Assessment of Institutions that Qualify for Tapping on Child Development Account

Ms Rahayu Mahzam asked the Minister for Social and Family Development (a) how assessment is made to determine which education, healthcare or service provider is included in the list of approved institutions for the use of the Child Development Account (CDA); and (b) whether there are any plans to expand the categories of usage and/or the list of approved institutions.

The Child Development Account (CDA) is part of the Government's Baby Bonus scheme, which supports parents by defraying part of the costs of raising children. CDA funds are intended to support the developmental needs of children, such as for preschool and healthcare. To participate as a Ministry of Social and Family Development (MSF)-approved Baby Bonus Approved Institution, the education, healthcare or service provider must be licensed or registered by its respective governing body. For example, childcare centres must be licensed by the Early Childhood Development Agency (ECDA) under the Child Care Centres Act, while clinics must be licensed by the Ministry of Health under the Private Hospitals and Medical Clinics Act.

This helps to ensure that the services and products offered by the Approved Institution (AI) meet regulatory standards, which include proper administration and quality checks. MSF may revoke the approval granted to any institution if it is no longer in the public interest for it to participate as an AI.

The Government regularly reviews the CDA scheme. In July 2012, the approved uses of the CDA were expanded to cover healthcare items at pharmacies, eye-related products and services at optical shops, assistive technology devices and education expenses, such as the purchase of uniforms and preschool registration fees. We welcome more eligible providers to participate as an AI, to help defray the cost of parenthood and make Singapore a great place for families.