struck on a minimum corporate income tax, countries were already carving out manoeuvring space for themselves to introduce all sorts of different kinds of incentives in order to attract investments. This was the reality that we were faced with. So, even if the domestic top-up tax yields more revenue, we are very likely to have to also spend more to maintain our competitiveness. Thirdly, the situation today has gotten a lot fuzzier because the US has pulled out of the OECD consensus and we have no clue at all how this will emerge in the coming years. And that is why it is so difficult to say, let us give an updated projection. We do not even know what the global tax arrangement will be like in the next one, two years, given the unpredictabilities we face now. Even the Europeans are worried. The consensus has frayed. What is going to happen? What is the next move going to be? Will it be more tit-for-tat-type taxes or will there be some global cooperation?[+1 sentence] It is really unclear. And that is why we are unable to provide any immediate updates to our corporate income tax revenues from BEPS in the near term. But certainly, as the situation gets clearer, we remain committed to providing further updates on our medium-term fiscal position, including revenues from BEPS, if any, pluses or minuses, and we will continue to publish these figures.[+8 sentences] But in the meantime, we are fortunate that even before the domestic top-up tax, the minimum corporate income tax, has kicked in, companies have started to do more substantial activities out of Singapore and our corporate income tax collections have gone up. That is a big plus for us. But as I have explained, it is too early to tell whether this is a lasting trend. But whatever it is, it is good that we are in such a position and we will make good use of the revenues to ensure that Singaporeans benefit, to ensure that we continue to advance our goals. Next, on the occasional papers, I mentioned that we will be committed to publishing and updating them. There are no significant updates that we have been able to make in recent times given the very complex global situation. That is why we have not given an update to the occasional paper recently. But as I have said just now, when we get better clarity around our revenue position, in particular, we will certainly be committed to providing an update to the occasional paper.
Mr Speaker4 words
[+1 sentence]Mr Liang Eng Hwa.
Mr Liang Eng Hwa (Bukit Panjang)272 words
[+7 sentences]Sir, I have two clarifications for the Prime Minister. Firstly, on the SINGA capitalisation of $4.2 billion and $4.6 billion for the two financial years. The Prime Minister mentioned this is because of the bond that we issued to fund the infrastructure and then it comes in as part of the fiscal position. So, I would like to ask the Prime Minister whether we should remind Singaporeans that this is actually a sum of money that we need to pay over a period of time through depreciation of the assets? Because it comes in as cash now and if we were to use it for our current expenditure, we have to remind ourselves that this is an amount of money that needs to be paid over a period of time. And therefore, we should not see it as surplus, as in, like revenue surpluses. So, that is my first clarification. Second clarification is, last year, the Prime Minister, the then-Deputy Prime Minister mentioned about the $5 billion that is expected to be spent on the Forward SG policy moves as a first instalment. Then he also mentioned that close to $40 billion is expected to be spent on the Forward SG policy moves by the end of this decade.[+1 sentence] So, I would like to ask the Prime Minister, for this financial year, what is the estimated amount that is attributable to the second instalment of the Forward SG policy moves, whether he anticipates this subsequent instalment to be an even higher amount and whether the $40 billion that was mentioned earlier, is it still the amount that we envisage will be spent?
Mr Lawrence Wong188 words
[+5 sentences]Sir, I agree with Mr Liang's first point. Because as I said, there is no free lunch. The capitalisation of these large projects is the right thing to do for inter-generational equity. It is not just to generate near-term fiscal space for us, so we will do more to explain to Singaporeans the treatment of SINGA and why we should not assume that because we are doing this capitalisation accounting treatment, that there is somehow some additional freebie in the near term that allows us to spend more. That is not the motivation from SINGA. On Forward SG expenditures, in last year's Budget, we said it was $5 billion. This year, we will probably spend about $5 billion as well.[+4 sentences] But overall, if you look at the social initiatives that we are putting together. And a lot of the Forward SG agenda will be on the social spending and the chart I showed just now clearly showed that social spending is rising. So, we fully expect more to be spent on this front – on Forward SG and on social development. It probably will go beyond $40 billion.
Mr Speaker4 words
[+1 sentence]Assoc Prof Jamus Lim.
Assoc Prof Jamus Jerome Lim (Sengkang)223 words
[+6 sentences]Sir, I appreciate the Prime Minister's explanation that the Progressive Wage Model (PWM) is one approach and indeed, perhaps the Government's preferred one for uplifting wages at the lower-end of the income distribution. But as I said in my speech, where I think the squeeze is felt most acutely is by those in the middle, those who are sandwiched by commitments to their parents and children, but who do not happen to work in one of the eight sectors that the PWM currently covers. So, the first question I have is what is what is being done to help these workers realise wage increments that are commensurate, both with their contributions to greater productivity and the high cost of living? Related to this, the Prime Minister emphasise that skills upgrading and re-training is key to elevating nominal wages and I do not disagree with this in principle. But as I explained in my speech, real wage gains over the past five years have not kept up with increases in productivity and the cost of living. So, the question that begs to be asked is, how can the Government assure Singaporeans who do choose to re-train and reskill and upskill, that those efforts will ultimately be rewarded by actual wage increments when the unfettered labour market does not seem to already be doing so?
Mr Lawrence Wong294 words
[+14 sentences]Sir, we are focused not just on the lower-wage workers. We are pushing their wages through progressive wages, Workfare and many other initiatives. But we are also focused on the middle-income and on the broad middle to ensure that Singaporeans do enjoy continued real wage increases. Generally speaking, we have been able to achieve positive outcomes. I know Assoc Prof Jamus Lim talked about the last five years of data where wages seem to lag behind productivity growth. But you can slice data over any shorter-term period and look at the lags or when sometimes wages will be lagging behind, sometimes wages will be ahead of productivity. Certainly, in the last five years, wages have not caught up with productivity. But if you look at the longer-term time frame, we want to ensure wages do match productivity increases and it has been so. It has been so. And we will continue to ensure this remains. The best way to do that is to ensure a strong, vibrant economy. But not just leaving it to market forces alone, but to support workers with all the investments we are putting into SkillsFuture, which is not only benefiting the lower-wage workers, but supporting the broad middle of our workforce. And that is why we are redoubling efforts, investing more in every worker through a whole range of incentives and schemes and programmes through working with the National Trades Union Congress (NTUC), our brothers and sisters in the Labour Movement through the Company Training Committee (CTC) grants, working with enterprises who are prepared to do work workforce transformation. We are putting in place all the building blocks that are necessary to strengthen our SkillsFuture system and to make sure that Singaporeans continue to enjoy sustained real income increases.
Mr Speaker4 words
[+1 sentence]Ms Foo Mee Har.
Ms Foo Mee Har (West Coast)103 words
[+4 sentences]Thank you, Mr Speaker, I have two questions for the Prime Minister. The first question is, with the generous support measures, including the SG60 vouchers, I would like to ask the Prime Minister what impact these measures will have inflation on inflation? The second question is, I think what the Prime Minister spoke about the uncertain environment globally that is actually unfolding; actually, that is really real. I would like to ask whether the Prime Minister can, indeed, elaborate more, what would be some of the worst-case scenarios that the Government is preparing for and how we, as a nation, should prepare ourselves?
Mr Lawrence Wong353 words
[+5 sentences]Sir, on inflation, MAS certainly will do its assessments in due course. The Government will also do the same. But we think it is manageable. As far as the Cost-of-Living Support Package is concerned, this is not new. We have been providing it in previous Budgets. In fact, if you look at the overall amount provided for cost-of-living support in this Budget, it is smaller than in previous years' Budgets – overall amount, not just vouchers alone. If you look at the overall amount, it is smaller. And one reason why it is smaller, is precisely because inflation has eased and we think it is correct to taper the overall size of the Cost-of-Living Support Package.[+13 sentences] But this year, because of SG60, we have a special package to share the fruits of a nation's progress with all Singaporeans. It is once-off. It is SG60. It is not going to be year after year. And within the parameters and the amounts that we are giving out through SG60, overall, there should be a manageable impact on inflation. The second question on worst case scenarios, I mean, there is a whole range of them that we will have to prepare for. As I have said, it can go from something as extreme as conflict in Asia, which we have not seen for the most part in decades, but we have to be prepared now. The risk is not insignificant; it has certainly gone up. You have hotspots in our part of the world where accidents, miscalculations can happen and it will certainly have a knock-on impact on sentiment, confidence and the whole economy. But you could also have other kinds of emergencies and threats, cybersecurity, pandemics, supply chain disruptions, a whole range of things can happen, and even if they do not happen nearby, within Asia itself, something that happens far away can have knock-on impacts here in Singapore. So, we just have to be prepared. Brace ourselves for a bumpier ride ahead. But at the same time, draw confidence from the fact that our fiscal strength allows us to respond swiftly to any emergency.
Mr Speaker3 words
[+1 sentence]Ms Hazel Poa.
Ms Hazel Poa (Non-Constituency Member)143 words
[+5 sentences]First of all, let me clarify that PSP is not displeased with the vouchers, because we believe that they will help Singaporeans in the short term, but not over the long term. The Prime Minister has said that he has concrete plans for the future. So, can I ask if his plans include plans to lower our high cost of living with measures that have longer-term effects rather than vouchers? Secondly, the Prime Minister, in response to questions about CPF investments, asked what happens if a person happens to retire at the point of market downturn? Does the Prime Minister not agree that this problem can be managed if we have differentiated rules based on age, for example, giving younger CPF members greater leeway in investing in higher risk, higher return instruments, and for older workers to limit their exposure to such investments?
Mr Lawrence Wong548 words
[+5 sentences]Sir, I will take the second question first. Indeed, there are Lifecycle Funds, Target Date Funds, which provide that kind of glide path that Ms Poa talked about. If you are young, you take higher risk, and then as you get older it, the portfolio becomes a sort of a safer portfolio in order to minimise the risk. Actually, these funds are already available in the market. They tend not to be very popular with Singaporeans for some reason, but they are available and we hope that we can make them more accessible to Singaporeans. But the question that I said just now goes back to not just having choices and options, but whether, on a more structured basis, is there some possibility of looking at redesigning or updating the CPF system? And even with the kind of glide path, Target Date Fund that we talked about, it is not easy to achieve a better outcome across the board on a consistent basis than the risk-free Special Account rate of 4% and up to 6% with extra interest.[+8 sentences] It is actually very hard. But anyway, as I have highlighted the considerations. We are studying the matter and we will look further into it. On the earlier question on whether we are doing more in terms of structural programmes and schemes to help Singaporeans cope with the cost of living, yes, of course, we are. As I have mentioned just now, and all that I have said in the round-up speech, the bulk of our Government spending is in this, it is directed towards these structural longer-term programmes: in education, SkillsFuture, job training, upgrading Singaporeans, in ensuring that our economy is strong, so that Singaporeans earn higher incomes on a consistent basis, but at the same time, providing a social support system to provide greater assurances on the basics in life and to make sure that if anyone suffers a setback, we are there to catch them and help them recover stronger. Those are the things we are doing. Let us try not to put a wedge between the Government and the people. There is no point in saying the Government is rich and has strong fiscal position and then painting this as being detrimental to the well-being of Singaporeans. A strong fiscal position for Singapore is not at the expense of Singaporeans.[+12 sentences] In fact, it benefits Singaporeans in so many ways because we are able to invest more in Singaporeans. We are able to provide them with more support. We are able to help them with so many different areas of life and ensure that everyone benefits from a higher standard of living. It is easy to talk about spending more, sailing closer to the wind. You know, we have so much money, let us just be a bit more cavalier and relaxed about our fiscal rules; do not have to be so tight. But at the end of the day, who bears the price? Who pays the price? If something were to go wrong, if a crisis were to hit, if we end up physically weaker as a country, who pays the price? It is not politicians. It is Singaporeans. It is our children and our grandchildren. Let us not gamble with Singaporeans' lives and future.
Mr Speaker3 words
[+1 sentence]Ms Usha Chandradas.
Ms Usha Chandradas49 words
[+3 sentences]I thank the Prime Minister for his assurance that he will consider my suggestions for the visual arts sector. I also raised a number of questions about how the Culture Pass is going to be administered. Could I ask if the Prime Minister has a response to those questions?
Mr Lawrence Wong37 words
[+1 sentence]Sir, I think those specific questions on the Culture Pass are best answered by the Minister in charge of MCCY at the COS debate, and I am sure he will be happy to give a comprehensive response.
Mr Speaker3 words
[+1 sentence]Mr Louis Chua.
Mr Chua Kheng Wee Louis (Sengkang)203 words
Speaker, just one clarification, but a bit of a long one. I mentioned the point about the top-ups to endowment and trust funds, about how just in these two years, we can set aside close to about $42 billion.[+5 sentences] I mentioned, not in the context of earnings management of companies, but how if you look at it in the context of transparency and the matching principle, in the sense that if you look at these top-ups to the funds, they are to meet our spending needs in the future, similar to how if you look at our SINGA expenditure, our development expenditures, these are also spendings that are meant for longer-term needs and purposes. But in the sense that if you have the spending made from the endowment and trust funds, we get a lot less granularity versus the regular expenditures. I mean, those who go to the Budget website can see the whole full Heads of Expenditure under the different Ministries, under different spending categories. So, in that context, under the whole premise of greater transparency and the matching of the expenses against the periods in which they are incurred. Would the Prime Minister be able to share the rationale behind this?
Mr Lawrence Wong54 words
[+3 sentences]Mr Speaker, the funds that we have set up are for specific purposes. They are well-established. We highlight what they are and if there is a need for more information on the spending and expenditure associated with each of these funds, we will take a look at how we can put out more information.
Mr Speaker13 words
[+2 sentences]Are there any more clarifications for the Prime Minister? Mr Leong Mun Wai.
Mr Leong Mun Wai (Non-Constituency Member)301 words
[+8 sentences]Mr Speaker, Sir, thank you. At your instruction that I should ask all the questions in one go, and I have a lot of questions, so I have actually waited until the last one. If any other Members want to raise questions, I would encourage them to raise them before me. Okay, I have questions in three categories: one, on the Budget structure, I have two questions; two, on the NIRC, I have three questions; and on public housing, I have four questions. On the Budget structure, first, I want to highlight or emphasise that PSP is all for fiscal prudence. However, I think the Prime Minister and Finance Minister and the Government have always been taking the attitude that for the surpluses, the "more the merrier". So, what I want to say is that surpluses are not always the "more the merrier". There must be a balance. My first question is, the Leader of Opposition has pointed out that this term of Government will have a Budget surplus of $14 billion.[+1 sentence] So, I would like to ask the Prime Minister: is the Government aiming to run a balanced Budget over its term, or as much surpluses as possible, because we are of the view that surpluses coming from over taxation and overcharging are the drivers of structural inflation in Singapore? My second question is, does the Government believe that there is still a need to put back into the reserves for the $40 billion we spent on COVID-19? Because we all know from the statistics, from the data provided by MAS, that we have already accumulated more than $300 billion more in official foreign reserves over the last few years.[+2 sentences] And some of this has been transferred to GIC already. So, these are the two questions for the Budget structure.
Mr Speaker9 words
[+1 sentence]You can move on to your next three questions.
Mr Leong Mun Wai729 words
[+4 sentences]Okay. So, my next three questions are on the NIRC. The Government has repeatedly highlighted that NIRC contributes 20% of the Budget resources, implying that this money was spent on the current generation of Singaporeans. To determine whether this is actually the case, I would like to ask the following questions. One, can the Prime Minister confirm that, indeed, on average, Budget resources equivalent to about 80% of the NIRC every year are being transferred to endowment and trust funds, which will not all be spent in the allocated year, but reported as an expenditure in that year? Two, what are the total assets under the funds as of today?[+3 sentences] I think it is about $70 billion or $80 billion, but I would like the Prime Minister to confirm. In other words, these are the NIRCs that have been allocated to the Budgets over the last few years, not spent and still remaining in the endowment and trust funds. Third question, we already have the SINGA framework which can be used to fund important infrastructure like Changi Airport and coastal protection at a much lower cost to the people than raising revenue from GST hike or COEs. Can the Government re-examine the need to divert so much resources from the NIRC to endowment and trust funds, so that we can redirect these Budget resources to fund social spending increases or to relook at the need for the hike in GST and property tax increases?[+5 sentences] My last category, Speaker, is on public housing and I have four questions. PSP has presented the Affordable Homes Scheme and Millennial Apartment Scheme as viable solutions to our current housing problems. The Government has been criticising our ideas without much basis because it does not seem to have done research on them, and at the same time, the Government is not offering enough explanation as to how it is going to solve the ongoing problems that we are already experiencing today. First question, what is the latest update on the solution for the lease decay problem? Second question, can I ask the Prime Minister whether the Government has a better solution than the Affordable Homes Scheme to the lease decay problem, which threatens Singaporeans' retirement security because their retirement funds are tied to the value of their flats which may soon decay for those living in older flats? Three, how is the Government going to ensure that the BTO price will stay below $1 million, as the land cost continues to increase in line with property price increases?[+17 sentences] Four, what safeguards does the Government have in place if the resale market price collapses in the near future because of the increase in supply from the ramping up of the BTO supply in recent years? And, sorry, Speaker, since you said I should ask all my questions, there is one more question I want to ask. This is actually the 10th question. I would also like to chip in on the point raised by the Leader of the Opposition on turbocharging inflation due to the GST increase. I think the information provided by the Prime Minister is not enough to describe the situation because: one, the ground inflation is actually much more than what is reflected in the statistic. I have lived in Singapore for more than 60 years and in my personal experience, even including the experience in the 1970s when I accompanied by mother to go to the community centre to buy cheap rice from NTUC, the recent few years, really I can feel it, the prices are just leapfrogging, especially for cooked food. So, the ground inflation is different. I think the word "turbocharging" is not too far from the truth. Secondly, the statistical inflation data that the Prime Minister has quoted – around 6% in 2022 but when GST was increased, the reported inflation actually came down to 4% in 2023 and around 3% in 2024. But he is an economist, I am an economist. We know that there is such a thing as anticipatory behaviour. A lot of the merchants were already raising prices in 2022. So, the 6% is a more of, a better reflection that people are anticipating that GST is coming. Anyway, so, combining all three years, we have more than double-digit increases in inflation. That tells the story better. Sorry for the long clarification. Thank you.
Mr Speaker6 words
[+1 sentence]It was nine minutes for you.
Mr Lawrence Wong1177 words
[+23 sentences]Sir, I will attempt to reply to all the points that have been raised. First, on the Budget structure, I think Mr Leong has mischaracterised the Government's position. It is not the bigger the surplus, the merrier. We do not just look at it from that point of view. We adopt a responsible and prudent fiscal approach in budgeting. We are prepared to spend more if they are good ideas. As I said, the issue is not about spending more. The issue is about getting the policies right and making the right decisions to support Singaporeans. And if this entails more spending, we will. As you have seen in our social development spending, it is rising. And I fully expect it to rise further. The issue at hand is really about the approach towards thinking about budgeting. Our approach is one where we recognise that there are fiscal rules. And if there are fiscal rules, let us respect the rules. Let us not just keep thinking about changing the rules the first time we run into trouble and need more money. Let us stay disciplined, operate within these fiscal rules and, if we need more money, we raise the revenues to support and cover the additional spending needs. That is the fundamental approach that we adopt. I think PSP may have a different approach. And they are fine to have a different approach. But as I say, have a care about what you want and how you want to manage our country's finances. You may think it is not a big deal, just spend more, disregard the rules. But step by step, these are sure ways to weaken Singapore fiscally. And when that happens, it is Singaporeans who suffer. He talked about whether we will put back into reserves. I thought I made that clear in my speech: we will not be putting back into the reserves. We will not be able to because we do not expect structural surpluses.[+29 sentences] We expect to run balanced Budgets over the medium term. Okay, that answers the first part on the Budget structure. Next on NIRC. All the NIRC revenue goes into the Consolidated Fund and then we spend from the Consolidated Fund. Mr Leong's objection appears to be some of the spending goes into these funds, the endowment and trust funds, and that these are not real spending. But that is not the case, as I have tried to explain just now. Most of them are drawdown funds. In some instances, like the Changi Airport Fund, we are going to expend, spend the money quite soon when we build Terminal 5. In some cases a bit longer, but certainly within this generation, we will be spending a lot of that money. So, they will be spent. And there are good reasons why we set them aside now in order to spend and make sure that we have the resources we need for these near-term and longer-term expenditures, which will be spent. Mr Leong says better to fund these projects through SINGA. They are, I think he said, lower cost. Actually, SINGA is not lower cost at all. SINGA costs money. It is just that SINGA is a different way of financing. For very large, long asset life projects, we think from an inter-generational equity point of view, it is better to spread it out. And so we have SINGA. So, we are going to do both. We are going to have real spending needs which will be covered through these funds and we will have projects that are funded by SINGA. That is on the NIRC. And overall, if you look at the revenue moves that we have made – GST, as well as the other revenue changes, tax changes we made in this term of Government – as I have explained, we are now in a good fiscal position. But it gives us the ability to move quickly and to do things for Singaporeans. Having this strong fiscal position does not come at the expense of Singaporeans. If you look at the tax burden, if you look at what we impose as taxes relative to many other advanced economies, our tax burden is in fact quite low. And that is objective data; you just have to compare. And we intend to keep our overall tax burden low. But we will maximise effectiveness from every amount that we spend in order to make sure we maximise the benefits and outcomes for Singaporeans. Thirdly, on public housing and lease decay, what is our solution? The solution is the Voluntary Early Redevelopment Scheme (VERS).[+1 sentence] We have explained the broad outlines of VERS already and we will provide more details in due course. On BTO flats, how do we ensure affordability? We do so by making sure that the pricing of BTO flats will be done in such a way that Singaporeans will always be able to afford them.[+17 sentences] So, the pricing will have to look at Singaporeans' incomes. And as I had illustrated with a concrete example, the BTO price for that particular example has been updated in line with median incomes. So, that will be the way we ensure that BTO and HDB will continue to be affordable. Are we worried that we are over building? Here, I am a little puzzled. I thought Mr Leong and PSP are worried about not enough flats. And we had this debate with the WP a few years ago about are we over building and therefore we are going to have a property market crash. So, are we concerned about high prices? Are we concerned about the opposite? If we are concerned about high prices, then we need to build more, particularly because we have to catch up with the disruption in supply that happened during the COVID years. And that is what we are doing. We are catching up with supply. And it is because of that disruption in supply that has created that imbalance in the market. That is exactly why we have to build more now to restore that balance, and as I said just now, we can be assured that we will be able to restore balance because HDB flats are only purchased by Singaporeans. And we will be able to build enough HDB flats for every Singaporean household. Finally, on inflation, that is the last point that Mr Leong mentioned and he says the statistics are misleading or does not reflect the reality on the ground. But statistics are what they are. Unless Mr Leong is accusing the Department of Statistics of not collecting CPI data properly.[+2 sentences] It may happen in other countries. It certainly does not happen in Singapore. We have a proper system of collecting CPI, updating the basket, the inflation basket and the data is what it is.[+2 sentences] I stand by the data. It has come down. There is no basis to say that GST increase has "turbocharged" inflation. And even MAS itself, in its assessment, would have reflected that in its monetary policy statements.
Mr Speaker4 words
[+1 sentence]Assoc Prof Jamus Lim.
Assoc Prof Jamus Jerome Lim98 words
[+6 sentences]Sir, I appreciate your indulgence. Just a quick clarification. The Prime Minister mentioned earlier on that had there not been a GST increase, we would have run a deficit over the past two years. I recall, during our debate on the GST that the fiscal hole that would have been met by the GST increase would have been something in the order of $3.7 billion. I understand that last year, we ran a very small surplus, but this year we appear to have run a significant surplus. So, were GST receipts substantially larger than we expected this year?
Mr Lawrence Wong123 words
[+2 sentences]Sir, I mentioned that we would have been in deficit in FY2024 and also FY2025 because of both factors: if we did not do GST; and the unexpected upside in corporate income tax. So, it is both factors, not just GST alone. As I said in my Budget Statement, if we were to plan on previous assumptions for corporate income tax, it would be about 3%-plus of GDP. It has gone up to 4%-plus of GDP now. And when we plan for Budget 2025, we have assumed the higher base. But without that unexpected increase on corporate income tax, without the GST rate increase, certainly FY2025, based on whatever we are proposing to spend in the Budget, would end up in a deficit.
Mr Speaker3 words
[+1 sentence]Mr Neil Parekh.
Mr Neil Parekh Nimil Rajnikant (Nominated Member)327 words
[+15 sentences]Thank you, Mr Speaker. I find it strange that we have spent all this time trying to defend a surplus, while most developed economies in the world are begging for a surplus. So, I had to stand up and say this. In my view, we have benefited a lot through the reserves that we have had, not just the NIRC, but the fact that we have been able to maintain such high quality credit ratings, which make people want to lend to us, which make people want to invest in our country and which make global companies want to come here and pay corporate income tax to us. So, I think we should be thankful of where we are. We should be thankful to our preceding generations for putting us where we are and we should make sure that we keep up the good work that has been done by our preceding generations for us and keep on adding to that. I would also like to add a question for the Prime Minister. Corporate income taxes are quite fragile. They are here one year, they are gone the next year, largely because of profitability, largely because of the fluidity of capital today. What strategies do we have in place to keep Singapore attractive as we deal with a very complex world where many people are competing for investment dollars and consequently, new projects, which can be a source of significant corporate income tax on the revenue side? On the employment side, we are investing a lot in SkillsFuture. But many of the skills that will be needed in a few years, especially because through the advent and the expansion of AI, we do not know as yet. So, how do we plan for the unknown? If I may say, it is very hard to do. But what plans do we have in place other than what we are good at it already, which is being nimble?
Mr Lawrence Wong369 words
[+4 sentences]Sir, I thank Mr Parekh for his comments, especially the point about how we should be appreciative of everything that our forefathers have built and what we have inherited here in Singapore. On the point about how we make our investments sticky, which is really what Mr Parekh talked about, how do we anchor these investments, recognising that they have many options and the MNEs do have leverage. The simple answer and the only answer is that we have to up our game. We cannot just compete on costs. We have to improve our capabilities, offer a value proposition to them. And that is why we are investing in R&D, we are investing in capabilities, we are investing in Singaporean workers, so that the MNEs come here and they see in Singapore an ecosystem which they can plug into and which adds value to their operations.[+14 sentences] They will say, "Look, this is useful. This adds value to me and I want to do more out of Singapore." That is something we will continue to do. Having good local companies help too, something that Mr Parekh talked about. Because when they have good local companies based here, they supply to the MNEs, they form partnerships with the MNEs, it strengthens the ecosystem. It makes the investments stickier. So, that is what we are committed to doing. That is what all the initiatives in the Budget seek to do. On SkillsFuture and training for future skills, it is inherently a very difficult topic. No one can tell what the new requirements of the future are. But I think there are some basics which we can already train for, there are some fundamentals we can train for, and we are doing that. And in designing many of our programmes and courses, the course providers, our IHLs, the partners we work with, do not just design these courses in a vacuum. They often engage industry partners and understand what the latest business trends are, what are the latest requirements, and then customise skills programmes accordingly. So, that is a fundamental approach we take which hopefully will enable us to be quick, nimble and to be able to adjust to new and shifting trends.
Mr Speaker3 words
[+1 sentence]Ms Hazel Poa.
Ms Hazel Poa100 words
[+3 sentences]I wish to make another pitch to the Prime Minister to consider measures to lower cost of living. Does he not agree that if we lower cost of living, it will benefit all Singaporeans, whereas if we take the approach of investing in education and training, to raise wages, then, not everybody can benefit from that, especially older Singaporeans and retirees? Second clarification, since the Prime Minister mentioned that our CPI data is collected correctly, can I ask how our CPI calculations take into account shrinkflation – that means the price may remain the same, but the portion is smaller?
Mr Lawrence Wong396 words
[+2 sentences]Sir, it is not as though we are doing nothing to manage cost of living pressures. I mean, if we have talk about some of the big items of cost of living, what are they? Housing is one of them with, which we have discussed. And I have described exactly how we are helping to manage cost of living pressures precisely by pricing the BTO flats different from what is in the resale market, with growing subsidies, precisely to keep it affordable for Singaporeans.[+19 sentences] Our approach is, let us get the pricing right. Because if you do not get the pricing right, basically, you are giving a subsidy. Somebody has got to pay. We get the pricing right, then, we will subsidise where there is a need to, and we have, on housing, for example. We can debate how much subsidy is correct, but we are, and we are doing more. And so, all of the measures that we are doing, it is not just about equipping, training, empowering Singaporeans with skills to get better incomes. It is also to strengthen our safety nets. It is also to strengthen our safety nets. It is to make sure Singaporeans are able to afford the basics, be it healthcare, retirement, housing or education, and it is to make sure that we are able to help those who suffer setbacks and enable them to recover and bounce back stronger. On CPI, the Department of Statistics has its methodology. Shrinkflation is a different matter. I think there are different ways in which we can address that. Mr Melvin Yong mentioned some of that, through Price Kaki and also through maybe getting retailers to put out unit prices. These are some measures we can think about. But it is a constant battle to make sure that we ensure Singaporeans have the ability to cope with cost pressures which we know exist. So, we recognise the concerns are real. Setting aside the headline statistics, setting aside the fact that CPI inflation is easing, we do recognise that there are real concerns because Singaporeans have to adjust to new price realities. And that is why we are doing more to help them through cost of living support. That is why we are doing more to make sure that Singaporeans will have enough in this Budget to address their concerns on cost of living.
Mr Speaker4 words
[+1 sentence]Mr Leong Mun Wai.
Mr Leong Mun Wai459 words
[+3 sentences]Mr Speaker, Sir, first of all, I must commend Prime Minister for impressively answering my 10 questions, although I have said that giving out 10 questions in one shot is unfair for the person who is replying to me. I have a few more clarifications arising from what he has replied just now. First of all, the difference between PSP and PAP is that PSP prefers to put more money into the pocket of Singaporeans. Government can reduce some expenditures but also reduce the taxes. So, my first question is, can the Prime Minister answer my question as to what is the total amount of assets they are now being kept under the endowment and trust funds?[+9 sentences] Next question on public housing. Can VERS be a solution anymore, because the lease decay itself has already set in, as demonstrated in the Ang Mo Kio Selective En Bloc Redevelopment Scheme (SERS) case. The economics of SERS has totally changed as a result of the lease decay. And so, we would have expected that the same economics will be applied to VERS. Given the economics have changed, will VERS continue to be a viable solution? Anyway, the Government owes Singaporeans a clear answer. Since my housing Motion, when the Government promised to update us on VERS, it is more than two years already. And the lease decay problem has surfaced for more than seven years. Till today, there is no clear answer about lease decay. The next question, is it possible that without introducing the Prime and the Plus schemes, the BTO price would have already gone above $1 million?[+6 sentences] The Government is using the Prime and the Plus schemes to slow down the increase to $1 million, but on the other hand, increasing the HDB deficit, which, in turn increases the burden on the Budget. That is something that is not sustainable. Last question, on whether the ramp-up of this BTO supply now will eventually lead to an adjustment of the resale market. Actually, PSP's stance has always been, we are not in favour of just ramping up the supply. We have said in our Housing Motion that we should also increase the supply of quality rental flats so that this does not become a supply in the hands of owners but is a rental flat supply. Because if we increase the number of owners owning flats, then, there will be a point where all the Singaporeans have owned flats already, and the next thing will be a downward adjustment in our HDB prices. Okay, my last question is, will we reach a point when Singaporeans are faced with no choice but to increase our population faster to 10 million, in order to arrest the decline in our HDB price?
Mr Lawrence Wong557 words
[+2 sentences]Sir, I would disagree with Mr Leong's characterisation of the PAP Government's policy as refraining or denying Singaporeans from funds, or keeping the funds and not leaving it in the pockets of Singaporeans, as he put it. That is not the case at all. Whatever we collect, we put it back to benefit Singapore and Singaporeans directly.[+11 sentences] That is what the Budget is about. It is not about the Government holding back something. It is about making sure that all that we collect goes back to Singaporeans in different ways. Some, of course, are direct transfers, but not all of it. After all, the PSP itself says that you should not do so much because this will create entitlement. So, yes, some part of it goes into direct transfers, short-term measures. But a lot of it goes into a whole range of different programmes which benefit Singaporeans. We are putting back the funds to benefit all Singaporeans. That is our approach. On the size of the endowment trust funds, I do not have the figures off-hand. We can deal with that separately in the COS or in a separate Parliamentary Question. On VERS, yes, we know that it is something outstanding and we will provide details.[+9 sentences] Because the first flat for VERS is not due anytime soon. But eventually, the time will come when we have to do VERS and as we approach that date, we will certainly provide more details. The issue around Plus and Prime flats, let us be very clear. Why did we have to do Plus and Prime flats? Because for Standard flats, we know that the resale market moves up and down in the near term, but we will price the BTO flats not based on resale market alone, but we look at incomes and price for affordability. So, there is a subsidy there. But if we apply that same subsidy to localise popular areas, the flats will be more unaffordable, and can we make the subsidy more? Well, we can, but then, you have a problem where there will be a lottery effect. People will immediately know the subsidy is greater in these popular areas, "Let us go for that. And when I win the BTO, I will strike lottery".[+2 sentences] And that is not good. That is not equitable. So, the right thing to do is to have a Plus and Prime framework where we provide more subsidies in order to bring down the headline price, make it affordable but, at the same time, when the person sells that flat, the additional subsidies is returned to HDB.[+6 sentences] I think that is a fair and equitable way and that is why we have the Plus and Prime framework. On rental flats, do we want to have home ownerships for all Singaporeans? That has always been a policy. That is what Singaporeans want and I think that gives every Singaporean a stake in our nation's success. So, we will continue with home ownership. It has been the foundation of Singapore society, the foundation of Singapore's success. I think it continues to be a very important key pillar for nation building. We want to ensure a nation of home owners and we will continue to finetune and improve HDB policies to make sure that every Singaporean who wants to, can own their own homes.
Mr Speaker11 words
[+2 sentences]Mr Leong, one final one. Just get straight to your clarification.
Mr Leong Mun Wai4 words
[+1 sentence]Thank you, Mr Speaker.
Mr Speaker11 words
[+1 sentence]I hope it is not an old clarification, a repeated clarification.
Mr Leong Mun Wai43 words
[+3 sentences]I just want to clarify one last point with the Prime Minister. He did not really quite answer my question. Without the Prime and Plus scheme, do you agree that our BTO price, in certain areas, would have gone above the $1 million?
Mr Lawrence Wong145 words
[+14 sentences]That is hypothetical. I would not know. But let us put it this way. When my parents bought their Marine Parade flat in the 1970s, it was $30,000 or $30,000 plus. At that time, will they ever, ever imagine that they could sell the flat for $500,000 in the 1990s? No, not at all. But why have flats gone up? It is because of incomes. It is because Singapore has succeeded. It is because our standards of living have gone up. That progress, that success has benefited every homeowner in Singapore. That is what homeownership provides. A concrete stake in our nation's progress and not just that, but eventually, a home and a nest egg which you can tap on for retirement. It is a sound and a key pillar of our social compact, which we will continue to improve, enhance and build upon.
Mr Speaker3 words
[+1 sentence]Ms Hazel Poa.
Ms Hazel Poa17 words
[+2 sentences]One last clarification. When will the Government be able to let us know the details of VERS?
Mr Lawrence Wong62 words
[+2 sentences]I do not have the answer now, but you can ask the Minister for National Development at the COS. I am sure he will give you a response.
Estimates for the Financial Year 1 April 2025 to 31 March 2026›Budget2 turns · 255w
· 3 highlighted
budget-2575
Speaker not recorded15 words
[+2 sentences]. (proc text)]
The Chairman240 words
[+1 sentence]Main and Development Estimates of Expenditure of Singapore for the financial year 1 April 2025 to 31 March 2026, contained in Paper Cmd 32 of 2025. For convenience, I shall take the totals for each Head of Expenditure in the Main and Development Estimates as they appear in the last columns of the schedules of estimated expenditure under the Main and Development Estimates Outlays for FY2025 on pages 6 and 7 respectively of the Command Paper. A total of 600 amendments to the Estimates of Expenditure have been submitted this year. The guillotine times to the discussion of the Heads of Expenditure under Standing Order 92(7)(a) have taken into consideration the earlier commencement time of a Sitting, the reduction of Question Time and the extension of Sitting times of the Committee of Supply for each allotted day.[+5 sentences] I must remind hon Members that the total time for discussion of each Head of Expenditure includes the replies from the front bench. With the assistance of the digital timer in the Chamber, I trust that hon Members will be able to keep to the speech times as indicated against their amendments. I would urge hon Members both from the front and back benches to adhere to their time limits, as I will be stringent in my time-keeping. I shall deal first with the Heads of Expenditure in respect of which amendments stand on the Order Paper Supplement. Head U, Prime Minister's Office.
Committee of Supply – Head U (Prime Minister's Office)›Budget75 turns · 20,504w
· 140 highlighted
budget-2576
The Chairman4 words
[+1 sentence]Ms Poh Li San,
Ms Poh Li San (Sembawang)325 words
[+1 sentence]Chairman, I move, "That the total sum to be allocated for Head U of the Estimates be reduced by $100". In 2022, the Government announced its plans to achieve net-zero emissions by 2050. It aimed to reduce Singapore's emissions to around 60 million tonnes of carbon dioxide equivalent in 2030. This year, the Government announced that it will reduce emissions to between 45 and 50 million tonnes of carbon dioxide equivalent by 2035.[+6 sentences] I would like to ask if we are on track to meet our 2030 target, which is just five years down the road. How much clean energy and carbon credits will we need to depend on in order to meet this target? The Government had indicated in its target submission to the United Nations (UN) that it will implement regulations, pricing and market policies to incentivise and enable all sectors of our economy to decarbonise. Would the Minister please elaborate on these plans? What has been the response from the business community so far? What is the expected impact on our economy and competitiveness, considering that Singapore is only one of the 13 countries which had submitted climate change targets to UN? Currently, 95% of Singapore's electricity production comes from liquefied natural gas (LNG) and the remaining is dependent on oil, coal, solar and waste supply.[+4 sentences] At the same time, 97% of our primary emissions come from our power, industrial and transport sectors. What are the expected cost increases to businesses and consumers associated with carbon emissions reduction and which industries and types of businesses are expected to bear the bulk of the cost burden? To achieve our longer-term 2035 and 2050 targets, will we be making any pivots from our current decarbonisation strategy? And lastly, would the Minister provide updates on the import of clean energy, the progress of solar panel installations and the studies on the viability of hygrogen and small modular nuclear reactors?
Ms He Ting Ru (Sengkang)337 words
[+13 sentences]Sir, when we refer to the circular economy in terms of our reduce, reuse and recycle targets, our concern typically comes from when is the day that Pulau Semakau is no longer able to take any more refuse. But I would like to ask the National Climate Change Secretariat (NCCS) coordinating the whole-of-Government response about interaction between our circular economy outcomes, plans and targets with our national climate change targets. First, I understand that products not made in Singapore, like agricultural imports, electronic imports, car imports and so on, are not counted under our carbon budget and, as such, are not covered under our nationally determined contribution (NDC). Does the Government have any mechanism to track this outsourced carbon? Is reducing these emissions covered under any Government strategy, like the Zero-waste Masterplan? From reading our NDC, it seems that the Government is working to calculate some degree of carbon abatement via recycling, but does this reflect that we track our outsourced carbon? The built environment sector analyses and aims to reduce such carbon in the embodied carbon calculations, which are key to determining the greenness of a green building. Are other carbon intensive sectors, like marine and manufacturing, subject to such scrutiny? The European Union (EU) carbon border adjustment mechanism broadly targets goods and precursors that seem to be carbon-intensive and prone to carbon leakage. While I am not advocating for such a tariff, are we doing the analysis? In view of this, I hope that we can fundamentally change our whole-of-Government key performance indicators (KPIs) to shift the focus from gross domestic product (GDP) growth to development KPIs, which include the compatibility of our country, where 1.5°C warming, in accordance with the Paris Agreement. If we are to use the term "green growth", it must be warranted. Not only do we as a country need to reduce the resource footprint per unit of GDP, we need to continuously reduce our resource footprint altogether and this includes not simply exporting pollution to other countries we trade with.
Mr Dennis Tan Lip Fong (Hougang)456 words
[+3 sentences]The demand for AI, especially generative AI, has been increasing exponentially in the past two years. With this comes a staggering increase in the energy intensity and by extension, carbon emissions intensity of AI-related activities. The Government should look into regulating the carbon footprint of the use and development of AI. To put things in perspective, just one query with ChatGPT uses up to 10 times as much energy as a Google search query, enough to power a light bulb for 20 minutes. Generating a single image using an AI model can take as much energy as fully charging a smartphone, thousands of times more energy-intensive than generating text.[+1 sentence] However, not all AI models are the same. Using large general-purpose models, such as large language models like ChatGPT can consume up to 30 times more energy than a smaller model created specifically for the task.[+13 sentences] The issue arises when companies of different sizes rush to integrate general purpose AI into their products and services, leading to such general-purpose AI models being deployed in an indiscriminate manner millions, if not billions, of times a day for tasks that users do not require the use of general-purpose AI, thereby causing emissions to add up quickly. I would like to ask the Prime Minister's Office (PMO) if there is an estimate of how Singapore's energy demand, especially for industries, may increase with a push for widespread adoption of AI. As Singapore is positioning itself to become an AI hub, as well as a data centre hub, has this been taken into consideration in the 2035 NDC commitments? The Government should start to look into developing voluntary guidelines and eventually mandating the reporting of energy consumptions by AI models. This has already been recommended by the United Nations Environmental Programme and governments, including those in United States (US) and the EU, are actively discussing similar regulations. This would encourage developers to explore and adopt energy-efficient practices to reduce the carbon intensity of their products. AI developers will be pushed to use smaller task-specific AI models instead of large general-purpose models. Such regulation would also have ripple effects within the AI ecosystem. Like the sustainability reporting landscape, there will be increased demand for products and services that help support such disclosures. Data centres in Singapore may start looking at developing hardware that can more easily show AI developers their energy consumption. There will be greater innovation. Downstream businesses would also be more discerning about the AI models they adopt, taking into account their energy consumption and emissions. By being an early adopter of such regulations, Singapore can enable local AI developers and related businesses to integrate carbon conscious practices early and stay ahead as global demand for sustainable AI solutions grows.
Dr Lim Wee Kiak (Sembawang)371 words
[+4 sentences]Sir, the UN Framework Convention on Climate Change (UNFCCC) adopted at the 1992 Earth Summit, is one of the first international treaties on the topic, which stipulated that parties should meet regularly to address climate change at the Conference of Parties (COP). The UNFCCC secretariat is the UN entity tasked with supporting the global responses to the threat of climate change. Singapore ratified the UNFCCC. We have been an active player in the international climate change negotiations and signed and ratified the Paris Agreement in 2016. In February this year, Singapore committed itself to reduce emissions to between 45 and 50 million tonnes of carbon dioxide equivalent (MtCO2e) in 2035.[+12 sentences] This is part of our 2035 NDC submitted to the UNFCCC. In its statement accompanying the submission, it is said that Singapore is a small low-lying island state, climate change is an existential challenge to us. For our 2035 NDC, and I quote from the statement, "reflects both our commitment to climate action, as well as the significant uncertainties we face in our decarbonisation journey." The lower bound of 45 MtCO2e keeps us on a linear path towards our net-zero target in 2050. Singapore has also committed itself to continue to work on "the range of mitigation measures available to us and explore other mitigation options to drive emissions reductions." These solutions have the potential to grow the green economy, create new jobs and generate new opportunities in the low-carbon world. In 2022, we announced our climate targets to achieve net-zero emissions by 2050 and reduction of emissions to around 60 million tonnes of carbon dioxide equivalent in 2030 after peaking emissions earlier. May I ask how the Government decided on these targets, and what steps will Singapore take to achieve them? I would like to highlight, this year, the Government announced a 2035 climate target to reduce emissions to "between 45 and 50 million tonnes of carbon dioxide equivalent by 2035". Are we on track to meet our 2030 target? Will we be making any pivots from our current decarbonisation strategy to achieve our longer-term target in 2035 and 2050? How will the recent global developments, such as the US pulling out of the Paris Agreement, affect Singapore's climate goals?
Miss Cheryl Chan Wei Ling (East Coast)652 words
[+4 sentences]Chairman, let me begin by declaring that I am a senior executive with a local enterprise and I deal with matters related to sustainability. Despite impeding global climate action due to geopolitical uncertainties, I am encouraged that Singapore remains committed towards climate action, taking critical and bold steps to shift our nation towards a low-carbon society. Climate change is evidently impacting our lives today. As a nation, we must be steadfast in our actions to fight against this existential threat. Singapore's recent submission on our 2035 NDCs states that we target to reduce our emission to 45 to 50 million tonnes by 2035.[+2 sentences] This target puts us on the right trajectory for Singapore to achieve net-zero by 2050. However, achieving this level of carbon abatement is no mean feat. To put it in perspective, to achieve 15 million tonnes of carbon dioxide abatement from today's emission level, Singapore would need to either halve our primary emissions from the industry sector or reduce the emissions from our power sector by around 70%.[+5 sentences] Achieving such a level of abatement would require significant structural shifts in our infrastructure, economy and technological landscape. We are already witnessing such a transition due to the Government's push to increase adoption of solar power and electric vehicles in Singapore. While these activities do contribute towards our decarbonisation efforts, similar deployment efforts would need to be needle-moving in other sectors as well to achieve the level of abatement mentioned earlier. I would like to ask Minister what the Government's deployment strategy for Singapore are to achieve our 2035 NDC target. I acknowledge the Government's push to significantly increase electricity imports to Singapore by 2035. Based on preliminary estimation by the Energy Studies Institute at the National University of Singapore (NUS), importing an additional four gigawatts of green electricity could abate about 10 million tonnes of carbon dioxide.[+11 sentences] However, beyond electricity imports, does the Government aim to implement any significant initiatives or mandate the industrial sector to further support our decarbonisation targets? How can our local industries contribute towards such efforts to enable structural shifts beyond just relying on the reduction of Singapore's grid emission factor? Further, how can the Government support them in such activities? For Singapore to become a low-carbon economy and with limited access to low-cost renewable energy, we need to heavily rely on low-carbon energy technologies. Yet, many of which are still nascent or not at full commercial scale. I commend the Government for continuously monitoring, developing and testing new low-carbon technologies, including in bolder areas, such as nuclear energy, to ensure Singapore pursues optimal pathways to achieve net-zero. As we explore all these new technology frontiers, there are benefits to take stock of earlier studies and to reflect as a nation how we can collectively leverage upon these learnings. Among the multiple studies on low-carbon energy technologies the Government has undertaken, can Minister share some of the key opportunities and challenges identified? Within this portfolio of technologies studied, are there any promising ones which can be further scaled with partners and piloted before end of the decade? Beyond technology considerations, many low-carbon solutions, including electricity imports, carbon capture and carbon markets, would require international cooperation before deployment can take place. I note that Singapore has been pursing discussions with multiple countries over the past few years, regarding these cooperation activities. Will the Government be able to provide an update on the status of these cross-border discussions and whether they are progressing as expected, and aligned with our infrastructure plans and timelines?[+4 sentences] Sir, the impact of climate change is evident today. Inaction would only make things worse. Despite the global headwinds and geopolitics, I am heartened that Singapore remains fully committed to climate action, guided by science and facts. The steps we are taking today would be the cornerstone for our future low-carbon economy, where Government, industry and citizens can work collaboratively to achieve a greener Singapore.
The Chairman3 words
[+1 sentence]Senior Minister Teo.
The Senior Minister and Coordinating Minister for National Security (Mr Teo Chee Hean)877 words
[+34 sentences]Mr Chairman, Sir, I speak as Chairman of the Inter-Ministerial Committee on Climate Change (IMCCC), which coordinates our policy and measures across all sectors. And with your permission, Sir, I will take clarifications immediately after this speech. I would like to thank our hon Members, Ms Poh, Ms He, Mr Tan, Dr Lim and also Miss Chan, for their interest in this subject, which has a very long-term bearing on Singapore's development and growth. Sir, it is a difficult time to talk about climate action. The Paris Agreement in 2015 marked a breakthrough in global climate action, with countries pledging to keep global warming within 1.5°C. Although there has been unevenness in implementation, we were generally pulling in the same direction as a global community. However, the US has recently pulled out of the Paris Agreement, for the second time. This has prompted other countries, like Argentina and Indonesia, for example, to question the wisdom of maintaining their climate commitments. Dr Lim Wee Kiak has asked how these global developments will affect Singapore's climate goals. It is quite natural for countries to ask why they should continue to make these difficult changes when others are not and whether their efforts will even result in any meaningful change, without the participation of bigger players. Singapore's Climate Ambassador, Mr Ravi Menon, gave a speech a week ago at Temasek's Ecosperity Conversations. It provides a succinct and clear assessment of the global state of play on climate change, and I recommend that Members read it. Ambassador Menon points out that the main drivers of climate action are politics, economics and nature. I have touched on the political headwinds. So, let us examine the other two. First, the economics. Green technology has advanced dramatically in the last two decades. Several of these technologies are now mature and mainstream, and make economic sense. They are not just cleaner but lower cost. The average levelised cost of solar energy globally, for instance, is now 50% lower than that of fossil fuels. This explains why two-thirds of global energy investment in 2024 went to clean energy technologies and infrastructure. Countries and businesses realise this, which is why despite political perturbations, there is now much greater momentum for decarbonisation than just a decade ago. Most of the world's advanced economies have been investing in decarbonisation and steadily reducing emissions. They recognise that the green transition is an increasingly important driver of growth and therefore crucial not just to the health of the globe, but also to the prosperity of their people. This brings us to nature. Climate change is no longer a future threat. It is already here, with us. Every country, all of us, can see this – drought, fires, floods, loss of crop yields, more severe storms. The last 10 years have been the hottest years ever on record. In short, the timeline to respond and adapt is being set, not by us, mere humans, but by nature. Countries and businesses which lag behind will be forced to act eventually. The longer they wait, the sharper and more disruptive a transition they will have to make. This is why Singapore remains fully committed to effective climate action. We want to put ourselves in the best possible position for the long-term challenge and the opportunities that arise. Earlier this month, Singapore submitted our 2035 Nationally Determined Contribution (NDC) to the United Nations Framework Convention on Climate Change (UNFCCC). We are among just 13 countries to do so on time, out of a total of 195 countries. We have committed to reducing our emissions to between 45 and 50 million tonnes of carbon dioxide equivalent in 2035.[+1 sentence] Our 2035 NDC is an ambitious commitment. It builds on our previous target to peak and then reduce emissions to 60 million tonnes of carbon dioxide equivalent by 2030. Forty-five million tonnes keeps us on a straight-line trajectory from 60 million tonnes in 2030 down to net zero by 2050, aligning with the goals of the Paris Agreement.[+9 sentences] It is heartening that Members from both sides of this House have expressed support for our ambitious climate action plan and in particular, this downward trajectory of emissions, which is going to be a major challenge. Our 2035 NDC also signals our resolve to help our economy stay competitive in a low-carbon world. Having an ambitious target generates demand for new green investments and gives Singapore-based companies an edge in developing new low-carbon solutions. It also allows us to remain attractive to companies that are looking to decarbonise their operations, which are aligned with our own national goals. At the same time, as an alternative-energy disadvantaged nation, having a target range reflects the practical reality that our pace of decarbonisation depends heavily on technological developments and international collaboration. This range also recognises that we need some flexibility to manage the impact on our households and businesses while aligning with the pace of transition in the rest of the world. Miss Chan, Dr Lim and Ms Poh asked about progress toward our 2030 NDC and new measures for our 2035 target. With your permission, Mr Chairman, may I ask the Clerks to distribute an infographic. This summarises where we are now and our journey to get to net zero by 2050.
Mr Chairman9 words
[+1 sentence]Yes, proceed.
Mr Teo Chee Hean2166 words
[+3 sentences]We are on track to meet our 2030 NDC. Let me provide two examples of the progress we have made. First, on clean energy. Despite our limited land area, we have pushed hard on solar, which remains our most viable domestic source of renewable energy. I am pleased to announce that at the end of last year, we achieved our goal of 1.5 gigawatts-peak of solar deployment by 2025. This is ahead of schedule and more than triple where we were in 2020.[+24 sentences] This puts us on track to meet our target of at least two gigawatts-peak of solar deployment by 2030. To put this in context, our electrical power consumption today is around eight gigawatts. Of course, eight gigawatts is not the same as gigawatts-peak, but this puts it into context. Second, on land transport. We are working towards all vehicles running on clean energy by 2040. As of this year, we have ceased registrations of new diesel cars and taxis. Electric vehicle (EV) charging points have been installed in about half of all Housing and Development Board (HDB) carparks. Members would have seen them sprouting up all over your HDB carparks. A third of all new car registrations are electric cars. We are also on track to electrify half of our public bus fleet by 2030. We will redouble our efforts on such measures. The Ministry of Trade and Industry, the Ministry of Transport, and the Ministry of Sustainability and the Environment will say more about this during their respective Committees of Supply (COS). Beyond these measures, we will need to step up efforts to study and advance a fuller suite of potential decarbonisation solutions – something which several Members asked about. One key enabler is our carbon tax, which was raised to $25 a tonne last year. The carbon tax shapes behaviour across our economy, from consumers to businesses. The carbon tax, in a way, is a proxy for the cost of emissions by users. It reflects the cost to the economy and to the users for emitting carbon. This applies across the board, whether it is industry, or whether it is AI data centres. This then puts some inhibition on whether or not they will continue to have high emission levels and it applies a cost to the eventual users of all these services. At the same time, we do not just collect the carbon tax, we plough these tax revenues back into supporting businesses and households so that they can become greener. One example is the Building and Construction Authority's (BCA's) existing buildings incentive scheme for owners to retrofit their buildings to Green Mark energy efficiency standards. We are doing other things as well. It does not come from the collection of carbon tax, but we are doing Climate Vouchers as well. The Leader of the Opposition made some comments about that. Our current trajectory is to progressively increase the carbon tax to $45 per tonne in 2026 and 2027, with a view to reaching $50 to $80 per tonne by 2030.[+6 sentences] Of course, we will have to watch what happens on the global scene. I am heartened that both sides of this House have expressed support for a broad-based carbon tax, with the Workers' Party advocating even higher carbon taxes even sooner. We take such feedback seriously and look forward to their continued support when we adjust our carbon taxes in the future. We will continue to assess where the optimal range is. Our current tax rate is carefully calibrated to give our businesses and households time to adjust and to account for the maturation of green technologies that will allow us to decarbonise more efficiently. We will also need to tap on cross-border solutions to overcome the limitations of being a dense and alternative-energy disadvantaged city-state. Miss Chan asked about our collaborations on electricity imports and carbon credits.[+1 sentence] We have made steady progress on both. We recently increased our indicative need for electricity imports from four gigawatts to eight gigawatts by 2035 and have awarded conditional regulatory approvals to potential partners in Indonesia, Vietnam and Cambodia for 5.6 gigawatts of low-carbon electricity imports.[+14 sentences] However, there is no transition without transmission. This is why we have been laying the crucial groundwork for the development of an Association of Southeast Asian Nations (ASEAN) regional power grid, which will facilitate cross-border electricity trading and increase regional energy resilience for all the countries in ASEAN. Next, carbon credits. Unlike electricity imports, credits are not limited by proximity, by distance and by physical connections. At the 2024 United Nations Climate Change Conference (COP29) last year, we co-facilitated negotiations that delivered the full operationalisation of Article 6 of the Paris Agreement. And Minister Grace Fu played a major role in that. We have also signed Implementation Agreements on Article 6 carbon credits with Papua New Guinea and Ghana and memoranda of understanding (MOUs) with more than 15 other countries. Just this morning, we signed a new Implementation Agreement with Bhutan. These win-win agreements will promote the development of carbon mitigation projects in these countries while helping us meet our emissions targets. Carbon capture and storage (CCS) represents another pathway for us – one that is necessary to reduce emissions from hard-to-abate sectors. We are currently working with industry players to study the viability of cross-border carbon capture and storage projects. Achieving our longer-term targets will also require new and innovative solutions. And several of these new technologies are showing promise. We have begun to deploy biofuels, such as sustainable aviation fuel, which can be produced from food and agricultural waste. From next year, all flights departing Singapore will be required to have a 1% uplift of sustainable fuel, with the goal to raise this to 3% to 5% by 2030, subject to global developments.[+5 sentences] We are also studying the potential for wider adoption of biofuels in sectors such as electricity generation and transport. We are also building capabilities to deploy hydrogen and ammonia, including through small, pilot-scale projects, as we wait for these fuels to become commercially viable at scale. In the longer term, as the Prime Minister stated in the Budget Speech, we are studying the potential deployment of advanced nuclear energy technologies that, while nascent, could be safer than conventional reactors. We had previously announced our plans to build a pool of around 100 nuclear energy and safety experts. We already now have over 40 such experts whose priority in the coming years is to work with our partners to assess the potential for deploying advanced nuclear energy technologies safely in Singapore. In this transition to a low-carbon future, we will have to explore multiple, sometimes overlapping pathways so that we can find the right mix for ourselves. This is why we are topping up $5 billion to the Future Energy Fund to make critical infrastructure investments and support solutions that are the most appropriate for us.[+35 sentences] Taken together, the measures I have mentioned constitute a holistic set of decarbonisation efforts. They maximise what is currently possible domestically, technologically and economically, while we work to advance the technologies and partnerships needed for the later phases of our decarbonisation journey. The next question is how to help our businesses transition to this new economy. Ms Poh Li San, Mr Dennis Tan and Ms He Ting Ru asked about costs, opportunities and the circular economy. Ms He, in particular, talked about consumption-based emissions versus production-based emissions. I should explain that currently, the world operates on a production-based emissions system. The entire United Nations Framework Convention on Climate Change (UNFCCC) architecture is based around that. This is the way that we count, officially, carbon emissions for each country. And also, the methodologies for this are very well developed. For consumption-based emissions, the methodologies are not standardised and they are not widely applied. And in any case, they will not be directly applicable to our carbon account under the Paris Agreement. But we are encouraging companies to start accounting for these things because, eventually, if carbon emission costs around the world rise, this will affect them also through their supply chain. So, they ought to know where their supply chain risks are. We are working with the Singapore Business Federation (SBF) and a consortium of partners to launch the Singapore Emission Factors Registry. This helps businesses in Singapore track and report their carbon emissions more accurately by using a database of emissions factors developed based on Singapore's context. Prior to this, most Singapore businesses had to rely on emission factors from international sources for emissions reporting, especially for Scope 3 emissions. But to remain competitive as an economy, we must take steps towards decoupling growth from emissions. That means, if we want to grow, we must decouple that from higher emissions. We must find a way of growing without the concomitant higher emissions that growth brings. As we move towards a low-carbon future, businesses and economies that remain emissions intensive relative to their competitors will become less attractive. So, while there are costs in decarbonisation now, it is an investment in long-term survival and growth for our companies and also for Singapore's economy. We are helping businesses decarbonise by supporting efforts to improve their energy efficiency. For instance, we have enhanced the Resource Efficiency Grant for manufacturing facilities and data centres, by lowering the minimum qualifying criteria to support more emissions reduction projects. We have also launched schemes to support businesses in sustainability reporting. In addition, we have been working closely with the private sector to develop sectoral roadmaps to decarbonise each sector, seize new opportunities and remain competitive in the low carbon transition. For example, we launched the Singapore Sustainable Air Hub Blueprint last year and, more recently, announced the Marine and Offshore Industry Plan. These will guide us as we work together with companies in our key sectors in the years ahead. We also want to become an AI hub. The Ministry of Digital Development and Information (MDDI) will say more about how we plan to green our data centres to achieve both economic growth and decarbonisation. The transition also presents new opportunities. As the demand for low-carbon goods and services increases, we can benefit by moving quickly to capture new markets. One opportunity is offshore wind. We have traditional strengths in marine and offshore. Most of that has been in the oil and gas industries. And now, there is a huge new opportunity in offshore wind. The global offshore wind market is expected to grow to US$126 billion per annum by 2030.[+1 sentence] With the support of Enterprise Singapore, Singapore companies in the oil and gas sector are already finding success in pivoting towards providing critical products and services across the offshore wind value chain. Cyan Renewables is a new local company set up in 2022.[+3 sentences] It has now grown to become one of the largest offshore wind support vessel owners globally, supporting clients across Asia Pacific and Europe. There will also be new opportunities in resource efficiency and circularity. For example, we are supporting research to explore the use of captured carbon dioxide to produce building materials. Singapore is also one of the world's leading producers today of sustainable aviation fuels. While we have a broad suite of plans to get ourselves to net-zero, keeping global warming below 1.5°C will depend on other countries doing their part. We emit 0.1% of the world's global emissions but we are affected by 100% of the emissions.[+2 sentences] The transition will not be straightforward and is likely to be messy and uneven. The reality is that we, as a global community, will make progress but may not collectively meet the 1.5°C goal. As a low-lying island nation, we must therefore prepare for the reality of rising sea levels. We are starting now and expect this will require something in the order of $100 billion in the coming decades. We are putting aside $5 billion in this Budget to top-up the Coastal and Flood Protection Fund.[+8 sentences] The Ministry of Sustainability and the Environment will say more about adaptations to rising urban heat, disruptions to food supplies and other impacts, which will be needed too. Mr Chairman, over our 60 years of Independence, we have always placed emphasis on a clean and green environment even as we developed and grew. With climate change, this challenge has now taken on a global dimension. Nature is setting the timeline. Sir, we are neither climate zealots nor climate sceptics; we are climate realists. We cannot be sure what other countries will or will not do. But we will secure Singapore's future, by doing our part to reduce emissions, by partnering our households and businesses in this transition, by taking steps to protect us from the effects of climate change, so that Singapore remains a sustainable, liveable and thriving country for all our citizens, ready to grasp the new opportunities in a low-carbon world. So, let us all work together and travel this journey together.
The Chairman11 words
[+2 sentences]Are there any clarifications for Senior Minister Teo? Mr Dennis Tan.
Mr Dennis Tan Lip Fong283 words
[+16 sentences]I thank the Senior Minister Teo for his update to the House. Sir, I have three clarifications. I am not so sure whether these clarifications will be answered by the Senior Minister Teo, but I will leave him to explain. Regarding the cut that I just delivered on the regulations for AI, I heard the Senior Minister Teo referring to MDDI. Is MDDI going to reply to my cut on carbon emissions regulations for AI? That is one. In my Budget debate speech. I also asked about the concern that I have after Terminal 5 opens, when our Changi Airport flights may increase quite considerably and which will lead to an increase in aviation emissions. Yes, the Senior Minister Teo mentioned about the 1% sustainable aviation fuels. But of course, compared to some other places, for example, I believe, Heathrow, I think it is about 10%, if I am not wrong. Actually, I am just wondering, is the Senior Minister going to address that question I have? Essentially, it is how will our sustainable air hub blueprint be stepped up in the next few years to mitigate the likely increase in aviation emissions after Terminal 5 opens? That is my second clarification. My third clarification, where in my Budget debate speech, I sought the Government's update on the green transition or the transition of our petrochemicals industry. Where do we stand now in our journey, especially in light of the sale of the Shell assets in Jurong Island and Tuas last year? Related to this is actually about the manpower transition for our workers in the petrochemical industry, but I am not sure whether the Ministry of Manpower will be dealing with this.
Mr Teo Chee Hean211 words
[+2 sentences]Yes, indeed, Minister Chee will take the Member's questions on Terminal 5 and sustainable aviation fuels in the COS. And also, for AI, MDDI will take that up with the Member. On industrial sectors and how we approach that, there has been a plan on what we intend to do there. And what our intention is, is to make sure that our petrochemical plants in Singapore always are in the top quartile of emissions efficiency.[+1 sentence] They are not all there today, but that is the trajectory on which we are moving. And as I mentioned, we are not just talking about the traditional petrochemical plants anymore. We actually have one of the largest, if not, the largest sustainable aviation fuel facilities in the world in Singapore, which has recently expanded as well.[+2 sentences] So, we are a serious player in the sustainable aviation fuels area, but we must also understand that the pace at which we proceed should be aligned with the pace which the global players proceed and which our regional partners or competitors proceed, and we should not be too out of line with what they do. On manpower transition, I will also leave that to the Ministry of Trade and Industry when they deal with that particular industrial sector.
The Chairman4 words
[+1 sentence]Ms He Ting Ru.
Ms He Ting Ru122 words
[+6 sentences]Sir, I just have a couple of clarifications in relation to the initiative of SBF, in terms of the consumption-based emissions initiative. First, I would like the Senior Minister to clarify about whether there are any further details about timeline, for when this will be up and running. I know that it has been launched, but also the details of when we are going to onboard various industries. Second, whether the Senior Minister can give a bit more details about which sectors will be prioritised for this. For the EU carbon border adjustment mechanism that I highlighted earlier, they target carbon intensive sectors, such as electricity, steel, cement and so on. So, I am just wondering whether we have a similar approach.
Mr Teo Chee Hean120 words
[+1 sentence]Mr Chairman, I do not have the details on the timelines. It is something which is in the early days, and they are working on it. But we do have to take into cognisance carbon border adjustment taxes, and that is another reason why we need to put in our own measures and our own carbon tax and other measures in Singapore.[+2 sentences] Because if we do not, what will happen is, when our exports reach the borders of those countries which have a carbon border adjustment mechanism, they will get taxed there. And so, this has also been the reason why some of our neighbours have recently introduced their own carbon taxes, in order to make sure that they conform.
The Chairman4 words
[+1 sentence]Ms Poh Li San.
Ms Poh Li San120 words
[+4 sentences]Mr Chairman, I have a question for Senior Minister Teo. The Senior Minister mentioned that the carbon tax is an important enabler to incentivise businesses to go green and we know that the carbon tax has been projected to reach between $50 to $80 per tonne of carbon dioxide in the next five years. But five years is not a very long time for businesses to plan ahead. I would like to know when will the Government announce the schedule of carbon tax increase so that we can better help businesses make mid- to long-term plans and, more importantly, for them to make significant business decisions to invest in green solutions or even to pivot their businesses to greener options.
Mr Teo Chee Hean122 words
Yes, Mr Chairman, that is why we have indicated when we are increasing from $25 to beyond that in 2030, and then beyond that.[+4 sentences] So, that is why we have that indication that we are going to increase and also the range to which we are likely to increase it too. So, I think that will give businesses an opportunity to make their own assessments within the range that we are able to forecast right now. I hope that that is sufficient for the time being, because those are sort of further out. But as we approach those times when we are going to increase the carbon taxes, we will give them adequate advance notice, as we have done in the past.
The Chairman18 words
[+3 sentences]I believe that is all the clarifications for Senior Minister Teo. We move on. Ms Yeo Wan Ling.
Ms Yeo Wan Ling (Pasir Ris-Punggol)121 words
[+1 sentence]Couples often cite concerns about managing their work and family commitments. While flexible work arrangements and the introduction of Shared Parental Leave have helped alleviate some stresses related to managing work and family commitments, in a recent survey by the National Trades Union Congress (NTUC) of more than 1,000 married individuals, less than half of parents surveyed found the financial requirements of raising children manageable.[+2 sentences] This points both to the need to provide more affordable access to caregiving resources, such as childcare and migrant domestic workers (MDWs), as well as equipping couples in dual income families to perform well at work to maximise livelihoods. In this respect, how can the Government do more to support working parents with their caregiving needs?
The Chairman11 words
[+1 sentence]Ms Ng Ling Ling, you can take your two cuts together.
Ms Ng Ling Ling (Ang Mo Kio)417 words
Mr Chairman, Singapore's total fertility rate (TFR) reached an all-time low in 2023.[+4 sentences] Can I ask what is the latest TFR in 2024? Did it increase with the effect of the Dragon year last year? If TFR has improved in 2024 due to the Dragon year effect, besides having more hopes for more babies for Singapore, will the Government consider commissioning research psychologists and behavioral scientists to conduct a study with interviews of parents who have had Dragon year babies to better understand and distill what are the underlying root beliefs that lead to the unusually better TFR in most Dragon years, despite all other circumstances, for example, high cost of living, lack of time, work and life stress, remaining the same in such years? How can the Government use such studies to better design public messaging and conditions that will be more conducive for Singaporean couples to have more babies? While major urban and developed nations and cities have all seen declining TFR over the past years, Israel's TRF has remained relatively stable over the past decade, with a slight decrease to 2.85 births per woman in 2023, despite high inflation and a high cost of living also being a problem for that country.[+1 sentence] Can the Singapore Government do a more thorough study on the factors contributing to Israel's stable TFR and consider what can be adapted for Singapore? According to the World Bank, Singapore's age dependency ratio for the dependent population is reported as 33% in 2023.[+6 sentences] This is a lower value against the global average of about 58%. A lower ratio indicates less financial stress on working people and greater political stability. The total age dependency ratio that the World Bank uses is the ratio of young and elderly dependents who are generally economically inactive, compared to the number of people of working age. Despite this good data from the World Bank, with an ageing population and declining TFR, there is still cause for concern. I would like to ask: one, how can supportive stakeholders, including employers, religious bodies, such as churches and mosques and grassroots organisations across the society, be better connected and coordinated to enable the key population strategies of the Government to reach their best outcomes? Two, where can young Singaporeans, grassroots advisors like me, grassroots organisations and educational institutions interested to support marriage and parenthood find accurate, age-appropriate and contextual information about fertility health of both women and men to increase public awareness and education on this important health topic?
The Chairman4 words
[+1 sentence]Mr Gan Thiam Poh.
Mr Gan Thiam Poh (Ang Mo Kio)124 words
[+8 sentences]Sir, our resident TFR reached an all-time low of 0.97 in 2023. What is the latest TFR? Did we have more births from the Year of the Dragon? What is the updated data on the number and ratio of working citizens to those who are retired? I am heartened that the Government is providing greater support for parents who desire more children. Will there be incentives to encourage and support young couples to have more children earlier? What is the Government doing to help and support singles who are interested in marriage to meet potential partners? For children of single mothers, I urge the Government to admit them into the Baby Bonus scheme and update legislation for their inheritance rights to their mothers' assets.
The Chairman3 words
[+1 sentence]Ms Carrie Tan.
Ms Carrie Tan (Nee Soon)468 words
[+5 sentences]Mr Chairman, a Singaporean whose wife is a Permanent Resident (PR) and having their first pregnancy is having a very stressful time trying to get a Long-Term Visit Pass (LTVP) for his mother-in-law for long enough to provide both emotional and physical care to his wife who is having health and pregnancy complications. The soon-to-be mother is terrified, this being her first pregnancy and by a health situation that requires her to have a prolonged period of recovery postpartum and more intensive care of the baby post-birth. The couple worries about the well-being of both mother and child and financial inadequacy if they cannot find suitable childcare and the wife needs to quit her job. They are not alone in such anxieties. With later marriages and pregnancies increasing the risks of complications and the absence of family members around to care for them, parenthood can be daunting and scary. Transnational couples, especially, contend with less familial support with one spouse's parents overseas. I urge the Government to facilitate the visit passes of parents of foreign spouses, so that transnational couples can have better access to familial support during pregnancy and for the first three years of a child's life. There should be a category of visit passes for parenthood support for at least three years, so that overseas grandparents can be present to support the new parents while they find their footing as a new family.[+1 sentence] The Government has valid concerns about aged grandparents having extended stay in Singapore, as it adds on to the country's potential eldercare burdens and costs if they are not financially supported. To mitigate this, we can require mandatory savings be put aside in one's Central Provident Fund (CPF) account as a "ParentCare Fund", for those who wish to renew their foreign parents or in-laws' visit passes past the grandchild's third birthday.[+7 sentences] Contribution amounts can be tiered according to the elderly parent's age and health condition – those with no chronic illnesses contribute less, while those with chronic illnesses contribute more. And put in place annual mandatory health checks for each extension of the visit pass. This way, foreign grandparents can continue being in their grandchildren's lives and be motivated to keep healthy. Those who are financially able can also contribute to this ParentCare Fund themselves. When they do return to their home countries in their last years, they can withdraw this fund for their own care. This will provide a pool of funds should healthcare costs need to be incurred during their stay here or add to their retirement fund if unutilised, and allow couples and children to benefit from the presence and support of grandparents for as long as their health allows them to contribute. I urge the Government to study this and make a win-win solution possible for transnational families.
The Chairman3 words
[+1 sentence]Dr Wan Rizal.
Dr Wan Rizal (Jalan Besar)128 words
[+6 sentences]Sir, balancing work and family responsibilities is a key concern for many Singaporean parents. As families juggle demanding work schedules and caregiving duties, more substantial support structures are essential to help them manage both effectively. What additional measures is the Government considering to ease caregiving pressures for working parents, especially those with young children? Are there plans to enhance childcare accessibility, parental leave policies or flexible work arrangements (FWAs) to support families better? Beyond workplace policies, how can we strengthen community-based support networks to assist working parents in areas, such as after-school care, parental coaching or peer support groups? As we continue to encourage parenthood while supporting career aspirations, how will the Government ensure that working parents have the resources and flexibility to balance family and work commitments?
The Chairman3 words
[+1 sentence]Ms Mariam Jaafar.
Ms Mariam Jaafar (Sembawang)87 words
[+4 sentences]Sir, working couples often cite struggles in managing their work and family commitments. The Tripartite Guidelines on FWA Requests were a welcome step. My other colleagues and I in this House have asked about childcare leave, especially for families with many children. The Large Families Scheme is a step in recognising the increased financial burden on larger families. When might this be extended to recognising the increased childcare burden, that is, childcare leave?[+1 sentence] How can the Government do more to support working parents with their caregiving needs?
The Chairman4 words
[+1 sentence]Mr Xie Yao Quan.
Mr Xie Yao Quan (Jurong)335 words
[+5 sentences]Chairman, Members have called for additional childcare leave for parents with more children. But I also note the Government's position that we have already made major moves like the Shared Parental Leave recently, so we should give employers and businesses time to adjust to these moves first. I myself have constituents who are employers and also constituents who are employees covering for colleagues on parental leave. So, it does take a whole village to support Singaporeans to start and raise families and I understand the need to strike a careful balance with any move. Yet, I wish to make a push today for just a bit more childcare leave and with a slightly different consideration. My suggestion is to increase our Government-Paid Childcare Leave from six to eight days, to align with the eight days of annual centre closure that the Early Childhood Development Agency allows childcare operators.[+1 sentence] Because these eight days of annual closures are actually wonderful opportunities for young parents to use the time to bond with their young children. So, we should really try to support our young parents to make full use of these opportunities. And this increase to eight days of childcare leave should apply to all parents, regardless of the number of young children they have.[+2 sentences] In fact, for couples with more than one child in preschool, it is likely that all the young children will be attending the same preschool, with the same annual closure dates. So, it becomes all the more valuable for both parents to be able to align their childcare leave with the closure dates and allow the whole family to come and spend time together. As for supporting parents with more young children, I think the crux is actually the amount of flexibility that parents have today to balance work and ad hoc childcare demands as they arise, rather than the adequacy of leave entitlement per se.[+1 sentence] And so, we should push for FWAs as the dominant solution to support parents with more children.
The Chairman10 words
[+1 sentence]Mr Louis Ng, you can take your six cuts together.
Mr Louis Ng Kok Kwang (Nee Soon)111 words
[+1 sentence]Sir, eight years ago, I delivered my first Adjournment Motion, sharing my painful experience of my premature twins Katie and Poppy's 10-week stay in hospital. I spoke up calling to extend parental leave for parents with birth of multiples and of pre-term babies. I am glad the Government responded positively and introduced The Tripartite Standard on Unpaid Leave for Unexpected Care Needs offering up to four weeks of unpaid leave for parents with births of multiples and of pre-term babies.[+1 sentence] Minister Josephine Teo shared in her reply that, "He spoke from the heart and won us with not just the strengths of his arguments but also the intensity of his conviction."
[Deputy Speaker (Ms Jessica Tan Soon Neo) in the Chair]871 words
[+41 sentences]Sir, my conviction over this issue has intensified over the years and I also remember that Minister Josephine Teo once told me that, "All good things will be considered." It is time for us to upgrade the Tripartite Standard to Tripartite Guidelines so that it is no longer voluntary and every employee will get to benefit from it. This is a good thing to consider. I took all my paternity leave and I know how important it is to be there for our children when they are born. I treasure that few weeks I could spend with them to welcome them into this world. The Government has sent a clear signal that parental leave is important. We have increased paternity leave and introduced a new Shared Parental Leave. But only about one in two fathers take their paternity leave and not all mothers take their maternity leave. We all know that part of the problem here is workplace culture and support. As the Prime Minister said, "Employers and businesses are concerned about managing manpower gaps when their employees are away for an extended period." Can the Government do more to support employers, similar to how the Ministry of Defence supports employers when it comes to reservist obligations? Can the Government work with companies more closely and consider more incentives for businesses to ensure their employees use their parental leave? Three years ago, I asked the Government to provide more support for lower-income fathers to take their paternity leave. I shared that a National University of Singapore study study found that fathers in more labour-intensive jobs, such as machine operators and cleaners, were half as likely to take their paternity leave, as compared to fathers working as legislators, senior officials and managers. I am asking again that the Government conduct a targeted study on the barriers to taking paternity leave for lower-income workers, look into policies to increase their usage of paternity leave and also look into incentivising, again, the employers who support their employees to take their paternity leave? Can we finally do more to help lower-income fathers take their paternity leave? Why should they be denied the time to spend with their babies? I love my three children, Ella, Katie and Poppy, and as I have shared in this House, without in vitro fertilisation (IVF), I actually would not have kids today. IVF is not for the faint-hearted and as I shared in my Adjournment Motion four years ago, "Going through IVF was like being on an emotional roller coaster ride. It was a journey filled with pain and anguish, excitement and disappointment and hope and happiness at times. It was financially, physically and emotionally draining." The Government is providing the much-needed subsidies for IVF but we can do so much more to help. IVF is a very time-consuming procedure and couples need time to go through IVF and time to support each other. But many are not given time off work. Many face unsupportive employers and this adds stress to an already stressful journey. I am calling again for the Government to legislate gender-neutral fertility leave. This will support couples, send employers a clear signal and trigger mindset shifts in the workplaces. Many Singaporeans are getting married later and we should not penalise those who find true love later in their lives. But the reality is that we do penalise them. The age criterion for the Assisted Reproductive Technology (ART) co-funding scheme is currently set at below 40 years of age. As the Ministry of Health (MOH) has shared, "This is based on current clinical evidence, which shows that the chance of conception for a woman who undergoes ART treatment decreases with age, with the success rate being significantly lower after 40 year of age." I understand this rationale for this policy, but we must also understand the impact this has on many couples who are affected by it. Science is important, but we should also do all we can to help couples who are trying so hard to have children. Can the Government consider providing a lower percentage of co-funding for ART treatments for those who get married when they are 40 years old or older? A Singapore Made for Families must also include those who get married later in their lives. Lastly, we all want to be there for our children when they are sick, but many simply do not have enough childcare leave to be there to look after our loved ones. I understand the Government's concern when it comes to giving more childcare leave, but surely, childcare sick leave backed up by a medical certificate is a lower hanging fruit and is a necessity. I know the Government agrees with childcare sick leave and that it is needed. After all, we provide all civil servants with this and the Minister recently replied to me that, "The utilisation for childcare sick leave has remained steady at around 50% over the years and remains relevant for officers" – "officers" meaning Public Service officers. The time has come for us to legislate childcare sick leave for everyone and not just civil servants. As promised by Minister Indranee, I look forward to all her sympathetic responses to my cuts.
The Chairman10 words
[+1 sentence]Ms Hany Soh, you can take your two cuts together.
Ms Hany Soh (Marsiling-Yew Tee)561 words
Chairman, in my Motion titled "Supporting Singaporeans in Starting and Raising Families" that was debated and passed in this House last month, the issue of Singaporeans having children when they are older was one of the concerns raised as this means more couples would likely face increased difficulties in conceiving.[+6 sentences] How will the Government further increase awareness of this risk and support Singaporeans in this area? Fertility Support SG, a non-profit self-help group, has shared with the People's Action Party (PAP) Women's Wing Policy Group, some best practices globally. In Japan, the government provides counselling and support services for all couples facing infertility, including emotional support and guidance on treatment options. Australia has a national infertility support organisation that provides information, resources and peer support to couples and individuals. Its various states have also integrated both public and private sector initiatives to support fertility treatments, often including financial subsidies as well as robust counselling services. Certain states in the US, including New York, have mandated insurance companies to cover infertility treatments. Drawing inspiration from these examples, will our Government consider providing even more support with or by: (a) upstream fertility education to help Singaporeans plan their fertility journeys early. Agencies can work with support groups like Fertility Support SG (FSS), who have offered their support by hosting relevant resources and information on their website for easy access, especially by aspiring parents; (b) the introduction of grants for pre-IVF or general fertility testing to help identify issues and allow for appropriate solutioning early, thereby improving the chances of success; (c) expansion of public sector grants to cover more IVF cycles as families may want more than one child or face complex cases that require additional rounds of treatment; and (d) allowing grants to cover the cost of treatments in private clinics as well, giving couples more options, particularly so when time is of the essence in many of such cases. Additionally, in specific instances where the woman undergoing treatment is below the age of 40 and the fertility medical team at public hospitals have recommended that she continues treatment beyond her subsidised assisted conception procedure cycles, will the Government consider extending the coverage of subsidies up to the point when the patient successfully conceives or when the fertility medical team advises her to stop?[+7 sentences] This is the situation that my Woodgrove resident, Tina, is in. Her medical fertility team has advised her to continue with her treatment even after the existing subsidies have been fully utilised as each cycle actually brings them closer to finding the optimal combination of medication and timing for successful conception. Couples considering or expecting their first child would invariably feel overwhelmed or anticipate getting lost along their parenthood journey. Can the Government better support these parents and aspiring parents in their prenatal and parenthood journey? I repeat my request for the Government to introduce, amongst other support schemes, a "Mommy's Milestone Booklet" to keep track and support an expectant mother's holistic well-being. In our continuing drive towards being a smart and smarter nation, this booklet could also be issued in electronic format, comprising a side guide that updates parents about new developments in the parenthood journey, including getting value-for-money deals from parenthood-friendly businesses and perhaps even include a live chat function with human expertise or AI support where appropriate. I look forward to the Government's response, please.
The Chairman11 words
[+1 sentence]Mr Yip Hon Weng, you can take your two cuts together.
Mr Yip Hon Weng (Yio Chu Kang)340 words
[+2 sentences]Chairman, raising a large family is rewarding but challenging. As a father of five, I understand the sacrifices parents make. While I support the Large Families Scheme, financial incentives alone will not reverse demographic trends.[+5 sentences] That is why I advocate a whole-of-society approach. Families need more than money. They need affordable housing and childcare, FWAs and strong community networks to share caregiving. A major concern is competition. Parents fear a third child might stretch resources, disadvantaging their other children. Policies should turn large families into an advantage, not a burden. We can: (a) set aside more primary school vacancies for their children; (b) enhance the Third Child Priority Scheme to provide them with more chances to secure the Build-To-Order (BTO) of their choice, including 5-room BTO flats if they wish; and (c) better match flat types with family needs.[+1 sentence] Beyond policy, we must foster a culture that values large families. Workplaces can offer tax benefits for employees with three or more children.[+7 sentences] Housing supply should accommodate growing households. Small efforts like family-friendly parking, restaurant accommodations and mentorship programmes signal support. Investing in big families means investing in Singapore's future. Let us build a society where families of all sizes thrive. It is a thoughtful initiative shaped by feedback from parents who emphasised the need for practicality, usefulness and aesthetic appeal. As the Minister highlighted, parents do not want just beautiful but impractical items. They want something they could use and treasure. This approach is certainly a step in the right direction. However, while the gift is a meaningful gesture, we must ask: will it be enough to move the needle on our total fertility rate?[+6 sentences] What are the deeper barriers – housing costs, childcare affordability, work-life balance – that prevent young families from growing? Additionally, can we have more clarity on the gift's nature? What is in the package? Who is eligible? When and how will parents receive it? Let us ensure that this initiative is part of a broader effort to make raising a family in Singapore truly sustainable.
The Chairman3 words
[+1 sentence]Minister Indranee Rajah.
The Minister, Prime Minister's Office (Ms Indranee Rajah)19 words
[+1 sentence]Mdm Chairperson, with your permission, I will take any clarifications after my speech, subject to the availability of time.
The Chairman1 words
[+1 sentence]Noted.
Ms Indranee Rajah2174 words
[+2 sentences]This year, we celebrate 60 years of nation-building. We have come a long way as a people and a nation, and, together, we have built a Singapore that we can be proud of. To ensure that Singapore continues to thrive, we must address two demographic challenges which are also faced by many other societies around the world – a rapidly ageing population and a low fertility rate.[+1 sentence] Last year, there were 24,800 resident marriages. We also welcomed 30,800 resident births, a slight increase from 30,500 in the previous year. Our preliminary TFR for 2024 was 0.97, unchanged from 2023.[+3 sentences] The Dragon year effect has been diminishing over the years, reflecting the generational shifts in attitudes and priorities among young couples. Mr Gan Thiam Poh asked about the updated ratio of working adults to retirees. A decade ago, there were six residents aged 20 to 64 years old supporting every elderly person aged 65 years and over. The resident old-age support ratio has almost halved from six in 2014 to 3.5 in 2024.[+18 sentences] A low fertility rate and an ageing population have significant implications on our economy and society. As our local workforce growth slows, it will be increasingly challenging to sustain economic growth and maintain a dynamic economy. There will be fewer young people to support a growing elderly population. Addressing our low TFR remains a national priority. Ms Ng Ling Ling suggested working with academics and studying other countries' practices to tackle low fertility. We are doing so and also regularly engage Singaporeans to develop policies that fit our local context. As shared during the Motion on families earlier this month, we have a comprehensive suite of measures to support Singaporeans in their marriage and parenthood journey – from housing, healthcare, preschool and education to financial and work-life support. We have made significant enhancements in recent years. In 2023, we enhanced the Baby Bonus Cash Gift and contributions to the Child Development Account (CDA). We have reviewed and will be expanding the uses of CDA to better support parents. The Ministry of Social and Family Development (MSF) will share more at their COS. In 2024, we launched the Tripartite Guidelines on FWA Requests. The enhanced Government-Paid Paternity Leave and new Shared Parental Leave announced by the Prime Minister last year will start from 1 April this year. This month, in Budget 2025, the Prime Minister announced the new Large Families Scheme. But for these policies to work, we need mindsets and culture to shift in tandem. This requires support from everyone across society, as highlighted by Ms Ng Ling Ling. A key area is workplace support. Employers, supervisors and coworkers can all contribute to fostering a family-friendly workplace culture. After the new Shared Parental Leave is fully implemented next year, parents will have 30 weeks of paid parental leave to care for their infants in the first year after birth.[+40 sentences] This will foster the parent-child bond and it is good for the child's development, too. We know it is not easy for employers to manage when their employees are away for an extended period. This is why it is so important for employees and employers to build mutual trust and play their part in making the leave provisions work for both parties. Employees should discuss their leave plans and covering arrangements with their supervisors and coworkers as early as possible. At the same time, managers and coworkers ought to be supportive and facilitative so parents feel reassured about taking time away from work. As Mr Louis Ng highlighted, fathers should be encouraged to fully utilise their paternity leave. One key step we have taken is to introduce employment protection for fathers on paternity leave from April this year. We will study utilisation patterns and see how to better support fathers who encounter challenges in using their leave. Various Members asked for further support for working parents. Suggestions include providing more leave for parents of preschoolers, those with pre-term and multiple births, larger families, as well as those seeking fertility treatment. At present, each working parent with a youngest child aged below seven years old has six days of paid childcare leave a year. This means a working couple would have a total of 12 days to tap on – more than the number of preschool closure days that Mr Xie Yao Quan mentioned. We have also doubled Unpaid Infant Care Leave since 2024, where each working parent will have 12 days per parent per year, in the child's first two years. These parental leave provisions are provided on top of the parents' annual leave provisions. We will continue to review our parental leave provisions in consultation with parents and tripartite partners. While we understand the desire for more childcare leave, any further leave enhancement has to be carefully considered and must strike a balance between the needs of different caregivers and the operational impact on employers. More broadly, however, we do need employers to embrace more family-friendly workplace practices. For instance, FWAs are an important form of support for parents with young children and other workers with caregiving responsibilities. When implemented well, FWAs enable employees to balance their responsibilities both at work and at home. With the implementation of the Tripartite Guidelines on FWA Requests from December last year, I hope that more employers will embrace FWAs as part of their core HR strategy. Employers are also encouraged to go beyond the legislated leave provisions to position themselves as employers of choice. For example, more than 4,000 employers have adopted the Tripartite Standard on Unpaid Leave for Unexpected Care Needs. Mr Louis Ng suggested incentivising businesses, to ensure their employees take parental leave. In reality, new workplace norms are emerging and the younger generation of workers value greater work-life balance. If employers want to continue to attract and retain talent in their companies, their workplace practices will have to evolve. For example, Adecco Group APAC Pte Ltd has an employee who will be eligible for the new Shared Parental Leave. They plan to hire temporary and contract staff as covering manpower so that the employee can take her parental leave with peace of mind. When the employee returns to work, Adecco will also make available suitable FWAs. This will allow the employee to balance her work and family commitments while still ensuring the company's work gets done. Mr Louis Ng can rest assured that we will continue to work with employers to foster more family-friendly workplaces and encourage those who can, to go beyond what is mandated. The wider community can also play a part in supporting working parents, as Dr Wan Rizal highlighted. Madam, the Large Families Scheme is a significant move. Our Marriage and Parenthood Surveys show over a third of married couples aspire to have three or more children. However, fewer married couples are having more than two children. Some worry about having less time for each child. Others may be daunted by the prospect of higher expenses. Our existing support measures recognise this. For example, parents receive more under the Baby Bonus Scheme and Parenthood Tax Rebate for each subsequent child they have. But we want to give greater assurance to couples who wish to have larger families. The Large Families Scheme will provide more financial support for large families for a start. Families will receive an additional $16,000 for each third or subsequent child, born on or after 18 February this year. The CDA First Step Grant will be doubled from $5,000 to $10,000, and the families will receive a new Large Family MediSave Grant of $5,000, and $6,000 in Large Family LifeSG Credits. Existing large families will receive $1,000 in Large Family LifeSG Credits annually, for each third or subsequent child until the year the child turns six.[+30 sentences] The LifeSG credits will provide sustained support for large families. Parents can use these credits to buy groceries at major supermarkets, or to top up the family's SimplyGo cards for public transport. They can also be used to pay for rides from transport operators that accept NETS QR payment, like TADA and ComfortDelGro taxis. We will provide more information on how to access and use the credits later this year. We recognise large families also face other challenges, as highlighted by various Members during the Budget debate. For example, they may require larger housing, face difficulties getting around as a family, or worry about the costs of higher education that increase with more children. We will study Members' suggestions on how to further support large families. Mr Yip Hon Weng highlighted the need for whole-of-society support to shift norms and encourage larger families. We agree. We hope the Large Families Scheme will kickstart a societal movement to celebrate and support these families. We have been engaging corporates to support the Large Families Scheme by offering privileges and deals for families with three or more children. I am happy to share that more than 30 corporate partners spanning different sectors have come on board, including food and beverage, retail and transport. For example, to help larger families travel around more easily, private-hire services like Grab and Gojek will be offering discounts on bookings with their larger vehicles. Car-sharing services like Tribecar and GetGo will be offering discounts on car rentals. HomeTeamNS will be offering bundle promotions for tickets to their clubhouse family events, adventure and children's facilities, as well as discounted membership fees. FairPrice Group will also be offering value bundles for large families to provide savings on essential groceries. These will be provided later this year. I would like to thank all corporate partners who have committed to providing deals to support families with more children. We encourage more corporates to join us in this movement. Together, let us make Singapore a conducive place for large families to thrive. Ms Hany Soh and Ms Ng Ling Ling highlighted the importance of raising awareness on fertility health issues. I agree. Fertility health can be a difficult topic to broach. We need to change mindsets and normalise conversations about fertility health and support couples who have fertility health concerns to seek help without fear of stigma. The wider community can play an important role in this. Ground-up efforts by groups like Fertility Support SG provide a safe space for couples facing infertility to share their experiences. It also recently organised a fertility fair to raise awareness of the fertility health resources and support available. To address the myths and misconceptions about fertility health, we collaborated with the Obstetrics and Gynaecology Society of Singapore to publish an article titled "Debunking 5 Myths of Fertility Health" on Health Hub. It contains information on commonly faced fertility issues and provides useful resources for couples seeking help. Let me assure Ms Hany Soh and Mr Louis Ng that we will continue to support those who are tapping on fertility treatments. Today, eligible couples can receive up to 75% in co-funding for ART treatments for up to three fresh and three frozen cycles at public healthcare institutions.[+6 sentences] They can also tap on their MediSave for the treatment costs, up to a lifetime withdrawal limit of $15,000 per patient. We have made some progress in supporting fertility issues in Singapore, but more can be done. With more Singaporeans marrying and having children later, as Ms Hany Soh and Mr Louis Ng pointed out, we may need to relook our support on this front. I thank Members for their suggestions and we will study these ideas with MOH. Ms Hany Soh spoke about providing more support for those who are expecting. The antenatal journey can be daunting, especially for first-time parents. Expecting couples today can access the Health Promotion Board's Parent Hub, a one-stop online portal with health-related resources and tips for their pregnancy and parenting journey. The Child and Maternal Health and Well-being Strategy and Action Plan also provides enhanced support for pregnant women and couples, such as the introduction of mental health screenings and support for pregnant women and new fathers at antenatal and postnatal stages at KK Women's and Children's Hospital and National University Hospital. More antenatal education programmes have also been rolled out at community touchpoints to help couples better prepare themselves for pregnancy, childbirth and parenthood.[+3 sentences] I have taken note of Ms Hany Soh's suggestions and we will look into them. We welcome further suggestions on how we can make the antenatal journey more positive for expecting couples. This year, we celebrate our 60th year of Independence. As the Prime Minister mentioned at the Budget debate, all Singapore-citizen babies born in 2025 will receive a special SG60 Baby Gift to celebrate their birth.[+4 sentences] Mr Yip Hon Weng will be happy to hear that the gift represents our commitment towards building a Singapore Made for Families. It is also a symbol of our hopes and aspirations for our future generations. Many people have been asking about the SG60 Baby Gift. Mdm Chairperson, with your permission, may I show an image on the LED screens to give Members a preview of the SG60 Baby Gift?
The Chairman22 words
[+2 sentences]Yes, please. I think it will address some of the curiosity that everyone is having.
Ms Indranee Rajah728 words
[+8 sentences]The gift comes with a specially designed trolley bag which can double up as a travel case for the baby and contains a specially curated set of 10 commemorative and useful items, sourced from local brands and companies. They include practical items like the straw cup set from local brand, Hegen, which comes with their patented adaptor cap to meet the babies' needs as they gain more independence feeding themselves. There are educational items like storybooks by local authors featuring Becky Bunny, our mascot for the Families for Life movement, as well as a plushie of Becky Bunny. We encourage parents to bond with their babies over these books and inspire a love for reading through them. Other items include play items that will help their babies in their growth and development, as well as items for parents to mark their precious moments with their little ones. Students from LASALLE College of the Arts designed the artwork that you can see on the SG60 Baby Gift items. Each gift set comes with a congratulatory letter from Prime Minister Wong. We hope parents will find the gift meaningful and useful – to inspire their child in discovering the world around them, and to support parents in nurturing and caring for their child. Parents whose babies are born in 2025 will be able to register online for the gift. We will launch the distribution of the gift at various community events in April and May 2025.[+1 sentence] We hope that families will be able to join the event in their neighbourhood and get to know other young parents. For those who are unable to collect the gift at these events, or who register for the SG60 Baby Gift after 15 March 2025, we will arrange for the gift to be delivered to your homes from mid-May 2025.[+4 sentences] As we celebrate SG60, allow me to highlight two values which have served us well over the last 60 years: openness and multiculturalism. These are fundamental aspects of who we are and key strengths that help us to make our way in the world. Immigrants help to moderate the impact of low birth rates and ageing on the size and age profile of the citizen population. We will continue to carefully manage the pace of immigration, taking into account factors, such as the falling TFR. In 2024, we granted about 24,000 new citizenships, including 1,400 to children born overseas to Singaporean parents.[+18 sentences] We also granted around 35,000 new Permanent Residents, or PRs. The average number of new citizenships and new PRs granted annually over the past five years is slightly higher than that over the preceding period. We remain committed to ensuring that our new citizens and PRs are well-integrated into our communities. We can all play our part to embrace the newcomers in our midst and help them to better understand our local norms and culture. Over time, many of them become not just friends but also family. Over the last decade, more than one-third of citizen marriages every year were transnational, meaning marriages involving a Singaporean and a foreigner. One such transnational family is Kiren T and Angela Bueno's family. Kiren, a Singaporean Indian, and Angela, a PR originally from the Philippines, met while working in the same children's ward in the National University Hospital. They fell in love working and doing their in-house advanced diploma together and got married in 2016. Today, they have two children, a boy and girl, aged nine and seven. There are many such stories. Many transnational couples make Singapore their home and over time, these foreign spouses become one of us. Ms Carrie Tan asked whether the Government could facilitate long-term visit passes, or LTVPs, for foreign parents of transnational couples, to help with the couple's parenting journey. Today, Singapore Citizens and PRs can apply to sponsor their own foreign parents for an LTVP, subject to the prevailing criteria. These LTVPs come with a validity of up to five years and can be renewed. This relatively long period provides some certainty to help transnational couples in planning their caregiving arrangements. We will continue to review our population strategies to ensure that they remain relevant in meeting our needs. As we look to the next 60 years and beyond, let us work together to build stronger families, a more united society and a brighter future for Singapore.
The Chairman4 words
[+2 sentences]Clarifications. Mr Louis Ng.
Mr Louis Ng Kok Kwang97 words
[+4 sentences]Thank you, Madam. I have pushed the issue of childcare leave for a number of years now, but can I just have two requests for the Minister? One, can the Government do a public consultation to see how much support there is for the increase in childcare leave and how much is needed by families with children? Two, whether we can do a consultation with businesses to understand again what concerns they have with regard to increasing childcare leave and what kind of support they hope from the Government when it comes again to increasing childcare leave?
Ms Indranee Rajah156 words
[+4 sentences]Mdm Chairperson, in the course of work in the Prime Minister's Office as well as in Forward SG, there have been ongoing consultations. I think there is no doubt that if you ask parents, they would definitely like to have more childcare leave. It is when you speak to the employers that they have some concerns, not because they do not want to give childcare leave, but they are also grappling with the Tripartite Guidelines on FWA Requests, as well as the new Shared Parental Leave that we have also asked them to accommodate. So, I think, let them have some time to work through the Shared Parental Leave and the FWAs and it is not that additional childcare leave is a never, but it is really more a question of letting the employers and the businesses adjust and arrive at some equilibrium, before we start adding on to the things that they need to do.
The Chairman117 words
[+4 sentences]Ms Ng Ling Ling. Ms Ng Ling Ling: Mdm Chairman, I thank the Minister for the very comprehensive updates. I just have one question. I remember during the debate of the Motion for support of marriage and parenthood, the Minister explained the rationale of why the Government is reluctant to set a TFR target. But having been a public and civil servant myself for almost 20 years before I stepped into a political role, I know well the culture of what gets measured, gets attention, gets resources and gets done. So, I am wondering whether the Prime Minister's Office is open to setting a TFR target of bringing it back to 1.0 in the next five years.
Speaker not recorded229 words
[+7 sentences]Ms Indranee Rajah: Mdm Chairperson, I appreciate the sentiment and I genuinely wish that it was so easy. Because we could set the target. I could go and tell every newly-married woman, "I expect one child from you" or "Give me another child". Or if you work it out, it will end up like 2.5 children or something like that. But they also have their concerns and they have their needs, they have their worries and they have aspirations. So, what we have tried to do is to approach it from the viewpoint of, "What are your concerns?" Your concerns are cost, your concerns are time, your concerns are housing, your concerns are work-life balance. Let us see how we can address each of these concerns, whether it is through enhanced Baby Bonus; enhanced CDA; or with housing, apart from ramping up, also the new classification framework; the Tripartite Guidelines on FWAs.[+3 sentences] Each one of these things step-by-step. And then asking everybody to come on board – corporates, employers – to make Singapore more conducive. Then, I think, if we send out a general call and we say, "Please have more children", then at least they feel a lot more assured in having children rather than just assigning them. It is not like a homework assignment to have a baby.[+3 sentences] The Chairman: Mr Louis Chua. Sorry. Senior Minister Teo.
Mr Teo Chee Hean58 words
[+1 sentence]May I take the opportunity to make a correction in my replies just now. I had indicated that we are increasing our indicative need for green electricity imports from four to eight gigawatts. [self correction]I meant to say, "four to six gigawatts".[+3 sentences] I just wanted to make that correction for the record, please. The Chairman: Noted. Mr Louis Chua.
Mr Chua Kheng Wee Louis (Sengkang)916 words
[+6 sentences]Chairman, as late as May 2024, I asked the Prime Minister about the Government's assessment of the adequacy and effectiveness of existing measures to increase the attractiveness of the Singapore equities market, and whether the Government will take the lead in promoting our equities market by encouraging the privately-owned companies in which it holds equity through its investment vehicles to list in Singapore. Back then, Prime Minister Wong responded that notwithstanding the Government's efforts, the conditions remain challenging for the Singapore equities market, as they are for stock exchanges in many other countries, and that we have to be realistic about what we can do to change them. It was a disappointing response, but I was comforted to hear in August 2024 that the Monetary Authority of Singapore (MAS) has set up a Review Group to recommend measures to strengthen equities market development in Singapore. Chairman, capital flow is more mobile and global than ever, seeking the best return wherever it may find. Our measures must be bold enough to bring our equity markets into the future, in order to give us the best chance of success. I welcome the measures announced thus far but have some clarifications for the latest measures announced in February 2025. On the launch of the $5 billion Equity Market Development Programme ddressing demand issues, it is a case of better than nothing.[+2 sentences] As we all know, the Government has long held that directing GIC to invest in locally-listed firms is "not the solution" to improve the attractiveness of the local equity market and its mandate specifically excludes the Singapore market. This is unlike Malaysia's Employees' Provident Fund (EPF), which is the largest investor in its domestic market, supporting Malaysian companies' capital needs and the economy as a whole. In the grand scheme of things, $5 billion is just a small fraction of the free-float market capitalisation of the Singapore market.[+6 sentences] How does MAS intend to use this seed funding to draw in investments from other investors? Moreover, the number of Singapore-focused equity funds have dwindled over the years. Singapore represents just a small percentage of the Asia ex Japan and World indices. How does MAS intend to evaluate and allocate the funds to the fund managers, and how will these funds be disbursed? Will there be sustained funding and cash injections for continued support of the equities market over the medium to long term? I also wish to propose two key reforms to ensure long-term sustainability. While MAS has taken the lead on the demand side with the Equity Market Development Programme, on the supply side, I urge the Government, via its investment entities, to similarly take the lead for its companies to list on the Singapore Exchange (SGX).[+2 sentences] This has been done before, through the listing of various Government-linked companies in the early years. Even the Singtel Special Discounted Shares Scheme in 1993, aimed at making Singapore a share-owning society by giving Singaporean CPF members the opportunity to buy discounted Singtel shares. For all intents and purposes, the scheme worked well. We can give this current generation of Singaporeans a stake in the country via a meaningful Initial Public Offering (IPO) of the next wave of various private companies held by Temasek and encouraging them to list on the Singapore exchange.[+14 sentences] Top of mind is PSA International, which pulled the plug on its IPO in 2002 after years of preparation and this plan was never revived. Recently, Saudi Global Ports, in which PSA co-owns, is said to be aiming for an IPO worth up to US$1 billion in Riyadh too. Many families are excited to visit the new Mandai boardwalk and the upcoming Rainforest Wild Park. I am sure many will be excited to own a part of Mandai Wildlife Group. Especially when we are looking at the long-term expansion of Changi Airport and Terminal 5, tapping the global capital markets is a key avenue in which we can fund Changi Airport Group in an efficient and sustainable manner. More importantly, as MAS moves to move towards a more disclosure-based regime and a supposed pro-enterprise regulatory stance, it is imperative that we strengthen corporate governance standards and double down on investor education. In 2023, Japan introduced what The Financial Times called a radical "name and shame" regime to drive better corporate governance and stock market valuations, particularly at listed companies with a price-to-book ratio of less than one. Corporate reform since March 2023 following Tokyo Stock Exchange's directive for all companies to take "Action to Implement Management that is Conscious of Cost of Capital and Stock Price" has led to almost 90% of companies taking some kind of action by end-2024. Similarly, since 2024, South Korea has also started to tackle the "Korea discount". Singapore can certainly take a leaf or two from them, by focusing on broad-based corporate governance reforms and implementing our own "value up" programme. This will go hand in hand with a disclosure-based regime and address longstanding concerns on corporate governance. Further, Singapore investors, especially retail investors, need to be better equipped to make sound investment decisions and to question the board and management teams of the companies they have invested in. This can only happen with a purposeful effort to strengthen investor education and empower retail investors to make informed investment decisions in a "buyer beware" regulatory regime. Chairman, we need to do all we can if we want to revive our equity markets and this is our best chance, maybe our only chance.
Mr Muhamad Faisal Bin Abdul Manap (Aljunied)204 words
[+1 sentence]Madam, access to a bank account is essential in daily life in Singapore. In response to a cut filed in 2022 by my colleague, Mr Gerald Giam, then-Deputy Chairman of MAS Mr Lawrence Wong had spoken on the Limited Purpose Bank Accounts, which was then in its pilot phase. These accounts are meant to help ex-offenders to access basic banking services, including receiving their salaries and Government payouts. I seek an update on how many local banks are offering such accounts for ex-offenders and whether MAS has data on the take-up rate for such accounts by ex-offenders.[+1 sentence] Madam, one of my constituents recently approached me for assistance with opening a bank account. My constituent is an ex-offender and needed a bank account in order to receive her salary. I sent appeals to six different local banks, which were all unsuccessful.[+1 sentence] I also sent an appeal to MAS. MAS offered to forward my constituent's appeal to DBS, UOB and OCBC but stated they were unable to compel any banks to open an account for my constituent.[+2 sentences] I urge MAS to work with the Ministry of Home Affairs and the Singapore Prison Service in ensuring ex-offenders can open bank accounts. The Chairman: Minister Chee Hong Tat.
The Second Minister for Finance (Mr Chee Hong Tat)1005 words
[+8 sentences]Madam, with your permission, I will address both cuts for MAS and take clarifications after this reply if there is available time. Let me start with Mr Louis Chua's cut on the equities market. A key challenge which many exchanges face is that global capital is heavily concentrated in the US and US-listed stocks currently account for around two-thirds of global stock market capitalisation. The Review Group is clear about our objectives and realistic about our goals. Based on industry consultations, there are companies with a strong presence in Singapore and the region that might not be large enough to sustain investor interest post-listing if they were to list in the US. These companies represent one key segment we could attract. The Review Group focused on strengthening the elements of our ecosystem to enhance its competitiveness and provide a well-functioning market for companies, including technology startups, to raise capital for their expansion. The first set of measures span three mutually reinforcing pillars covering demand, supply and regulations. On demand side, we introduced measures to increase investor interest and deepen trading liquidity, such as the launch of a $5 billion Equity Market Development Programme (EQDP).[+23 sentences] On the EQDP implementation, MAS will start evaluating eligible fund managers and strategies in the next few months. The EQDP will invest in a range of funds with a focus on Singapore stocks, including non-index component stocks. These funds will be managed by fund managers with strong investment track record and capabilities in Singapore. The fund strategies should be actively managed and commercially viable to attract capital from other investors. MAS has experience in running programmes with both investment and market development objectives, and this is an extension of our approach in developing fund management capabilities in Singapore. The feedback from the industry, so far, has been more encouraging than how Mr Chua has described it. He said, "better than nothing". I think other industry participants and stakeholders have given more positive comments about this move. But whether it works or not, let us see. We will do our best and see whether this will help to grow the local fund management industry and also attract more investor liquidity. Madam, the Government and SGX will continue to encourage companies to list in Singapore, and we have recently introduced tax incentives for this. However, listing decisions will be made by the companies based on their commercial objectives. We should allow this and not impose requirements for the companies to list on SGX, as it is more important for our overall economic competitiveness to preserve Singapore's attractiveness to the founders of these companies and the global investors who invest in them. On the regulatory front, Mr Louis Chua's description of the Review Group's approach does not represent the full picture. I hope this is not deliberate as it would otherwise be rather unfair to the Review Group and our workstream members, who include eminent industry leaders, such as Mr Neil Parekh. Madam, the Review Group has recommended taking a regulatory stance that is both pro-enterprise and pro-investor confidence. While regulation will be more focused and facilitative of listings, we will continue to uphold high corporate governance standards. We stressed this a couple of times during our media conference and also in our reports. The Review Group also said that in the next phase of our review, we will look at initiatives to uplift companies' capabilities in shareholder engagement and sharpen their focus on shareholder value. We will enhance avenues for investor recourse and will take robust enforcement action against market misconduct. In addition, research coverage will be enhanced, to support investors to make better informed investment decisions. As we embark on the next phase, the Review Group will continue to seek feedback and work closely with industry partners to co-create solutions and strengthen our foundations to give Singapore the best chance to attract listings and grow investor interest. Madam, Mr Faisal Manap asked about bank accounts for ex-offenders. MAS does not prohibit banks from opening accounts for ex-offenders. However, banks may choose to offer accounts with more limited functions to ex-offenders of financial crimes to manage the higher risk of them being misused.[+1 sentence] To promote financial inclusion, MAS has worked with major retail banks to offer Limited Purpose Bank Accounts (LPBAs). From January 2022 to June 2024, banks have offered more than 3,600 LPBAs.[+7 sentences] These address the basic banking needs of most ex-offenders and other persons whom banks have assessed to pose higher financial crime risks. With LPBAs, individuals can receive salaries and government payouts, and make payments. Banks monitor LPBA use more closely to ensure only funds from agreed sources are received and to detect suspicious transactions. Banks will assess each case individually to decide whether to offer LPBAs and they have offered LPBAs to ex-offenders of serious financial crimes where the risks are manageable. Banks may also decline to open an account for individuals who are assessed to pose unacceptable risks that cannot be mitigated by the LPBA's safeguards, such as those who repeatedly allow bank accounts to be misused, have violated financial sanctions or are unwilling to cooperate with the bank's due diligence. We encourage individuals to provide the necessary information to banks to allow proper due diligence to be carried out. This balances financial inclusion against the risk of our financial system being abused, which would then be to the public's detriment. Mr Faisal Manap's resident was convicted of money laundering offences and sentenced to 20 months' jail.[+1 sentence] She had continued to use her bank accounts to receive funds from people she did not know, despite repeated warnings from the Commercial Affairs Department not to do so. The banks have rejected the appeal because the appellant's bank account is still subject to a seizure order, and she has not provided the necessary information and supporting documents to the banks. MAS will continue to work with the banks to see if more can be done to help the appellant.[+1 sentence] Members can also refer affected residents who require assistance to MAS.
The Chairman4 words
[+2 sentences]Clarifications? Mr Louis Chua.
Mr Chua Kheng Wee Louis216 words
[+3 sentences]Just a few clarifications for the Minister. Firstly, I look forward to the next phase of the review. Hopefully, we will have our own value-up programme. Specific to the Equity Market Development Programme, I asked whether there will be sustained funding and cash injections for continued support of the equities market over the medium- to long-term.[+7 sentences] Just to get a sense of this $5 billion in terms of, are we looking at something upfront? Is this something that will be providing continued liquidity support over the medium- to long-term for it to be sustainable? Second, the Minister mentioned the direction towards non-index components. In terms of the actual implementation, how does the MAS plan to ensure that the funds are directed to the Singapore markets, specifically to this area that the Minister mentioned? And at the same time, given the current liquidity of the small mid-cap space, ensure that there is not a subsequent bubble or even a popping of the bubble if, let us say, certain counters became concentrated? Lastly, I think the Grant for Equity Market Singapore Research Talent Development Grant previously was actually focused on and at the same time developing local research talent. With the Equity Market Development Programme, is there also a similar requirement to develop the local fund management talent?
Mr Chee Hong Tat214 words
[+4 sentences]Madam, the EQDP is a programme that we will start. We will assess the outcomes before we decide on whether there will be further moves. As many industry players have noted, this is a good start. It will help to develop our local fund management industry. As to the specifics of how we design it, I think MAS has explained it. We do want to set a focus on the local equities market, for these funds to focus on the local equities market. Not to just invest in the index stocks, because those are already quite well-researched and well-traded, but to look for opportunities in other stocks as well – the mid-caps and the smaller companies with potential.[+5 sentences] But all this, as I mentioned in my main reply, would have to be done commercially, because at the end of the day, you still want to balance that objective of having investment returns with a development objective. GEMS. Yes, I think I mentioned this or the Review Group mentioned this in our announcement as well. We will also look at how we can support the research ecosystem. This is an important part of the effort to be able to raise awareness amongst investors and also to have more information about the companies be made known.
The Chairman49 words
[+3 sentences]Ms Hazel Poa. Sorry, I could not see you. Ms Hazel Poa (Non-Constituency Member): As bank accounts have now more or less become a necessity, is there any recourse for any individual or even business if they are unsuccessful in their application for bank accounts with all the banks?
Mr Chee Hong Tat89 words
[+3 sentences]Madam, I mentioned it in my reply earlier that Members are able to refer their residents to MAS if they require further assistance. We will have to look at these on a case-by-case basis, because it really depends on the risk of that particular appellant. I did explain, in my main reply earlier, that there are valid situations, and I hope Ms Poa will agree with me that we need to strike that balance between providing the convenience for the individual and the company versus protecting the wider public.
The Chairman6 words
[+1 sentence]Ms Hazel Poa, your next cut.
Ms Hazel Poa294 words
[+3 sentences]Chairman, as is the usual practice, the Prime Minister set the terms of reference for the Electoral Boundaries Review Committee (EBRC) when he recently convened it. EBRC has a history of adhering closely to the terms of reference set by the Prime Minister. In 2011, for example, when the terms of reference stated that "there should be at least 12 Single Member Constituencies (SMCs)", EBRC created exactly 12 SMCs. In the past three General Elections in 2020, 2015 and 2011, EBRCs were directed to reduce the average size of Group Representation Constituencies (GRCs) and/or to increase the number of SMCs. This time, the Prime Minister directed that the EBRC "should seek to keep the average size of GRCs, the proportion of Members of Parliament (MPs) elected from SMCs and the average ratio of electors to elected MPs, all at about the same as that in the last General Election".[+6 sentences] This means that the average size of GRCs should be kept at around 4.65 and about 15% of the seats should be elected from SMCs. We think it is important to understand the reasons behind his decision. Specifically, why he did not instruct EBRC to reduce the average size of GRCs further or explicitly increase the number of SMCs, unlike the past three General Elections. Does he believe that it would be in the voters' best interests not to reduce average GRC sizes below 4.65 or increase the proportion of Members of Parliament elected from SMCs beyond 15% and, if so, why? In addition, why did the Prime Minister not see the need to direct EBRC to provide greater transparency on the reasons for boundary changes? Does he not agree that this would be conducive to building public trust and, hence, beneficial for the country?
The Chairman750 words
[+11 sentences]Ms He Ting Ru. You can take your two cuts together. Ms He Ting Ru: Madam, Singapore's research and development (R&D) landscape has a reputation for efficiency and the announcements in this year's Budget undoubtedly add to our strengths in physical infrastructure. However, there is room to nurture truly visionary scientific research backed by the idea that detours and exploratory science can yield the most disruptive impact with a longer horizon. Some might ask, why invest in exploratory research given our resource restraints? The goal is not to supplant applied research but to increase our offerings to create a fertile ground to encourage potential breakthroughs that may only emerge years after. In this vein, Switzerland's Spark scheme offers lessons. The scheme explicitly minimises bureaucracy and encourages high-risk, unconventional ideas comprising four main points. First, focus on novelty and originality. It welcomes proposals that challenge existing norms or lacks extensive data and expressly accepts projects that traditional schemes may deem too speculative. Second, rapid and flexible funding. Grants of ₣50,000 to ₣100,000 are given over a six- to 12-month timespan to allow room to fail fast and pivot quickly.[+15 sentences] Third, double-blind proposal evaluation where applicants and evaluators remain anonymous, guarding against bias that may result from individual or institutional prestige overshadowing each proposal's intrinsic merits. Fourth, tolerance for negative results. In Spark's eyes, even projects that fail can may mined for valuable insights, noting the explorations are essential even when outcomes are unclear. In Singapore's context, adopting a Spark-like model means carving out a dedicated stream for high-risk, early-stage exploration where high-risk research is explicitly insulated from more traditional performance measures. A possible pilot would be to create open problem platforms with prizes, like global cryptography or single-cell biology competitions. After all, the essence of science is uncertainty and real breakthroughs rarely proceed linearly. Our system has to accommodate exploration and dead ends and to allow impossible experiments. I also hope that we could consider two further measures in Singapore: allowing principal investigators (PI) to use PhD students for high-risk projects and permitting PIs to use a proportion of grant funds towards exploratory work. The aim here would be to stimulate original ideas rather than confining researchers to incremental pursuits. Meanwhile, the 2024 Frontier Competitive Research Programme grant call announced in May 2024 focuses on use-inspired basic research. Could the Minister clarify how substantial the commitment is, which projects have secured support and how is this publicised to all scientists? Is this a sustained initiative or a one-off call? To be a truly world-leading R&D research hub, Singapore has to invest in exploration that may time to bear fruit or even fail. I hope that the ideas above will contribute to policies that reflect the thinking necessary for Singapore to sustain our competitive edge in an uncertain global innovation race. Quantum computing promises exponential improvements in simulating physical systems and solving complex problems faster than classical computers. Last year, Singapore made available nearly $400 million to quantum research, with MAS promoting quantum key distribution (QKD) for the banking sector.[+2 sentences] I seek greater clarity on our quantum roadmap. First, Singapore is currently focused on noisy intermediate-scale quantum (NISQ) machines, which rely on many short, error-prone runs and statistical processing of noisy outputs. Yet, the industry is moving toward fault-tolerant quantum computing (FTQC), as illustrated by Google's December 2024 Willow chip demonstrating exponentially decreasing errors as qubits increase and Microsoft's 2025 Majorana 1 processor aiming for a million qubits on one chip.[+7 sentences] Such breakthroughs could revolutionise physical sciences. Are there plans to pivot or also pursue FTQC? Second, under the photonics and control electronics vertical of the National Quantum Processor Initiative (NQPI), how does the National Quantum Office plan to develop auxiliary industries, namely controls, readout and hardware-based error correction, to support next-generation quantum processors? Third, NQPI's science verticals focus on trapped ions and neutral atom arrays. Could the Minister clarify why superconducting qubits promising synergies with our semiconductor industry's cleanroom fabrication processes were excluded? Fourth, QKD has been strongly promoted by the Government and Temasek. However, QKD requires specialised, expensive hardware, whereas post-quantum cryptography (PQC) needs only software updates. The US National Institute of Standards and Technology recently finalised post-quantum standards, which function like current public-key encryption and are expected to be adopted universally.[+2 sentences] In this light, what is the view over our continued significant investments in QKD? Does the Government foresee regional QKD networks, possibly via low Earth orbit satellites and how would such efforts compare against simpler, cheaper PQC solutions?
The Chairman14 words
[+2 sentences]Mr Melvin Yong. I can see you are very eager to move your cut.
Mr Melvin Yong Yik Chye (Radin Mas)181 words
[+8 sentences]Madam, time is of the essence. In my Budget debate speech, I touched on how Singapore is operating in an increasingly challenging geopolitical environment. I have regularly highlighted, in this House, that it is important for Singapore to ensure that our Public Service officers have broad perspectives so that they are equipped to take on not only today's challenges but challenges of the future. This is even more crucial now, with rising tensions between big global powers and the threat of impending trade wars. I would like to ask how does the public sector intend to prepare its workforce and foster greater collaboration within and across its agencies to effectively address the multifaceted challenges of the future? What critical cross-cutting and diverse capabilities should the Public Service prioritise in developing its officers to ensure that they are future-ready? Madam, a future-ready Public Service must have in its DNA, a culture that prioritises innovation and regular upskilling. I would like to ask how does the Public Service intend to create a learning ecosystem that fosters innovation and agility across its different agencies?
Mr Saktiandi Supaat (Bishan-Toa Payoh)161 words
[+1 sentence]Madam, with rapid tech changes, shifting geopolitical dynamics and existential challenges, such as climate change and national security, the need for a globally aware and adaptable public sector has never been more critical. For the private sector, the Government has stated that more Singaporeans need overseas exposure to take on leadership roles in global firms. And to achieve that, there are initiatives, such as the Institute of Banking and Finance's International Postings Programme (iPOST) and Workforce Singapore's Overseas Markets Immersion Programme (OMIP) for financial institutions and employers to send their workers for overseas exposure.[+4 sentences] How is the Public Service enhancing its officers' international exposure, competencies and understanding of global trends? What opportunities exist for officers to gain international experience through overseas postings or exchanges? At the same time, what are the Public Service's strategies to foster engagements and build relationships with international partners? What opportunities are there for regular dialogue and collaboration with foreign public service counterparts, to anticipate global shifts?
Mr Yip Hon Weng248 words
[+15 sentences]Chairman, our citizens' needs are becoming more complex and interconnected, crossing traditional Government boundaries. While we have developed new services, the main challenge is integrating them. We must ensure help is accessible without obstacles and bureaucracy, providing solutions and support instead. In previous debates, I spoke about the sheer number of Government apps and systems, about how, for too many Singaporeans, finding the right service feels like navigating a maze. I emphasised the necessity of transitioning from an agency-centric approach to a citizen-centric model, because no one should have to struggle through Government silos just to get the help they need. No one should be left wondering where to turn when services should already be meeting them where they are. So, how do we achieve this integration? How do we move from complexity to clarity? The answer is this. The Public Service cannot just provide services. It must orchestrate them. It must understand that our citizens' needs do not exist in isolation and neither should the solutions. This means bundling services across multiple agencies, proactively connecting the dots at every stage of life and it means more than just adopting new technology. It means adopting a new way of thinking, a mindset shift, a commitment to breaking down silos so that no Singaporean is left behind. That is how we build a Government that is not just effective, but responsive; not just efficient, but compassionate; a Government that does not just serve the people, but truly empowers them.
Mr Patrick Tay Teck Guan (Pioneer)226 words
[+1 sentence]Singapore faces significant demographic changes in the years ahead. Singaporeans are living longer and we will soon become a super-aged society.[+1 sentence] Our workforce is rapidly ageing, alongside rapid economic and technological changes. In the face of these demographic changes, the Government has announced that the retirement and re-employment ages would be raised to 64 and 69 respectively in 2026.[+1 sentence] This is in recognition that with higher life expectancy, many older officers may wish to stay active, including being meaningfully engaged at work for longer, though in different ways. To support officers who wish to continue serving Singapore and Singaporeans, the Public Service announced that it would take the lead to raise the retirement and re-employment ages to 64 and 69 respectively from 1 July 2025, one year ahead of the national timeline.[+3 sentences] While policy changes are being enacted to enable officers to continue working for longer, how can the Public Service ensure that individual officers on the ground feel confident, well-equipped and adequately prepared for their extended careers as job demands will change in the future? What specific programmes and resources are being put in place to empower public officers as they navigate longer working lives? How can we help officers build good transition skills and strike a balance between leveraging their wealth of experience while remaining able, agile and adaptable in a rapidly-evolving work landscape?
The Chairman4 words
[+1 sentence]Minister Chan Chun Sing.
The Minister for Education (Mr Chan Chun Sing)2289 words
[+3 sentences]Chair, we thank Members for their various questions and suggestions on how our Public Service can do better. Let me first address the cut by Ms He Ting Ru. She asked how we support exploratory scientific research and about our approach to quantum research. Chair, R&D is a long-cycle endeavour and any payoffs will be more appropriately assessed over the long-term, rather than the short-term, as Ms He has suggested.[+6 sentences] In any research, particularly initial research, there will be many competing ideas. For instance, the mRNA vaccines that were crucial to fighting COVID-19 are a good example. The vaccines were enabled by decades of work in mRNA therapeutics, which many initially regarded as unpromising. No one knew then the role it would eventually play in a global pandemic. This is the nature of R&D. In R&D, success requires carefully balancing continuity in commitment and investment, with the ability to pivot decisively when the need arises. Our National Research Foundation takes a portfolio approach, supporting R&D across fields and at different levels of maturity and applying relevant programme management approaches.[+10 sentences] Let me just explain that. There is no one method in managing the complexity of different fields of research, different levels of research, different maturities or readiness-to-market levels of research. So, it is not a one method or a one-size-fits all. Different research areas with different time horizons, different challenges, require different management methods. We review our programmes regularly, pivot them when necessary, or double down on efforts that show strong promise when circumstances evolve. We can only have such optionalities if we have built up our capabilities and talent intentionally. I must also explain that in making such decisions, we do not just rely on our own expertise. Because in many of these emerging fields, we may not have all the expertise. And this is the reason why the National Research Foundation and our research institutes make sure that they have extensive global networks with different panels of advisors that can give us their different perspectives for us to make a considered decision. And we have different councils, comprising both local and foreign experts in different fields to give us those advice that we need. Quantum research is an example of where we are doubling down after seeing initial promise.[+15 sentences] Ms He asked about the possible technical approaches, including our current areas of focus as well as industry development efforts to build our quantum capabilities. Indeed, this domain is nascent and dynamic. We will continue to adjust when needed and make judgements, taking into account the evolving landscape, our capabilities, what we have achieved and what others have achieved. Also, we keep a keen eye on where others are investing in, so that we can focus on the areas that we will have a competitive advantage. I would also like to assure Members that the key Government agencies and research offices are keeping a close watch on all of these, internal and external developments, in consultation with both our local and international scientific panels, and we are not wedded to any particular focal area or approaches. But what we must do, carefully, is to build up the capabilities to allow us to have the suite of optionalities to pivot or double down as the circumstances evolve. And for Ms He's suggestions, we will be happy to take into account her suggestions. If she has scientific papers that she feels will benefit our considerations, we welcome her to let us know and we will convey this to the National Research Foundation and our panel of scientific advisors to take a look at this. More important than just building own talent pool and expertise, we must also grow our ecosystem of research institutes, industries and workforce. And when we say this, I do not just mean growing the capabilities in-house or only in this country. Very often, in today's R&D environment, we will need to leverage on the networks that we are able to access in the global environment. No one country, not even the biggest countries of India, China or US, will work alone necessarily in many of these cutting-edge areas and that is what we are committed to do. And in a more fragmented world, we must also ride on the opportunity for us to play the role to bring people from different backgrounds together and that is one area of our competitive advantage. This will then position Singapore strategically to contribute where we can and take advantage of the opportunities, be it in quantum technologies or other areas. Now, let me address Ms Hazel Poa's cut, on behalf of the Prime Minister, on EBRC. Ms Poa will agree that there will be an asymptotical limit to asking EBRC to keep reducing the average size of GRCs and that limit is one, with all electoral divisions being SMCs.[+17 sentences] The current terms of reference provide some stability in our electoral landscape by having a balance in the proportion of GRCs and SMCs. Having Members of Parliament serving a broadly similar number of electors on average as the last election will enable Members in the coming Parliament to continue to serve and represent their residents effectively. This last point is what matters most. As for greater transparency for its recommendations, we discussed this extensively during the debate on the Motion that Ms Poa and Mr Leong Mun Wai tabled in Parliament last August. We do not intend to repeat the debate today. Suffice to say that we should avoid imposing requirements or instructions on EBRC that are too prescriptive, but to give EBRC, which comprises senior civil servants with the relevant professional knowledge and expertise, the space to do their work independently and objectively, without fear or favour. Next, Mr Melvin Yong asked how we would prepare the Public Service workforce to tackle the multifaceted challenges of the future. Our Public Service has achieved much for Singapore and Singaporeans since 1965. Today, we are known for our efficiency, innovation and our ethos, from meritocracy to incorruptibility. For example, Singapore has been ranked within the top five in the World Bank's Worldwide Governance Indicators on Government Effectiveness since 2014 and topped Oxford University's inaugural Blavatnik Index of Public Administration in 2024. But having said that, we are not complacent and we must not be complacent. Our world is changing rapidly. The once familiar rules-based international security and economic orders are fracturing. Achieving survival and success for Singapore and Singaporeans will require fresh approaches in the way we do things, not just internally but also how we connect with the rest of the world. Our people's aspirations, as Mr Yip Hon Weng says, have also changed. They have gone up, while our manpower resource base remains tight. And we will constantly need to review the way we build our capabilities, execute and deliver. The Public Service will focus on strengthening three areas this year.[+11 sentences] First, we must deepen our perspectives of the world and strengthen linkages with partners beyond our Public Service. Public Service delivery does not happen in a vacuum, nor does it only depend on us looking inwards at our own issues. As Mr Saktiandi Supaat mentioned, for Singapore to remain successful, our Public Service must deeply appreciate the fast-evolving external context which we have to operate in. We must remain engaged with our international counterparts through active participation in international forums, exchange and training programmes, and we must keep in close touch with what is happening in many international agencies because the decisions that they make there can have significant impact on what we can or cannot do, even in our domestic context. And this is where we will continue to send relevant officers to many of these international organisations for us to touch base with the latest thinking and build those networks that are necessary for our continued survival and success. To this end, we aspire to send more officers beyond the Public Service and beyond Singapore, to understand and build those linkages to further the cause for Singapore and Singaporeans. Just as an example, National Environment Agency officer, Khairunnisa Binte Yahya, has first-hand experience of this. She was attached to the United Nations Development Programme (UNDP) as an Air Pollution Expert. She shares expertise and develops solutions for air pollution with UNDP partners, enhancing Singapore's global partnerships in environmental sustainability and climate resilience. Khairunnisa has gained insights into the UNDP's strategies which informs our efforts to improve Singapore's air quality. More importantly, she has built up a network, which she can call upon in time to come. As we prepare our officers for an increasingly complex environment, Mr Patrick Tay asked about our efforts to prepare officers for our expanded or lengthened career spans. We have introduced a Public Service Career Coach Network and will be ramping up our CareerFitness programme to empower officers to build career resilience and agility across different life stages.[+4 sentences] One such officer is Latha Nadarajan. A personal assistant at the Ministry of Social and Family Development, she pursued her passion for social work by obtaining a Singapore University of Social Sciences degree. After attending a CareerFitness workshop in 2023, she is now set for an attachment with Child Protection Services to apply her new skills. To further reap the career longevity dividend, we will continue to tap on the Public Service Retirees Network, which provides job and volunteer opportunities, to harness their wealth of experiences and add resilience to our system. Second, in response to Mr Yip Hon Weng's question on coordinated citizen services, we will continue to integrate our service delivery from a citizen-centric perspective, rather than a silo-Ministry perspective.[+11 sentences] For example, our ServiceSG omni-channel strategy is not just about bringing different services together. It is about how we rewire our processes to deliver services more efficiently and yet, be more aligned with the way our people expect their service journey to be. As we continue to streamline and digitise our services, we will certainly not leave those less digitally-savvy behind. This requires a mindset shift from Ministry or agency-centricity, to a people-centricity and whole-of-Government perspective. It is a digital-first, but not a digital-only service that we are aiming for. Third, we must strengthen team development for a more complex and challenging operating environment. And this is slightly different from how we have done things in the past. In the Public Service, we have always focused on the development of the individual and this remains valid. Going forward, we need to go beyond developing just the individual. We need to strengthen the way we develop the teams and compose the team with diverse abilities, with people from diverse backgrounds and perspectives. Our ability to compose teams with diverse abilities to resolve and pre-empt problems is critical as challenges become more complex and interlinked. To this end, our Civil Service College will lean forward to help different agencies to build stronger and more agile leadership teams to bring out the best in our agencies to enable Singapore and Singaporean success. So, three things that we need to do and we will need to focus on them urgently this year.[+2 sentences] One, for our Public Service to maintain a sense of perspective, to not just be able to understand our own challenges deeply, but to have a view of how the world is evolving, because the rules are changing fast. And unless we are plugged in, we might be overtaken or bypassed by other people making rules beyond our shores. Two, we will continue to focus our efforts to build our services around the citizen. We aim for a more seamless service experience for all Singaporeans. And third, beyond building the individual, we must build our teams to have different perspectives, to be able to see things from different angles, so that we can have more robust solutions.[+5 sentences] Build our teams with people with the courage and the know-how to pivot and change course when the need arises, to pre-empt problems. So, Chairman, we do not take for granted our strong track record and will naturally enable our success tomorrow. Indeed, we believe, as a Public Service, that we should be continuously vigilant to our fast-changing world order and domestic expectations, and constantly challenge ourselves to evolve faster. It is not just about solving today's problems better. It is about anticipating tomorrow's challenges earlier to find those solutions before the problem arises. Only then, can we be more assured that we are able to overcome tomorrow's challenges, seize new opportunities to benefit all Singaporeans and be a Public Service that can continue to be the pride of Singaporeans. But to be successful, we must maintain a strong, continuous and consistent partnership between the political leadership and the Public Service, that allows our Public Service to execute with consistency and conviction, without fear or favour.[+6 sentences] This is, perhaps, something that we have taken for granted. In many countries, they, too, have people in their public service that have very strong convictions and good ideas on what they want to achieve, but they do not necessarily have the ability to do this and to do it well. And that is because they do not have the continuity in perspective, that allows them to think long term. This is something that we have, this is something that we cherish and this is a competitive advantage for Singapore. Chair, I have shared how we will deepen our external linkages, deliver integrated services and strengthen our teams. If we do this well, if we do not become complacent, I am quite sure this will be a Public Service that we can all be proud of and this will be a Public Service that will partner us to SG100 and beyond.
The Chairman:5 words
[+2 sentences]Any clarifications? Ms Hazel Poa.
Ms Hazel Poa102 words
Can the Minister explain the logic behind this position that it is okay to impose or to specify to EBRC that the average size of GRCs and the proportion of SMCs should be maintained at current levels, but it is overimposing on EBRC to ask them to explain the reasons for their changes? Because according to normal logic, it would actually be the other way round, that you do not impose conditions on the sizes of GRCs or the number of SMCs if you want to preserve the independence of EBRC, but simply require them to explain the reasons behind their decisions.
Mr Chan Chun Sing13 words
Chair, I am quite sure EBRC will explain its thinking in due course.
The Chairman:14 words
[+2 sentences]No further clarifications? Ms Poh Li San, would you like to withdraw your cut?
Ms Poh Li San55 words
[+1 sentence]Mdm Chair, I seek leave to withdraw my amendment.
Committee of Supply – Head M (Ministry of Finance)›Budget42 turns · 15,065w
· 103 highlighted
budget-2577
The Chairman4 words
[+1 sentence]Mr Liang Eng Hwa.
Mr Liang Eng Hwa (Bukit Panjang)879 words
[+8 sentences]Mdm Chair, I seek to move, "That the total sum to be allocated for Head M of the Estimates be reduced by $100". Madam, let me start by sharing a few international articles about Singapore that I picked up recently. Firstly, it is this truly remarkable report by the British Broadcasting Corporation (BBC) that cited Singapore as being named the world's sixth Blue Zone by the National Geographic. What are Blue Zones? Blue zones are the identified geographic communities where the inhabitants are known to have live well, live healthily, with exceptional life expectancies way higher than the world's average or higher than 80 years old. I did some research on the article and noted that they also look at indicators, such as whether the people living in that communities live purposeful-driven life, the level of social connectivity, the low rates of chronic disease, healthy environment, among others. The BBC report also mentioned that Singapore's healthcare system has received global accolades both its quality of care and its ability to keep costs affordable. It also added that when it comes to longevity, Singapore is one of the few places in the world that saw quantum jump in life expectancies. From what was 65 in the 1960s, to now, more than 86, according to BBC. The number of people living to 100 years and beyond has also doubled over the last decade.[+8 sentences] The other five Blue Zone locations are Loma Linda in California, Nicoya Peninsula in Costa Rica, Sardina in Italy, Ikaria in Greece and Okinawa in Japan. Interestingly, these locations are not known to be as fast-paced, vibrant cities like Singapore. They are more rural and country in nature with smaller populations and the tempo of life tend to be more relax. Hence, for Singapore to be named as a Blue Zone is really remarkable and we must have gotten the fundamentals and the policies right to achieve these excellent public outcomes. Madam, the second article that I would like to share is this report by Henley Passport Index, that names Singapore passport as the most powerful passport in the world. It must have provided Singaporeans a lot of convenience to be able to have access to so many countries and not to mention, the sense of pride to carry our red passport. Again, we must have managed our foreign relations well to earn all these visa-free accesses and also that these countries do see Singaporeans as valued and desired tourists or visitors. Thirdly, I would like to mention that the Singapore Public Service has recently also come out on top, in terms of performances among the 120 public administrations around the world; which included many developed countries. This is the index produced by the Blavatnik School of Government at the University of Oxford, which rates public services in four areas: strategy and leadership, public policies, national delivery and people and processes.[+2 sentences] So, congratulations to our Public Service. Madam, there are, of course, other accolades given to Singapore, such as Singapore being the country with the highest home ownership in the world and Singapore being among the most competitive economy globally. However, in the interest of guillotine time, I would just mention one more international accolade that Singapore has just received last month, which cited that the Government of Singapore as having, "a well-defined budget framework with clear fiscal objectives". This is the report by the Organisation for Economic Cooperation and Development (OECD) on "Budgeting in Singapore", which also mentioned Singapore as having an international reputation for fiscal discipline in budgeting and policies that has help ensure long-term fiscal sustainability.[+12 sentences] Madam, this being the last Committee of Supply (COS) for this term of Government and the Ministry of Finance (MOF) is the Ministry that is responsible for stewarding our fiscal resources and ensuring effectiveness of public outcomes and governance are achieved, can I ask the Minister the following questions? Firstly, if the Minister could recap on how the country has fared in key areas of national interest and whether the required public sector outcomes have been achieved? We have these international accolades, but it is good to also hear the inside view of how we see the Public Service has fared and the public sector outcomes as well. Secondly, does the Public Sector develop programme evaluation capabilities so that we can further enhance effectiveness and governance in the Public Service? Sir, I move to environment sustainability. As we transition to a greener and more sustainable future, can I ask the Minister a few questions in relation to how the MOF agencies are addressing issues of climate change and environmental sustainability? What are public financing levers to steer Singapore towards our net-zero commitment? Does the Government take environmental sustainability considerations into account when procuring goods and services, and can the Government do more? Businesses are still trying to make the green transition and may not be able to meet the various environmental sustainability requirements. Can I ask what support is the Government providing to help these businesses? Has the Public Sector adopted green budgeting and consider environmental sustainability in the management of public finances? Finally, has the Singapore Green Bond Framework been kept abreast and updated given the recent developments in the sustainability landscape?
Mr Liang Eng Hwa27 words
[+1 sentence]Madam, besides ensuring fiscal prudence and sustainability, MOF's other missions include fostering a regulatory environment conducive to businesses as well as drive synergies across the whole-of-Government (WOG).
[Mr Speaker in the Chair]373 words
[+16 sentences]A number of key business regulatory statutes come under the purview of MOF, such as the Companies Act, the Business Registration Act, the Accountant Standards Act, the Limited Partnership Act and others. The Ministry also set the policies for procurement, custom regulations and other business regulations. As such, MOF plays a central role to promote a pro-enterprise regulatory environment across the whole-of-Government. One immediate quick win areas to look into can be the simplifying of rules across the Government. For example, can the MOF agencies look to further streamline existing rules for businesses, so as to reduce the compliance burden of businesses in relation to areas, such as taxation and disclosure? Reducing the burden of compliance can reduce time and costs and make doing businesses in Singapore more cost effective. The areas of concerns from businesses that I pick up are lengthy processes involved and the time taken to go through these processes when doing business with the Government. Can the Minister update what have the MOF agencies been doing to improve processes and facilitate better experiences transacting with the Government? Are there plans to leverage digital means or generative artificial intelligence (Gen AI) for greater efficiency and better connectivity? In the area of procurement, I urge the Ministry to keep working on making procurement opportunities more accessible to businesses, especially to the small and medium enterprises (SMEs). SMEs may not have the resource setup to participate in Government tenders that are onerous and require tedious paperwork. For smaller-value contracts, could the Government look into a lighter tender process, lowering the bar to participate, and a tender process tailored more to smaller enterprises. Another group of businesses that I would like to bring to attention are startups with innovative solutions. They often find it harder to participate in Government tenders due to the various administrative requirements and the need for track record. So, can MOF look into a new procurement initiative that makes it easier for the agencies and businesses to work together to pilot and to scale innovative solutions? Finally, I would like to also ask the Minister for a progress update on efforts to improve the promptness of payment to vendors, an issue that I raised before in previous COS debates.
Mr Pritam Singh (Aljunied)755 words
[+1 sentence]The headlines last month rang loud and clear. By the end of 2025, Housing and Development Board (HDB) resale prices are set to rise for a record 23-quarters.[+2 sentences] That will see close to six consecutive years of resale prices going up and further up. HDB resale prices jumped 12.7% in 2021, 10.4% in 2022, 4.9% in 2023 and 9.7% in 2024. The projected increase for 2025 means that resale HDB prices would have risen since early 2020 by a cumulative 58%.[+3 sentences] In April last year, the Minister for National Development said that the Government expected the property market to continue stabilising. He noted that resale HDB prices had risen less in 2023 at 4.9%, compared to 10.4% and 12.7% in the previous two years. At that time, which was a mere 11-odd months ago, the Minister attributed the slower price rise, which I should point out is still a significant price rise, to HDB having caught up on construction delays and a ramping up of Build-To-Order (BTO) flat launches. Based on what the Minister said, a reasonable expectation would be for price rises to have slowed down further in 2024. But then, the news in January this year was that in 2024, HDB resale prices climbed the steep 9.7%.[+11 sentences] This was despite cooling measures being introduced in August last year, such as lowering the loan to valuation limit for HDB housing loans from 80% to 75%. On another front, 2024 was an unusual year for Government Land Sales (GLS) sites for non-HDB use. Last year, the Government rejected three tenders for three private residential sites because it deemed the sold bids for them to be too low. Partly because of this, land betterment rates for non-landed residential use sites dropped by an average of 5.4% for the half-year from September 2024 to February 2025. The Chief Valuer (CV) reviews the Land Betterment Charge (LBC) rates twice a year in March and September, and the rates can be a barometer of the Government's assessment of land values in recent land sales. The CV's work on land not sold for HDB purposes is highly granular. There are individualised LBC rates that reflect market sentiment for each of the 118 geographical areas in Singapore. For example, in March 2024, LBC rates were cut 19.2% for non-landed residential use in Tanglin, but increased 14% in the West Coast and Clementi areas. These numbers mirrored the differing market sentiment between suburban and non-suburban sites over the period from September 2023 to March 2024. In contrast, the public knows far less about how land is priced for HDB BTO flats. What we do know is that land price for BTO flats takes reference from resale HDB prices. With a 58% increase in resale flat prices from 2020 to 2024, there is inevitably a serious concern about whether land for HDB BTO flats is priced sustainably, or if ever-growing subsidies are going to be needed in future to make HDB flats affordable.[+10 sentences] It has been stated that the HDB pays fair market value, which is determined by the CV and that the land for public housing is lower compared to private housing in the same area. However, there is no information available to the public about land prices for HDB flats, similar to the chart like the 118 Zone LBC chart, which suggests how the CV adjusts the fair market value of HDB BTO flats in response to rising HDB resale prices. There is a public demand to better understand and unpack the fair market value determined by the CV for land reserved for HDB. Sir, what is stopping the Government from lifting the veil on this aspect of the CV's work? With well over 80% of all land in Singapore belonging to the state, there is a deep interest in determining the sustainability and affordability of land prices for BTO flats for current and future generations of Singaporeans. Can the Minister tell us how the CV discounts the land sold to HDB beyond the general explanation of market principles? How is this discount derived and what is its basis? Would the Government release zone-specific data on land values for land reserved for BTO flats over time? In connection with this, how does the Government assure the public and this House that it is not raiding the reserves when it prices land for BTO flats, when the only explanation the public relies on is its reference to the unknown fair market value for HDB land? Could the Minister please address this too?
Ms He Ting Ru (Sengkang)461 words
[+3 sentences]Mr Chairman, the Progressive Wage Model (PWM) has benefited many lower-wage Singaporean workers. We support this as workers deserve to be paid living wages. However, I have some questions today about the long-term sustainability of the Progressive Wage Credit Scheme (PWCS) in the context of our overall economy and what MOF's view is, given the Ministry's role in managing Singapore's fiscal policies prudently. Since the Wage Credit Scheme (WCS) was started in 2013 as a temporary three-year measure to support PWM, it has been repeatedly extended and expanded. This has now evolved into PWCS with an allocation of $9 billion from 2022 to 2026, to this temporary measure first introduced 12 years ago.[+1 sentence] The original WCS co-funding of 40% was supposed to end by 2017, but was instead extended multiple times. Similarly, PWCS co-funding increased from plan levels of 30% to 50% to 45% to 75% in 2022 to 2023.[+12 sentences] In 2024, instead of decreasing to 15% to 30%, it was raised to 30% to 50%. I am concerned about the ongoing extension of what was presented as temporary support. In its Budget 2025 wish list, the Singapore National Employers Federation asked that the co-funding of wage increases continue beyond 2026, suggesting a growing dependency on these subsidies. How did our economy get to the point where our businesses rely so on such wage support? This goes beyond labour policy and I hope for more clarity on how MOF intends to structure an exit plan with firm targets that takes into account a whole-of-economy approach. A clear exit plan from PWCS has to also take into consideration the overall structure of economy, projections of where we are headed and contain the right ingredients to allow businesses and our overall fiscal structure to remain sustainable in the long run. This will include having a hard look at our overall cost structure beyond labour, including our land policies. With economic disruptions becoming more frequent, will we keep returning to wage subsidies whenever sectors face challenges? What signals does this send to businesses about long-term planning and productivity investments? I would like to ask: one, what matrix will determine when these temporary wage subsidies will be phased out; two, has MOF analysed how these subsidies might affect employers' incentives to invest in productivity improvements, and not just in the sense of skills upgrading, but also in capital goods investment; and three, what is the Government's transition strategy towards sustainable wages that align with our broader economic objectives? While we support wage improvements for workers, we need greater certainty about how these temporary measures fit into Singapore's long-term fiscal and economic policy. Both workers and businesses deserve a clear roadmap for the future beyond the current repeated ad hoc extensions of the supposedly temporary measures.
Mr Saktiandi Supaat (Bishan-Toa Payoh)178 words
Chairman, our fiscal headroom will get smaller as Government expenditure is projected to increase while our revenues remain uncertain in light of the status of BEPS 2.0 and heightened geopolitical and trade tensions affecting investment returns. We can afford the projected level of spending up to 2030 thanks to sound and timely fiscal measures made.[+7 sentences] How is MOF enhancing efficiency, fiscal prudence and responsibility in the Budget process? We are not the only ones feeling this pressure. The United States (US) has created a Department of Government Efficiency headed by Mr Elon Musk to treat government inefficiency. The United Kingdom (UK) Chancellor has announced that the government departments will be asked to identify 5% efficiency savings to crack down on government waste. To what extent does MOF expect all Ministries and Statutory Boards to improve budget efficiency year-on-year? How can MOF ensure more collaborative initiatives across different Ministries to improve the coordinated delivery of Government services? How often does the MOF undertake resource reviews and transformation on a whole-of-Government basis in order to sustain a healthy fiscal position?
The Chairman10 words
[+1 sentence]Mr Louis Chua, you may take your three cuts together.
Mr Chua Kheng Wee Louis (Sengkang)1183 words
[+8 sentences]Chairman, the reason for my cut on Sovereign Wealth Funds (SWF) transparency is simple. We must demand better standards from the investment managers managing our reserves and take the lead in transparency, accountability and governance standards, as these involve the stewardship of public monies for all Singaporeans, not just its funds' direct shareholders. We should aim for transparency in both our public and private market investments, regardless of whether it is held by Government of Singapore Investment Corporation (GIC), Temasek Holdings, the Monetary Authority of Singapore (MAS) or even the Central Provident Fund (CPF) Board for that matter. To many market observers, the gold standard, as in most things SWFs-related, is the largest bank investment management – Norway's sovereign wealth fund. When it comes to transparency, they publicly share a whole suite of details regarding their operations from individual investments, returns before and after fees, even their voting records. Their chief executive officer (CEO) has a popular podcast, In Good Company, where he interviews portfolio companies and prefaces every interview openly discussing fund ownership details. They prove you can be transparent and perform well. On transparency, however, Singapore's sovereign funds are falling short. Unlike Temasek Holdings, GIC does not even share annual performance figures.[+25 sentences] I do not think they assess the performance of the third-party fund managers they are invested in merely on a five-year basis. I understand the rationale of not disclosing its assets on the management, but hiding performance figures does not make sense and merely raises questions. There is another dimension to transparency. I notice that Temasek Holdings is invested in not just private markets, but many of these investment structures are also increasingly complex, perhaps a reflection of the investment landscape today. An example is that of continuation funds. A Business Times article dated 12 October 2024 was titled, "Temasek CIO Gets Behind Asset-Shuffling Funds Snubbed by Others". It further goes on to say that the chief investment officer of a Singaporean state-owned investor voiced unusual enthusiasm for continuation funds in which private equity managers shift hard-to-sell assets from an older vehicle into a brand new one. The repackaged assets are then offered to investors, such as Temasek, known as limited partners. Chairman, these harder-to-value investments need more oversight, not less. Yet, they are becoming less transparent even as investments get more complex. In accounting, Level 3 financial assets require significant use of internal models and assumptions to estimate fair value as reliable market data is not readily available. Hence, listed companies have to disclose in their annual reports details of valuation methodologies and the assumptions made in their financial statements. There is a glaring contradiction in all of these, in that even as the Government and Temasek demand good corporate governance from the companies that they invest in, they are secretive about their own performance and remuneration matrix. Chairman, we must demand better standards from the investment managers managing our Reserves. Any attempts to deflect this via operational independence must be rejected. Singaporeans compare prices to get the best value for money for their purchases and to better manage the cost of living. According to the 2023 Household Expenditure Survey, about 16% of Singaporeans' monthly expenditure is on food and beverage (F&B) services. Unfortunately, it is more complicated to compare prices when eating out than when making other retail purchases. While some F&B outlets display all-inclusive prices, others do not include service charge and Goods and Services Tax (GST) in the menu price. Their inconsistency can cause frustration when the customer sees the final bill, which is almost 20% higher than the menu price. It also makes it harder for customers to compare prices across different F&B operators. Tourism is a key driver of our services industry. I have, in the past, often heard feedback from my foreign friends about how they are shocked by the final prices of their F&B purchases and their taxi rides compared to the prices they were initially expecting. In the era of ride hailing apps, the shock of seeing a myriad of additional charges added to the flag-down fare is now much less likely. But when it comes to F&B establishments, the sticker shock remains. Currently, the Inland Revenue Authority of Singapore (IRAS) grants hotels and F&B outlets an administrative concession which allows them to display prices ex-GST if they also impose a service charge. This differs from other retail sectors, where the price displays must include GST.[+5 sentences] IRAS' rationale for this concession was to help restaurants manage operational challenges when waiving service charge for takeaway orders. I would like to ask the Minister when this concession was last reviewed and whether it is still relevant today. Given the prevalence of electronic menus, it is very straightforward for restaurants to display both dine-in and takeaway prices. Alternatively, if they use paper menus, they could simply give a 10% discount for takeaway orders instead of having 10% for dine-in orders. Some restaurants do display all-inclusive prices, but many may be reluctant to do so for fear that they will be seen as more expensive than their competitors. In the interest of ensuring a level playing field between F&B operators and improve consumers' dining experience by having greater price transparency, I urge IRAS to review this concession and to require the display of all-inclusive prices as I believe the overall real benefits to the public outweigh any perceived cost to businesses.[+1 sentence] Lastly, on rethinking the CDC Voucher Scheme. In my 2024 and the recent 2025 Budget debate speeches, I highlighted that while the CDC Vouchers Scheme has provided some support for Singaporeans amidst the high cost of living, the support rendered is broad-based, with low-income households receiving the same payout as that of a millionaire CEO.[+1 sentence] Moreover, users may face difficulties when redeeming their CDC Vouchers due to its fixed denomination and expiry dates. In lieu of the CDC Vouchers Scheme, the Government could leverage the existing Community Health Assist Scheme (CHAS), Merdeka Generation and Pioneer Generation schemes to provide discounts for cardholders at merchants, hawkers and supermarkets that currently accept CDC Vouchers.[+1 sentence] The list of participating merchants could also be expanded to include food courts within privately owned commercial properties and pharmacies located within HDB estates. The rebate provided could vary based on the colour of one's CHAS card, with blue CHAS cardholders receiving the largest discount quantum, along with Merdeka and Pioneer Generation cardholders.[+3 sentences] Such a programme is not new. Discounts for CHAS, Merdeka and Pioneer Generation cardholders have been offered by establishments, such as FairPrice, Unity and store holders within certain hawker centres. Under the new scheme, however, these rebates will be borne by the Government instead, in a more equitable manner. Through this scheme, greater support will be rendered to low to middle-income households and residents compared to high net worth individuals.[+2 sentences] Furthermore, Government support could also be easily accessed by those experiencing difficulties obtaining CDC Vouchers via the appeal processes. By expanding the CHAS, Merdeka and Pioneer Generation programme to provide discounts for daily necessities, the cost-of-living pressures faced by Singaporeans could be easily, equitably, elegantly and efficiently paid.
Ms Foo Mee Har (West Coast)669 words
[+3 sentences]Chairman, I would like to declare my interest as CEO of the Wealth Management Institute, which hosts the Asia Centre for Changemakers, Asia's learning lab for impact philanthropy. Philanthropy has always been a part of Singapore's DNA. Singapore has long provided generous tax incentives of up to 250% for donations to local charities. More recently, as part of our ambition to be Asia's philanthropic hub, Singapore introduced the Philanthropy Tax Incentive Scheme (PTIS), which offers tax benefits for qualifying overseas donations to family offices.[+15 sentences] However, to truly cement our position as a leading philanthropy hub, Singapore must broaden its perspective on doing good beyond the traditional definition of donation and grantmaking. Philanthropy today has the potential to catalyse social innovation and drive systemic solutions to some of the region's most pressing social and environmental challenges. Reflecting global advancements in the field of philanthropy, impact investing and venture philanthropy have demonstrated their ability to generate meaningful and scalable impact. Another example is blended finance, which strategically combines concessional and commercial capital to unlock development opportunities that would otherwise remain out of reach. Through these innovative financing models, philanthropy is emerging as a unique asset class for social progress. With a higher risk tolerance, longer-term horizon and acceptance of below-market or zero financial returns, it is uniquely positioned to fund nascent social enterprises, de-risk high-impact ventures and bridge funding gaps where commercial capital is hesitant to engage. By mobilising more capital through a holistic definition of philanthropy, one that includes impact investing, blended finance and catalytic capital, we can accelerate early-stage innovations in uncharted territory. Notably, this expanded approach has the potential to direct more patient and risk-tolerant capital toward climate initiatives to unlock breakthroughs in renewable energy, carbon capture and sustainable infrastructure. Sir, given the shifts in global philanthropy, Singapore is well-positioned to lead in this space. Our strong financial and regulatory environment, coupled with our reputation as a trusted wealth and asset management hub, provides a solid foundation for mobilising capital effectively. However, to fully realise our ambition of becoming Asia's leading philanthropy hub, we must expand our policy and partnership framework. I have three suggestions. First, harmonise regulations and incentives for philanthropy and impact capital. Philanthropy in Singapore currently falls under three separate Ministries' policy domains: the Ministry of Culture, Community and Youth, MOF and MAS. To strengthen our position as a leading philanthropy hub, we need to review and harmonise related laws and policies to ensure greater coherence and effectiveness. For example, existing tax incentives for philanthropy, such as PTIS and the Institution of a Public Character (IPC) scheme, apply only to grantmaking.[+4 sentences] However, as we broaden our understanding of philanthropy to include models like impact investing and blended finance, tax incentives should be extended to encourage these approaches while accounting for potential financial returns. Similarly, while charitable foundations come under the lighter touch grantmakers regime, they still face restrictions from a charity governance framework that inadvertently prevent foundations from engaging in venture philanthropy, as an example, to scale social innovations. Second, establish a corporate social impact benchmark. Corporations play a critical role in contributing to the communities in which they operate. For instance, India introduced a mandatory policy requiring companies of a certain size to contribute 2% of their net earnings to corporate social responsibility.[+1 sentence] Since then, this has catalysed US$6 billion into sectors, such as education, healthcare and social assistance, in India. Singapore can learn from this, not through regulation but by establishing a corporate social impact benchmark that sets an aspirational standard for corporate giving, a desired philanthropic spending target that would encourage businesses to integrate social impact into their strategies.[+4 sentences] Third, introduce a philanthropy alliance for action. A vibrant philanthropic hub requires a strong public-private-people coalition to shape strategic direction and drive ecosystem alignment. This coalition will provide strategic leadership and momentum to scale Singapore's role as a philanthropy hub. It could also be tasked with developing a national philanthropy roadmap, including a plan to align philanthropic capital with Asia's green financing commitments.
Mr Edward Chia Bing Hui (Holland-Bukit Timah)243 words
[+3 sentences]Mr Chairman, Sir, Singapore's fiscal prudence has long been a pillar of our economic resilience. However, prudence must also consider opportunity cost. The time taken from ideation to budget allocation and, ultimately, project implementation represents an economic cost by itself. To maximise impact and efficiency, can MOF, in collaboration with other Ministries, measure and streamline this process to minimise delays and ensure that promising initiatives are not hindered by bureaucracy?[+7 sentences] SMEs and startups often face challenges in assessing Government procurement opportunities. Many SMEs and promising startups with innovative solutions struggle to participate in Government procurement due to administrative and track record requirements. How can MOF facilitate greater SME and startup participation in Government tenders? Are there measures in place to ensure that procurement frameworks do not disproportionately disadvantage SMEs and promising startups and the Government missing out on promising solutions? Beyond procurement, the cost of doing business in Singapore remains a key concern. Complex regulations and high compliance costs often prevent SMEs from scaling up effectively. The adage, "Time is money" could not be more apt for SMEs. What steps is MOF taking to simplify regulatory requirements, manage compliance costs and improve overall ease of business transactions with Government agencies?[+3 sentences] Ultimately, improving efficiency benefits both businesses and the economy as Singapore strives to remain competitive. Ensuring that Government processes are streamlined, procurement is accessible and businesses can operate with greater agility will be critical. I look forward to MOF's insights on these issues.
Ms See Jinli Jean (Nominated Member)547 words
[+2 sentences]Embedding social value into Government procurement. One positive outcome from the Government Procurement framework, Whole-of-Government Period Contract and Framework Agreement (WOG PCFA) for creative services and for video and animation services, is that public sector agencies are more aware of SME creative agencies and their services. In the same vein, I would like to urge MOF to consider formalising the embedding of social value into Government procurement framework.[+12 sentences] The UK's Public Services (Social Value) Act 2012 requires public authorities and their supply chains to go beyond cost consideration to also consider how the public authority can make a positive economic, social and/or environmental impact through the procurement process. At the debate on the Motion on supporting families this February, I had suggested for the Government to consider embedding social value into Government procurement framework. Under such an arrangement, public sector agencies would have the discretion to determine their social value commitments alongside the core contract deliverables. For instance, under the WOG PCFAs and standard procurement for creative services as well as video and animation services, public sector agencies that procure creative services or video and animation services could specify hiring, upscaling and training of the local workforce as a social value objective in the contract delivery. This would give impetus to creative agencies working on Government projects to engage Singaporean creative freelancers, rather than to prioritise cost and thus outsource to overseas market. Embedding local workforce upscaling as a social value objective ensures that Singaporean creative freelancers have a safe space to unlearn and relearn new skills and technology. This matters because many Singaporean creative freelancers are battling unprecedented levels of offshoring and substitution of creative labour with generative AI. In response to fellow Member Usha Chandradas' Parliamentary Question (PQ) on the growth prospects of the creative economy, the Ministry of Culture, Community and Youth replied, "There are many opportunities for creative practitioners, especially if they are able to capitalise on growing demands and trends, such as leveraging technology and working with regional and international partners to reach audiences beyond Singapore. Thus, the social value outcomes for the public sector agencies could be supporting Singaporean creative freelancers to build expertise and track record to pitch for higher value creative work in and outside of Singapore." Likewise, Government schools could uplift the prospects and capabilities of Singaporean freelance coaches and instructors delivering co-curricular activities (CCA) to students, if schools, too, embedded similar social value objective of hiring, upscaling and training local workforce in the procurement of CCA instruction. To ensure that enhancement of social values balanced against other priorities, such as achieving value for money and delivering the core contract deliverables, MOF could guide public sector agencies to engage with potential suppliers on how best to embed social value objectives into the contract delivery, including the tangible and measurable conditions of the contract to be monitored throughout contract delivery. Embedding social value in Government procurement can be a game changer to strengthen the employability of Singaporean freelancers who are less resource endowed. They need a supportive environment to acquire and sharpen their edge to compete in a fast-changing landscape. Thus, would the Minister consider strengthening the Government's positive impact by embedding social value objectives, such as supporting hiring of locals, upscaling and training into the Government procurement framework?
The Chairman188 words
[+11 sentences]The next Member is not present. Ms Mariam Jaafar. Ms Mariam Jaafar (Sembawang): Singapore's next bound of economic growth can come from strengthening our position as a global hub for startups and innovation. Government Ministries and agencies can support this by employing the services and products of startups and also benefit from their innovations. However, startups face a lot of challenges in securing Government business. Beyond hackathons, pilots and proof of concepts, the reasons are quite understandable. Startups need more hand-holding, because they are smaller and have less management depth. There is also always a question of the longevity of a startup as a supplier. Government procurement is often stacked against younger firms, such as by asking for long track records, or in new innovation areas, procurement officers or buying departments may not yet know enough to define the procurement parameters intelligently. This feels "lose-lose" for the startups and the Government. How can we improve this? What form of change management is the Government doing to upscale and change mindsets of Government Ministries and agencies on working with startups?[+1 sentence] How can we prepare startups to serve Government clients?
Ms Jessica Tan Soon Neo (East Coast)185 words
[+1 sentence]Mr Chairman, participating in Government tenders present both opportunities and challenges for our SMEs. Tender Lite was introduced by MOF and implemented in April 2024 to make it easier for companies, especially SMEs, to bid for Government contracts higher than $90,000 and not more than $1 million. To date, can more information be shared on how many Tender Lite contracts have been awarded to SMEs since the implementation?[+6 sentences] Projects involving emerging and advanced technology innovations are valuable opportunities for startups and smaller businesses with innovative solutions to participate in. However, these companies often face challenges in meeting the financial requirements for Government tenders and providing a proven track record. For such projects, will MOF consider measures to enable these companies to participate and in support of innovation? Cash flow is critical to SMEs in managing their operational expenses. Suppliers for Government contracts are able to submit invoices electronically to track and receive notifications on payment. Has this helped to ensure timely payment to suppliers? Can MOF provide an update on what percentage of payments are made on time to suppliers who participate in Government tenders?
The Chairman4 words
[+1 sentence]Minister Chee Hong Tat.
The Second Minister for Finance (Mr Chee Hong Tat)2555 words
[+13 sentences]Mr Chairman, I thank Members for their questions and suggestions. The points made cover three key themes. First, enhancing our pro-enterprise environment. I will cover how MOF agencies are simplifying rules for businesses. Senior Parliamentary Secretary Shawn Huang will address improving the experience of transacting with the Government and making government procurement more accessible. Second, ensuring responsible, effective and efficient use of our public resources. I will speak on this. Third, preparing for Singapore to meet intensifying, long-term challenges, particularly climate change and strengthening our social compact for a more caring and inclusive society. Minister Indranee will cover these. Mr Chairman, Mr Liang Eng Hwa asked what MOF agencies are doing to simplify rules for a more pro-business environment. Rules and regulations exist for several reasons, from safeguarding people, property and the environment, to ensuring good governance and accountability. The Government has to strike a balance between these important objectives and the need to encourage enterprise and innovation. Therefore, Singapore's approach has been to enact practical rules and review them regularly to streamline and remove outdated ones. The Inter-Ministerial Committee for Pro-Enterprise Rules Review, led by Deputy Prime Minister Gan Kim Yong, was formed in April 2024 to further enhance regulatory efficiency and reduce compliance costs for businesses.[+1 sentence] Let me share some examples of what MOF agencies are doing to support this important area of work. First, IRAS will extend the grace period for businesses to begin charging GST from one month to two months.[+2 sentences] Currently, businesses expecting to cross the one million taxable turnover threshold within the next 12 months must register for and start charging GST within a month of forecast. This timeline can be tight for some SMEs. The change will give SMEs more time to prepare. It will take effect from 1 July 2025 and benefit 1,500 businesses every year.[+23 sentences] Second, IRAS will progressively expand the requirement for intermediaries to pre-fill income information on behalf of self-employed persons (SEPs). About 87% of individual taxpayers today benefit from pre-filled income information by their employers and intermediaries for their income tax filing. However, many SEPs do not enjoy this convenience. The intermediaries that engage the services of SEPs already have the income information of the SEPs and are in a good position to provide this. It is more efficient for them to do so than to have the individual SEPs fill in the information in their respective tax returns. We started by requiring commission-paying intermediaries, such as real estate agencies and insurance providers, to submit income information for their agents and this has benefited over 100,000 self-employed commission agents. IRAS plans to bring more intermediaries on board. It has been encouraging and engaging private hire car and taxi operators, as well as the delivery platforms, and I urge these intermediaries to come on board as soon as possible. We have also been simplifying rules where we can. One example is the Fixed Expense Deduction Ratio (FEDR), which allows qualifying businesses the option of claiming their tax deductions for business expenses based on a prescribed percentage of their gross income earned. This is simpler and more convenient, compared to using actual allowable business expenses. The FEDR was first introduced in year of assessment 2019 for private hire car and taxi drivers and subsequently extended to commission agents and delivery workers, and the utilisation has been high, which shows that this is a good option for many of our workers. We will be consulting stakeholders on how the FEDR can be expanded to support more small businesses and self-employed persons. We are reducing and removing regulations where possible. IRAS will drop the requirement for second-hand goods' dealers to seek approval before using the GST gross margin scheme. The scheme allows second-hand goods' dealers to charge GST on the gross margin of the sale, rather than the full sale price. This is because GST is often priced into the base cost from earlier transactions. As most dealers are generally compliant with the scheme's requirements, IRAS will remove the need for them to obtain approval starting from 1 July this year. This will streamline the compliance process, particularly for new or smaller second-hand goods dealers. Sir, the Accounting and Corporate Regulatory Authority (ACRA) is also actively streamlining processes for companies. There is a requirement today for companies to disclose their directors' interest in shares or debentures in the director's statement. Over the years, ACRA has received an increasing number of requests from companies to be exempted from this requirement. In cases where all the company shareholders agree, ACRA will grant these exemption requests. ACRA has recently streamlined this process such that non-listed companies do not need to seek exemption, as long as consent from all shareholders is sought. This will reduce administrative burden and save companies $200 in application fees and we expect around 1,500 companies to benefit every year.[+12 sentences] Information of the company's shareholding will remain publicly accessible and this maintains corporate transparency. These are part of the ongoing efforts to improve our rules and processes and, in the interest of time, I am not able to share the full range, but this is an ongoing work and we will continue to engage businesses and also our frontline officers, our colleagues, solicit their ideas to jointly improve our regulatory landscape. This approach is also in line with the spirit of Forward Singapore (Forward SG). It reinforces in our agencies the importance of working with citizens and businesses while taking on board their feedback to continually improve our policies, rules and processes. Sir, our government spending over this term has delivered good outcomes for Singapore, as detailed in the biennial Singapore Public Sector Outcomes Review reports. We are continually looking at how we can transform and improve the way we operate. Mr Saktiandi Supaat asked about resource reviews and improving budget efficiency. Our budgeting framework is designed with efficiency in mind. We regularly review the block budgets for Ministries. MOF also applies controls to spending and manpower growth to drive agency transformation and yield savings, which are then returned to MOF for central reallocation towards emerging priorities. I agree with Mr Saktiandi that it is important to have strong collaboration and coordination across Ministries. MOF actively encourages coordinated service delivery where there are synergies. For example, we saved $2 billion and 44 hectares of land with the four-in-one East Coast Integrated Depot, which combines three Mass Rapid Transit (MRT) depots and one bus depot.[+2 sentences] The ServiceSG centres are another example. They offer residents one-stop access to about 600 government services from over 25 agencies. Citizen satisfaction across ServiceSG centres was consistently above 90% for the last three years.[+1 sentence] Resourcing levers can be used to drive transformation on a whole-of-Government basis. We use joint budgets for issues that straddle multiple agencies, to streamline efforts, check against resource duplication and enhance accountability for shared outcomes. We also created the whole-of-Government Public Service Transformation Budget in 2022.[+19 sentences] This provides agencies seed funding to pilot innovative and transformative ideas if the proposals involve interagency collaboration. I thank Mr Edward Chia for his suggestion on tracking the time taken from policy ideation to implementation. Sir, the timelines vary across projects, depending on factors, such as their complexity and the resources required. We will continue to deliver our projects in an efficient and cost-effective manner. We regularly review our internal processes to improve efficiencies. For instance, we shortened the Gateway evaluation for large development projects to speed up the approval process. Mr Liang highlighted the need to continually enhance effectiveness and governance. This is supported by programme evaluation, which helps us to understand whether a programme is achieving its objectives and whether improvements are needed. Sir, I want to be quite clear that these are processes that we have in place and these are efforts that we will continue to improve. But as Prime Minister always reminds us, it does not mean that today, we are perfect. There is still room for improvement and we will work hard to make those continuous improvements. This is something that we will continue to do. Mr Chairman, Mr Louis Chua asked about the concession for hotel and F&B establishments that impose a service charge to display GST-exclusive prices. This concession was granted in 1994, based on industry feedback that it would be costly and operationally challenging to maintain and display separate price lists for take-away items and dine-in items, as service charge would be imposed only on the latter. The concession is to help reduce business costs. But clarity for consumers is also important, and businesses that rely on this concession must display a prominent statement informing consumers that prices shown are subject to service charge and GST. This practice has now been in place for three decades, and we last reviewed it again in 2022. Sir, I do not think most consumers would be confused, as Mr Chua claimed. Conversely, removing the concession may lead to more confusion and also increase costs for businesses as they would now need to print multiple sets of menus and price lists. Ms He Ting Ru asked about the Progressive Wage Credit Scheme (PWCS).[+1 sentence] Sir, this is a scheme that we have put in place. It is currently due to cease in 2026.[+28 sentences] We will review closer to the date whether to continue or to stop bearing in mind the economic conditions at that time because we are in a more uncertain global environment. The PWCS is not a broad-based subsidy for all companies. To get PWCS, the employer has to pay their low-wage workers a wage increase. Then, they can qualify to get this co-funding from the Government. So, the purpose is for the Government to co-fund and to share some of the costs of helping our lower-wage workers to earn a higher income. Because we want employers to pay their lower-wage workers a higher salary, we share with the employers part of this cost of paying the lower-wage workers a higher salary. And this is an important part of our social compact, which I think Ms He will agree with. I do not think Ms He is suggesting that we should stop providing support for employers, especially our SMEs. I am quite confident she is not saying that. If I look at the other schemes that we have in place to improve productivity, which I also agree with Ms He is an important priority. So, this is not in lieu of those other schemes. In fact, this is something that we put in place specifically to help employers to be able to share some of the costs where they are paying their lower-wage workers a higher salary. But on productivity, we have many other schemes that we will continue to work through our trade associations and chambers, our industry associations with our companies, as well as with our Labour Movement, through the Company Training Committees, to be able to help companies to improve productivity. Because I agree with Ms He that for the wage increases to be sustainable, it must go together with productivity improvements. I just make an observation here that what Ms He is saying seems to be a little bit different from what Assoc Prof Jamus Lim said during the Budget debate. If I heard him correctly, he suggested that wage increases can happen with or without productivity improvements. But I do agree with Ms He's point that the two, over time, need to move in tandem. That is more sustainable. Mr Chairman, Mr Liang spoke about responsible management of our fiscal resources and reserves. Mr Saktiandi asked how the Government ensures fiscal prudence and responsibility. Sir, as Prime Minister has mentioned, our current fiscal position is healthy. We have spent within our means and planned ahead for structural spending needs, like rising healthcare expenditure and climate adaptation. This allows the Government to follow through on our commitments, without borrowing or using more of our reserves for immediate needs and recurrent spending. This fiscal discipline of maintaining a balanced Budget has worked well for Singapore and we must strive to sustain this. Our reserves, which have been carefully managed over generations, are another source of strength and national resilience, especially during a crisis. During the Global Financial Crisis and COVID-19 pandemic, our reserves protected Singaporeans and placed us in a better position than many other countries. We were able to use our reserves for public health, social and economic support measures that saved lives and livelihoods, and enabled Singapore to bounce back and emerge stronger. Our Past Reserves also generate a sustainable and steady stream of income that goes into our Budget every year. The Net Investment Returns Contribution (NIRC) now accounts for about a fifth of our annual government revenue.[+11 sentences] Mr Louis Chua spoke about the importance of transparency, accountability and governance of our investment entities. Sir, we have discussed and explained this many times. There are structures and processes in place to ensure that our investment entities, GIC and Temasek, are good stewards of our reserves for the benefit of all Singaporeans. On governance, the Government ensures that each entity has a competent Board in place to oversee its Management. The Government holds the Board accountable for instilling good corporate governance and achieving good long-term returns according to its mandate. At the same time, the Government does not direct or influence the investment decisions of our investment entities. This segregation of roles allows our investment entities to invest professionally with a long-term orientation. And that is why during the Prime Minister's Office's COS earlier on MAS, Mr Chua also acknowledged that it would not be a good idea for the Government to require GIC to invest part of its portfolio in the local equities market. On transparency, we have put out a lot of information on our reserves. Temasek's net portfolio value and MAS' official foreign reserves are public information. All our entities publish information on their portfolio returns. We have also published information on our reserves management framework and governance on the MOF website. It is only the size of GIC's assets under management that remains undisclosed, as this would reveal the size of our reserves.[+1 sentence] We have explained this many times. And just as our defence forces do not reveal the full extent of our military capabilities, it is not in Singapore's national interest to disclose the full size of our reserves.[+2 sentences] On performance, the Government does not look at one single parameter. Neither do we focus only on short-term performance. Instead, we assess our entities based on their mandates and performance over the long term and consider factors, such as diversification of portfolios and risk adjusted returns which measure investment returns relative to the risk taken.[+4 sentences] Our investment entities have performed creditably over the long term. Given the increase in market volatility in recent years, some variation from market indices is to be expected, and what is key is that our entities continue to navigate the uncertainty while maintaining a disciplined long-term approach to generating sustainable returns. Stewardship and accountability are key principles that we abide by in managing the reserves. We have benefited from the careful work of previous generations, and this Government believes that we must continue to maintain the same fiscal discipline and provide a strong financial foundation for both current and future generations of Singaporeans.
Mr Speaker3 words
[+1 sentence]Ms Indranee Rajah.
The Second Minister for Finance (Ms Indranee Rajah)145 words
[+3 sentences]Thank you, Mr Chairman. Before I do my reply, I just wish to seek a clarification from Mr Louis Chua so that I can respond to his cut properly. In his cut, as I understand it, he mentioned CDC Vouchers being applicable to all. And then, he went into a scheme where you would have benefits according to CHAS. But what I was not sure was whether he was calling for the CDC Voucher Scheme to be stopped completely, or whether he is saying that the CDC Voucher Scheme should be limited only to the low-income, because in the gist of the cut that he filed, he had said that rather than giving CDC Vouchers to all, we should return to the roots of CDC Vouchers, which was meant to support low-income families.[+1 sentence] So, I just was not sure of what Mr Chua's position was.
The Chairman3 words
[+1 sentence]Mr Louis Chua.
Mr Chua Kheng Wee Louis100 words
[+3 sentences]Chairman, just to respond to Minister's questions. Indeed, I also mentioned in the Budget speech I gave earlier that that was the evolution of the CDC Voucher Scheme. Originally, it was lower-, middle-income households. And then, we went and basically gave it to all households. So, what I am proposing here is to make use of what we already have, in terms of the CHAS card kind of requirements, such that the scheme from hereon evolves into one focused on where we started out – be focused on the lower-, middle-income households and those who qualify for these additional subsidies.
Ms Indranee Rajah49 words
Yes, Mr Chairman, that is what I am trying to ascertain. So, is Mr Chua saying, stop the CDC Vouchers and then move over completely to this new scheme?[+1 sentence] Or is Mr Chua saying, keep CDC Vouchers in its present form and then, in addition, have this new scheme.
Mr Chua Kheng Wee Louis81 words
[+2 sentences]Chairman. I think that that is an option which that the Ministry can consider. Whether or not we want to go back to the original CDC Vouchers; I am not sure how exactly did the original CDC Vouchers select the Singaporeans who are eligible.[+1 sentence] But the whole idea is that this is another option in which we can go back to that sort of system, whereby the so-called CDC Vouchers are given to those who are in the lower-, middle-income households.
Ms Indranee Rajah2605 words
[+4 sentences]Mr Chairman, I am not sure that exactly answered my question but that is alright. I will deal with it when I come to the reply. Mr Chairman, Mr Liang Eng Hwa asked what MOF agencies are doing to help prepare Singapore for climate change and environmental sustainability. Singapore is a low-lying island state. It is in our interest to support global efforts to deal with climate change. We have committed to a target of net zero emissions by 2050.[+2 sentences] This is not a light undertaking and requires a whole-of-nation effort. MOF is committed to doing our part. Last month, MOF published an occasional paper explaining how sustainability considerations are factored into various stages of the Government's budgeting cycle. This includes a commitment of over $10 billion in the decade leading up to FY2030 to support the Singapore Green Plan.[+3 sentences] We have developed new fiscal tools, like green bonds under the Significant Infrastructure Government Loan Act, to catalyse our green financing market and support our longer-term spending needs for environmental sustainability. MOF has also established the Singapore Green Bond Framework, the second edition of which was released last month. We are also incorporating sustainability considerations into government procurement. Environmental sustainability considerations are already incorporated into over 60% of government procurement by contract value.[+32 sentences] We aim to extend this to all government procurement by 2028, in a manner that keeps pace with industry readiness and international developments. Participating in green government procurement is an opportunity for our businesses to build the track record to meet demands of buyers, investors and consumers who are seeking greener goods and services. The Government will be introducing mandatory climate-related disclosures in a phased approach. To help companies ease into the new reporting requirements, they can tap the Sustainability Reporting Grant and the SME Sustainability Reporting Programme to kickstart their journey. ACRA is also taking steps to grow sustainability reporting and assurance capabilities in Singapore, and build a robust pipeline of professionals in this area. This will also create more good job opportunities for Singaporeans. Ms Foo Mee Har and Mr Louis Chua spoke about the need for a strong social compact. Indeed, Forward SG was an exercise in refreshing our social compact. The insights gained from the exercise have found their way into many of the measures in the Budget. In his Budget speech, Prime Minister spoke about how the Government is fostering a more caring and inclusive society, one where every Singaporean feels valued and supported. Inclusivity cannot be created through government policy interventions alone. It needs the collective effort of all of society. We will spur collective efforts in three ways. First, we will continue to encourage individuals and businesses to give back to society. We offer 250% tax deductions on qualifying donations made by individuals and corporates. Under the Corporate Volunteer Scheme, corporates can also receive 250% tax deductions on wages and qualifying expenses when employees volunteer, provide services, or are seconded to Institutions of Public Character. Ms Foo suggested going further to encourage corporate giving, taking inspiration from India's 2% mandatory corporate social responsibility spending law. We agree with the intent of Ms Foo's suggestion, which is to encourage corporates to contribute. However, we are doing so in a different way. Through tax incentives, we encourage and support corporate philanthropy and allow businesses to contribute based on their own corporate values and business models. Requiring profitable companies to contribute a certain percentage of profits to corporate social responsibility would take the decision and initiative out of the hands of corporates and be contrary to the spirit of philanthropy. We also provide donation-matching grant schemes, such as Tote Board's Enhanced Fund-Raising Programme (EFR), to amplify the impact of donations. During the pandemic, we raised matching support under the EFR from 20% to 100% to galvanise community giving. As the Prime Minister announced at Budget 2025, the Government and Tote Board will provide an extension of dollar-for-dollar matching for FY2025 in support of SG60. This enhanced support will gradually taper, reverting to pre-COVID-19 levels in FY2027. Through the EFR, SG Gives and other initiatives, the Government and Tote Board will set aside more than $600 million in matching funds to strengthen our spirit of giving. As we celebrate SG60, I hope Singaporeans will reflect on how far we have come together and donate generously. Second, the Tote Board will allocate resources to support collaborations amongst Singaporeans who use their time and talent to uplift the vulnerable. The Tote Board's Enabling Lives Initiative (ELI) Grant supports community partnerships that benefit persons with disabilities. Recently, a team of researchers, engineers, physiotherapists and social workers used the ELI grant to develop a device that translates minute finger movements into software controls. It enables persons with muscular dystrophy to use smart devices even in advanced stages of their condition. The product has tested well and the team is planning to scale up its deployment. To support more such partnerships, Tote Board has committed a further $23 million to the ELI Grant until FY2028.[+1 sentence] Third, we are strengthening impact measurement capabilities across the non-profit ecosystem to maximise the social impact of our grants. Tote Board will onboard all new projects onto its Impact Measurement Framework by the end of FY2025. Tote Board is also collaborating with the National Council of Social Service to set up a data hub to help the social sector move towards evidence-based interventions. The data hub will gather impact evaluation data and provide common standards that more than 500 social service agencies, funders and the Government can use to measure outcomes.[+37 sentences] These efforts will allow Tote Board, as a grant-maker, to optimise resource allocation and spur the social sector towards greater effectiveness. I come now to Mr Louis Chua's cut. It still was not quite clear to me whether he was saying to do away with the CDC Vouchers or not. In the original gist of the cut, he suggested that it should only be limited to the lower-income, but when I sought clarification, it was not quite clear. I will just take it at face value. First, many Singaporeans remain anxious about cost-of-living pressures. Such concerns and anxieties are not limited to lower-income households. Recognising this, the Government intentionally designed the CDC Vouchers Scheme as a broad-based measure to provide support and assurance for all Singaporean households. It initially started out as a small scheme for the lower-income, but recognising these cost pressures on all households, something which has been echoed in this Chamber by many Workers' Party speakers, the Government extended it to all households. This is not to say, however, that we do not have other schemes which are targeted. I note Mr Chua called to redesign a scheme, although it is not clear whether this is in addition to CDC Vouchers or not, to provide more targeted support for daily necessities. He referenced the Blue and Orange CHAS cards as a way of triaging or indicating who would be eligible. I see that Mr Chua has drawn inspiration from the CHAS Blue and Orange cardholders' scheme that NTUC FairPrice has launched and which takes effect, I think, in the first quarter of 2025. The National Trades Union Congress (NTUC) is doing that. But the fact of the matter is that the Government already has in place a comprehensive system of targeted support in which the lower-income receives much more. Under the enhanced Assurance Package and the permanent GST Voucher Scheme, households with less means can get more cash transfers as well as larger rebates for utilities, and service and conservancy charges. On top of these, the Prime Minister increased the rates for ComCare assistance schemes in this Budget to better support lower-income and vulnerable families with basic living expenses. We also recently enhanced Workfare and Silver Support to provide targeted structural support to vulnerable groups. These include lower-wage workers and seniors with low incomes in their working years who now have less savings in retirement. If one looks at the system of government subsidies and transfers as a whole, you will see that the Government has put in place a progressive system that provides more for those with less. The Prime Minister just showed earlier a chart in his round-up speech a couple of hours ago where, in short, everyone benefits from government spending, but the lower-income and the vulnerable receive more. I will now turn to the Leader of the Opposition Pritam Singh's cut. Mr Singh wanted to know why there is no information available to the public about land prices for HDB flats, similar to the 118-zone Land Betterment Charge (LBC) Table of Rates, and how the Chief Valuer (CV) assesses the value of land purchased by HDB to build flats. Mr Chairman, there are two parts to his cut: first, the comparison to the LBC Table of Rates; and second, how the CV assesses the value of the land. I will deal with each in turn. First, the comparison to the LBC Table of Rates (LBC TOR) is misconceived. The general principle is that rates or valuations are made known to parties who would have to pay the fee or price. The LBC is a tax payable on the enhancement in land value arising from modifications landowners make to their land. Any landowner can make this request to modify their land, such as to intensify the use of the land, and this is subject to approval by the Urban Redevelopment Authority or Singapore Land Authority. Following this approval, they would have to pay the LBC. There are several hundred LBC transactions in any given year. For ease of tax administration, we have a Table of Rates (TOR) instead of valuing each transaction individually. This TOR is made public so that the parties who need to make payment know how much they have to pay. However, the CV could also do a site-specific, or what we call a spot, valuation of the land value enhancement for each case. This happens if the landowner opts for it for precision or if the LBC TOR is not applicable, such as when the current or proposed new use do not fall within a comparable use group within the LBC TOR. For this spot valuation, the CV would use established valuation methodologies consistent with how she values any state land for sale. In this instance, the spot valuation outcome is made known to the requesting party as the potential paying party but not to the general public at large. The valuations for state land purchased by HDB are all spot valuations because there is only one buyer – the HDB.[+12 sentences] The valuation outcome is made known to HDB as the paying party. It is not necessary to put out a public table of rates like the LBC TOR as there are no other buyers for these sites. In all three instances, whether it is the LBC TOR, the spot valuations for landowners or HDB, the CV uses established valuation methodologies. Let me now deal with the second part on the valuation of land sold to the HDB. Mr Singh asked how the CV discounts the land sold to the HDB. Again, this question is misconceived. There is no discount. HDB pays fair market value for state land. The fair market value is determined by the CV using established valuation principles. This approach would be no different from that of other professional valuers. The normal approach is to reference comparable transactions. Private housing transactions would not be a suitable reference as public housing has restrictions, such as more stringent eligibility criteria. Hence, for public housing land, the methodology takes into consideration relevant resale flat transactions and site-specific attributes. So, for the reasons I have just explained, the fair market value of land sold for public housing will typically be lower than the fair market value of the same land if it were to be sold to a private developer for private housing.[+21 sentences] This is not a discount. It is the fair market value of land intended for the purposes of public housing. One must not confuse the two concepts. Sir, our approach of paying fair market value for land, including land sold to the HDB, helps maintain our reserves for the benefit of all Singaporeans. By putting the fair market value of land into the reserves, we preserve the value of our reserves. The financial proceeds of the sale are invested to grow them for the benefit of Singaporeans. Fifty percent of the investment returns on our reserves supplement the annual Budget through the NIRC. This careful approach of managing our reserves strikes a balance between the needs of current and future generations of Singaporeans. Mr Singh also made a reference to BTO flats. He said, "What we do know is that the land price for BTO flats take reference from resale HDB prices. With the increase in resale flat prices for 2024, there is inevitably a serious concern about whether land for HDB BTO flats is priced sustainably or if growing subsidies are going to be needed in the future." So, that is the question of the price of the BTO unit, not the price of the land that HDB purchased. That is a separate concept. We have actually answered this many times before, but let me just do a very quick summary. The issue of land costs should not be conflated with BTO affordability. The land cost is the amount paid by HDB for the land. That is different from the flat price, which is what the BTO flat buyer pays HDB for the unit. BTO flat pricing is based on affordability, not cost. And we have explained this many times before. HDB first establishes the market value of the flats by considering the prevailing market conditions, the prices of comparable resale flats nearby and the individual attributes of the flats. It then applies a subsidy to ensure that BTO flats are affordable for Singaporeans across different income levels. On top of this, HDB provides housing grants to support eligible first-time buyers, with lower-income buyers receiving more support of up to $120,000.[+5 sentences] The pricing of BTO flats is therefore not based on the land cost of the flats. We do not pass land cost through to the BTO buyer. Our approach has paid off. We have one of the highest home ownership rates in the world, with 90% of households owning their own homes. Our BTO system plays an integral part in keeping public housing affordable for Singaporeans. By pricing BTO flats based on affordability, more than eight in 10 first-timer families who collected keys for their BTO flat last year had a mortgage servicing ratio of 25% or lower.[+6 sentences] This means they were able to service their monthly mortgage repayments with their monthly CPF contributions, with little to no cash outlay. This has remained stable in the past few years. We have also taken steps to ensure that BTO flats remain affordable and accessible to Singaporeans. HDB will provide additional subsidies to those buying Plus and Prime flats on top of the significant market discounts that already apply to all BTO flats. And to ensure fairness, we impose tighter restrictions and a subsidy recovery rate commensurate with the extent of additional subsidies. Over the past five years, we have ramped up our BTO supply significantly to meet Singaporeans' demand for housing. HDB is on track to exceed its commitment to launch 100,000 new flats from 2021 to 2025.[+3 sentences] Mr Chairman, these figures speak for themselves. Our approach ensures that BTO flats remain affordable and accessible to Singaporeans. We will continue to keep it that way.
The Senior Parliamentary Secretary to the Minister for Finance (Mr Shawn Huang Wei Zhong)1602 words
[+30 sentences]Mr Chairman, I will address Members' questions and suggestions on government procurement and how we can improve the experience of transacting with the Government. First, on procurement. Let me start by articulating our key procurement principles. Our procurement rules are designed to uphold open and fair competition, achieve value for money and manage project risks. But we need to take care that these do not result in heavy compliance costs for our businesses. Improving access to government procurement is a win-win for Government and businesses. The Government benefits from the competition fostered by a wider supplier pool, while more businesses can leverage government contracts to build track records. Ms Jean See asked the Government to consider using Government procurement to strengthen the employability of our freelance creatives. We understand the challenges of keeping up with technological trends and evolving demands, in particular, for freelancers who do not benefit from training typically provided by employers to employees. When assessing value for money in procurement, the Government looks for optimal balance between benefits and costs. Benefits can include the achievement of economic, social and environmental objectives. We do take into consideration important social objectives. For example, we require our suppliers to comply with the Progressive Wage Model, where applicable. However, government procurement requirements must also be non-discriminatory and fair to all businesses, in line with our international trade obligations. Ms Jean See's objectives to strengthen the employability of freelancers is important and it can be addressed through resources and programmes the Government has put in place. These include the substantial support that we provide to all Singaporeans for their training needs, such as the SkillsFuture Career Transition Programme and SkillsFuture Level-Up Programme, which the Prime Minister covered in his Budget Speech. Workforce Singapore (WSG) and SkillsFuture Singapore (SSG) also provide a range of resources to help individuals with their training decisions. For example, SkillsFuture Jobs-Skills Insights publications are useful references for individuals, including freelancers, seeking to reskill or upskill. Creatives in the arts sector can also look to the National Arts Council's (NAC's) Capability Development Grant. This grant can support up to 90% of the training activity or programme costs for SEPs. NAC's Art Resource Hub also provides resources, spaces and networking opportunities for SEPs in the arts sector. These include mentorships and career guidance to help SEPs in their professional career development as well as resources that can help SEPs with relevant business and legal knowledge. In support of entrepreneurial efforts, we will continue to make government procurement opportunities more accessible to our businesses, including small businesses. This year, MOF will introduce two additional initiatives. First, we will expand Tender Lite, an initiative first rolled out in April 2024 to streamline procurement conditions. Second, we will make it easier for businesses participating in tenders that require innovative solutions, to progress from pilot to deployment at scale. We will introduce a new initiative, Innovative Procurement Partnership. Let me touch on each in turn. Mr Liang Eng Hwa, Ms Jessica Tan and Mr Edward Chia talked about making it easier for smaller businesses to access government procurement opportunities. Ms Tan asked for an update on Tender Lite's effectiveness and whether the Government would consider expanding Tender Lite to other sectors. Tender Lite has simplified the procurement of general goods and services, and covers tenders up to $1 million. As of 1 January 2025, more than 700 Tender Lite opportunities have been published on GeBIZ. Of these, more than 400 have been awarded.[+6 sentences] About 85% were awarded to SMEs. Tender Lite has been well received. About 90% of businesses who responded to our survey provided feedback that the simpler conditions of contract in Tender Lite made participation in government tenders easier. MOF has been working closely with industry stakeholders. These include the Singapore Business Federation (SBF), the Association of Small and Medium Enterprises (ASME) and sector-specific Trade Associations to further develop Tender Lite. We will be expanding Tender Lite to construction and information and communications technology (ICT) contracts, which will benefit businesses in these sectors. Tender Lite for construction contracts will be launched in May 2025.[+18 sentences] It will benefit construction businesses. First, by reducing administrative processes. We will be simplifying the conditions for closing of accounts or conclusion of projects. Second, we will share risks with businesses. We will cap the liquidated damages at 10% of contract value and remove the need for security deposits. We will also remove or shorten the Defects Liability Period where possible. These changes will help to ease contractors' cashflow. Tender Lite for ICT contracts will be implemented in phases from the second half of this year. Consultations with industry are ongoing and details will be published in due course. Next, let me touch on the new Innovative Procurement Partnership. Mr Liang, Ms Tan, Mr Chia and Ms Mariam Jaafar asked if the Government could make it easier for startups and businesses with innovative solutions. They highlighted that heavy administrative burdens and the expectations of having a track record might hamper their access to government procurement opportunities. Today, many agencies require businesses to demonstrate track record and financial capacity so that only businesses able to deliver the projects are selected. This helps to ensure reliability, especially for goods, services and infrastructure used by the public. This consideration remains relevant. But it can be challenging if the proposed solution is new to the market, especially a new technology or product, and more so if the business is a startup. Further, the pilot phase and the deployment phase are typically structured as separate tenders today. A business that wins the tender for the pilot phase has no certainty that it will get to deploy its solution at scale with the Government, even if the pilot was successful. To address these concerns, MOF will introduce the Innovative Procurement Partnership. This initiative will enable the Government to award contracts covering both pilot and subsequent deployment of innovative solutions which are new to the market.[+8 sentences] This means that businesses can be assured of the opportunity to scale up its innovative product or service, if the pilot is successful. More details will be provided in the second half of this year. Last year, we said that the Government would improve the promptness of payments to vendors. Mr Liang asked what measures the Government is taking. We have worked with SBF and ASME to survey businesses to better understand the current process gaps. Feedback from businesses surveyed was generally positive. Today, almost all the invoices billed to Government agencies adopt 30 days or shorter credit terms. We remain committed to keep prompt payment rates above 95%. To Ms Jessica Tan's question, in FY2023, 98% of invoices were paid within their credit terms.[+22 sentences] Furthermore, MOF will provide Government agencies with guidelines to address businesses' suggestions that include having more payment milestones and clarifying administrative processes. The issue of prompt payment is one that extends beyond government procurement. Businesses should also pay other businesses promptly. SBF is setting up a workgroup to review the development of a Code for transactions between businesses and we welcome this initiative. Mr Liang and Mr Chia asked what MOF agencies are doing to improve the experience of transacting with Government. This has been a continuous endeavour for MOF agencies. Today, it is relatively easy to file taxes with IRAS and apply for customs permits with Customs, following many years of system enhancements. But improvements can always be made, and we will continue to make them. Since November 2024, IRAS has expedited tax clearance for employers filing on behalf of non-citizen employees who cease employment in Singapore. Previously, employers would typically need to wait two to three days to receive IRAS' Directive to pay tax and release monies to the employee. IRAS now issues the Directive on the same day for straightforward cases, which make up 70% of filings. This will apply to about 180,000 filings a year. Customs has been exploring the use of AI to address a pain point for traders today – finding the right product codes and licenses applicable to their products. There are over 21,000 product codes. There is a search engine today, but it requires traders to use specific technical search terms to retrieve the correct codes. Customs has been working with the Ministry of Trade and Industry, the Government Technology Agency and the Public Service Division to develop a new search engine using AI. It will allow traders to search for the right product codes using layman descriptions and it will also make recommendations on the required licenses for controlled goods, as a further value-add. The new search engine will be more user-friendly and help traders navigate the regulatory landscape more efficiently. The new search engine will be soft launched later this year. Following the soft launch, agencies will gather public feedback and make necessary refinements to the search engine. From next month, Customs will also progressively implement new data analytics tools to better service public enquiries. This tool will allow Customs to leverage real-time data insights to identify patterns in enquiries raised on customs procedures. This will help them provide more up-to-date and swifter responses. We expect the average turnaround time for enquiries to reduce by about 30%.[+2 sentences] Mr Chairman, my colleagues and I have laid out what MOF will do to: (a) enhance our pro-enterprise environment and make Government a better partner to businesses; (b) ensure responsible and effective governance of our public resources today and tomorrow; and (c) prepare Singapore for long-term challenges on the climate and to strengthen our social compact. Let us continue to work together to keep Singapore forward-looking, united and confident.
The Chairman:8 words
[+2 sentences]Are there any clarifications? Yes, Mr Pritam Singh.
Mr Pritam Singh54 words
[+4 sentences]Thank you, Chair. My question is directed to Minister Indranee vis-a-vis my cut. If I heard the Minister correctly, the Minister said, land for HDB developments is typically priced lower than that for private housing. Can I confirm how is the differential then determined by the CV between private housing and land for HDB?
Ms Indranee Rajah225 words
Mr Chairman, I think what I said was that the fair market value for land intended for public housing is typically lower than the fair market value of land for private housing, because by its nature, public housing has restrictions.[+13 sentences] So, I think, what Mr Singh is asking is "what is the methodology or the workings of the CV?" I am not privy to the workings of the CV. What I can say is the principles that she applies, which is the principles that I had elucidated earlier. I mean, it is just like when you have an MRT track. If you ask the engineer to design the rail track or you ask an architect to build something, you do not go and ask them for all of their internal drawings and so on. You look at the final outcome. The CV is a professional. The CV applies valuation principles. Valuation, as everybody knows, is part science, part art. You need some experience, you need to make relevant adjustments. And this is the same whether it is the CV or whether it is valuers in the private sector. So, in short, what I have explained is the principles that she would apply and from site to site, it may differ, depending on locational attributes and particular characteristics of the site. The Chairman: Ms Jean See.
Ms See Jinli Jean167 words
[+4 sentences]Mr Chairman, this is just a comment. I thank the Senior Parliamentary Secretary for his response. I appreciate that the Government provides a lot of support for training. Nonetheless, Government is actually a very big buyer of creator services. My point is that without local opportunities for our freelancers to go through upgrading to apply this new knowledge and skills, they will actually be disadvantaged. So, my request to the Government is to consider whether we could look at the sandbox arrangement where government-commissioned creative projects can provide a platform for our local creative freelancers who have gone through the upskilling, to be hired and to build their portfolios.[+2 sentences] This is very much like career trials, where we give people opportunities to practise and then, of course, to build their portfolios so that they can move on to bigger opportunities. In fact, our NTUC's Visual, Audio, Creative Content Professionals Association, we actually stand ready to support the Government if there is interest to do something like that.
Mr Shawn Huang Wei Zhong13 words
[+2 sentences]I thank Ms Jean See for her suggestion. We will look into it.
The Chairman4 words
[+1 sentence]Ms He Ting Ru.
Ms He Ting Ru223 words
[+5 sentences]Sir, I have two clarifications for Minister Chee. I wish to clarify with the Minister that I did not make a general statement about productivity and wages in my cut. But when I mentioned productivity, that was specific to my seeking clarification from the Minister about whether there has been any analysis done about what effects the programme has had on employers investing in productivity improvements beyond skills upgrading. There was no contradiction with my colleague's Budget intervention on this, as he said that wages need to catch up with productivity gains that have already occurred. On this point, can the Minister share if this analysis has been done? My second clarification is a point I also made in my cut. I note the Minister had said that a decision will be made in due course and closer to the time about whether to extend the PWCS beyond 2026. [restates an earlier point]As mentioned in my cut, can the Minister share with us what are the metrics used to determine whether or not to exit the programme?[+1 sentence] My concern here is that the uncertainty about whether the scheme will be extended will make businesses currently on the scheme more cautious and less keen to take action to either invest in or increase wages now and will delay any such decisions until they hear the next announcement.
Mr Chee Hong Tat469 words
[+4 sentences]Mr Chairman, I think the Prime Minister had already explained in his round-up speech about how productivity and wages, over time, do move in tandem. And on that point, the Prime Minister had already explained very thoroughly and I would not repeat. But I just wanted to go back to my response to Ms He earlier that we do not disagree that we need to look at how to improve productivity of firms. And that is why we do have many schemes in place to help our companies, whether is it SMEs or larger companies, or as Mr Neil Parekh suggested, how do we encourage more SMEs to work closely with the larger companies, whether it is a large local enterprise or a multinational enterprise. And these are all different ways in which we will continue to work on with our tripartite partners to look at how we can improve productivity. But specifically, on the PWCS, this is something that is aimed at helping employers when they increase the salaries of their low-wage workers.[+5 sentences] So, it is not a broad-based subsidy, as I explained earlier. But it is for the Government to co-share some of the cost increases that employers would otherwise have to face when they are trying to help their low-wage workers to earn a higher salary. I hope this is in line with what Ms He said. I said earlier in my main reply to her that I am sure she is not suggesting that we should not support SMEs. I would like to seek a clarification from Ms He that she will support that objective, that we do want to support our employers, we do want to support our companies, especially our SMEs, when they are trying to do what is good for our low-wage workers to strengthen our social compact. Mr Chairman, on the decision to extend or not to extend the PWCS, we will make that decision closer to 2026 when this scheme is due to cease.[+4 sentences] It is difficult to say we will end it if the following boxes are checked because we have to look at the situation at that time. There are a lot of uncertainties in our operating environment globally and the challenges that our companies will face; it is something which we do need to consult with our tripartite partners before making that decision. But I also do not fully agree, Mr Chairman, with Ms He's framing that just because we are providing this support for our SMEs, to help them to co-fund, not fully fund, but to co-fund some of the cost increases for low-wage workers earning a higher income, that they will then not want to improve productivity. I do not think that is the way the businesses would respond to the various schemes and incentives.
The Chairman3 words
[+1 sentence]Mr Louis Chua.
Mr Chua Kheng Wee Louis245 words
[+13 sentences]Chairman, just two clarifications. The first is for Minister Chee. I think he prepared some comments with regard to the disclosure of the size of the reserve and assets under management. But in my speech, I specifically mentioned that actually, that was not what I was talking about. It is more about the performance figures where you have Temasek disclosing annual figures and MAS disclosing annual figures. Why is it that GIC cannot do so? Second, specific to Minister Indranee's point about the CDC Vouchers, I take her point that, yes, the cost of living hits everyone. But the point that I was trying to make is that it does not hit everyone the same, which is why, if you look at the $800 worth of vouchers, to a lower-income household versus a high-income household, it is a very different percentage of their expenditure. That is why in my gist and also in my main Budget speech yesterday, what I was saying is that we need to have a more targeted approach. An example which I have given in delivering the cut was to maybe leverage on the CHAS card scheme, because you already have the Blue CHAS card holders, Orange and Green. The different income groups, is quite nicely partitioned that way. So, that is something that we can leverage on. The question then is, would the Minister not agree that this is more in line with how the Government generally directs assistance packages?
Mr Chee Hong Tat86 words
Mr Chairman, first, I want to just reiterate what I said in my main reply earlier. [restates an earlier point]I said all our entities publish information on their portfolio returns. So, this would include Temasek, MAS and GIC. And then, I also explained that it is only the size of GIC's assets under management that remains undisclosed, because that would then reveal the size of our reserves, and I note that Mr Chua does not disagree with me on that.[+1 sentence] This is just to respond to Mr Chua's question.
Ms Indranee Rajah407 words
[+6 sentences]Mr Chairman, I thank Mr Chua for his clarification. There is perhaps not that much difference really in what we are looking at. Mr Chua's point is that different people have different incomes, so you should give more to those who have less. I think that is the point, and that has consistently been the Government's position. I do not understand Mr Chua to be saying, do not give the others anything, right? So, that too, is common ground, because Mr Chua is not saying, "do not give the middle-income" and "do not give the higher-income". At least, I understand that to be the case. So, if those are the two positions, then, when you look at it, that is what we are doing, because for the targeted assistance which we do have, you have the entire Assurance Package and you have GST Vouchers. So, the GST Vouchers, the lower-income households get more and the seniors get more; the middle-income will get, but not as much.[+11 sentences] Then, we give retirees Silver Support over and above right. And then, even for the U-Save utilities, the rental flats get more. So, you can see that we have a slew of programmes which are targeted. But at the same time, everybody is feeling the pain of cost of living. PAP Members have spoken about it. Mr Dennis Tan spoke about it in the Cost-of-living Motion. He highlighted the middle-income. Yesterday, Mr Faisal Manap talked about the middle-income. Today, in clarification, the Leader of the Opposition also highlighted middle-income. And even the higher-income is saying they feel that things are more expensive. So, it is necessary to also have something for everyone, because we empathise with how they feel. And therefore, you will have some things which are broad-based, like the CDC Vouchers.[+1 sentence] Essentially, we want to have both. That said, the suggestion of using CHAS is fair enough, because, as I think Mr Chua knows, when the CDC Vouchers were originally introduced, they were pegged to CHAS as a means of targeting those who had less.[+3 sentences] But because the pain on the ground at that time was quite a lot, we wanted to help everybody and hence, CDC Vouchers were made universal. But that does not take away from the fact that we have targeted schemes. And it also does not preclude the fact that perhaps for CHAS, we can also leverage that to see how we can triangulate better.
The Chairman7 words
[+1 sentence]Ms He, you can ask your clarification.
Ms He Ting Ru49 words
[+3 sentences]Sir, just a quick clarification in response to Minister Chee. It is not to say that I do not support businesses. It is just that the concerns that I raised in my cut were systemic to the long-term effects for what was initially meant to be a temporary scheme.
Mr Chee Hong Tat124 words
[+2 sentences]Mr Chairman, I thank Ms He for her clarification. I think we are on the same page. The Government also believes that because we are asking businesses to support increasing the wages of their low-wage workers and to hire low-wage workers and increase their pay, and that this is an important part of our social compact, that it is correct for us to co-fund some of the cost increases.[+2 sentences] The approach that we want to take, whether on this scheme or on many other schemes, is that when we want to do something that will be good for Singapore and Singaporeans, we want to do it together with our stakeholders. And this is also in line, I think, with the spirit of Forward SG.
The Chairman21 words
[+2 sentences]I believe all the clarifications have been raised and answered. Mr Liang Eng Hwa, would you like to withdraw the amendment.
Mr Liang Eng Hwa106 words
[+3 sentences]Sir, allow me to thank Minister Chee, Minister Indranee Rajah and Senior Parliamentary Secretary Shawn Huang for their responses to our cuts. And also, I want to thank Prime Minister Wong and the best-in-class MOF team for yet another impactful Budget that stands us in good stead to move Singapore forward. With that, I seek leave to withdraw my amendment.
[+1 sentence]Chairman, may I seek your consent to move that progress be reported now and leave be asked to sit again on Monday, 3 March 2025?
The Chairman49 words
[+2 sentences]I give my consent. . (proc text)]
Mr Speaker5 words
[+1 sentence]Senior Minister of State Zaqy.
Mr Zaqy Mohamad36 words
[+1 sentence]Mr Speaker, Sir, I seek to report that the Committee of Supply has made progress on the Estimates of Expenditure for the financial year 2025/2026 and ask leave to sit again on Monday, 3 March 2025.
Mr Speaker5 words
[+2 sentences]So be it. Deputy Leader.
Adjournment›Motions1 turns · 24w
· 0 highlighted
motion-2579
Speaker not recorded24 words
[+2 sentences]. (proc text)] Adjourned accordingly at 7.15 pm.
Rise in Use of "Buy Now, Pay Later" Schemes among Young Consumers and Its Impact on Risk of Over-spending and Credit Assessments›Oral Answers to Questions5 turns · 817w
· 10 highlighted
oral-answer-3810
Mr Yip Hon Weng86 words
[+1 sentence]asked the Prime Minister and Minister for Finance with regard to the rising use of Buy Now, Pay Later (BNPL) schemes among young consumers (a) what regulations govern BNPL schemes to address the potential risks associated with easy access to large purchases; (b) how is appropriate credit assessment of young users ensured before approving their use of such platforms; (c) whether their outstanding BNPL payments are factored into total debt servicing ratio calculations; and (d) how are youths educated on responsible BNPL usage and financial prudence.
The Minister of State for Culture, Community and Youth and Trade and Industry (Mr Alvin Tan) (for the Prime Minister and Minister for Finance)345 words
[+1 sentence]Sir, "Buy Now, Pay Later" (BNPL) transactions remain small, compared to other means of consumer payment, accounting for about 1% of the value of total credit card and debit card payments in the first half of 2024. While the Monetary Authority of Singapore (MAS) does not currently regulate BNPL firms, those operating in Singapore have committed to the BNPL Code of Conduct that was developed under MAS' guidance to mitigate the risk of debt accumulation and to protect the user interests.[+1 sentence] MAS provided details on the safeguards in the BNPL Code in our past replies to Parliamentary Questions in November 2022 and more recently, in February this year. Under the BNPL Code, accredited firms can only offer BNPL services to customers aged 18 years and above, and are not allowed to extend more than $2,000 in credit to a customer unless they conduct an additional credit assessment. The credit assessment includes conducting income checks and credit checks against the BNPL credit bureau, which includes information on BNPL users' outstanding balances, missed payments and delinquencies amongst accredited firms. The Total Debt Servicing Ratio (TDSR) includes monthly debt obligations from all credit facilities granted by financial institutions regulated by MAS.[+1 sentence] These account for 98% of all credit granted to Singapore households by commercial entities. MAS does not require financial institutions to include outstanding BNPL amounts when computing the TDSR requirements, recognising that BNPL outstanding amounts tend to be relatively small with safeguards to prevent snowballing.[+4 sentences] MoneySense, our national financial education programme, shares content on the importance of money management and financial budgeting on its website and social media channels. These include advising consumers to beware of spending beyond their means while using BNPL schemes and other instalment plans. The national school curriculum from primary up to the tertiary level has incorporated key financial concepts, such as the effects of compound interest and the responsible use of credit. The efforts are complemented by talks and exhibitions organised for youths by MoneySense. MAS continues to monitor developments in the BNPL sector and will review its regulatory framework as appropriate.
Mr Speaker2 words
[+1 sentence]Mr Yip.
Mr Yip Hon Weng (Yio Chu Kang)75 words
[+4 sentences]Thank you, Mr Speaker. I thank the Minister of State for his response. I understand it is only 1% but considering the take-up of such services, and I am more concerned about youths and young adults, and the growing popularity of BNPL schemes, does MAS foresee the necessity for stricter regulatory frameworks beyond the existing Code of Conduct? And what proactive steps are being considered to adapt to potential future challenges posed by BNPL schemes?
Mr Alvin Tan309 words
[+7 sentences]Sir, I thank Mr Yip for his supplementary questions. I think we need to look at it in three parts. First, the responsibility of the regulator, in this case MAS, the responsibility of the industry and the responsibility of the individual borrower. On MAS' part, as the regulator, as I mentioned, MAS has provided guidance on the development of the BNPL Code. It has also worked with MoneySense, the financial education programme, to encourage users to spend within their means. MAS will continue to monitor the BNPL sector and its development, and review the regulatory framework, as appropriate. On the industry's part, the code has already been in place since 2023. [restates an earlier point]I have mentioned that in previous Parliamentary replies, but I also wanted to highlight that there is also a BNPL credit bureau which shares information on customers' outstanding amounts and delinquency status. I also wanted to let the Member know that all four BNPL firms are now accredited to the BNPL Code and they must ensure customers that fail to pay on time are not able to use their BNPL services to make additional purchases.[+4 sentences] That is what the regulator can do. That is what industry can do. I think it is also important that borrowers and individuals also bear responsibility for their own individual purchases. There is a good CNA article about the BNPL issue and it spoke about the different purchases, particularly made by youths and young people in spending what they want and what they need. One big takeaway was this - many of the youths there who had BNPL purchases spoke of cost of living, but they also mentioned their choices of living in terms of expenditure and also living beyond their means. So, in short: regulator must play their part; industry must play their part; but so too borrowers must play their part.
Subsidies for School Bus Attendants for Phone and Mobile Data Plan Purchases if Their Work Requires Use of Apps›Oral Answers to Questions3 turns · 187w
· 2 highlighted
oral-answer-3811
Speaker not recorded89 words
[+1 sentence]The following question stood in the name of Dr Tan Wu Meng – 2 To ask the Minister for Education (a) whether the Ministry has received reports about school bus attendants being required to install and use mobile apps for their duties, such as a school transport app, and not having been reimbursed for (i) mobile phone purchases or (ii) mobile data used for such duties; (b) if so, how many reports have been received; and (c) whether the Ministry will consider providing support to affected school bus attendants.
Ms Jessica Tan Soon Neo (East Coast)3 words
[+1 sentence]Question No 2.
The Senior Parliamentary Secretary to the Minister for Education (Mr Shawn Huang Wei Zhong) (for the Minister for Education)95 words
[+1 sentence]Mr Speaker, no school bus attendant has been required by the Ministry of Education (MOE) to install and use mobile applications for their duties. As part of its efforts to improve work efficiencies and support the school bus sector, MOE had invited willing school bus drivers and attendants to trial a mobile web-based application to take attendance of the students taking their school buses. This trial is voluntary as we understand that school bus operators may have their preferred means to take attendance or would have other considerations such as cost of purchasing mobile phones.
Encouraging SMEs to Protect Their Intellectual Property Business Interests›Oral Answers to Questions2 turns · 372w
· 5 highlighted
oral-answer-3812
Mr Neil Parekh Nimil Rajnikant73 words
[+1 sentence]asked the Deputy Prime Minister and Minister for Trade and Industry (a) what steps has the Government taken to encourage small and medium enterprises (SMEs) to protect their intellectual property (IP) business interests for the Singapore and global markets; (b) what issues have the SMEs faced in their efforts to protect their IP business interests; and (c) what roles can trade associations and chambers of commerce play in assisting SMEs in this area.
The Senior Minister of State for Trade and Industry (Ms Low Yen Ling) (for the Deputy Prime Minister and Minister for Trade and Industry)299 words
[+1 sentence]Mr Speaker, the Singapore IP Strategy 2030 (SIPS 2030) was launched by the Ministry of Law, Ministry of Finance and Ministry of Trade and Industry in 2021 to grow Singapore as a global hub for Intangible Assets and Intellectual Property (IA/IP) activities and transactions, as well as to maintain Singapore's highly regarded IA/IP regime. As part of SIPS 2030, the Government launched the GoBusiness IP Grow platform in 2023 to better support the enterprises' IP needs and to help them grow and expand globally.[+2 sentences] The platform connects enterprises with third-party IP service providers for assistance in areas like IP search and registration. Enterprises can also get help from IP Business Clinics through the platform. First-timers can receive a complimentary 45-minute consultation session with participating service providers to receive advice on IP strategy and matters concerning expanding into overseas markets. To help enterprises leverage IP to drive business growth, the Government has set up more than 15 enterprise touchpoints island-wide at Startup Accelerators and Incubators, as well as SME Centres that are run by trade associations and chambers (TACs).[+2 sentences] The Intellectual Property Office of Singapore (IPOS) works with these touchpoints to support the IP needs of our SMEs. IPOS help enterprises with their IP needs and supports the TACs by training their SME Centre Business Advisors on IP-related topics and by integrating IP support into the TACs' programmes. To address companies' feedback on the costs of IP protection, Enterprise Singapore's Enterprise Development Grant offsets the IP fees that the companies incur when developing innovative and new products, and the Market Readiness Assistance Grant covers IP registration costs in overseas markets. The Government will continue to support our SMEs in leveraging IP for growth locally and internationally and to strengthen Singapore's position as a Global-Asia node for technology, innovation and enterprise.
Percentage of Financial Crime Cases with Confiscated Assets Returned to Victims and Forfeited by Government›Oral Answers to Questions5 turns · 1,016w
· 8 highlighted
oral-answer-3813
Mr Gerald Giam Yean Song74 words
asked the Minister for Home Affairs (a) what percentage of financial crime cases that involve confiscated assets result in full or partial restitution to victims; (b) what proportion of seized scam proceeds in the past five years have been forfeited to the state rather than returned to victims; and (c) what measures are in place to ensure that all reasonably identifiable scam victims receive restitution before funds are transferred to the Government's consolidated fund.
The Minister of State for Home Affairs (Ms Sun Xueling) (for the Minister for Home Affairs)223 words
When investigating financial crime cases, the Police would freeze bank accounts and seize any assets suspected to be proceeds of crime or which constitute evidence.[+3 sentences] The Police do their best to ascertain the ownership of the seized property by examining bank transaction records. The seized property may often be needed for continuing investigations or subsequent court proceedings. If they are not so needed, the Police would apply to the Court for the property to be returned to the rightful owners. Where the persons entitled to the seized property cannot be ascertained or found, the Police would publish a notice in the Government Gazette to request for persons to establish their claim to the property within six months. The seized property would only be forfeited to the state if no one establishes a claim after the six-month notice period. It is operationally challenging to apportion and thus track the amount of scam proceeds returned to victims or forfeited to the state.[+3 sentences] This is because seized proceeds could be co-mingled with other non-scam-related activities, such as cases involving unlicensed moneylending proceeds. Seized proceeds may also not be directly correlated to crime committed in that same year. It would also be resource-intensive, given the high volume of scam cases. The Ministry of Home Affairs will explore the feasibility of tracking these amounts in the longer term.
Mr Speaker2 words
[+1 sentence]Mr Giam.
Mr Gerald Giam Yean Song (Aljunied)97 words
[+3 sentences]I thank the Minister of State for her reply. In the case of the $3 billion money laundering case that was reported recently, has the Government Gazette been published to invite potential victims to submit their claims, and if not, when would that be? Secondly, has the Government considered establishing a scam victim restitution fund which is financed by the proceeds of these confiscated money laundering proceeds so that local scam victims can also be able to make claims and get some restitution for, in many cases, the thousands of dollars that they have lost in scams?
Ms Sun Xueling620 words
[+13 sentences]I thank the Member for his follow-up questions. Specifically, on the $3 billion case, as it is specific to that case, could I invite the Member to file a separate Parliamentary Question, because it is quite case-specific? On his other proposal regarding whether or not there could be a consolidated fund of some sorts where victims could perhaps through the fund, be able to recover some of their lost amounts, I would like to say that various proposals are being considered to see how best to be able to compensate victims. But what I would like to add is the operational challenges that I had shared earlier in my main reply, which is that often times, the monies that are recovered by the Anti-Scam Centre, through the course of investigations, we are not able to ascertain specifically that all the monies recovered actually all pertain to scams. Because often times, the syndicates that run these scams operate a lot of various other crime business lines as well. I had mentioned illegal moneylending, for instance. So, the proceeds which are recovered by the Anti-Scam Centre are not just scam proceeds. There could be other proceeds that pertain to other forms of crime and therefore, there are other victims who may also similarly feel that they have a claim to those proceeds. So, that is the first point I would like to make. The second point I would like to make is that it is often very difficult to be able to track whether this dollar that is part of the proceeds and monies recovered actually is that dollar which was lost to one particular victim. And that is because of the co-mingling of funds. I think people who understand the scam landscape know that this co-mingling and in the cases where cryptocurrency is involved because of the use of cryptocurrency tumblers and mixers, it is often very, very difficult to ascertain for that dollar recovered, from which victim that dollar has actually been scammed from. As a result of that, it is thus going to be very difficult for us to be able to say, when you have a consolidated fund, which victim actually has a right to the monies that have been recovered. The next point I would like to add is that, as you can tell from the latest numbers, total losses are $1.1 billion this year; monies recovered this year are $182 million. It is a fraction of the total amounts of monies lost.[+5 sentences] So, there are going to be far more claimants for the monies than there are actually proceeds in the monies that are recovered. So, at the end of the day, victims if they ever are to be able to recover some portion of their monies, it is going to be a tiny fraction of what they lost in the first place. The very last point I would like to add is that we should also be concerned about how scammers, if they know that we have such a consolidated fund, how they may try to pivot and see how they could potentially entice other types of mules to participate in scam activities and potentially then, try to "recover" the monies from this scam recovery fund. So, I am just trying to share with you that there are various, various difficulties and concerns that we have. But at the end of the day, principle-wise, I agree with you that we should do our very best to be able to find some way of recovering proceeds and of course, compensating victims.
Supply Chain Resiliency for Replacement Parts of Motorised Mobility Devices Covered Under Government Subsidy Schemes›Oral Answers to Questions3 turns · 200w
· 3 highlighted
oral-answer-3814
Speaker not recorded74 words
[+1 sentence]The following question stood in the name of Dr Tan Wu Meng – 5 To ask the Minister for Health (a) whether vendors providing motorised mobility devices eligible for subsidy schemes such as the Seniors' Mobility and Enabling Fund or the Assistive Technology Fund are required to maintain adequate supply chains for replacement parts such as device batteries; and (b) whether such vendors are subject to responsiveness standards for device repairs including parts replacements.
Mr Christopher de Souza (Holland-Bukit Timah)3 words
[+1 sentence]Question No 5.
The Minister of State for Health (Ms Rahayu Mahzam) (for the Minister for Finance):123 words
[+1 sentence]Mr Speaker, the Seniors' Mobility and Enabling Fund (SMF) and Assistive Technology Fund (ATF) provide eligible seniors and persons with disabilities with means-tested subsidies of up to 90% for assistive devices, including motorised mobility devices, its replacement parts and repairs. SMF and ATF beneficiaries can purchase their subsidised motorised devices from vendors via different touch points including the Agency for Integrated Care (AIC), public healthcare institutions and social service agencies. We do not impose device repairs and replacements standards on every vendor working with these touch points today.[+1 sentence] Clients who need greater assurance can purchase devices from vendors who offer warranties that ensures repairs and replacements are completed within a stipulated time period. For example, all vendors appointed by AIC offer such warranties.
Spot Checks to Ensure Drivers of Commercial Vehicles Hold Valid Driving Licences›Oral Answers to Questions5 turns · 405w
· 8 highlighted
oral-answer-3815
Mr Yip Hon Weng57 words
[+1 sentence]asked the Minister for Home Affairs (a) how frequently does the Traffic Police conduct spot checks at work sites or workplaces to verify that drivers of commercial vehicles, particularly foreigners, hold valid driving licences; and (b) how many of such drivers have been found to be working without a valid driving licence in the past five years.
The Minister of State for Home Affairs (Assoc Prof Dr Muhammad Faishal Ibrahim) (for the Minister for Home Affairs)97 words
[+1 sentence]Mr Speaker, the Traffic Police (TP) does not conduct spot checks at work sites or workplaces to verify drivers' licences. Instead, checks of commercial vehicle drivers, including foreign drivers, are conducted on public roads during patrol operations. In the past five years, an average of 270 foreign motorists per year were found to have been driving a commercial vehicle without a valid driving licence. In 2024, there was a spike in the number of cases by 47%, to 292 cases. TP is concerned about this trend, and has been stepping up its enforcement and public education efforts.
Mr Speaker2 words
[+1 sentence]Mr Yip.
Mr Yip Hon Weng (Yio Chu Kang)68 words
[+5 sentences]Thank you, Mr Speaker. I thank the Minister of State of his reply. My concern is really about road safety, especially when many of these drivers do not have valid driving licences. What measures are in place to hold employers accountable for ensuring that their commercial vehicle drivers possess valid licences? And has the Ministry considered implementing stricter penalties for companies that fail to comply with these regulations?
Assoc Prof Dr Muhammad Faishal Ibrahim181 words
[+1 sentence]Sir, I thank the Member for the supplementary questions and also for the suggestions he made relating to how we can work with the employers. Indeed, TP has already been working with the Ministry of Manpower (MOM) on this issue and will continue to do so, such as through tapping on their outreach channels and also engaging industry stakeholders, such as those in the food delivery and goods delivery sectors. This is regardless of whether it is the driver or the employer of the driver who committed the offence, because the penalties that are upon the driver also apply to any person who employs or permits another person to drive a motor vehicle on the road without a valid licence. So, we continue to engage the employers and also would want to remind them that at the end of the day, it is about road safety as well. We are very concerned about this spike, so we will continue to engage the community, the stakeholders and at the same time, enhance our enforcement efforts and in reaching out to the people.
Singapore's Position on Proposals for Resolving Israeli-Palestinian Conflict that will Lead to Displacement of Palestinians in Gaza›Oral Answers to Questions5 turns · 228w
· 4 highlighted
oral-answer-3816
Mr Gerald Giam Yean Song43 words
asked the Minister for Foreign Affairs (a) whether Singapore has taken a position on the unilateral proposals for resolving the Israeli-Palestinian conflict that involve the forced displacement of Palestinians in Gaza; and (b) if so, what are the key principles underpinning this position.
The Minister for Foreign Affairs (Dr Vivian Balakrishnan)73 words
[+1 sentence]Mr Speaker, Singapore has consistently supported the right of the Palestinian people to a homeland of their own. We believe that this is the only viable path for achieving a comprehensive, just and durable solution to this long-standing and tragic Israeli-Palestinian conflict, and that the only path is a negotiated two-state solution, in particular, negotiations between Palestinians and the Isrealis. This principled position is consistent with the relevant United Nations Security Council resolutions.
Mr Speaker2 words
[+1 sentence]Mr Giam.
Mr Gerald Giam Yean Song (Aljunied)51 words
[+2 sentences]Sir, can I ask the Minister if Singapore has sought the United States' (US') clarifications on what it intends to do to follow through with President Trump's proposal regarding Gaza? And would it seek to reflect the concerns of Singaporeans with the US as well, in this engagement with the US?
Dr Vivian Balakrishnan59 words
[+3 sentences]Mr Speaker, no, we have not been consulted by the US on this specific proposal that President Trump announced some time ago. But our position is clear. I have just stated it just now. In fact, I have stated it repeatedly, over the years, and it is an unchanged principled position.[+1 sentence] Everyone is aware of our position on this.
Efforts to Promote and Nurture Young Golfing Talent in Singapore›Oral Answers to Questions6 turns · 680w
· 8 highlighted
oral-answer-3817
Ms Yeo Wan Ling44 words
[+1 sentence]asked the Minister for Culture, Community and Youth what programmes are available to help promote and nurture young golfing talent in Singapore considering that access to public golf facilities and courses is now limited due to the reallocation and closure of such public facilities.
The Senior Parliamentary Secretary to the Minister for Culture, Community and Youth (Mr Eric Chua) (for the Minister for Culture, Community and Youth):422 words
[+1 sentence]Sir, Sport Singapore provides the overarching framework to encourage an increasingly strong sporting culture and participation in Singapore, as well as the development and nurturing of high performance athletes at all levels. In the case of golf, Sport Singapore works closely with the Singapore Golf Association (SGA) to promote and develop the sport of golf in Singapore. SGA identifies and grooms talented junior golfers through programmes such as the SGA Future Squad which provides a structured pathway into SGA's High-Performance programmes. For golfers in SGA's Junior Development, Development, Junior National and National Squads, SGA conducts weekly training for them at the Sembawang Country Club, Keppel Club and Sentosa Golf Club.[+1 sentence] Depending on training requirements, the Squads also have access to other private clubs such as the Singapore Island Country Club, Tanah Merah Country Club and Seletar Country Club which support SGA's national programmes. SGA organises junior level tournaments such as the SGA Junior Inter-Club League and SGA-BFG Junior Golf Series which are held across various golf courses and clubs in Singapore throughout the year.[+4 sentences] These tournaments also provide young, aspiring golfers aged five to 14 years old a platform to showcase their skills and compete with peers. In addition, the Singapore Sports School (SSP) also provides a further pathway to high performance in golf. SSP nurtures student-athletes in the national youth team and supports them on their academic and sporting development. SSP provides athlete-friendly academic and holistic development programmes that enable the student-athletes to focus on their sports commitments. SSP currently has seven student-athletes in golf, among whom is Chen Xing Tong, the youngest female to have won the Singapore Open Amateur Championships in 2024 at the age of 16.[+1 sentence] For those looking to pick up golf, either recreationally or to develop high performance talents, there is a range of programmes offered at both public and private golf courses, including the programmes outlined above. Whilst space constraints and competing land use requirements have limited the space available for golf courses, the Government recognises that it is important for the public to have continued access to the sport and is looking at expanding options by which to do so. We had previously extended the tenancy of Mandai Executive Golf Course until December 2026 and worked with Keppel Club to set aside the majority of slots at the Sime Golf Course for use by members of the public at an affordable price range, comparable to other public courses. The Government will continue looking into the provision of public golf facilities for the longer term.
Mr Speaker4 words
[+1 sentence]Ms Yeo Wan Ling.
Ms Yeo Wan Ling (Pasir Ris-Punggol)120 words
[+4 sentences]Thank you, Speaker. Punggol Town is home to one of three full public golf ranges in Singapore. On evenings that I am there on community visits, they run at almost full capacity with both men and women, as well as children and family playing the sports, pointing to its growing popularity in young towns. Given that Singapore has seen some very good budding sports success with our golfing athletes qualifying for the Olympics and the US Open and Masters, how can the Ministry continue to keep the costs affordable for our budding sports talents, including those who have not turned pro golf, and to ensure that affordable access to golf practice facilities, even with the closure of the golf range?
Mr Eric Chua61 words
[+2 sentences]Sir, the example that I mentioned earlier, in response to the Member's supplementary question is that we have worked with Keppel Club to provide or set aside a majority of slots for the public and to also keep costs affordable for these members of the public. Rest assured, we will continue to work hard to ensure continued public access to golf.
Mr Speake29 words
[+2 sentences]r: Incidentally, two of our young talents, Shannon Tan and Chen Xing Tong, are currently competing in the HSBC Women's Championship in Sentosa. I wish them all the best.
Number of Magistrate's Complaints Filed and Proposal for Awareness Campaign on Use of Magistrate's Complaints›Oral Answers to Questions9 turns · 673w
· 10 highlighted
oral-answer-3818
Ms Yeo Wan Ling54 words
[+1 sentence]asked the Minister for Law (a) over the past three years, what is the yearly number of Magistrate's Complaints filed; and (b) whether the Ministry will consider implementing a public awareness education programme or campaign on the use of Magistrate's Complaints which may be used to aid criminal investigations by the Singapore Police Force.
The Minister of State for Law (Mr Murali Pillai) (for the Minister for Law)127 words
[+1 sentence]Sir, around 1,300 Magistrate's Complaints were filed yearly from 2022 to 2024. The Courts have informed us that there are educational resources available on the Judiciary's website, which members of the public may refer to for information on, amongst other things, when and how they may file a Magistrate's Complaint. The hon Member also referred to the relationship between Magistrate's Complaints and Police investigations. I should clarify that the Magistrate's Complaint process provides a framework for private prosecutions by any person, subject to the assessment of the Magistrate of whether there is sufficient reason for the complaint to proceed. The process is distinct from criminal investigations conducted by the Police following the filing of a Police report, which do not require the filing of a Magistrate's Complaint.
Mr Speaker2 words
[+1 sentence]Ms Yeo.
Ms Yeo Wan Ling (Pasir Ris-Punggol)185 words
[+7 sentences]Thank you, Speaker. A number of constituents who believe that a criminal offence has been committed against them have approached me at various times, with some confusion on when they need to apply for a Magistrate's Complaint, or when a Police report will suffice for Police investigations to commence against the alleged perpetrator. These offences include being slapped in public, damages to property, being cheated of money and breaches to Protection Orders. Some constituents shared that the Singapore Police Force had advised them to lodge a Magistrate's Complaint, especially if they would like to commence private prosecution. While some have shared that the $20 fee for lodging a Magistrate's Complaint and the need to turn up in Court have dissuaded them on pushing for further redress. How can the Ministry assist to provide more clarity to the members of public on the use of the Magistrate's Complaint and the process of getting one? And are there resources available to public who are unable to pay for the fee or have difficulty representing themselves perhaps due to language or disabilities during this session with the Magistrate?
Mr Speaker4 words
[+1 sentence]Minister of State Murali.
Mr Murali Pillai18 words
[+2 sentences]Sir, I know the guillotine time is up. May I seek your leave to just reply to her?
Mr Speaker9 words
[+2 sentences]Go ahead. I took up one minute just now.
Mr Murali Pillai212 words
[+3 sentences]Thank you. Very well, Sir. Sir, I agree with the hon Member that members of the public should be clear on when a Magistrate's Complaint can be filed and how to go about filing a Magistrate's Complaint. There are resources on the Judiciary's website that cover these.[+1 sentence] These include guides and templates. There are also resources to support persons who may need assistance in filing a Magistrate's Complaint. If there is a difficulty in filing online, the person can call the State Courts' call centre to seek guidance or go to the State Court's Service Hub, or use the terminals in the business centre to file the complaint. If the person has difficulty understanding the filing process or instructions in English, he or she can seek help from the counter staff. A student under the University Court Friends programme may also be assigned and can also help the person navigate the filing process. I would also add, Sir, that in relation to translation issues, the Court website states that when filing a Magistrate's Complaint, the person may indicate their preferred language in the Magistrate's Complaint form and arrangements will be made to assign an interpreter if required.[+1 sentence] On the issue of the filing fee, we will convey the feedback to the Judiciary.
Mr Speaker62 words
[+3 sentences]Order. End of Question Time. The Clerk will now proceed to read the Order of the day. [Pursuant to Standing Order No 22(3), provided that Members had not asked for questions standing in their names to be postponed to a later Sitting day or withdrawn, written answers to questions not reached by the end of Question Time are reproduced in the Appendix.]
Commencement Time of Committee of Supply›Announcement by Speaker2 turns · 119w
· 0 highlighted
speaker-2574
Mr Speaker40 words
[+4 sentences]Order. We have completed the debate on the Budget Statement. I propose to take a break now and will resume Sitting at 2.55 pm. I have revised —
Mr Speaker79 words
[+7 sentences]Hang on, hang on. I know we are all hungry and tired. I have revised the commencement time of the Committee of Supply. With the change in commencement time to start our Committee of Supply at 2.55 pm, the revised guillotine time for Head U, Prime Minister's Office, is 5.45 pm. Hon Members will be notified of the revised conclusion times for the subsequent Heads of Expenditure. Order, order. Sitting accordingly suspended at 2.34 pm until 2.55 pm.
Cause for Drop in Anti-corruption Disclosure Score for Singapore-listed Companies and Steps to Enhance Corporate Transparency›Written Answers to Questions2 turns · 168w
· 0 highlighted
written-answer-19075
Mr Yip Hon Weng71 words
[+1 sentence]asked the Prime Minister and Minister for Finance (a) what are the underlying factors that may have contributed to the six-percentage-point decrease in the average overall anti-corruption disclosure score for Singapore-listed companies between 2022 and 2024, as reported in the biennial study conducted by the Centre for Governance and Sustainability at the National University of Singapore; and (b) what measures are being considered to reverse this trend and enhance corporate transparency.
Mr Gan Kim Yong (for the Prime Minister)97 words
[+4 sentences]All Singapore-listed companies in the study had anti-corruption disclosures, including disclosures on their compliance with anti-corruption laws and commitment to protect whistleblowers. Singapore was the only country in the report where all companies in the study fulfilled 100% of the disclosure criteria in these two categories. The study attributed the decline in the overall score on anti-corruption disclosures to an increased focus by listed companies in their public disclosures and communications on other topics, for example, sustainability and climate change1. The Singapore Exchange Regulation will continue to engage with listed companies to monitor and strengthen disclosure practices.
Proportion of Stamp Duties Collected from Sales of Properties by Category›Written Answers to Questions2 turns · 182w
· 0 highlighted
written-answer-19076
Mr Leong Mun Wai45 words
[+1 sentence]asked the Prime Minister and Minister for Finance for the years 2005, 2010, 2015, 2020 and 2024, what proportion of stamp duties collected are from the sale of (i) HDB flats (ii) private non-landed residential properties (iii) landed residential properties and (iv) non-residential properties, respectively.
Mr Chee Hong Tat137 words
[+6 sentences]The requested information on Stamp Duties (SD) spans over two decades and we are unable to provide the series of data over such a long time. A property sale transaction may involve three types of SDs: Seller's Stamp Duty on the seller's side; Buyer's Stamp Duty; and Additional Buyer's Stamp Duty (ABSD) on the buyer's side. ABSD applies to residential properties only. The proportions of SD from the three property types, the Housing and Development Board, private residential and non-residential, for 2019 and 2024 are shown in Table 1 below. We have provided 2019 for comparison instead, as 2020 was the start of the COVID-19 pandemic, which had impacted the property market and SD revenue. For tax purposes, the Inland Revenue Authority of Singapore does not differentiate stamp duties contributed from private non-landed and landed residential properties.
Accounting for Effect of Shrinkflation in Consumer Price Index›Written Answers to Questions2 turns · 146w
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written-answer-19077
Ms Hazel Poa54 words
[+1 sentence]asked the Deputy Prime Minister and Minister for Trade and Industry whether the Department of Statistics accounts for the effect of shrinkflation in the Consumer Price Index (CPI), considering that some of the goods and services tracked in the CPI may not be sold based on standardised weights or sizes and, if so, how.
Mr Gan Kim Yong92 words
[+3 sentences]In compiling the Consumer Price Index (CPI), the Department of Statistics (DOS) accounts for changes in the quantity or packaging size of the consumer items tracked in the CPI basket, where possible. It does so by adjusting the data based on a fixed unit of measurement, such as on a per 100g basis. For example, if the packaging size of an item changes from 100g to 80g but its store price remains unchanged, DOS will adjust the price so that the equivalent price increase per 100g will be reflected in the CPI.
Utilisation of SkillsFuture Enterprise Credit by Sector and Plans to Increase Utilisation in Sectors with Higher Needs›Written Answers to Questions2 turns · 222w
· 0 highlighted
written-answer-19078
Ms See Jinli Jean71 words
[+1 sentence]asked the Deputy Prime Minister and Minister for Trade and Industry (a) since 2022, what is the proportion and extent of utilisation of SkillsFuture Enterprise Credit across (i) sectors and (ii) size of enterprises; and (b) how does the Ministry plan to increase the utilisation of credits by employers from (i) sectors with higher density of lower-skilled and/or lower-wage local and foreign workforce and (ii) sectors with higher incidence of retrenchment.
Mr Gan Kim Yong151 words
[+8 sentences]The SkillsFuture Enterprise Credit (SFEC) was introduced in 2020. To date, more than 36,200 enterprises have tapped into it with a total of $122 million disbursed. Amongst these enterprises, those with less than $10 million in annual revenue make up the majority, with the top three sectors from wholesale trade, manufacturing and construction. We have enhanced and extended SFEC several times in the last few years to help more enterprises benefit, including those with more lower-wage workers. For example, we removed the minimum Skills Development Levy contribution in 2022 to avail SFEC to more enterprises. As announced at Budget 2025, the Government will redesign SFEC into an online wallet to improve ease of use. Companies will be able to use the credits to immediately offset out-of-pocket costs for eligible workforce transformation initiatives, rather than do so on a reimbursement basis. This will help to ease any cash flow concerns for employers.
Percentage of National Service Enlistees Identified as Security Threat›Written Answers to Questions2 turns · 277w
· 0 highlighted
written-answer-19079
Mr Leong Mun Wai57 words
[+1 sentence]asked the Minister for Defence for each year of 2005, 2010, 2015, 2020 and 2024, what is the percentage of National Service enlistees who are identified by the Military Security Department as individuals who may pose security threats and are not placed into positions to acquire soldiering skills or gain access to equipment that pose a threat.
Dr Ng Eng Hen220 words
[+10 sentences]The Military Security Department (MSD) has in place a security screening process to detect military personnel who may pose a security risk. It is a standard organisational capability for militaries around the world, to mitigate the risk of their trained soldiers inflicting harm on their peers or civilians. These screening efforts take place during enlistment and throughout their course of service as national servicemen. MSD works closely with other Government security agencies in performing this role. Personnel picked up by these screening efforts are excluded from roles where they can acquire skills or gain access to information or equipment that pose a threat. These screening efforts require professional judgement and calibration. If the criteria are too tight, we may exclude from training an excess of soldiers who ultimately pose no threats; on the contrary, applying criteria that are too loose may result in high-risk individuals being missed during the screening process. MSD, in performing its role, therefore calibrates these criteria periodically depending on review of feedback and prevailing security conditions. These calibrations can result in year-to-year fluctuations. At the current levels of screening, the number of individuals picked up for observation and exclusion annually is small at about 0.1%, or about 50 individuals for an average number of close to 30,000 pre-enlistees screened each year, over the last 10 years.
Statistics on Road Accidents Since 2020 and Measures to Address Such Collisions›Written Answers to Questions2 turns · 291w
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written-answer-19080
Mr Yip Hon Weng82 words
[+1 sentence]asked the Minister for Home Affairs in view of the significant increase in road accidents since 2020 (a) how many accidents in the past year can be attributed to lane hogging; (b) whether penalties will be increased for lane hogging and for heavy vehicles not keeping to the left lane; (c) whether there has been an increase in rear-end collisions occurring near red-light cameras due to sudden braking by speeding vehicles; and (d) what measures are being taken to address such collisions.
Mr K Shanmugam209 words
[+8 sentences]The Traffic Police (TP) does not track the number of road accidents attributed to lane hogging. While lane hogging can be a contributing factor and give rise to other dangerous driving behaviour, such as switching lanes or overtaking without due care, it is usually not itself a direct cause of accidents. Currently, a motorist who commits an offence of lane hogging is liable for up to four demerit points and a composition sum of up to $150 for light vehicles and $200 for heavy vehicles. A heavy vehicle driver who commits an offence of failing to keep left is liable for up to a composition sum of $150. We will assess whether these remain adequately deterrent, as part of the ongoing review of demerit points and composition sums for road traffic offences. TP does not track the number of rear-end collisions occurring near red-light cameras due to sudden braking by speeding vehicles. As part of its public education efforts, TP reminds motorists to keep a safe following distance from the vehicle in front, as well as to watch for the stop light on the car and the traffic ahead. This is also included in the Highway Code and learner drivers may be tested on this in the theory test.
Rate of Repeated Bullying by Students in Past Five Years›Written Answers to Questions2 turns · 103w
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written-answer-19081
Ms Hazel Poa26 words
[+1 sentence]asked the Minister for Education in the past five years, what is the rate of repeated bullying by students who had previously bullied or assaulted others.
Mr Chan Chun Sing77 words
[+3 sentences]We would like to refer the member to the Ministry of Education's response on bullying in schools at the Parliament Sitting on 14 October 2024. The number of bullying cases and assault cases is low. The number of repeat cases is also low, and no significant trends can be drawn.
Change in Average and Median Nurse-to-patient Ratio for General Wards and Intensive Care Units of Public Acute Hospitals in Past Three Years›Written Answers to Questions2 turns · 123w
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written-answer-19082
Mr Louis Ng Kok Kwang38 words
[+1 sentence]asked the Minister for Health for each year in the past three years, what is the change in the average and median nurse-to-patient ratio for (i) general wards and (ii) intensive care units of the public acute hospitals.
Mr Ong Ye Kung85 words
[+2 sentences]As shared in an earlier answer in 2022, the average nurse-to-patient ratio for general wards in the public acute hospitals remains unchanged at around one nurse for every four or five patients. In the Intensive Care Units (ICU), the ratio is higher at about one to two nurses for every ICU patient, depending on the complexity of each case.
Median Waiting Time from Referral to Appointment at Public Hospitals for Subsidised and Private-paying Patients›Written Answers to Questions2 turns · 114w
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written-answer-19083
Ms Hazel Poa42 words
[+1 sentence]asked the Minister for Health as of 2024, what is the median waiting time between a referral from a primary healthcare provider and a new specialist outpatient appointment at public hospitals by specialties for (i) subsidised patients and (ii) private-paying patients, respectively.
Mr Ong Ye Kung72 words
[+4 sentences]In 2024, the median wait times for referrals from primary care providers to public hospital Specialist Outpatient Clinics (SOC) were 35 days for subsidised patients and 12 days for unsubsidised patients. That said, these are median wait times. Patient referrals, whether subsidised or unsubsidised, are first and foremost prioritised based on the urgency of their medical conditions. Cases assessed as urgent will be given earlier SOC appointments regardless of their subsidy status.
Effect of Changes to Integrated Shield Plans by Insurers on Policyholders' Out-of-pocket Expenses and Access to Healthcare Services›Written Answers to Questions2 turns · 384w
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written-answer-19084
Mr Neil Parekh Nimil Rajnikant72 words
[+1 sentence]asked the Minister for Health (a) how have the recent changes made by insurers to their Integrated Shield Plans (IPs) affected the out-of-pocket expenses and access to healthcare services for policyholders; (b) what measures are being taken to ensure that the interests of policyholders are adequately safeguarded amidst these changes; and (c) whether any further measures are being explored to mitigate issues related to the affordability and accessibility of coverage under IPs.
Mr Ong Ye Kung312 words
[+13 sentences]The Government's main assurance to Singaporeans is the universal provision of subsidised healthcare in public hospitals, supported by subsidies, MediShield Life, our national health insurance scheme, MediSave and MediFund. On the other hand, Integrated Shield Plans (IPs) are private commercial products. IPs are subject to the Ministry of Health's (MOH) requirements on key parameters, such as the co-payment and deductible. Private insurers update their IPs regularly, such as the premiums, claim limits and scope of coverage, in accordance with the policy contractual terms, and based on their commercial and actuarial considerations. In making these changes, MOH expects insurers to ensure that their policyholders' interests and well-being are safeguarded. The Member may refer to the oral reply in response to Parliamentary Questions 31 and 32 for the Sitting on 4 February 2025 for more details. [Please refer to "Insurers' Responsibility in Informing and Giving Adequate Notice to Policyholders for Changes in Coverage and Claims", Official Report, 4 February 2025, Vol 95, Issue 150, Written Answers to Questions for Oral Answer not Answered by End of Question Time section.] Insurers have recently been raising IP and especially Rider premiums. MOH has publicly expressed our concerns on these commercial products before, that due to their comprehensive coverage, they have changed the dynamics between patients and doctors. As such, individuals with IPs and Riders are significantly more likely to make claims, with significantly bigger bills. This has contributed to claim amounts rising sharply, which, in turn, drive up premiums. We have urged the insurance industry to take a hard look at their policy designs, which we believe are fueling healthcare costs and also detrimental to their business. MOH will continue to publish information on IP premiums and coverage to facilitate consumers in making informed decisions on private insurance plans. The public needs to constantly examine if the premiums paid are worth the healthcare expenses they cover.
Online Falsehood Reports Received by POFMA Office and Correction Directions Issued›Written Answers to Questions2 turns · 119w
· 0 highlighted
written-answer-19085
Mr Leong Mun Wai49 words
[+1 sentence]asked the Minister for Digital Development and Information (a) how many reports of online falsehoods have been received by the POFMA Office via the online form for reporting potential falsehoods since the availability of this form; and (b) of these reports, how many resulted in Correction Directions being issued.
Mrs Josephine Teo70 words
[+2 sentences]Since the POFMA Office's online form for reporting potential falsehoods was introduced in 2021, the Online Falsehoods and Manipulation Act (POFMA) Office has received a total of 1,276 pieces of public feedback about potential online falsehoods, as of 31 January 2025. In the same period, there were nine POFMA Directions issued regarding falsehoods that had been reported by a total of 37 pieces of public feedback to the POFMA Office.
Breakdown of Cause of Death of Dogs at Dog Farms and Pet Shops Since 2019›Written Answers to Questions2 turns · 149w
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written-answer-19086
Mr Louis Ng Kok Kwang34 words
[+1 sentence]asked the Minister for National Development for each year since 2019, what is the breakdown of the cause of death for dogs reported to have died at (i) dog farms and (ii) pet shops.
Mr Desmond Lee115 words
[+5 sentences]Licensed dog farms and pet shops are required to report the death of any dog under their care and provide information on the cause of death to the National Parks Board (NParks). They are also required to submit a death certificate signed by a licenced veterinarian. Based on the information reported in the death certificates, the cause of death is often inconclusive as post-mortem examinations are typically not conducted and dogs may have multiple health issues. Notwithstanding, NParks has observed that most dogs that passed away in dog farms had chronic diseases, such as cancer, kidney disease and diabetes. Death cases in pet shops may involve various factors, including transport stress and undiagnosed health conditions.
Interagency Collaboration to Introduce SingPass Account Reset Services at Migrant Workers' Recreation Centres›Written Answers to Questions2 turns · 126w
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written-answer-19087
Mr Louis Ng Kok Kwang30 words
[+1 sentence]asked the Minister for Manpower whether the Ministry will consider working with other Government agencies to introduce services for the reset of SingPass accounts at the migrant workers recreation centres.
Dr Tan See Leng96 words
[+3 sentences]Currently, migrant workers can reset their Singpass accounts in person at Singpass counters in community centres and ServiceSG centres or online through the Singpass portal. The Ministry of Manpower (MOM) has, additionally, put up guides on how to reset Singpass accounts in the migrant workers' native languages on the MOM website and in dormitories and recreation centres; and will also be incorporating the guides into the FWMOMCare mobile application. MOM will work with other Government agencies to monitor the demand for such services by migrant workers and explore additional avenues to assist migrant workers if necessary.
Number and Category of Cases Referred by Employment Claims Tribunal to MOM for Further Investigations›Written Answers to Questions2 turns · 100w
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written-answer-19088
Mr Louis Ng Kok Kwang40 words
[+1 sentence]asked the Minister for Manpower in each year for the past five years (a) how many cases have the Employment Claims Tribunal referred to the Ministry for further investigations; and (b) what are the top three categories of cases referred.
Dr Tan See Leng60 words
[+4 sentences]The Employment Claims Tribunals (ECT) was set up to hear salary-related and wrongful dismissal disputes between employers and employees. On a case-by-case basis, ECT may alert the Ministry of Manpower (MOM) to cases for investigations. MOM has investigated all such cases that were referred to us. Over the past five years, MOM investigated less than five cases referred by ECT.
Need for Performing Artistes on Work Permits to Undergo Settling-in-Programme›Written Answers to Questions2 turns · 79w
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written-answer-19089
Mr Louis Ng Kok Kwang43 words
[+1 sentence]asked the Minister for Manpower (a) whether performing artistes on work permits currently undergo the Settling-in-Programme that is conducted for migrant domestic workers and non-Malaysian work permit holders in the construction, manufacturing, marine shipyard and process sectors; and (b) if not, why not.
Dr Tan See Leng36 words
[+2 sentences]The Settling-in Programme is prioritised for first-time Work Permit holders in the construction, marine shipyard, process and manufacturing sectors. We have no plans to extend the programme to workers in the services sector at this time.
Employers Investigated and Prosecuted for Receiving Kickbacks from Migrant Workers and Amounts Involved›Written Answers to Questions2 turns · 97w
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written-answer-19090
Mr Leong Mun Wai55 words
[+1 sentence]asked the Minister for Manpower in 2024 (a) how many cases of employers alleged to have received kickbacks from migrant workers are investigated by the Ministry; (b) how many employers have been prosecuted; (c) what is the average number of migrant workers affected per employer; and (d) what is the average amount of kickbacks paid.
Dr Tan See Leng42 words
[+3 sentences]In 2024, the Ministry of Manpower investigated about 250 alleged kickback cases. Enforcement actions were taken against 51 employers, of which 12 were prosecuted. On average, eight migrant workers were affected per employer and each migrant worker paid about $6,600 in kickbacks.
Commercial Operators' Assessment of Viability of Potential New Ferry Service between Puteri Harbour and Tuas›Written Answers to Questions2 turns · 53w
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written-answer-19091
Mr Leong Mun Wai35 words
[+1 sentence]asked the Minister for Transport whether he can provide an update on assessments by commercial operators in Singapore and Malaysia of the commercial viability of a potential new ferry service between Puteri Harbour and Tuas.
Mr Chee Hong Tat18 words
[+1 sentence]The parties involved are assessing the commercial viability of a potential ferry service between Puteri Harbour and Tuas.
Number of Injuries and Deaths of Work Permit and S Pass Holders Who Have Been Transported on Lorries›Written Answers to Questions2 turns · 147w
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written-answer-19095
Ms Hazel Poa53 words
[+1 sentence]asked the Minister for Transport (a) for each year in the last 10 years, what is the number of injuries and deaths faced by workers on Work Permits or S Passes who have been transported on lorries; and (b) if the data is not available, whether the Ministry will start collecting such data.
Mr Chee Hong Tat94 words
[+4 sentences]The average number of workers injured when being transported on the back of a lorry fell by more than 25% from 215 between 2015 and 2019, to 161 between 2020 and 2024. Over the last 10 years, there was an average of one fatality transported on the back of a lorry per year. We do not track whether the workers involved in these accidents hold Work Permits or S Passes. The nationality of the workers or they pass they hold is not the focus because our goal is to improve safety for all workers.
Cost Breakdown for Companies of Varying Sizes to Ferry Workers on Safer Transport Modes›Written Answers to Questions2 turns · 97w
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written-answer-19096
Ms Hazel Poa40 words
[+1 sentence]asked the Minister for Transport whether the Ministry can provide disaggregated data with a breakdown by the size of company on how much it will cost companies currently using lorries to transport workers to switch to safer modes of transport.
Mr Chee Hong Tat57 words
[+2 sentences]I thank the Member for her question. We have received related questions for the 26 February 2025 Parliament Sitting and had addressed it then. [Please refer to "Stakeholders' Feedback on Safety of Transporting Workers on Back of Lorries and Suggestions to Ban This", Official Report, 26 February 2025, Vol 95, Issue 153, Oral Answers to Questions section.]
Alternative Financial Backstop if Sponsorships for World Aquatics Championships Fall Short of Target›Written Answers to Questions for Oral Answer Not Answered by End of Question Time2 turns · 128w
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written-answer-na-19066
Mr Gerald Giam Yean Song62 words
[+1 sentence]asked the Minister for Culture, Community and Youth (a) whether the Government will act as a financial backstop if sponsorships for hosting the 2025 World Aquatics Championships in Singapore fall short of the intended amount; (b) whether the Government has set a sponsorship target for the organisers; and (c) how are the organisers held accountable for securing sponsorships to minimise public expenditure.
Mr Edwin Tong Chun Fai66 words
[+2 sentences]The Senior Parliamentary Secretary for the Ministry of Culture, Community and Youth Eric Chua has addressed Oral Parliamentary Question Nos 2 and 3 in Parliament yesterday. Mr Gerald Giam may wish to refer to the response then. [Please refer to "Government Spending on 2025 World Aquatics Championships Versus Benefits and Sponsorships Generated", Official Report, 27 February 2025, Vol 95, Issue 154, Oral Answers to Questions section.]
Feedback and Regulation on "Pay Later" Contracts of Telecommunications Companies›Written Answers to Questions for Oral Answer Not Answered by End of Question Time2 turns · 155w
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written-answer-na-19067
Dr Tan Wu Meng61 words
[+1 sentence]asked the Minister for Digital Development and Information (a) whether the Government regulates telecommunications companies' (telcos) transactions of "pay later" contracts with retail customers; (b) whether any feedback has been received regarding telcos immediately imposing heavy penalties when a customer defaults on a payment without notification; and (c) if so, how many cases of such feedback have been received since 2023.
Mrs Josephine Teo94 words
[+5 sentences]Buy-now-pay-later plans are offered by telecommunication companies (telcos) to consumers wishing to pay for mobile devices in instalments. Such plans are common for many other sectors and retail merchants. To safeguard consumer interest, the Infocomm Media Development Authority (IMDA) requires telcos to ensure that consumers acknowledge the terms and conditions, instalment charges, billing arrangements and penalties prior to consumers entering into purchase/service agreements. Over the last two years, IMDA received 14 feedback from members of the public on such instalment schemes. To date, telcos have assisted customers in resolving their issues for all cases.
Work Permit Status Checks when Foreign Delivery Drivers' Driving Licences are Inspected by Traffic Police›Written Answers to Questions for Oral Answer Not Answered by End of Question Time2 turns · 121w
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written-answer-na-19072
Mr Yip Hon Weng59 words
[+1 sentence]asked the Minister for Manpower (a) how does the Ministry collaborate with the Traffic Police to check the work permit status of foreign delivery drivers when their driving licences are being inspected; and (b) whether the Minister can provide data on the number of foreign delivery drivers found working without a valid work permit, from January to December 2024.
Dr Tan See Leng62 words
[+3 sentences]When the Police encounters cases of foreign delivery drivers who are without valid work passes, they will refer such cases to the Ministry of Manpower (MOM) for investigations. From January to December 2024, MOM received and investigated around 90 complaints on suspected illegal foreign delivery drivers. Enforcement actions were taken against 30 foreigners while the remaining cases were found to be unsubstantiated.
Progress and Sustainability of Renewal Works on North East MRT Line›Written Answers to Questions for Oral Answer Not Answered by End of Question Time2 turns · 343w
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Mr Dennis Tan Lip Fong66 words
[+1 sentence]asked the Minister for Transport (a) whether an update can be provided on the outcome or progress of MRT renewal works for the North East Line (NEL) that are scheduled from 2019 to 2024; (b) how will the renewal works enhance the NEL; and (c) how long will the renewal works further sustain the NEL in the coming years before further renewal works may be required.
Mr Chee Hong Tat277 words
[+10 sentences]The Land Transport Authority (LTA) and the Singapore Bus Services Transit (SBST) started on a major renewal project for the North East Line (NEL) in 2019, to refurbish its 25 first-generation trains, as well as to upgrade key components in the track, power, signalling and platform screen door (PSD) systems. Works were originally scheduled to be completed in the third quarter of 2024. LTA and SBST completed the planned upgrading works for the track, power, signalling and PSD systems in 2021. As the Ministry of Transport (MOT) had explained to the Member in 2022 via a reply to his Parliamentary Question, the train refurbishment programme was delayed due to the COVID-19 pandemic. [Please refer to "Status of Renewal and Enhancement Work Scheduled for North East Line", Official Report, 4 April 2022, Vol 95, Issue 60, Written Answers to Questions for Oral Answer not Answered by End of Question Time section.] As of January 2025, 16 of the 25 first-generation trains have undergone refurbishment and have been put into passenger service. As stated on the MOT and LTA's websites, the remaining nine trains will be progressively put into service by the first quarter of 2026, after they have been refurbished. These upgrades aim to provide our commuters with smoother and more reliable journeys. As part of renewal works, electrical and mechanical components in the track, power, signalling and PSD systems have been replaced. The first-generation trains are being refreshed with updated interior fittings, such as seats, panels and flooring, as well as upgraded air-conditioning, ventilation and passenger information systems. Condition monitoring systems will also be installed on the trains to better monitor train performance and improve maintenance planning.
Clarification by Minister of State for Home Affairs›Correction by Written Statement3 turns · 344w
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Speaker not recorded38 words
[+1 sentence][(proc text) The following statement was made in the reply given by the Minister of State for Home Affairs (Ms Sun Xueling) during Question Time for Question No 4 at the Sitting of 28 February 2025: (proc text)]
The Minister of State for Home Affairs (Ms Sun Xueling)193 words
[+4 sentences]On his other proposal regarding whether or not there could be a consolidated fund of some sorts where victims could perhaps through the fund, be able to recover some of their lost amounts, I would like to say that various proposals are being considered to see how best to be able to compensate victims… So, I am just trying to share with you that there are various, various difficulties and concerns that we have. But at the end of day, principle-wise, I agree with you that we should do our very best to be able to find some way of recovering proceeds and of course, compensating victims. [Please refer to "Percentage of Financial Crime Cases with Confiscated Assets Returned to Victims and Forfeited by Government", Official Report, 28 February 2025, Vol 95, Issue 155, Oral Answers to Questions section.] I wish to make the following factual correction to the reply given for Parliamentary Question No 4 at the Sitting of 28 February 2025. My reply should be read as follows:
The Minister of State for Home Affairs (Ms Sun Xueling)113 words
[+2 sentences]On his other proposal regarding whether or not there could be a consolidated fund of some sorts where victims could perhaps through the fund, be able to recover some of their lost amounts, I would like to say that various proposals are being considered to see how best to be able to return recovered scam proceeds to victims… So, I am just trying to share with you that there are various, various difficulties and concerns that we have. But at the end of day, principle-wise, I agree with you that we should do our very best to be able to find some way of recovering proceeds and of course, returning them to victims.