Treatment for Recurrent Spending When Expensed as Development Expenditure Versus as Part of Ongoing Expenditure

Debated in Parliament on 6 Feb 2023.

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Assoc Prof Jamus Jerome Lim asked whether there is a protocol for how recurrent spending is categorized when expensed as development expenditure versus ongoing expenditure.
Lawrence Wong explained that the Government allocates funds from the Budget to specific funds for long-term commitments like R&D and major projects, which are expensed similarly to direct expenditures.
Expenditures from these funds are audited and reported in Government or Statutory Boards’ Financial Statements presented to Parliament.
The allocation process is done prudently when the Budget permits to ensure adequate funding for significant long-term needs.
No separate protocol was mentioned for distinguishing recurrent spending categories, with accounting treated uniformly across fund allocations and direct spending.

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Assoc Prof Jamus Jerome Lim

Assoc Prof Jamus Jerome Lim asked the Deputy Prime Minister and Minister for Finance whether the Ministry follows any protocol when recurrent spending is expensed as part of development expenditure from designated development funds versus when it is expensed directly as part of ongoing expenditures.

Lawrence Wong

As and when necessary, the Government allocates moneys from the Budget to specific funds to meet our various expenditure commitments. We do this for specific areas of spending where a significant amount of long-term funding is required, like R&D, coastal protection, or major development projects, and it would be prudent to save and set aside monies into these funds from time to time, when the Budget permits.

Accounting-wise, allocations into these funds are expensed in the same manner as direct expenditures from the Government. The annual expenditures from the funds are audited and reported in either the Government Financial Statements or the relevant Statutory Boards’ Financial Statements and these statements are presented to Parliament.

Summary written by AI (learn more)

Assoc Prof Jamus Jerome Lim asked whether there is a protocol for how recurrent spending is categorized when expensed as development expenditure versus ongoing expenditure.
Lawrence Wong explained that the Government allocates funds from the Budget to specific funds for long-term commitments like R&D and major projects, which are expensed similarly to direct expenditures.
Expenditures from these funds are audited and reported in Government or Statutory Boards’ Financial Statements presented to Parliament.
The allocation process is done prudently when the Budget permits to ensure adequate funding for significant long-term needs.
No separate protocol was mentioned for distinguishing recurrent spending categories, with accounting treated uniformly across fund allocations and direct spending.

Questions identified by AI (learn more)

Treatment for Recurrent Spending When Expensed as Development Expenditure Versus as Part of Ongoing Expenditure | PAPERCUTS

Treatment for Recurrent Spending When Expensed as Development Expenditure Versus as Part of Ongoing Expenditure

Debated in Parliament on 6 Feb 2023.

Summary written by AI (learn more)

Assoc Prof Jamus Jerome Lim asked whether there is a protocol for how recurrent spending is categorized when expensed as development expenditure versus ongoing expenditure.
Lawrence Wong explained that the Government allocates funds from the Budget to specific funds for long-term commitments like R&D and major projects, which are expensed similarly to direct expenditures.
Expenditures from these funds are audited and reported in Government or Statutory Boards’ Financial Statements presented to Parliament.
The allocation process is done prudently when the Budget permits to ensure adequate funding for significant long-term needs.
No separate protocol was mentioned for distinguishing recurrent spending categories, with accounting treated uniformly across fund allocations and direct spending.

Questions identified by AI (learn more)

Full Transcript

Assoc Prof Jamus Jerome Lim

Lawrence Wong

Summary written by AI (learn more)

Assoc Prof Jamus Jerome Lim asked whether there is a protocol for how recurrent spending is categorized when expensed as development expenditure versus ongoing expenditure.
Lawrence Wong explained that the Government allocates funds from the Budget to specific funds for long-term commitments like R&D and major projects, which are expensed similarly to direct expenditures.
Expenditures from these funds are audited and reported in Government or Statutory Boards’ Financial Statements presented to Parliament.
The allocation process is done prudently when the Budget permits to ensure adequate funding for significant long-term needs.
No separate protocol was mentioned for distinguishing recurrent spending categories, with accounting treated uniformly across fund allocations and direct spending.

Questions identified by AI (learn more)

Treatment for Recurrent Spending When Expensed as Development Expenditure Versus as Part of Ongoing Expenditure

Summary

Questions Identified

Full Transcript

Assoc Prof Jamus Jerome Lim

Lawrence Wong

Summary

Questions Identified

Treatment for Recurrent Spending When Expensed as Development Expenditure Versus as Part of Ongoing Expenditure

Summary

Questions Identified

Full Transcript

Assoc Prof Jamus Jerome Lim

Lawrence Wong

Summary

Questions Identified