Economy & business — Topics

10 Jan 2023

Expected Change in Output of Non-sustainable Products in Jurong Island from 2019 Levels

Leon Perera asked the Minister for Trade and Industry about the expected change in output of non-sustainable products on Jurong Island compared to 2019 levels by 2030 and 2051.
The Sustainable Jurong Island strategy targets a 1.5-fold increase in sustainable product output by 2030 and a four-fold increase by 2050 compared to 2019 levels.
Growth in sustainable products is projected to outpace that of all other products as companies pursue green growth and emissions targets.
The response did not provide specific figures for non-sustainable product output changes, focusing instead on the growth of sustainable products.

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10 Jan 2023

Breakdown of Government Land Sales Revenue by Usage

Assoc Prof Jamus Jerome Lim asked the Minister for Law for the proportion of Government land sales revenue attributed to commercial, industrial, private residential, and public residential (HDB) sites over the past five years.
The Minister stated that state land sales to the private sector under the Government Land Sales Programme averaged $5.5 billion annually from FY2017 to FY2021, with detailed tender data available on agency websites.
Sales to HDB for public housing do not fall under the GLS and should be referenced through HDB’s annual financial statements.
Proceeds from land sales are converted from physical land reserves into monetary reserves and cannot be used by the Government, as state land is part of past reserves.
The Government Land Sales Programme includes commercial, industrial, private residential, mixed-use, and other site types, with sales conducted by HDB, URA, and JTC Corporation.

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10 Jan 2023

Applications to Inclusive Business Programme In Support of Employment of Persons with Disabilities

Two businesses successfully applied for and were approved under the Inclusive Business Programme since its launch in 2019, receiving HDB shop spaces and a 20% rental discount for the first three years.
The government provides employment support through the Open Door Programme, which includes job placement, job support services, grants, and wage support via the Enabling Employment Credit.
Enabling Business Hubs are being developed to offer employment training, employer engagement, and on/offsite employment opportunities closer to where persons with disabilities live.

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10 Jan 2023

Proceeds Paid by HDB for Land for Public Housing

Assoc Prof Jamus Jerome Lim asked whether HDB's payments to SLA for public housing land generate net revenue and, if so, the average annual net revenue over the past five years.
Lawrence Wong explained that state land sold to HDB is a conversion from a physical to a financial asset, with proceeds protected as past reserves and not available as revenue for the Budget.
Consequently, there is no net revenue available for spending from HDB's land payments for public housing development.

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10 Jan 2023

Subscription to the International Development Association

Singapore authorized a US$70 million subscription to the International Development Association's 20th Replenishment, maintaining its 0.20% contribution share to support least developed countries.
The Second Minister for Finance highlighted Singapore's history of contributing to IDA and other global institutions, framing the subscription as part of a balanced approach to international aid that prioritizes national needs while giving back to the global community.
Assoc Prof Jamus Lim supported the motion and suggested creating a dedicated Singapore foreign aid agency, "SingAid," to systematize and target development assistance more directly to regional neighbors.
The Minister responded that Singapore already engages through various multilateral institutions and direct contributions, emphasizing a prudent, flexible approach without committing to a new agency, due to resource constraints and the effectiveness of existing frameworks.

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10 Jan 2023

Skills Development Levy (Amendment) Bill

The Minister of State for Education introduced the Skills Development Levy (Amendment) Bill, noting its connection to the previously debated SkillsFuture Singapore Agency (Amendment) Bill.
The Minister explained that the amendments in both bills had been detailed earlier and invited additional questions or views from Members.
The Bill proceeded through Second Reading, Committee of the whole House, and Third Reading without amendments, ultimately being passed.

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10 Jan 2023

Factors in Determination of Value of Land for Public and Private Housing

The Minister explained that the Chief Valuer determines fair market value for HDB land using established valuation principles based on relevant public housing transactions, not private land comparables, resulting in lower premiums for public housing due to its inherent restrictions.
He rejected a proposal to value land at historical cost, arguing it would unfairly diminish asset values, undermine national reserves, and contradict professional valuation standards, while emphasizing that HDB flat prices are not tied to cost recovery and subsidies are adjusted to maintain affordability.
The Chief Valuer's office is constitutionally independent, and the government ensures BTO flat prices remain stable despite resale market fluctuations by adjusting subsidies and grants, though detailed subsidy figures are not publicly broken down due to varying individual circumstances.

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10 Jan 2023

Impact of COVID-19 Situation in China on Key Supply Chains for Singapore

The Minister of State for Trade and Industry stated that while no major sustained disruptions to essential supply chains are anticipated from China's COVID-19 situation, some short-term localized disruptions in production and supply are possible.
Singapore companies have been advised to strengthen business continuity plans and supply chain resilience, including diversifying suppliers and building inventory buffers to mitigate potential disruptions.
Key imports from China, such as electronics, machinery, and metals, are monitored closely, and ongoing collaboration with economic agencies and companies aims to address any short-term price or financial impacts.
The government’s sensing, based on engagement with companies and suppliers, indicates confidence that disruptions will be managed given the preparations made since early 2020.

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10 Jan 2023

Ex-offenders Assisted under Jobs Growth Incentive Scheme

Approximately 2,300 ex-offenders were hired under the Jobs Growth Incentive (JGI) scheme up to May 2022, with the top industries being environmental services, logistics, food services, wholesale trade, construction, retail, professional services, food manufacturing, precision engineering, and real estate.
The JGI, an extraordinary measure introduced during COVID-19, will expire on 31 March 2023 and is not planned to be permanent, but the government is reviewing future support while other existing employment measures by Yellow Ribbon Singapore will continue beyond the expiry.
The Minister highlighted that many ex-offenders remain employed nine months after placement and that the government is exploring ways to encourage more employers to hire them, including through training, placement services, and partnerships, while considering the member's suggestions for post-JGI incentives.

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9 Jan 2023

Reason behind Approach to Monthly Computation of CPF Interest Payments Using Lowest Amount Balance

Assoc Prof Jamus Jerome Lim asked the Minister for Manpower about the justification for computing CPF interest payments monthly using the lowest balance and whether there have been considerations to change the compounding frequency.
Tan See Leng explained that the CPF system is designed to meet members' retirement, healthcare, and housing needs, with interest rates determined holistically considering technical computation methods and floor rates.
The Government provides generous interest rates even in low-interest environments, including extra interest on the first $60,000 of combined balances and additional interest for post-55 members.
While changing the computation method could marginally increase interest payments, the existing measures already provide higher interest and a greater boost to CPF savings.
The Government acknowledges evolving industry practices and will review CPF interest rates periodically to ensure they remain relevant to members' needs and the operating environment.

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9 Jan 2023

Advertisement Spending on Traditional and Online Media

Leong Mun Wai asked for detailed annual government advertising spending from 2011 to 2021 across traditional media, online media, and influencer-sponsored content, as well as total impressions and clicks for each medium.
Mrs Josephine Teo responded that prior to 2018, the government did not track total online ad spending as ministries managed their own budgets, but since October 2018, MCI has been able to track a significant portion through whole-of-government procurement.
Government advertising spending was estimated at $150–175 million in FY2019 (about 0.2% of total expenditure), rising 30–50% in FY2020 and FY2021 due to COVID-19 communications, including vaccination campaigns and support scheme information.
For the first half of FY2022, estimated ad spending was $50–75 million, with over half going to traditional media; further breakdowns are withheld for market sensitivity.
MCI does not track total impressions and clicks for all government ads but provided examples like vaccination campaigns that achieved millions of views and high public approval, with polls indicating strong awareness and acceptance of government messaging.

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9 Jan 2023

Amount of Housing Grants and Subsidies Required for Launching Up to 100,000 New BTO Flats

Pritam Singh sought the total dollar value of housing grants and subsidies and the number of flats for up to 100,000 new BTO flats from 2021 to 2025 in mature and non-mature estates.
Desmond Lee explained that the Ministry does not provide detailed estimates beyond the current timeframe due to planning flexibility, site constraints, and the need for further reviews.
He emphasized that BTO flats remain affordable, with first-time buyers typically using CPF to cover mortgages with minimal cash outlay and favorable home price-to-income ratios compared to international benchmarks.

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9 Jan 2023

Amount of Housing Grants and Subsidies Allocated by HDB for BTOs Flats and Number of BTO Flats Constructed Each Year

Pritam Singh requested the total dollar value of housing grants and subsidies allocated by HDB for BTO flats from 2010 to 2022, broken down by mature and non-mature estates, and the number of BTO flats constructed each year.
Desmond Lee explained that HDB applies significant market subsidies to ensure affordability, which vary by project and market conditions, and highlighted that BTO flat prices remain stable despite resale price increases.
HDB provides additional grants like the Enhanced CPF Housing Grant of up to $80,000, and publishes comparative resale flat prices to show the subsidy effect.
The government ensures BTO affordability, with first-time buyers often using CPF for mortgage payments and maintaining home price-to-income ratios around four to five, which is lower than global benchmarks.
A table was referenced detailing CPF housing grants and the number of flats commenced each year from 2010 to 2021, though the specific numbers were not listed in the speech.

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9 Jan 2023

Data on Housing Grants Awarded to First-time Buyers of BTO and Resale Flat

The Minister confirmed significant housing grants are available, with up to $80,000 for BTO flats and $160,000 for resale flats for first-time buyers, last enhanced in 2019 and reviewed regularly for affordability.
Specific percentile data on grant amounts for first-time BTO and resale flat buyers from 2018 to 2022 were provided in Tables 1 and 2, as requested by the MP.
The grants are structured to provide more assistance to lower-income buyers, ensuring broad affordability across different income segments.

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9 Jan 2023

Number of Construction Workers Required to Sustain Level of Development and Projected Shortfall for Construction Manpower in 2023

The Minister stated that the number of construction work permit holders in Singapore exceeded pre-COVID levels by about 15% as of end-2022, due to eased entry requirements and firms catching up on delayed projects.
The Built Environment Industry Transformation Map aims to improve productivity and reduce reliance on a large, manpower-intensive workforce, with initiatives like enhancing the Buildability framework to mandate Design for Manufacturing and Assembly (DfMA) for large projects.
The Building and Construction Authority supports firms in adopting DfMA technologies such as precast and PPVC, and has extended the Productivity Innovation Project scheme to co-fund up to 70% of costs for newer technologies.

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9 Jan 2023

Increasing Supply of Fresh Chickens from Malaysia or Indonesia in View of Higher Demand during Festive Seasons

Joan Pereira asked whether there are efforts to increase fresh chicken supply from Malaysia or Indonesia during festive seasons and if these efforts can keep prices stable.
Grace Fu highlighted Singapore's heavy reliance on imported food and noted importers stock up early to meet festive demand while SFA accredits new chicken sources to ensure supply stability.
She emphasized that chicken prices are influenced by global market forces, including geopolitical issues and supply chain disruptions, and encouraged consumers to consider alternatives like frozen or processed chicken.

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9 Jan 2023

Impact of G7 Price Cap Policy on Crude Oil on Singapore's Oil and Gas Industry

Shawn Huang Wei Zhong asked the Minister for Trade and Industry if the G7's crude oil price cap policy would impact Singapore's oil and gas industry.
Gan Kim Yong responded that Russian crude oil imports only accounted for about 2% of Singapore's total from 2017 to 2021, so no significant direct impact is expected on the Energy and Chemicals sector.
He added that no adverse feedback from companies has been received regarding the policy.
The Ministry of Trade and Industry and Monetary Authority of Singapore have issued an advisory for companies to consider potential operational impacts from the policy.

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9 Jan 2023

Ensure Companies under Manpower Strategic Economic Priorities Scheme are Committed to Hiring or Training Locals

Shawn Huang asked how the government ensures companies under the Manpower for Strategic Economic Priorities scheme hire and train locals appropriately, monitor compliance with Condition 2 after approval, and track local employment and training efficacy during renewal.
Gan Kim Yong stated that this question was already addressed in the combined oral reply to Questions 6 to 13 from the 9 January 2023 sitting.
The debate highlights concerns about accountability and effectiveness in ensuring local employment and training under the scheme.
No new details or commitments were provided in this exchange, as the matter was previously covered in parliamentary proceedings.

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9 Jan 2023

Reasons for Capital Injections into Temasek Holdings in Last 20 Years

Over the last 20 years, the Ministry of Finance invested about S$70 billion in new Temasek shares, with roughly S$50 billion coming from Temasek’s dividends to the shareholder.
These capital injections are part of the Government’s strategy to allocate funds across Temasek, GIC, and MAS, considering liquidity needs and long-term risk-adjusted returns.
The investments are reflected in Temasek’s audited public accounts and do not impact how Temasek’s Total Shareholder Returns are computed, as the returns metric deducts any Government capital injections.

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9 Jan 2023

Higher Rebates for Property Tax for Owner-occupied HDB Flats to Offset Increase in Property Taxes

Joan Pereira proposed higher property tax rebates for owner-occupied HDB flats to offset rising taxes, beyond a one-off $60 rebate.
Lawrence Wong explained that property tax increases are due to rising annual values (AVs) of HDB properties, but 1- and 2-room flat owners remain tax-exempt as their AVs stay below $8,000.
The government introduced a one-off 60% rebate, capped at $60, to cushion the impact, with lower AV flats benefiting more (e.g., 3-room flats pay $21–$40 annually post-rebate).
The property tax system remains progressive, with higher rates for higher-value properties and non-owner-occupied units, ensuring those with greater means contribute more.

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