Economy & business — Topics

20 Nov 2018

Impact of Overseas Developments on Singapore's Waste Recycling Efforts

Ong Teng Koon questioned how China's "National Sword" policy affects Singapore's recycling of paper, plastic, and e-waste, and whether the country can still export contaminated recyclables.
Louis Ng Kok Kwang asked if Singapore plans to build complete domestic plastic recycling infrastructure to handle all plastic waste instead of exporting it overseas.
Masagos Zulkifli responded that Singapore's recycling industry currently sells plastics and paper to other overseas markets, with some local processing of e-waste and plastics by companies like TES, Cimelia, A*Star Plastics, and Plaspulp Union.
The NEA is monitoring China's import ban and actively studying e-waste and plastic recycling solutions to boost local capabilities and close the waste loop domestically.
These efforts are part of Singapore's broader Environmental Services industry transformation to enhance resource extraction from waste.

Summary written by AI

Overview Original source

20 Nov 2018

Developers (Anti-Money Laundering and Terrorism Financing) Bill

The Developers (Anti-Money Laundering and Terrorism Financing) Bill amends existing housing and commercial property Acts to require developers to conduct customer due diligence, report suspicious transactions, and bar individuals convicted of money laundering or terrorism financing offences from developer activities.
The Ministry explained that the measures adopt a calibrated risk-based approach, allow reliance on third parties like banks for checks, and are designed to comply with international FATF standards without imposing excessive burdens on developers or increasing costs for genuine buyers.
Members of Parliament raised concerns about the practical implementation, potential costs, and the scope of responsibilities, with the Minister assuring that detailed rules will be developed in consultation with the industry and that support will be provided to help developers comply.

Summary written by AI

Overview Original source

20 Nov 2018

Waiver of Seller’s Stamp Duty for Collective Sale if Seller Does Not Agree to Sale

Lim Biow Chuan asked if Seller's Stamp Duty (SSD) could be waived for a collective sale when an individual owner does not agree to the sale.
The Minister for Finance explained that SSD applies to discourage short-term property holding and is charged if a property is sold within the holding period, regardless of individual consent.
In collective sales, once a statutory majority agrees, the sale agreement binds all owners, and SSD is applied even if some owners opposed it.
The Minister noted that non-consenting owners can raise objections with the Strata Titles Board, which will consider these before deciding on the collective sale.

Summary written by AI

Overview Original source

19 Nov 2018

Number of Sellers of Residential Properties Who Paid Seller's Stamp Duty Year on Year since Implementation

Since the Seller's Stamp Duty was implemented in 2010, about 5% of secondary market transactions, or roughly 5,000, were liable for SSD.
Of these, approximately 40%, or around 2,000, involved sales by Singaporeans who owned only one residential property.
The Government stated that SSD aims to discourage short-term property holding and applies uniformly to all sellers, regardless of how many properties they own.
The Ministry will not exempt Singaporeans who own only one residential property from SSD, as the policy principle applies to all sellers.

Summary written by AI

Overview Original source

19 Nov 2018

Enhanced China-Singapore Free Trade Agreement

The upgraded China-Singapore Free Trade Agreement is projected to increase bilateral trade and investment, building on growth from S$76 billion in 2009 to S$137 billion in 2017, with enhanced market access for goods, services, and new rules in e-commerce, competition, and environment.
The Ministry of Trade and Industry and Enterprise Singapore will help Singapore companies leverage new opportunities by working with trade associations and chambers to disseminate information and support business expansion.
Industries such as legal, construction, maritime services, petrochemicals, and plastics will benefit from reduced ownership caps and tariff savings, while Central and Western China offer opportunities in infrastructure, urban planning, and logistics due to urbanisation and middle-class growth.

Summary written by AI

Overview Original source

19 Nov 2018

Share Ownership by Senior Management of Temasek Holdings and GIC in Companies The Sovereign Wealth Funds Have Invested in

The Minister for Finance, Heng Swee Keat, affirmed that all market participants, including employees of GIC and Temasek, must comply with laws against insider trading and any violations will be legally addressed.
Both GIC and Temasek have established internal rules, codes of ethics, and compliance manuals that prohibit staff from using insider information or engaging in personal investments that create conflicts of interest with their organizations.
The boards of GIC and Temasek are held accountable for enforcing good corporate governance, and disciplinary actions, including termination, will be taken against employees who violate these codes.

Summary written by AI

Overview Original source

19 Nov 2018

Foreign Domestic Workers Borrowing from Legal and Illegal Moneylenders

The Minister reported a sharp increase in foreign domestic workers borrowing from licensed moneylenders, from 1,500 in 2016 to 28,000 in the first half of 2018, alongside a rise in harassment reports from unlicensed moneylenders from 2013 to 2018.
The Ministry of Law announced new measures to protect borrowers, including aggregate loan caps for all foreigners in Singapore and a self-exclusion framework to help individuals control their borrowing habits.
The Ministry of Manpower will impose administrative actions, including work pass revocation and repatriation, against work pass holders found borrowing from unlicensed moneylenders, to be implemented in 2019 after an education period.
Enhanced borrower protections for licensed moneylenders include caps on fees and interest rates, as well as prohibitions on abusive practices like rolling over loans or split loans to charge extra fees.
Government agencies will continue to monitor the situation, collaborate on enforcement, and provide support through voluntary welfare organisations and migrant worker centres.

Summary written by AI

Overview Original source

19 Nov 2018

Financial Crimes Targeting the Elderly

Christopher de Souza asked the Minister for Home Affairs about measures to reduce and prevent financial crimes targeting the elderly, prompting a response from K Shanmugam.
K Shanmugam highlighted that offenders face severe punishments, including jail terms of up to 10 years and fines, and noted that the government is considering strengthening laws against cheating based on recommendations from the Penal Code Review Committee.
The Police are educating the elderly through community efforts like the Silver Watch Group, working with Residents' Committees, and using events such as block parties and CSSPs to disseminate scam alerts.
Collaborations with banks and remittance centres help identify potential victims and advise caution, while anti-scam advisories are placed near ATMs and AXS machines, with a helpline and website for scam-related advice.

Summary written by AI

Overview Original source

19 Nov 2018

Regulations on E-money Float and Electronic Payments

Singapore’s e-money regulations will be updated under the new Payment Services Bill, lowering the safeguarding threshold from S$30 million to S$5 million and expanding protected e-money to include e-wallets used for person-to-person and merchant payments.
The Monetary Authority of Singapore (MAS) has introduced the E-Payments User Protection Guidelines to clarify consumer and institution responsibilities, liability for unauthorized transactions, and error resolution processes, with the guidelines taking effect in January.
MAS will provide more safeguarding options for payment institutions, such as using guarantees from prescribed financial institutions or segregating customer funds, to balance consumer protection with industry innovation and competitiveness.

Summary written by AI

Overview Original source

19 Nov 2018

Causes of Double-digit Growth in Healthcare Inflation over Last Decade

Seah Kian Peng asked the Minister for Health about the causes of double-digit healthcare inflation over the past decade, which has far exceeded normal inflation rates.
Minister Gan Kim Yong explained that National Health Expenditure grew at an average of 11% per year from 2006 to 2016, driven by an ageing population, higher healthcare service utilization, and capital investments in new public healthcare facilities.
Government support for healthcare expanded significantly, with spending increasing by 17% annually, raising the government's share of total health expenditure from 30% to over 40%, which helped lower the actual inflation borne by Singaporeans to an average of 2.6% per year from 2007 to 2017.
The minister emphasized that despite high overall expenditure growth, healthcare inflation remained close to general inflation due to increased subsidies like the Pioneer Generation Package, MediShield Life, and CHAS.
The government will continue to monitor healthcare inflation and work to keep healthcare affordable for all Singaporeans.

Summary written by AI

Overview Original source

19 Nov 2018

Effectiveness of Progressive Wage Model Versus Minimum Wage Model for Needs of Low-wage Workers

Mrs Josephine Teo highlighted that the Progressive Wage Model (PWM) provides a clear wage progression ladder tied to skills and productivity, with over 70,000 workers in cleaning, security, and landscaping sectors benefiting from higher real wage growth than the median.
She emphasized that PWM is part of a broader wage support system including Workfare Income Supplement, which has disbursed $5.5 billion to about 830,000 low-wage workers, complementing PWM to uplift incomes without mandating a minimum wage.
The Minister noted that tripartite partners regularly review and enhance PWMs across sectors to align with industry transformation goals, such as recent updates in cleaning, security, and lift maintenance sectors.

Summary written by AI

Overview Original source

19 Nov 2018

Impact of Comprehensive and Progressive Agreement for Trans-Pacific Partnership on Singapore's Trade and GNP

The CPTPP, effective from December 2018, is expected to expand Singapore's economic space, potentially increasing total exports and GDP by up to 0.2% and creating new trade and investment opportunities, particularly with Mexico and Canada where no prior FTAs exist.
Singaporean companies can leverage the CPTPP through tariff eliminations, preferential market access for services, improved investment protections, and expanded opportunities in government procurement, while the agreement's modern rules on e-commerce and intellectual property aim to foster innovation and support SMEs.
The CPTPP aligns with Singapore's broader economic strategies, with MTI, ESG, and EDB working to enhance awareness and help businesses utilise its benefits to strengthen export networks and attract diverse industries to grow from Singapore.

Summary written by AI

Overview Original source

19 Nov 2018

Additional Buyer Stamp Duty Remission for Singles who Bought Second Property and Sold First Property within Six Months

Lim Biow Chuan asked if the ABSD remission for married couples who sell their first property within six months could be extended to single Singaporeans who similarly buy a second home and sell their first within the same timeframe.
Heng Swee Keat explained that ABSD is designed to moderate demand and stabilize the property market for all buyers, applying to second and subsequent residential properties regardless of eventual disposal of the first.
An exception exists for married couples due to changing family needs, allowing ABSD refund if the first property is sold within six months, but this concession is not extended to singles or other buyer groups to maintain the policy's core objective of demand moderation.

Summary written by AI

Overview Original source

19 Nov 2018

Impact of Trade Tensions between China and US on Singapore’s Growth and Industries

The Minister noted that while Singapore’s non-oil domestic exports showed growth in 2018, GDP growth is expected to moderate in 2019 due to trade tensions and slower growth in major economies like the US and China.
Externally oriented sectors such as electronics and precision engineering are most affected, but businesses can mitigate impact by redirecting exports and leveraging Singapore’s trade networks and free trade agreements.
The Industry Transformation Maps remain dynamic and will be updated as needed, with the Future Economy Council monitoring developments and adjusting plans in partnership with stakeholders.

Summary written by AI

Overview Original source

19 Nov 2018

Criteria to Guide Government Funding Support for Startups

The Government provides funding support for startups at various stages, with early-stage initiatives like Startup SG Founder and Startup SG Tech focusing on innovative ideas and technology commercialization.
For mature startups, co-investment schemes such as Startup SG Equity are used, where private investors assess commercial viability and the Government co-invests across sectors like advanced manufacturing, health, urban solutions, and digital economy.
In a recent period, the Government co-invested S$43.8 million in 62 startups under Startup SG Equity, catalyzing over S$50 million in private funding, with about half of investments directed to deep-tech startups.
Additional initiatives like the NRF-Temasek IP Commercialisation Vehicle and non-financial support such as infrastructure, mentorship, and networks are in place to strengthen the startup ecosystem and attract venture funding.
Overall, these efforts have contributed to a growing startup ecosystem in Singapore, with venture funding deals increasing significantly from 2012 to 2017.

Summary written by AI

Overview Original source

19 Nov 2018

Ensuring New Opportunities and Job Roles from Automation will be Equally Distributed to All Workers

The Minister outlined government initiatives such as Adapt and Grow, Professional Conversion Programmes, and SkillsFuture to support workers affected by automation through career coaching, job matching, and heavily subsidised training.
Over 11,600 individuals have been placed in new jobs since 2016 via these programmes, with training participation rising from 35% in 2015 to 48% in 2017 among the resident labour force.
The government partners private companies and sector agencies to develop targeted reskilling programmes, such as in banking and data analytics, to help workers transition to new roles before retrenchment.

Summary written by AI

Overview Original source

19 Nov 2018

Singaporeans aged 65 and above who Have Remained in Bankruptcy beyond Five Years

Minister K Shanmugam stated that as of October 2018, 964 Singapore citizens aged 65 and above had been in bankruptcy for more than five years, representing about 6% of all bankrupts, with most becoming bankrupt before reaching 65.
Of these 964, 37 were made bankrupt by government agencies, including HDB, MOM's Controller of Work Permits, IRAS's Comptroller of Income Tax, and the Land Office, after unsuccessful recovery efforts.
The bankruptcy system aims to balance debt repayment with a fresh start, using a differentiated discharge framework since 2016 that sets targets for earlier discharge based on contributions and considers extenuating circumstances for adjustments.

Summary written by AI

Overview Original source

19 Nov 2018

Employers who Have Participated in the Business and Institutions of a Public Character Scheme

The Business and Institution of a Public Character (IPC) Partnership Scheme (BIPS) offers a 250% tax deduction on wages and related expenses for employees volunteering with IPCs, with about 3,200 employees from 48 businesses contributing 17,000 volunteering hours between July 2016 and December 2017.
The government is promoting BIPS and simplifying claims, including an option for businesses to use a fixed manhour rate for tax deductions to reduce administrative burden.
The question about an individual scheme for tax deductions was addressed by highlighting broader efforts like the SG Cares movement, which supports volunteerism through training, skill matching, recognition, and grants, with no current plan for an individual tax rebate scheme.
The government continues to review and explore ways to encourage volunteerism, emphasizing passion and community support rather than solely financial incentives.

Summary written by AI

Overview Original source

19 Nov 2018

Companies that Have Been Helped by Industry Transformation Maps

The Industry Transformation Maps (ITMs) provide a framework for collaboration among companies, trade associations, workers, and agencies to enhance competitiveness and productivity across 23 industries, with examples like the Job Redesign Initiative in environmental services.
As of FY2017, the government committed $1.7 billion to support about 30,000 companies, contributing to a 4.5% productivity growth in 2017, though more detailed analyses are ongoing to assess effectiveness.
Scaling up ITMs involves initiatives like shared facilities (e.g., JTC Food Hub), industry leadership through the Singapore Business Federation and trade associations for digitalization, and alliances such as the Logistics Alliance to integrate platforms and improve efficiency.

Summary written by AI

Overview Original source

19 Nov 2018

Computation of Land Cost in Sale Price of New HDB Flats

Lawrence Wong explained that new HDB flats are priced to be affordable, with monthly instalments for first-timer families in non-mature estates often below a quarter of their income.
The sale prices of new HDB flats do not cover full development costs, including land and construction, leading to annual deficits for HDB.
HDB provides housing grants of up to $80,000 to further support lower- and middle-income families purchasing their first home.
The land cost included in the sale price is part of the overall development costs that HDB absorbs, contributing to the subsidised pricing of new flats.
The pricing approach ensures public housing remains accessible, with the government covering the shortfall to maintain affordability.

Summary written by AI

Overview Original source