Economy & business — Topics

6 Jan 2020

Local Companies that List Outside of Singapore

Mr Ang Wei Neng asked for data on Singapore companies listing abroad, SGX listing and delisting figures over the past decade, and strategies to attract more listings.
Tharman Shanmugaratnam replied that SGX is strong in derivatives and REITs but cash equities growth is slower due to global trends like fewer IPOs and more companies staying private, with 279 listings and 302 delistings on SGX from 2009–2019.
He noted no ready statistics on Singapore companies listing overseas and outlined SGX’s multi-prong approach, including enhancing liquidity, cross-border partnerships, dual-class shares, private market platforms, and investor outreach.
MAS supports these efforts through the S$75 million GEMS grant, co-funding listing costs for tech and high-growth firms and funding research coverage expansion, with seven grants approved so far.

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6 Jan 2020

Success Rate of Debt Recovery by Official Assignee Over Past 10 Years

The Official Assignee’s average debt recovery rate over the past 10 years was 4%, reflecting the limited ability of bankrupt individuals to pay their debts.
Less than 1% of bankruptcy cases involve overseas assets, and recovery is pursued only when information is complete and viable, otherwise creditors may appoint a private trustee.
The Debt Repayment Scheme, introduced in 2009, has an 85% average recovery rate and is available to debtors with regular income and unsecured debt up to $100,000.
The Official Assignee balances creditor interests with allowing bankrupts a fresh start, exercising prudence to avoid unnecessary costs to the estate or public purse.
The Ministry encourages lenders to exercise prudence in extending credit to prevent over-indebtedness.

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6 Jan 2020

Adoption of Prefabricated Prefinished Volumetric Construction (PPVC) Method of Construction in Singapore

Since 2013, over 50 public and private sector projects in Singapore have adopted the PPVC construction method, with the government promoting its use through lead demand, incentives, and industry capability building.
More than $15 million in grants has been disbursed under the Productivity Innovation Project scheme to support PPVC-related firms and projects, alongside $5 million for PPVC-related training.
The number of approved PPVC suppliers has grown from three to 32 over six years, reflecting efforts to build local production capacity and industry expertise through training, workshops, and guides.
Challenges in adopting PPVC include managing cost premiums, which the government aims to lower long-term through multi-pronged strategies like productivity conditions and financial incentives.

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6 Jan 2020

Review of Grab's Upfront Cash Programme Offered to Delivery Riders

Minister K Shanmugam confirmed the Ministry of Law is reviewing Grab’s Upfront Cash Programme to assess the reasonableness of its administrative charges and their comparison to moneylenders and banks.
The programme allows selected Grab delivery partners to receive incentive payments in advance, subject to an administrative fee of 5% to 10% with no further interest charges.
Licensed moneylenders may charge up to 10% administrative fee and 4% monthly interest, while bank credit costs vary, but direct comparisons are cautioned due to differing terms and features.
The Ministry will further engage Grab and evaluate potential measures, advising riders to carefully review programme terms and their ability to meet financial commitments before participating.

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6 Jan 2020

Measures to Enhance Income Mobility and Reduce Income Inequality

The government is strengthening social mobility by focusing on economic growth, innovation, and productivity to create good jobs with sustained wage increases.
Upstream investments include enhancing preschool subsidies, expanding KidSTART, and broadening education pathways like Work-Study Programmes and SkillsFuture to support lifelong learning.
Support for lower-wage workers is being intensified through the Adapt and Grow initiative, Workfare Income Supplement, and the Progressive Wage Model.
Public housing policies promote social inclusion by ensuring integrated estates and providing more support for families in rental housing and homeownership.
Recent data shows broad-based income growth and better social mobility compared to other advanced economies, with ongoing reviews to enhance programmes for all Singaporeans.

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6 Jan 2020

Healthcare Services Bill

Senior Minister of State Edwin Tong assured that the new Healthcare Services Bill will not transfer additional costs to patients, emphasizing that the transition is not a revenue-generating mechanism and most existing providers will see no change or a decrease in fees.
MOH will support all licensees, including smaller providers, through a seamless transition from the old to the new licensing regime without requiring new applications or extra fees, with clear guidance provided.
For the few providers facing higher fees, mainly those offering new licensable services, increases will be spread over three renewal cycles, and the Bill aims to balance patient safety with a flexible regulatory framework for evolving healthcare needs.

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6 Jan 2020

Banking (Amendment) Bill

The Banking (Amendment) Bill removes the long-standing Domestic Banking Unit (DBU) and Asian Currency Unit (ACU) divide, which is no longer relevant due to global regulatory reforms and enhanced domestic oversight.
The Bill consolidates the regulation of merchant banks under the Banking Act, establishing a new licensing framework distinct from banks to streamline oversight.
The amendments expand MAS’s grounds for revoking bank licences, including on public interest, and enhance supervisory powers over outsourcing arrangements and other emerging risks.
Members raised questions on the use of the public interest ground for licence revocation, fit-and-proper requirements for credit card licensees, and definitions for related-party transactions, with the Minister clarifying MAS’s judicious and risk-based approach.
While climate risk and green finance were not within the Bill’s scope, the Minister noted MAS’s ongoing efforts, including upcoming guidelines on environmental risk management and support for sustainable finance solutions.

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6 Jan 2020

Total Factor Productivity (TFP)’s Contribution to GDP Growth in Past 10 Years

Total Factor Productivity (TFP) grew 0.5% annually from 2008 to 2018, contributing about 12% of Singapore's GDP growth, with a faster pace of 0.9% per year since 2016.
Singapore's TFP performance is comparable to or stronger than other developed countries like Germany and the US, with the recent improvement attributed to economic restructuring, innovation, and skills development through initiatives like SkillsFuture.
The government affirmed that economic growth and job creation have primarily benefited Singaporeans, supported by policies like the Fair Consideration Framework and Industry Transformation Maps, while balancing the need for foreign talent to complement the local workforce.

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6 Jan 2020

New Jobs Filled by Singaporeans, PRs and Foreigners in Industries Covered by Industry Transformation Maps (ITMs)

Mr Pritam Singh asked for a breakdown of new jobs filled by Singaporeans, PRs, and foreigners in each Industry Transformation Map (ITM) sector, including data since the ITMs began.
The Minister of State for Manpower responded that employment changes in ITM sectors from 2015 to 2018 saw an increase of 39,300 Singapore Citizens and 8,600 PRs, alongside a decrease of 28,500 foreigners, excluding foreign domestic workers.
The government emphasized that medium- to long-term employment outcomes are more meaningful for assessing ITM impact and highlighted initiatives like Adapt and Grow that helped 93,000 locals transition into new jobs.

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6 Jan 2020

Impact of US-China Phase 1 Trade Deal on Singapore’s Economy, Exports and Businesses

The US-China Phase 1 trade deal is cautiously welcomed as it averts further immediate tariff hikes, but deeper structural issues between the two nations remain unresolved, creating ongoing uncertainty for Singapore's export-oriented economy.
Singapore's economy faced headwinds in 2019, with non-oil domestic exports declining and GDP growth slowing, but the government is pursuing strategies to strengthen fundamentals, support business internationalisation, and develop new growth sectors like digital and agri-food tech.
The government is implementing measures to help businesses transform and workers reskill, including grants for overseas expansion and requiring companies to commit to worker outcomes like wage increases or job creation for funding support.
On multilateral trade, Singapore is actively involved in initiatives like the Regional Comprehensive Economic Partnership (RCEP), which is nearing conclusion, and is exploring digital economy agreements to create new opportunities amid global trade fragmentation.

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5 Nov 2019

Disbursements of Public Monies to Citizens’ Consultative Committee and Community Development and Welfare Funds in Last Three Years

Ms. Anthea Ong questioned the Minister for Culture, Community and Youth on the disbursement of public monies to Citizens’ Consultative Committees (CCCs) and Community Development and Welfare Funds (CDWFs) over the last three years, including breakdowns, eligibility criteria, assistance amounts and duration, and application processes for these and the CCC ComCare Fund (CCF).
The Minister clarified that elected MPs represent constituents in Parliament and manage town councils, while Grassroots Advisors (GRAs) are appointed by the People’s Association to guide grassroots organizations in implementing government policies and programs.
CCCs and CDWF committees, appointed by the PA, administer funds based on established criteria, with CDWF providing community bonding and welfare assistance to residents in the constituency, and CCF offering up to three months of temporary financial relief capped at $200 per month.
Residents apply for assistance at Community Centres/Clubs, and if ineligible, the CCC and CDWF committees may involve GRAs to connect them with other support; on average, PA provides about $290,000 to each CCC and $9,000 to each CDWF annually for welfare and community programs.

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5 Nov 2019

Measures to Reduce Unemployment Among PMETs

Leon Perera questioned the government about the rising unemployment among PMETs and what measures are being considered to address it.
Josephine Teo noted that PMET unemployment fell from 3.1% in 2016 to 2.9% in 2018, with over 28,000 job vacancies and employment growth in sectors where PMETs are prevalent.
The government is monitoring specific groups like mature and long-term unemployed PMETs, who face hiring challenges due to wage and skills mismatches.
Initiatives like the Adapt & Grow program offer support through salary incentives and professional conversion programs to help reskill and place PMETs.
Workforce Singapore is collaborating with agencies and companies to expand training and preemptively retrain workers at risk of retrenchment.

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5 Nov 2019

Increase in Cost of Medicine

Liang Eng Hwa asked whether medicine costs in Singapore have increased over the last three years and what the reasons are, and whether the government will consider improving affordability by aligning prices with those in neighbouring countries.
Health Minister Gan Kim Yong explained that drug pricing depends on factors like patents, alternatives, development costs, market size, and supply chain differences, and noted various measures to manage costs, including aggregated procurement through ALPS and value-based pricing through ACE.
The government is promoting the appropriate use of medicines by encouraging evidence-based prescribing and generic alternatives, while regularly reviewing and subsidizing more drugs and providing financial support schemes like MediSave, MediShield Life, MediFund, and the Medication Assistance Fund.

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5 Nov 2019

Subscription to the International Development Association

The Second Minister for Finance moved a motion to increase Singapore's subscription to the International Development Association to a maximum of US$1.3 million.
The motion was made under Section 4(2) of the International Development Association Act and was supported by the Minister citing earlier justifications.
The motion was put to the question and agreed to by Parliament without further debate.
The sitting was suspended and resumed later, with no additional substantive discussion on the motion.

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5 Nov 2019

Subscription to the International Bank for Reconstruction and Development

Singapore plans to increase its subscription to the International Bank for Reconstruction and Development to US$858 million, with only US$21 million as paid-in capital and the rest as callable capital, to support sustainable development goals and align with the World Bank’s capital increase.
The government also proposes to raise Singapore’s subscription threshold for the International Development Association to US$1.3 million, contributing up to US$70 million over three years for IDA19 to aid poverty reduction and development in least developed countries.
Singapore will fully subscribe to new shares in the International Finance Corporation, bringing its total subscription close to US$9 million, to mobilize private sector investments in developing countries.
These moves reinforce Singapore’s role as a responsible international partner and enhance its status as a regional financial and infrastructure hub, benefiting local businesses and creating opportunities.

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5 Nov 2019

Waiver of Foreign Domestic Worker Levy for Families with Three or More Children Aged Under 16 Years

Ong Teng Koon proposed waiving the foreign domestic worker levy for families with three or more children under 16 to alleviate financial pressures and encourage larger families.
The government maintains that the concessionary levy of $60 per month already supports households with caregiving needs, and there are no plans for further reductions, citing sustainability concerns with FDW population growth.
Officials emphasized broader support measures for families, including enhanced Baby Bonus cash gifts, childcare subsidies, tax reliefs, and pre-school funding, which provide substantial aid especially for larger families.
The Senior Parliamentary Secretary noted that many families already benefit from the concessionary levy, with 80% of employers paying the reduced rate, and highlighted alternative support like pre-school expansion and inter-generational household allowances.
The debate underscored balancing demographic goals with household affordability, with the government prioritizing targeted subsidies over blanket levy waivers.

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5 Nov 2019

Impact of British Inventor’s Announcement to Drop Electric Car Project in Singapore

Dyson's cancellation of its electric vehicles project in Singapore will not significantly impact its overall presence, as only 20 employees are affected and they will be redeployed within the company.
Singapore continues to attract interest from other companies for smart mobility solutions due to its skilled workforce, advanced technologies, and strong intellectual property protection.
The government remains committed to growing high-value, knowledge-based industries, including EV-related capabilities, despite Dyson's decision being a commercial one unrelated to Singapore's capabilities.
Any incentives tied to Dyson's EV project will not be granted since the project did not proceed, but other existing or future Dyson investments in Singapore will be considered separately.

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5 Nov 2019

Outlook for Net Formation of Businesses

In the first nine months of 2019, Singapore’s net business formation was about 9,900, a quarter below the 2014–2018 average, with declines in sectors like transportation, business services, and construction due to global economic uncertainties.
The government is promoting a vibrant business ecosystem through industry transformation, support for new sectors like agri-tech and precision medicine, and initiatives like the GoBusiness Licensing portal to reduce regulatory barriers.
Efforts to foster startups include Startup SG, which provides mentorship, grants, and networking for entrepreneurs, emphasizing the need for collective action among businesses, workers, and the government.
The government does not set specific targets for “healthy” business cessation, viewing firm entry and exit as natural economic churn that reallocates resources to more productive and competitive enterprises.
The focus is on sustaining a dynamic economy where resources flow to competitive firms, strengthening enterprise capabilities and creating better jobs over time.

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4 Nov 2019

Amount of Subsidies Given to Anchor Operators of Childcare Centres and Kindergarten in Past Five Years

The government funds pre-schools through the Anchor Operator scheme to ensure affordable and quality education, with five operators currently serving about 60,300 Singapore Citizen children across 570 centres.
For 2018, the average government grant was about $6,000 per Singapore Citizen child in Anchor Operator centres, with the highest per-child grants given to MY World Preschool, E-Bridge Preschool, and Skool4Kidz.
The Anchor Operator scheme, introduced in 2009, requires operators to adhere to fee caps, improve quality, invest in teacher development, offer Malay and Tamil language instruction, and support enrolment from low-income families.

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4 Nov 2019

Bursaries and Scholarships Awarded by Autonomous Universities in Past Five Years

In Academic Year 2018, Autonomous Universities awarded over 34,000 bursaries and scholarships, a significant increase from about 21,000 in AY 2014.
The government spent $65 million on bursaries in FY2018, enhancing support from AY2020 to cover up to 75% of subsidised tuition fees for Singaporean undergraduates from families with incomes up to $9,000 monthly.
Autonomous Universities use endowment fund returns and reserves to provide additional financial aid, with criteria varying by institution based on financial need, academic merit, or co-curricular performance.
In FY2018, Autonomous Universities spent $23 million on bursaries for Singaporean undergraduates from their own funds.

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