The PAP using the tried and trusted pork barrel politics again

[True Believer]

Bukit Panjang residents voted for the Party rather than the candidate at the last GE. How the hell did MP Liang Eng Hwa get voted in against Prof Paul Tambyah who totally outshines the PAP candidate?

 

[LITTLEREDDOT]

Household incomes rise in 2024; resident households received more support from govt schemes​

Median monthly household employment income rose 1.4 per cent in real terms, or after adjusting for inflation, in 2024.ST PHOTO: KUA CHEE SIONG
Hariz Baharudin and Chin Soo Fang
Feb 13, 2025

SINGAPORE - Median household employment income grew to $11,297 in 2024, while income inequality fell to its lowest level in 25 years, after accounting for government assistance and taxes.

Figures from the Singapore Department of Statistics (SingStat) also showed that resident households got more money from government schemes, due to support measures rolled out in 2024.

SingStat’s Feb 13 report showed that among resident employed households, median monthly household employment income grew by 3.9 per cent in nominal terms, before adjusting for inflation.

This is the third time in a row that the median monthly household employment income has crossed the $10,000 mark – $10,099 in 2022, $10,869 in 2023 and $11,297 in 2024.

Median monthly household employment income rose 1.4 per cent in real terms, or after adjusting for inflation, in 2024. Household employment income includes employer Central Provident Fund contributions. This is lower than the growth in 2023, which was 2.8 per cent.

From 2019 to 2024, median monthly household employment income of resident employed households increased 3.6 per cent cumulatively, or 0.7 per cent per annum in real terms.

Such households have at least one employed person, and the household reference person – previously referred to as the head of household – is a Singapore citizen or permanent resident.

Taking into account household size, median monthly household employment income per household member rose from $3,500 in 2023 to $3,615 in 2024 – an increase of 3.3 per cent in nominal terms, or 0.8 per cent after adjusting for inflation.

From 2019 to 2024, median monthly household income per household member grew by 6.8 per cent cumulatively, or 1.3 per cent per annum in real terms.

In 2024, households across all income deciles saw increases in average household employment income per household member after adjusting for inflation.

In 2024, the average household employment income for each household member in resident employed households in all income groups rose in nominal terms, with the increases ranging from 3 per cent to 5.9 per cent.

After adjusting for inflation, the increases ranged from 0.6 per cent to 3.2 per cent.

Between 2019 and 2024, the average household employment income for each household member in resident employed households in the first nine deciles rose by 0.3 per cent to 1.9 per cent per annum in real terms, while that for households in the top decile declined by 0.7 per cent per annum.

A decile is the one-tenth of all households arranged by their incomes from lowest to highest. The last, or 10th, decile is the one-tenth of the households with the highest incomes.

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The Gini coefficient based on household employment income per household member rose from 0.433 in 2023 to 0.435 in 2024, before taking into account assistance or benefits provided by the Government and taxes.

After such adjustments, the Gini coefficient in 2024 was 0.364, lower than the 0.371 in 2023. This is the lowest since records of the measure began in 2000, said SingStat. The Gini coefficient is a measure of income inequality. A Gini coefficient of zero occurs when there is total income equality, and one means there is total inequality.


SingStat also reported that resident households, including households with no employed person, received $7,825 per household member, on average, from government schemes in 2024.

This was higher than the $6,418 received in 2023. “This was due to measures rolled out in 2024 to support households in areas such as cost of living, retirement and healthcare needs,” said SingStat.


Resident households living in one- and two-room Housing Board flats continued to receive the most government transfers.

In 2024, they received an average of $16,805 per household member from government schemes, more than double the amount received by all resident households.

Mr Jester Koh, UOB’s associate economist, said the real median household employment income grew by a softer clip in the recent five-year period as the strong nominal growth has been largely eroded by the inflation surge since late 2021.

“This is likely driven by a confluence of factors such as the unleashing of post-pandemic pent-up demand, tightening of labour markets amid labour supply shortages, and the Russia-Ukraine war, which led to food and energy price spikes,” he said.

Going forward, the rapidly ageing population could weigh on the median household employment income growth as the labour force participation rate has been gradually declining since 2021, while the share of resident households comprising solely non-employed people aged 65 and older has been gradually ticking up, Mr Koh said.

“Nonetheless, there have been several initiatives to encourage older-age workers to continue working, such as the planned increase in the retirement age to 65 by 2030, re-employment age to 70 by 2030, as well as the Earn and Save Bonus under the Majulah Package, which should go a long way to support median household employment income trends in the long run,” he added.

Mr Song Seng Wun, economic adviser at CGS International, said median household employment income growth slowed in 2024 as the labour market normalised. This is likely the growth range for the next few years.

In contrast, there was faster growth in median monthly household employment income post-pandemic as companies started to hire again, and the economy rebounded strongly.

Those in the lower income deciles are aided by the Progressive Wage Model (PWM), Mr Song said, adding that there will be higher growth among the lower-income as more sectors are included in the PWM.

The Government’s transfers have also helped the lower-income, and helped decrease income inequality.

“This is where the Government can calibrate in terms of assistance in the upcoming Budget to help those who need the help most,” he said. “The cost of living is still rising, though inflation has slowed down.”

Associate Professor Walter Theseira from the Singapore University of Social Sciences, who is a labour economist, said higher income growth in lower deciles aligns with efforts to raise wages for lower-income Singaporeans through policies like PWM.

For the upper decile, he noted that non-employment income and capital gains, which are not included in the figures, are likely key factors for increasing income inequality, but they are not measured in the report.

“Recent strong growth in income for higher deciles outstripping the middle suggests income inequality will worsen without more government intervention,” he said.

“Policy attention will likely need to be increasingly focused on helping the broad middle – although this is always the case – given the recent pattern of how the lower-income are ‘levelling up’ and how the higher-income are enjoying above-average gains.”

Mr Chua Han Teng, an economist at DBS Bank, noted that Singapore’s real median monthly household employment income continued the increases observed in the preceding three years from 2021 to 2023.

“The sustained real income growth reflects Singapore’s economic resilience and healthy labour market performance despite rising global uncertainties,” he said.

“The ongoing decline in household income inequality reflects the Government’s policy focus on greater equality and inclusivity over the years, with government transfers providing crucial support and assurance for vulnerable groups,” he added.

​

 

[LITTLEREDDOT]

First cycling bridge in Jurong West opens; residents can walk or cycle across PIE​

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Cyclists biking across the new cycling bridge in Jurong West on Feb 15.ST PHOTO: NG SOR LUAN

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The new 110m-long and 8m-wide overhead bridge will provide residents with a means to cross the PIE.ST PHOTO: NG SOR LUAN
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Lee Li Ying
Feb 15, 2025, 04:50 PM


SINGAPORE - The first cycling bridge in Jurong West, which can accommodate both pedestrians and cyclists, was officially opened on Feb 15.

The new 110m-long and 8m-wide overhead bridge is a stone’s throw from block 864A Jurong West Street 81 and straddles the PIE, providing residents with a means to cross the expressway.

It will benefit 63,000 Jurong West residents by giving them easier access to the Jurong Innovation District, Nanyang Technological University, and the future MRT station at CleanTech Park.

The district is Singapore’s first mixed-use district for advanced manufacturing, where companies can tap sensors, robotics and other technological solutions to improve their business.

The bridge was officially opened by Minister for National Development Desmond Lee, who is also a West Coast GRC MP, his fellow MP Ang Wei Neng, and JTC chief executive Tan Boon Khai.

“We have worked closely with JTC over the years, and we are delighted that the widest overhead bridge in Jurong West is now pedestrian-, cyclist-, and pet-friendly, complete with a lift. It’s a testament to our commitment to creating a more connected and vibrant community,” said Mr Ang.

There is also an ongoing collaboration with the Land Transport Authority to build dedicated cycling paths around Nanyang, the ward within the group representation constituency that Mr Ang represents.

The new bridge has dedicated walking and cycling paths, and links up with the Round Island Route park connector.

JTC’s Mr Tan said that the bridge provides a link to the Jurong Innovation District, and will bring employment opportunities closer to residential areas in Jurong West.

“(The bridge) will also encourage more walking and cycling, aligning with our vision for a car-lite Jurong Innovation District. Together with the upcoming Sky Corridor and future MRT station at CleanTech Park, the bridge will revolutionise mobility and improve connectivity, linking residents to job opportunities, nature and ecosystems in the district,” said Mr Tan.

Sky Corridor is an elevated pathway within the Jurong Innovation District for pedestrians, cyclists and self-driving vehicles.

Over 1,000 residents living in the vicinity walked or cycled across it to mark the opening of the bridge. The celebrations end with a carnival at the end of the walk at JTC’s CleanTech Three with activities such as treasure hunt, longkang fishing, pottery ornament painting and pets bazaar.

Naval engineer officer Patrick Ong, 49, who just picked up cycling, said that the new bridge will cut the travel time from his home at Jurong West St 81 to amenities at the CleanTech Park from 20 minutes to 10 minutes.

“I looked at the map and the park here looks very nice. I also heard there’s some F&B outlets here. It’s quite difficult to come by last time, and now I’m keen to explore the area.”

 

[LITTLEREDDOT]

All these bribes will stop after the General Elections

 

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29,000 older HDB flats to be upgraded in latest round of Home Improvement Programme​

Minister for National Development Desmond Lee speaking during a Chinese New Year event in Pioneer on Feb 16.PHOTO: LIANHE ZAOBAO

Hariz Baharudin
Feb 16, 2025

SINGAPORE – Some 29,000 flats built in 1997 or earlier have been chosen for the Housing Board’s Home Improvement Programme (HIP) and will get structural improvements and upgrades to bathrooms and entrances, among other things.

Announcing the latest round of the programme on Feb 16, HDB said home owners of these flats will be able to opt for senior-friendly fittings such as grab bars and foldable shower seats.

The 371 blocks chosen for upgrades are located in estates that include Choa Chu Kang, Pasir Ris, Tampines and Jurong West, and the Government has allocated more than $407 million for the works.

The HIP was launched in 2007 to spruce up older housing estates. As at March 31, 2024, about $4 billion has been spent on the programme.

Speaking during a Chinese New Year event on Feb 16 in Pioneer in Jurong West, Minister for National Development Desmond Lee said that since the launch of HIP, 494,000 flats, or nine in 10 eligible flats, have been selected for the programme, including the latest batch.

Of these, close to 381,000 flats have been upgraded, HDB said.

“Here in Pioneer, more than 1,200 households across 10 blocks have been selected in this batch of HIP. These blocks are located opposite Jurong Point, at Blocks 687 to 696 Jurong West Central 1,” said Mr Lee.

Some of the flats from Blocks 687 to 696 at Jurong West Central 1 will be included in the Home Improvement Programme.ST PHOTO: NG SOR LUAN
Under HIP, flats are shortlisted for upgrades based on their age. A poll is then held among residents, and the works proceed only if at least 75 per cent of Singaporeans living in the blocks vote in favour of the upgrading.

The programme has two main components – essential improvements and optional improvements.

Essential improvements, such as repair of spalling concrete or structural cracks, are meant to ensure the safety of older flats, and are fully paid for by the Government for Singapore citizen households.

Optional improvements, such as new entrance doors and gates, and upgrades to toilets and bathrooms, are subsidised by the Government up to 95 per cent, depending on flat type.

For example, one- to three-room HDB flat owners will co-pay $599.50, with the Government’s share being $11,390.50, or 95 per cent of the cost of the full optional improvements package.


HDB said flats selected for HIP can also opt for senior-friendly fittings such as rocker switches, handrails at flat entrances with steps and slip-resistant treatment to toilet floor tiles.

Such elderly-friendly upgrades come under the Enhancement for Active Seniors (Ease) programme. HDB said that since the programme was launched in 2012, about 340,000 households have benefited, and more than $150 million has been spent on such upgrades as of 31 March 2024.

Residents who need such upgrades but whose blocks do not qualify for HIP can still apply for the improvements under the Ease (Direct Application) programme at the HDB website. A site survey will be conducted before the installation of the items.

“Collectively, these improvements help to enhance the safety and comfort of residents living in HDB flats, enabling more of our seniors to age in place, within their homes and community that they are familiar with,” said HDB.

Residents looking at information on the HIP programme in Jurong West on Feb 16.ST PHOTO: NG SOR LUAN
Speaking on the sidelines of the event on Feb 16, Pioneer MP Patrick Tay said that the blocks in Pioneer that will undergo HIP this time are the constituency’s first.

While Pioneer is a newer estate overall, some of its blocks are about 30 years old, he said.

“Some of the residents have (given) feedback on when their HIP will happen,” he said, adding that he was happy with the announcement.

One of the resident who will benefit is Mr Alan Tan, 60, who has lived in Pioneer for more than 22 years. He said that the HIP upgrades will make the estate safer for his elderly parents.

“The toilet (has some) wear and tear, and it is especially slippery. I heard that there will be anti-slip flooring in the toilet, so I’m glad they are doing this,” said Mr Tan.

 

[LITTLEREDDOT]

29,000 older HDB flats to be upgraded in latest round of Home Improvement Programme​

Minister for National Development Desmond Lee speaking during a Chinese New Year event in Pioneer on Feb 16.PHOTO: LIANHE ZAOBAO

Hariz Baharudin
Feb 17, 2025

SINGAPORE – Some 29,000 flats built in 1997 or earlier have been chosen for the Housing Board’s Home Improvement Programme (HIP) and will get structural improvements and upgrades to bathrooms and entrances, among other things.

Announcing the latest round of the programme on Feb 16, HDB said home owners of these flats will be able to opt for senior-friendly fittings such as grab bars and foldable shower seats.

The 371 blocks chosen for upgrades are located in estates that include Choa Chu Kang, Pasir Ris, Tampines and Jurong West, and the Government has allocated more than $407 million for the works.

The HIP was launched in 2007 to spruce up older housing estates. As at March 31, 2024, about $4 billion has been spent on the programme.

Speaking during a Chinese New Year event on Feb 16 in Pioneer, in Jurong West, Minister for National Development Desmond Lee said that, since the launch of the HIP, 494,000 flats, or nine in 10 eligible flats, have been selected for the programme, including the latest batch.

Of these, close to 381,000 flats have been upgraded, HDB said.

“Here in Pioneer, more than 1,200 households across 10 blocks have been selected in this batch of HIP. These blocks are located opposite Jurong Point, at Blocks 687 to 696 Jurong West Central 1,” said Mr Lee.

Some of the flats from Blocks 687 to 696 in Jurong West Central 1 will be included in the Home Improvement Programme.ST PHOTO: NG SOR LUAN
Under the HIP, flats are shortlisted for upgrades based on their age.

A poll is then held among residents, and the works proceed only if at least 75 per cent of Singaporeans living in the blocks vote in favour of the upgrading.

The programme has two main components – essential improvements and optional improvements.

Essential improvements, such as repair of spalling concrete or structural cracks, are meant to ensure the safety of older flats, and are fully paid for by the Government for Singapore citizen households.

Optional improvements, such as new entrance doors and gates, and upgrades to toilets and bathrooms, are subsidised by the Government by up to 95 per cent, depending on the flat type.

For example, one- to three-room HDB flat owners will co-pay $599.50, with the Government’s share being $11,390.50, or 95 per cent of the cost of the full optional improvements package.


HDB said flats selected for the HIP can also opt for senior-friendly fittings such as rocker switches, handrails at flat entrances with steps and slip-resistant treatment to toilet floor tiles.

Such senior-friendly upgrades come under the Enhancement for Active Seniors (Ease) programme.

HDB said that since the programme was launched in 2012, about 340,000 households have benefited, and more than $150 million has been spent on such upgrades as at March 31, 2024.

Residents who need such upgrades but whose blocks do not qualify for the HIP can still apply for the improvements under the Ease (Direct Application) programme at the HDB website. A site survey will be conducted before the installation of the items.

“Collectively, these improvements help to enhance the safety and comfort of residents living in HDB flats, enabling more of our seniors to age in place, within their homes and community that they are familiar with,” said HDB.

Residents looking at information on the HIP programme in Jurong West on Feb 16.ST PHOTO: NG SOR LUAN
Speaking on the sidelines of the event on Feb 16, Pioneer MP Patrick Tay said that the selected blocks in Pioneer will be the constituency’s first blocks to undergo the HIP. While Pioneer is a newer estate overall, some of its blocks are about 30 years old, he said.

“Some of the residents have (given) feedback on the HIP (that will soon take place),” he said, adding that he was happy with the announcement.

One of the residents who will benefit is Mr Alan Tan, 60, who has lived in Pioneer for more than 22 years. He said that the HIP upgrades will make the estate safer for his elderly parents.

“The toilet (has some) wear and tear, and it is especially slippery. I heard that there will be anti-slip flooring in the toilet, so I am glad they are doing this,” said Mr Tan.

 

[LITTLEREDDOT]

PM Wong unveils bumper SG60 Budget for all Singaporeans​

PM Wong, who is also Finance Minister, said the Budget will address current challenges like cost pressures.ST PHOTO: CHONG JUN LIANG

Goh Yan Han
Feb 18, 2025

SINGAPORE – Every Singaporean will receive something from Budget 2025, from vouchers for all adults to personal income tax rebates as part of an SG60 package.

Prime Minister Lawrence Wong on Feb 18 unveiled what he termed “a Budget for all Singaporeans”, which includes expanding existing schemes to benefit more citizens and greater support for seniors as well as the vulnerable.

He also set out measures to grow Singapore’s economy, help workers upskill and meet its green targets.

The broad suite of measures announced tally up to a record $143.1 billion, an increase from the $134.2 billion spent in the 2024 financial year.

This is about 18.7 per cent of Singapore’s gross domestic product, and is in line with projected trends for government spending that is expected to reach about 20 per cent of GDP by 2030.

The moves are financed by changes to the tax system made earlier in this parliamentary term that put Singapore “on a stronger fiscal footing”, and larger-than-expected revenue collections.

Corporate income tax collections were more than expected in the 2024 financial year. It is now the single largest contributor to total government revenue, higher than the net investment returns contribution (NIRC), said PM Wong as he set out the Government’s fiscal position. The NIRC refers to the returns on investments of Singapore’s reserves.

He expects a surplus of $6.8 billion, or 0.9 per cent of GDP, for the 2025 financial year.

“When Singapore thrives, every citizen benefits,” said PM Wong, who is also Finance Minister.

“Every Singaporean is supported from birth to old age, with more support given to those with less. No one is left behind.”

PM Wong said the Budget was “shaped together with all Singaporeans”. It lays out the second instalment of plans on the Forward Singapore agenda, which seeks to keep society strong and united.

He noted that Singapore has to navigate a turbulent external environment, with the US and China locked in a fierce contest for global supremacy. Despite the global uncertainties, the Republic can look ahead with a degree of confidence as it is far stronger than it was 60 years ago, he added.

Noting that 2025 marks the country’s 60th year of independence, PM Wong said: “It has been a remarkable journey, reflecting the grit and resilience of generations of Singaporeans in building our nation.”

Something for all Singaporeans​

He announced a new SG60 package to recognise the contributions of all Singaporeans and share the benefits of the nation’s progress.

In July, all Singaporeans aged 21 to 59 will receive $600 in SG60 vouchers, while those aged 60 and above will get $800. These will function like CDC vouchers.

Under the package, individuals will also get a 60 per cent personal income tax rebate, capped at $200.

All Singaporean babies born this year will get a SG60 Baby Gift, PM Wong added, among other measures in the package.

The hotly anticipated Budget, which comes ahead of an upcoming general election widely expected by mid-year, also tackles top-of-mind issues for Singaporeans such as cost of living pressures and job insecurity.

To alleviate rising costs, PM Wong announced another $800 of CDC Vouchers for all Singaporean households.

The first $500 will be given out in May 2025, while the remaining $300 will be issued in January 2026.


He also announced more utility rebates and credits for families with children to defray household expenses.

While inflation is expected to ease further in 2025, PM Wong acknowledged that Singaporeans are still adjusting to new price realities. “We will continue to provide support for as long as needed, within our means,” he said.

To help parents who have or plan to have three or more children, PM Wong detailed a new Large Families Scheme.

The scheme will disburse $16,000 to such families for each third and subsequent child born from Feb 18, and help to cover pre-school and healthcare expenses as well as household spending.

PM Wong also announced that several schemes will be extended to private property owners, including the climate vouchers programme which all Housing Board households can currently tap to buy energy- and water-efficient household appliances.

HDB households will get an additional $100, on top of the $300 they received last year, while households in private properties will get $400 in climate vouchers.

The Enhancement for Active Seniors (EASE) scheme that provides subsidised senior-friendly fittings and installations in HDB households will be extended to private property households up to 2028, said PM Wong.

Supporting workers, securing the future​

While the Government has taken measures to mitigate the impact of rising costs, the best way in the longer term to adjust to higher prices is to grow the economy and increase productivity, said PM Wong.

Dedicating a significant portion of his Budget speech to new moves to grow the economy, he announced more funding for research and development and a new $1 billion fund to provide more financing options for high-growth local enterprises.


At the same time, workers must be equipped with the skills needed to stay competitive and relevant, said PM Wong.

He said that the SkillsFuture Level-Up Programme, announced in 2024 to support mid-career Singaporeans who are upskilling full-time, will also be extended to part-time training.

The Workfare Skills Support scheme, which currently covers short courses for lower-wage workers, will have an enhanced tier of support that covers longer-form courses, he added.


The Prime Minister also outlined measures to support more vulnerable groups of workers, including older workers, ex-offenders looking to reintegrate into society, and persons with disabilities.

PM Wong said the Budget also lays the groundwork for the country to become stronger and more resilient.

It includes measures to tackle climate change, like a $5 billion top up to the Coastal and Flood Protection Fund. The fund covers long-term plans such as land reclamation for Long Island and structures like sea walls and tidal gates.


Singapore will need to have its own domestic sources of clean power to ensure greater energy resilience, PM Wong said, adding that the country will study the potential deployment of nuclear power and take further steps to systematically build up capabilities in this area.

Apart from plans to access more sources of clean energy, the government will accelerate efforts to decarbonise the transport sector, he said.

It will roll out a new emissions scheme and electric charging grant to incentivise the purchase of clean energy variants of heavy vehicles. Adoption of such vehicles has been slower compared with that of electric and hybrid cars.

Singapore will continue to improve its public transport system, said PM Wong, noting that $60 billion will be invested in this decade to grow and renew the rail network.

“We are continuing to study how our rail network can be expanded,” he added.


Concluding his speech, PM Wong said Singaporeans have to brace themselves for new challenges in the next phase of nation-building.

The country has confronted tough external circumstances repeatedly over the last six decades, and “we can draw confidence from what we’ve been through together”, he added.

At every turn, Singaporeans have chosen determination over despair, innovation over stagnation, and solidarity over division, said PM Wong.

“Budget 2025 sets out clear plans for us to continue this journey with confidence.”

 

[True Believer]

 

[True Believer]

 

[LITTLEREDDOT]

Budget 2025 both generous and responsible, say experts​

Measures in the Budget for hawkers show Singapore is committed to preserving its hawker culture, said an expert.ST PHOTO: JASON QUAH
Anjali Raguraman and Hariz Baharudin
Feb 19, 2025

SINGAPORE – From private home owners and hawkers to those interested in sports and the arts, the Budget measures announced on Feb 18 provide support across diverse segments of society, reinforcing Prime Minister Lawrence Wong’s promise of a “Budget for all Singaporeans”.

Experts, observers and MPs told The Straits Times that the speech was notably comprehensive, reflecting the Government’s commitment to ensuring that no Singaporean would be left behind.

Several noted how the announcements made by PM Wong cast the spotlight on groups that are not typically featured, highlighting its inclusivity and broad reach.

Calling it an “even-handed approach Budget” that focuses on the social dimension as well as the economic dimension, Singapore Management University (SMU) law don Eugene Tan said that Budget 2025 seeks to get the balance right in dealing with top-of-mind concerns.

“It also attempts to recognise the concerns, needs and aspirations of different generations, as well as ensures the equitable distribution of the country’s wealth between those in public and private housing,” he said.

Experts noted that several giveaways are extended to private property owners, a group that sometimes feels left out when goodies are distributed.

PM Wong announced that all Singaporean families living in private property will receive $400 worth of vouchers to buy eco-friendly household appliances as an expansion of the existing Climate Friendly Households Programme.

Separately, he also said that the Enhancement for Active Seniors programme, which sees the Government pay for upgrades to homes to be fitted with age-friendly features, will also be extended to seniors living in private property.

Private home owners are often perceived as being able to take care of themselves, but the announcements show that some of them could be in need of help, said Mr Song Seng Wun, economic adviser at CGS International.

“Many are asset-rich but cash-poor. Because we have fiscal flexibility, the Government can afford to extend some support,” he said.

A slice of the Budget pie is set aside for hawkers, which shows that Singapore is committed to preserving its hawker culture, said Mr Song.

PM Wong announced $600 in one-time rental support for each hawker stall in centres managed by the Government or government-appointed operators.

In addition, up to $1 billion will be allocated over the next 20 to 30 years to the upgrading of ageing hawker centres and the building of new ones.

“Placing the measures for hawkers in the same statement as other key measures in the Budget gives it a certain importance,” said Mr Song.

Former offenders are another group that will benefit from Budget 2025. PM Wong said that the Uplifting Employment Credit, which provides a wage offset of up to 20 per cent of local former offenders’ wages for the first nine months, will be extended by another three years.

Bishan-Toa Payoh GRC MP Saktiandi Supaat, who is also Maybank’s head of foreign exchange research, said that this is good news, given how he has been advocating more support for former offenders.

Mr Saktiandi said that, together with targeted measures like additional financial support for large families and those in the middle-income groups, the Budget is a “forward-looking” one that extends assistance to those who need it.

“The broader aim of the announcements is to provide targeted help where needed,” he said.

Experts noted that Singapore’s strong fiscal position allows for more wiggle room for spending on other areas of Singaporean lives, such as arts and sports.

Referencing the newly introduced SG Culture Pass that will be rolled out in September 2025, CGS International’s Mr Song noted that Singapore has “reached a stage where we can have better work-life balance”.

In June, there will be a one-off $100 ActiveSG credit top-up to encourage participation in sports.

“(The Government is) spending on how to improve the way we work, how we play... Especially since people are living longer, work-life balance has become more important,” he said.

Given that the Budget came ahead of the upcoming general election, observers told ST that generous giveaways were largely anticipated.

But they noted that the measures also signal a long-term strategy to support everyday Singaporeans, families, workers and businesses amid an increasingly complex global landscape.

Associate Professor Tan Ern Ser, adjunct principal research fellow at IPS Social Lab, highlighted the quantum of CDC and SG60 vouchers announced in Budget 2025.

PM Wong announced that some 1.3 million Singaporean households will each get $800 in CDC vouchers, with $500 to be disbursed in May and the remaining $300 in January 2026.

All Singaporeans aged between 21 and 59 in 2025 will also get a one-time $600 handout in the form of SG60 vouchers, while seniors aged 60 and above will get $800.

“The amount of CDC vouchers for households, together with the SG60 vouchers for individuals, does come across as rather generous,” said Prof Tan.

The rising cost of living was addressed by the Budget, said Mr Yip Hon Weng, MP for Yio Chu Kang, who called the amount given out in the various vouchers “quite substantial”.

“There is a cost-of-living issue. The vouchers will come in handy for those really feeling the pressure daily. I think it will be well received on the ground,” he said.

SMU’s Prof Tan said that the announcement of the vouchers suggests that the Government recognises the persistent issue of costs, and that this is likely to be a significant issue in the upcoming general election.

The vouchers will help to some extent, but the feeling persists that Singapore has become too expensive, he added.

“The irony of the handouts is that the Budget statement seems to confirm this perception. Moreover, such help will be seen more as ‘Band-Aid’ and (the question is) whether the root causes can be better addressed,” said Prof Tan.

More on this Topic
Budget 2025: All you need to know about the eight SG60 goodies, and how to get themBudget 2025: A bonanza Budget with no pain, and no red ink
Most observers agreed that despite the generous giveaways, the Government is still spending responsibly and within its means.

Mr Song said that it is common for politicians around the world to give out more handouts ahead of an election. “The key difference is that Singapore is spending within its means – using what we have today, not borrowing from the future,” he said.

Business associations such as the Singapore International Chamber of Commerce (SICC) said that this is a Budget that comes from a position of fiscal strength, and one with a vision to maintain that strength.

This would enable Singapore to address longer-term issues such as a rapidly ageing population, while staying nimble in a tough international environment.

“No segment of citizen society is left behind in this well-constructed, generous and impactful Budget... It balances short-term needs with long-term infrastructural and societal needs,” SICC said.

“It is bold, and demonstrates a government operating from a position of strength in the interests of the citizens of this country and its economy.”

 

[LITTLEREDDOT]

An election Budget? Maybe not in the way you think​

Tham Yuen-C

PM Lawrence Wong unveiled a bonanza of vouchers, credits, tax rebates and top-ups for Singaporeans on Feb 18.ILLUSTRATION: CHNG CHOON HIONG, ADOBE STOCK
Feb 19, 2025

SINGAPORE - There is little doubt Budget 2025 is an election Budget.

After all, we are in an election year, with the constitutional deadline to go to the polls in November.

Of course, Budgets are dubbed election Budgets not just because they happen to fall in an election year.

The phrase is bandied about whenever there are goodies galore, and Prime Minister Lawrence Wong on Feb 18 unveiled a bonanza of vouchers, credits, tax rebates and top-ups for Singaporeans.

To celebrate Singapore’s 60th year of independence, he introduced an SG60 package to recognise the contributions of all Singaporeans and to share the benefits of the nation’s progress. Under the package’s headline measure, every Singaporean adult will get $600 worth of SG60 vouchers, with seniors aged 60 and older getting $200 more.

Every Singaporean household will get an additional $800 in CDC vouchers to provide relief from rising cost pressures, as Singaporeans adjust to the new price realities caused by the sharp rise in global inflation when the war in Ukraine broke out.

“We will continue to provide support for as long as needed, within our means,” PM Wong said, adding that inflation in Singapore has already come down and is expected to ease further.

These two voucher schemes alone will cost the Government about $3 billion.

In addition, there will be a 60 per cent personal income tax rebate capped at $200 for Year of Assessment 2025, designed to benefit those who earn less, as well as SG Culture Pass credits and ActiveSG credits for people to pay for cultural and sporting pursuits.

Children will also benefit, in the form of $500 in LifeSG Credits for the younger ones aged 12 and below, and $500 in Edusave and Post-Secondary Education Account top-ups for those who are 13 to 20 years old.

Even Singaporeans living in private property will get more this year. For the first time, they, too, will get climate vouchers worth $400.

It is a Budget that truly lives up to the tagline of a “Budget for all Singaporeans”.

Such largesse is often viewed with suspicion, drawing refrains of “election Budget”. The implication is that the goodies will result in a better showing at the voting booth.

But this connection is perhaps too simplistic, given that voters are motivated by different concerns. If past Budgets in election years are any guide, Budget goodies have not always resulted in better outcomes at the polls for the ruling party.

In the 2011 Budget, for instance, up to $800 in growth dividends was handed out to every Singaporean. The general election that year was when the PAP lost a group representation constituency for the first time.

It is perhaps also an overly cynical view of the Government, since the extra money given out at such end-of-term Budgets has more to do with prudent husbandry and cumulative surpluses.

Under the Constitution, the Government has to balance the Budget over its full term. It already knows it will end the 2024 financial year with a surplus of $6.4 billion, and expects to end the 2025 financial year with an even bigger surplus of $6.8 billion.

Surpluses earned in one term of government cannot be carried over to the new term of government, which means the Government can afford to be more generous and give back some of the extras to Singaporeans.

But a focus on just the hongbao and handouts would be missing the wood for the trees.

For the Budget goes beyond appealing to individual interests, to ensuring that Singapore can lay the groundwork for a better future.

To this end, PM Wong also announced measures to tip the balance in Singapore’s favour and overcome challenges.

Bold moves were made in this Budget to enhance Singapore’s enterprise ecosystem. A Global Founder Programme will be launched later this year to encourage experienced entrepreneurs to anchor and start new ventures in Singapore.

There is also the new Enterprise Compute Initiative that will put in up to $150 million to help businesses access computing power so they can leverage artificial intelligence to transform.

On the infrastructure front, another $5 billion will be set aside to top up the Changi Airport Development Fund, so that Singapore can sustain its position as an air hub – a key pillar in the nation’s hub-economy strategy.

Looking further ahead, PM Wong also announced measures to protect Singapore against climate risks such as coastal flooding and to improve energy resilience through studying the potential deployment of nuclear energy here, among other things. The Coastal and Flood Protection Fund and the Future Energy Fund will each receive a $5 billion top-up.

There are also concrete steps taken to further strengthen the social support system, such as higher subsidies for long-term care services for seniors and for adult disability services.

Although PM Wong, who has been Finance Minister since 2021, has announced three other Budgets previously, this one has added significance.

It is his first as both Prime Minister and Finance Minister, and the moves unveiled will further make concrete the vision – first painted in the Forward Singapore exercise he led – of a nation that is dynamic, caring and inclusive, where people have good jobs, and where no one is left behind.

As PM Wong said, the 2025 Budget incorporates the aspirations and views of Singaporeans.

So, while the goodies will be welcomed by those dealing with cost-of-living pressures and other immediate concerns, this Budget is much more than that.

As a Budget for all Singaporeans, it goes beyond immediate gratification and prepares the ground for longer-term goals.

And that may just be what an election Budget calls for.

 

[True Believer]

The hoi polloi will benefit the most from Budget 2025.